What was the income tax expense (benefit) from continuing operations for Burger King in 2023?
Burger_King Franchise · 2025 FDDAnswer from 2025 FDD Document
ong-term debt and finance leases | | 222 | 101 | | Total current liabilities | | 2,364 | 2,144 | | Long-term debt, net of current portion | | 13,455 | 12,854 | | Finance leases, net of current portion | | 286 | 312 | | Operating lease liabilities, net of current portion | | 1,770 | 1,059 | | Other liabilities, net | | 706 | 996 | | Deferred income taxes, net | | 1,208 | 1,296 | | Total liabilities | | 19,789 | 18,661 | | Commitments and contingencies (Note 17) | | | | | Shareholders' equity: | | | | | Common shares, no par value; Unlimited shares authorized at December 31, 2024 and | | | | | December 31, 2023; 324,426,589 shares issued and outstanding at December 31, 2024; | | | | | 312,454,851 shares issued and outstanding at December 31, 2023 | | 2,357 | 1,973 | | Retained earnings | | 1,860 | 1,599 | | Accumulated other comprehensive income (loss) | | (1,107) | (706) | | Total Restaurant Brands International Inc. shareholders' equity | | 3,110 | 2,866 | | Noncontrolling interests | | 1,733 | 1,864 | | Total shareholders' equity | | 4,843 | 4,730 | | Total liabilities and shareholders' equity | $ | 24,632 | $ 23,391 | | See accompanying notes to consolidated financial statements. | | | | | Approved on behalf of the Board of Directors: | | | |
J. Patrick Doyle, Executive Chairman Ali Hedayat, Director
By: /s/ J. Patrick Doyle By: /s/ Ali Hedayat
Consolidated Statements of Operations (In millions of U.S. dollars, except per share data)
| 2024 | 2023 | 2022 | ||||
|---|---|---|---|---|---|---|
| Revenues: | ||||||
| Supply chain sales | $ 2,708 | $ | 2,679 | $ | 2,583 | |
| Company restaurant sales | 1,592 | 271 | 236 | |||
| Franchise and property revenues | 2,919 | 2,903 | 2,661 | |||
| Advertising revenues and ot |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 109–124)
What This Means (2025 FDD)
According to Burger King's 2025 Franchise Disclosure Document, the income tax expense (benefit) from continuing operations in 2023 was a benefit of $(265) million. This figure reflects the impact of income taxes on Burger King's ongoing business activities for that year. It is important to note that this is a consolidated figure, reflecting the overall financial performance of Burger King as a company and not necessarily indicative of the financial performance of any single franchise location.
A prospective franchisee should understand that this number represents a significant factor in the overall profitability of Burger King. A tax benefit, as opposed to an expense, suggests that the company may have had deductible losses or utilized tax credits that reduced its overall tax liability. This can improve the company's net income, which can in turn affect its ability to invest in growth and support its franchisees.
It is crucial for potential franchisees to consider these figures within the broader context of Burger King's financial statements. While a tax benefit can be a positive sign, it's essential to investigate the underlying reasons for the benefit and how sustainable it is in the long term. Understanding the factors that influence Burger King's tax position can provide valuable insights into the financial health and stability of the company, which directly impacts the support and resources available to franchisees.