What was the segment income for BK (Burger King) in 2023?
Burger_King Franchise · 2025 FDDAnswer from 2025 FDD Document
| Other | 939 | 874 | | 751 | | Total | $ 8,406 | $ 7,022 | $ | 6,505 |
(b) Only Canada and the United States represented 10% or more of our total revenues in each period presented.
Our CODM manages assets on a consolidated basis. Accordingly, segment assets are not reported to our CODM or used in his decisions to allocate resources or assess performance of the segments. Therefore, total segment assets and long-lived assets have not been disclosed.
Total long-lived assets by country are as follows (in millions):
| As of December 31, | |||||
|---|---|---|---|---|---|
| 2024 | 2023 | ||||
| By country: | |||||
| Canada | $ 1,435 | $ | 1,545 | ||
| United States | 2,684 | 1,578 | |||
| Other | 52 | 41 | |||
| Total | $ 4,171 | $ | 3,164 |
Long-lived assets include property and equipment, net, finance and operating lease right of use assets, net
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 segment income for BK (Burger King) in 2023 was $386 million. This figure represents the income from Burger King operations in the U.S. and Canada, specifically excluding results from Burger King restaurants acquired as part of the Carrols Acquisition, which are included in the Restaurant Holdings (RH) segment.
Segment income is defined as Adjusted Operating Income, which is income from operations adjusted to exclude certain items. These exclusions include franchise agreement and reacquired franchise right intangible asset amortization due to acquisition accounting, income or loss from equity method investments net of cash distributions, other operating expenses or income, and income or expenses from non-recurring projects and non-operating activities. These adjustments provide a clearer picture of the core operational profitability of the Burger King segment.
For a prospective franchisee, understanding segment income is crucial as it reflects the financial performance of the Burger King brand specifically. While this number does not represent the profit of an individual franchise, it gives insight into the overall health and profitability of the Burger King system. A consistently strong segment income suggests a well-managed and popular brand, which can be a positive indicator for potential franchisees. However, it is important to remember that individual franchise performance can vary based on location, management, and other factors.