Tim Hortons Announces Expansion Plan in Indiana
Feb 18, 2016 05:00 AM EST | By Shilpa Chakravorty
Restaurant Brands International Inc., which is the owner of Burger King and Tim Hortons are planning to expand their business in Indiana by partnering with Luke Family of Brands and plans for "more of the same on the sales front" in 2016.
"The big difference that we'd like to see in the second year, from the first year, particularly on the Tim Hortons side, is the acceleration of the pace of development of Tims all around the world and in the U.S. where I think we've done a good job laying the foundation for future growth," said CEO Daniel Schwartz, according to The Star.
Last Tuesday, the company posted their attributable net income, where the total company revenue was $1.06 billion, topping the analysts' estimation of $1.03 billion.
The sales of Tim Hortons jumped by 6.3 percent, were attributed to the new launches like Nutella pockets and grilled wraps according to the executives of the food chain.
Tim Hortons presently have 650 stores in the US and have closed several underperforming locations in New York and Maine while trying out new deals in Ohio and Indiana.
"There's a lot of value to be created by growing in adjacent markets where we can build out brand awareness in markets that are near each other; and we can give a lot of operational efficiency, as well, as we kind of develop the presence of the brand, and a lot of unit density so that people can find Tim Hortons wherever they go," said company CFO Joshua Kobza.
Notably, the other half of the business (Burger King) also saw a 3.9 percent increase in sales in the last quarter which can be attributed to breakfast growth and several limited time offerings like At Halloween Whooper Sandwich and buffalo chicken fries.
"It's our flame-grilled twist on one of America's favorite foods," said Schwartz. "It's operationally simple, yet impactful, and we think we could sell a lot of them."
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