RESTAURANT BRANDS INTERNATIONAL INC., 10-K filed on 2/21/2025
Annual Report
v3.25.0.1
Cover Page - USD ($)
12 Months Ended
Dec. 31, 2024
Feb. 14, 2025
Jun. 30, 2024
Document Information [Line Items]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2024    
Document Transition Report false    
Entity File Number 001-36786    
Entity Registrant Name RESTAURANT BRANDS INTERNATIONAL INC.    
Entity Incorporation, State or Country Code Z4    
Entity Tax Identification Number 98-1202754    
Entity Address, Address Line One 5707 Blue Lagoon Drive    
Entity Address, City or Town Miami,    
Entity Address, State or Province FL    
Entity Address, Postal Zip Code 33126    
City Area Code 305    
Local Phone Number 378-3000    
Title of 12(b) Security Common Shares, without par value    
Trading Symbol QSR    
Security Exchange Name NYSE    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 22,028,437,126
Documents Incorporated by Reference
Portions of the registrant’s definitive proxy statement for the 2025 Annual General Meeting of Shareholders, which is to be filed no later than 120 days after December 31, 2024, are incorporated by reference into Part III of this Form 10-K.
   
Amendment Flag false    
Document Fiscal Year Focus 2024    
Document Fiscal Period Focus FY    
Entity Central Index Key 0001618756    
Current Fiscal Year End Date --12-31    
Partnerships Exchangeable Units      
Document Information [Line Items]      
Entity Common Stock, Shares Outstanding   127,038,577  
Common Class A      
Document Information [Line Items]      
Entity Common Stock, Shares Outstanding   324,984,645  
v3.25.0.1
Audit Information
12 Months Ended
Dec. 31, 2024
Audit Information [Abstract]  
Auditor Name KPMG LLP
Auditor Location Miami, FL
Auditor Firm ID 185
v3.25.0.1
Consolidated Balance Sheets - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Current assets:    
Cash and cash equivalents $ 1,334 $ 1,139
Accounts and notes receivable, net of allowance of $57 and $37, respectively 698 749
Inventories, net 142 166
Prepaids and other current assets 108 119
Total current assets 2,282 2,173
Property and equipment, net of accumulated depreciation and amortization of $1,087 and $1,187, respectively 2,236 1,952
Operating lease assets, net 1,852 1,122
Intangible assets, net 10,922 11,107
Goodwill 5,986 5,775
Other assets, net 1,354 1,262
Total assets 24,632 23,391
Current liabilities:    
Accounts and drafts payable 765 790
Other accrued liabilities 1,141 1,005
Gift card liability 236 248
Current portion of long-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
v3.25.0.1
Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Financing receivable, allowance for credit loss, current $ 57 $ 37
Accumulated depreciation and amortization $ 1,087 $ 1,187
Common stock, par value (in dollars per share) $ 0 $ 0
Common stock, shares authorized (in shares) Unlimited Unlimited
Common stock, shares issued (in shares) 324,426,589 312,454,851
Common stock, shares outstanding (in shares) 324,426,589 312,454,851
v3.25.0.1
Consolidated Statements of Operations - USD ($)
shares in Millions, $ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Revenues:      
Total revenues $ 8,406 $ 7,022 $ 6,505
Operating costs and expenses:      
Franchise and property expenses 544 512 518
Advertising expenses and other services 1,330 1,273 1,077
General and administrative expenses 733 704 631
(Income) loss from equity method investments (69) (8) 44
Other operating expenses (income), net (59) 55 25
Total operating costs and expenses 5,987 4,971 4,607
Income from operations 2,419 2,051 1,898
Interest expense, net 577 582 533
Loss on early extinguishment of debt 33 16 0
Income before income taxes 1,809 1,453 1,365
Income tax expense (benefit) 364 (265) (117)
Net income 1,445 1,718 1,482
Net income attributable to noncontrolling interests (Note 13) 424 528 474
Net income attributable to common shareholders $ 1,021 $ 1,190 $ 1,008
Earnings per common share:      
Basic (in dollars per share) $ 3.21 $ 3.82 $ 3.28
Diluted (in dollars per share) $ 3.18 $ 3.76 $ 3.25
Weighted average shares outstanding (in millions):      
Basic (in shares) 319 312 307
Diluted (in shares) 454 456 455
Supply chain sales      
Operating costs and expenses:      
Food, beverage and packaging costs $ 2,180 $ 2,193 $ 2,093
Company restaurant sales      
Operating costs and expenses:      
Food, beverage and packaging costs 1,328 242 219
Product | Supply chain sales      
Revenues:      
Total revenues 2,708 2,679 2,583
Product | Company restaurant sales      
Revenues:      
Total revenues 1,592 271 236
Franchise and property revenues      
Revenues:      
Total revenues 2,919 2,903 2,661
Advertising revenues and other services      
Revenues:      
Total revenues $ 1,187 $ 1,169 $ 1,025
v3.25.0.1
Consolidated Statements of Comprehensive Income (Loss) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Statement of Comprehensive Income [Abstract]      
Net income $ 1,445 $ 1,718 $ 1,482
Foreign currency translation adjustment (858) 250 (703)
Net change in fair value of net investment hedges, net of tax of $16, $(22), and $(77) 314 (232) 332
Net change in fair value of cash flow hedges, net of tax of $(39), $(10), and $(141) 107 29 382
Amounts reclassified to earnings of cash flow hedges, net of tax of $37, $24, and $(12) (101) (66) 34
Gain (loss) recognized on defined benefit pension plans and other items, net of tax of $(1), $(2), and $(2) (2) 7 6
Other comprehensive income (loss) (540) (12) 51
Comprehensive income (loss) 905 1,706 1,533
Comprehensive income (loss) attributable to noncontrolling interests 269 525 490
Comprehensive income (loss) attributable to common shareholders $ 636 $ 1,181 $ 1,043
v3.25.0.1
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Statement of Comprehensive Income [Abstract]      
Net change in fair value of net investment hedges, tax $ 16 $ (22) $ (77)
Net change in fair value of cash flow hedges, tax (39) (10) (141)
Amounts reclassified to earnings of cash flow hedges, tax 37 24 (12)
Gain (loss) recognized on other, tax $ (1) $ (2) $ (2)
v3.25.0.1
Consolidated Statements of Shareholders' Equity - USD ($)
$ in Millions
Total
  Issued Common Shares
Retained Earnings
Accumulated Other Comprehensive Income (Loss)
Noncontrolling Interests
Beginning balance (in shares) at Dec. 31, 2021   309,025,068      
Beginning balance at Dec. 31, 2021 $ 3,853 $ 2,156 $ 791 $ (710) $ 1,616
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Stock option exercises (in shares)   483,980      
Stock option exercises 21 $ 21      
Share-based compensation 121 $ 121      
Issuance of shares (in shares)   1,737,934      
Issuance of shares 43 $ 43      
Dividends declared on common shares (664)   (664)    
Dividend equivalents declared on restricted stock units 0 $ 14 (14)    
Distributions declared by Partnership on partnership exchangeable units (309)       (309)
Repurchase of RBI common shares (in shares)   (6,101,364)      
Repurchase of RBI common shares $ (326) $ (326)      
Exchange of Partnership exchangeable units for RBI common shares (in shares) 1,996,818 1,996,818      
Exchange of Partnership exchangeable units for RBI common shares $ 0 $ 28   (4) (24)
Noncontrolling interests distributions (4)       (4)
Net income 1,482   1,008   474
Other comprehensive income (loss) 51     35 16
Ending balance (in shares) at Dec. 31, 2022   307,142,436      
Ending balance at Dec. 31, 2022 4,268 $ 2,057 1,121 (679) 1,769
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Stock option exercises (in shares)   1,260,109      
Stock option exercises 60 $ 60      
Share-based compensation 177 $ 177      
Issuance of shares (in shares)   2,292,567      
Issuance of shares 15 $ 15      
Dividends declared on common shares (691)   (691)    
Dividend equivalents declared on restricted stock units 0 $ 21 (21)    
Distributions declared by Partnership on partnership exchangeable units (302)       (302)
Repurchase of RBI common shares (in shares)   (7,639,137)      
Repurchase of RBI common shares $ (500) $ (500)      
Exchange of Partnership exchangeable units for RBI common shares (in shares) 9,398,876 9,398,876      
Exchange of Partnership exchangeable units for RBI common shares $ 0 $ 143   (18) (125)
Noncontrolling interests distributions (3)       (3)
Net income 1,718   1,190   528
Other comprehensive income (loss) $ (12)     (9) (3)
Ending balance (in shares) at Dec. 31, 2023 312,454,851 312,454,851      
Ending balance at Dec. 31, 2023 $ 4,730 $ 1,973 1,599 (706) 1,864
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Stock option exercises (in shares) 1,538,000 1,537,767      
Stock option exercises $ 78 $ 78      
Share-based compensation 161 $ 161      
Issuance of shares (in shares)   3,874,784      
Issuance of shares 18 $ 18      
Dividends declared on common shares (744)   (744)    
Dividend equivalents declared on restricted stock units 0 $ 16 (16)    
Distributions declared by Partnership on partnership exchangeable units (302)       (302)
Exchange of Partnership exchangeable units for RBI common shares (in shares)   6,559,187      
Exchange of Partnership exchangeable units for RBI common shares 0 $ 111   (16) (95)
Noncontrolling interests distributions (3)       (3)
Net income 1,445   1,021   424
Other comprehensive income (loss) $ (540)     (385) (155)
Ending balance (in shares) at Dec. 31, 2024 324,426,589 324,426,589      
Ending balance at Dec. 31, 2024 $ 4,843 $ 2,357 $ 1,860 $ (1,107) $ 1,733
v3.25.0.1
Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Statement of Stockholders' Equity [Abstract]      
Common stock, dividends declared (in usd per share) $ 2.32 $ 2.20 $ 2.16
Dividend distributions declared (in usd per share) $ 2.32 $ 2.20 $ 2.16
v3.25.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Cash flows from operating activities:      
Net income $ 1,445 $ 1,718 $ 1,482
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization 264 191 190
Non-cash loss on early extinguishment of debt 23 5 0
Amortization of deferred financing costs and debt issuance discount 25 27 28
(Income) loss from equity method investments (69) (8) 44
Loss (gain) on remeasurement of foreign denominated transactions (71) 20 (4)
Net (gains) losses on derivatives (191) (151) (9)
Share-based compensation and non-cash incentive compensation expense 172 194 136
Deferred income taxes (5) (430) (60)
Other 19 26 19
Changes in current assets and liabilities, excluding acquisitions and dispositions:      
Accounts and notes receivable 7 (147) (110)
Inventories and prepaids and other current assets 30 (43) (61)
Accounts and drafts payable (30) 22 169
Other accrued liabilities and gift card liability (37) 9 37
Tenant inducements paid to franchisees (38) (32) (26)
Other long-term assets and liabilities (41) (78) (345)
Net cash provided by operating activities 1,503 1,323 1,490
Cash flows from investing activities:      
Payments for additions of property and equipment (201) (120) (100)
Net proceeds from disposal of assets, restaurant closures and refranchisings 34 37 12
Payment for purchase of Carrols Restaurant Group, net of cash acquired (508) 0 0
Net payments for acquisition of franchised restaurants (32) (17) 0
Payment for purchase of Firehouse Subs, net of cash acquired 0 0 (12)
Settlement/sale of derivatives, net 74 112 71
Other investing activities, net (27) (1) (35)
Net cash (used for) provided by investing activities (660) 11 (64)
Cash flows from financing activities:      
Proceeds from long-term debt 2,450 55 2
Repayments of long-term debt and finance leases (2,190) (92) (94)
Payment of financing costs (41) (44) 0
Payment of common share dividends and Partnership exchangeable unit distributions (1,029) (990) (971)
Repurchase of common shares 0 (500) (326)
Proceeds from stock option exercises 78 60 21
Proceeds from issuance of common shares 0 0 30
Proceeds from derivatives 109 141 34
Other financing activities, net (2) (4) (3)
Net cash used for financing activities (625) (1,374) (1,307)
Effect of exchange rates on cash and cash equivalents (23) 1 (28)
Increase (decrease) in cash and cash equivalents 195 (39) 91
Cash and cash equivalents at beginning of period 1,139 1,178 1,087
Cash and cash equivalents at end of period 1,334 1,139 1,178
Supplemental cash flow disclosures:      
Interest paid 785 761 487
Income taxes paid, net 293 290 275
Accruals for additions of property and equipment $ 51 $ 0 $ 0
v3.25.0.1
Description of Business and Organization
12 Months Ended
Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Description of Business and Organization Description of Business and Organization
Description of Business
Restaurant Brands International Inc. (the “Company,” “RBI,” “we,” “us” or “our”) is a Canadian corporation that serves as the sole general partner of Restaurant Brands International Limited Partnership (the “Partnership”). We franchise and operate quick service restaurants serving premium coffee and other beverage and food products under the Tim Hortons® brand (“Tim Hortons”), fast food hamburgers principally under the Burger King® brand (“Burger King”), chicken under the Popeyes® brand (“Popeyes”) and sandwiches under the Firehouse Subs® brand (“Firehouse”). We are one of the world’s largest quick service restaurant, or QSR, companies as measured by total number of restaurants. As of December 31, 2024, we franchised or owned 6,043 Tim Hortons restaurants, 19,732 Burger King restaurants, 4,979 Popeyes restaurants, and 1,371 Firehouse Subs restaurants, for a total of 32,125 restaurants, and operate in more than 120 countries and territories. As of December 31, 2024, approximately 95% of current system-wide restaurants are franchised.
All references to “$” or “dollars” are to the currency of the United States unless otherwise indicated. All references to “Canadian dollars” or “C$” are to the currency of Canada unless otherwise indicated.
v3.25.0.1
Significant Accounting Policies
12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Significant Accounting Policies Significant Accounting Policies
Fiscal Year
We operate on a monthly calendar, with a fiscal year that ends on December 31.
Basis of Presentation
The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) and related rules and regulations of the U.S. Securities and Exchange Commission requires our management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the related disclosure of contingent assets and liabilities. Actual results could differ from these estimates.
Principles of Consolidation
The consolidated financial statements (the "Financial Statements") include our accounts and the accounts of entities in which we have a controlling financial interest, the usual condition of which is ownership of a majority voting interest, including marketing funds we control. We also consider entities for consolidation when the controlling financial interest may be achieved through arrangements that do not involve voting interests (“VIE”).
We are the sole general partner of Partnership and, as such we have the exclusive right, power and authority to manage, control, administer and operate the business and affairs and to make decisions regarding the undertaking and business of Partnership, subject to the terms of the limited partnership agreement of Partnership (“partnership agreement”) and applicable laws. As a result, we consolidate the results of Partnership and record a noncontrolling interest in our consolidated balance sheets and statements of operations with respect to the remaining economic interest in Partnership we do not hold.
All material intercompany balances and transactions have been eliminated in consolidation. Investments in other affiliates that are owned 50% or less where we have significant influence are generally accounted for by the equity method.
Foreign Currency Translation and Transaction Gains and Losses
Our functional currency is the U.S. dollar, since our term loans and senior secured notes are denominated in U.S. dollars, and the principal market for our common shares is the U.S. The functional currency of each of our operating subsidiaries is generally the currency of the economic environment in which the subsidiary primarily does business. Our foreign subsidiaries’ financial statements are translated into U.S. dollars using the foreign exchange rates applicable to the dates of the financial statements. Assets and liabilities are translated using the end-of-period spot foreign exchange rates. Income, expenses and cash flows are translated at the average foreign exchange rates for each period. Equity accounts are translated at historical foreign exchange rates. The effects of these translation adjustments are reported as a component of accumulated other comprehensive income (loss) (“AOCI”) in the consolidated statements of shareholders’ equity.
For any transaction that is denominated in a currency different from the entity’s functional currency, we record a gain or loss based on the difference between the foreign exchange rate at the transaction date and the foreign exchange rate at the transaction settlement date (or rate at period end, if unsettled) which is included within other operating expenses (income), net in the consolidated statements of operations.
Cash and Cash Equivalents
All highly liquid investments with original maturities of three months or less and credit card receivables are considered cash equivalents.
Accounts and Notes Receivable, net
Our credit loss exposure is mainly concentrated in our accounts and notes receivable portfolio, which consists primarily of amounts due from franchisees, including royalties, rents, franchise fees, contributions due to advertising funds we manage and, in the case of our TH segment, amounts due for supply chain sales. Accounts and notes receivable are reported net of an allowance for expected credit losses over the estimated life of the receivable. Credit losses are estimated based on aging, historical collection experience, financial position of the franchisee and other factors, including those related to current economic conditions and reasonable and supportable forecasts of future conditions.
Bad debt expense recognized for expected credit losses is classified in our consolidated statement of operations as Cost of sales, Franchise and property expenses or Advertising expenses and other services, based on the nature of the underlying receivable. Net bad debt expense totaled $24 million in 2024, $20 million in 2023 and $19 million in 2022.
Inventories
Inventories are carried at the lower of cost or net realizable value and consist primarily of raw materials such as green coffee beans and finished goods such as new equipment, parts, paper supplies and restaurant food items. The moving average method is used to determine the cost of raw materials and finished goods inventories held for sale to Tim Hortons franchisees.
Property and Equipment, net
We record property and equipment at historical cost less accumulated depreciation and amortization, which is recognized using the straight-line method over the following estimated useful lives: (i) buildings and improvements – up to 40 years; (ii) restaurant equipment – up to 17 years; (iii) furniture, fixtures and other – up to 10 years; and (iv) manufacturing equipment – up to 25 years. Leasehold improvements to properties where we are the lessee are amortized over the lesser of the remaining term of the lease or the estimated useful life of the improvement.
Major improvements are capitalized, while maintenance and repairs are expensed when incurred.
Capitalized Software and Cloud Computing Costs
We record capitalized software at historical cost less accumulated amortization, which is recognized using the straight-line method. Amortization expense is based on the estimated useful life of the software, which is primarily up to five years, once the asset is available for its intended use.
Implementation costs incurred in connection with Cloud Computing Arrangements (“CCA”) are capitalized consistently with costs capitalized for internal-use software. Capitalized CCA implementation costs are included in “Other assets” in the consolidated balance sheets and are amortized over the term of the related hosting agreement, including renewal periods that are reasonably certain to be exercised. Amortization expense of CCA implementation costs is classified as “General and administrative expenses” in the consolidated statements of operations.
Leases
In all leases, whether we are the lessor or lessee, we define lease term as the non-cancellable term of the lease plus any renewals covered by renewal options that are reasonably certain of exercise based on our assessment of the economic factors relevant to the lessee. The noncancellable term of the lease commences on the date the lessor makes the underlying property in the lease available to the lessee, irrespective of when lease payments begin under the contract.
Lessor Accounting
We recognize lease payments for operating leases as property revenue on a straight-line basis over the lease term, and property revenue is presented net of any related sales tax. Lease incentive payments we make to lessees are amortized as a reduction in property revenue over the lease term. We account for reimbursements of maintenance and property tax costs paid to us by lessees as property revenue.
We also have net investments in properties leased to franchisees, which are classified as sales-type leases or direct financing leases. Investments in sales-type leases and direct financing leases are recorded on a net basis. Profit on sales-type leases is recognized at lease commencement and recorded in other operating expenses (income), net. Unearned income on direct financing leases is deferred, included in the net investment in the lease, and recognized over the lease term, yielding a constant periodic rate of return on the net investment in the lease.
We recognize variable lease payment income in the period when changes in facts and circumstances on which the variable lease payments are based occur.
Lessee Accounting
In leases where we are the lessee, we recognize a right-of-use (“ROU”) asset and lease liability at lease commencement, which are measured by discounting lease payments using our incremental borrowing rate as the discount rate. We determine the incremental borrowing rate applicable to each lease by reference to our outstanding secured borrowings and implied spreads over the risk-free discount rates that correspond to the term of each lease, as adjusted for the currency of the lease. Subsequent amortization of the ROU asset and accretion of the lease liability for an operating lease is recognized as a single lease cost, on a straight-line basis, over the lease term. Reductions of the ROU asset and the change in the lease liability are included in changes in Other long-term assets and liabilities in the Consolidated Statement of Cash Flows.
A finance lease ROU asset is depreciated on a straight-line basis over the lesser of the useful life of the leased asset or lease term. Interest on each finance lease liability is determined as the amount that results in a constant periodic discount rate on the remaining balance of the liability. Operating lease and finance lease ROU assets are assessed for impairment in accordance with our long-lived asset impairment policy.
We reassess lease classification and remeasure ROU assets and lease liabilities when a lease is modified and that modification is not accounted for as a separate contract or upon certain other events that require reassessment. Maintenance and property tax expenses are accounted for on an accrual basis as variable lease cost.
We recognize variable lease cost in the period when changes in facts and circumstances on which the variable lease payments are based occur.
Goodwill and Intangible Assets Not Subject to Amortization
Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed in connection with business combination transactions. Our indefinite-lived intangible assets consist of the Tim Hortons brand, the Burger King brand, the Popeyes brand and the Firehouse Subs brand (each a “Brand” and together, the “Brands”). Goodwill and the Brands are tested for impairment at least annually as of October 1 of each year and more often if an event occurs or circumstances change which indicate that impairment might exist. Our annual impairment tests of goodwill and the Brands may be completed through qualitative assessments. We may elect to bypass the qualitative assessment and proceed directly to a quantitative impairment test for any reporting unit or Brand in any period. We can resume the qualitative assessment for any reporting unit or Brand in any subsequent period.
Under a qualitative approach, our impairment review for goodwill consists of an assessment of whether it is more-likely-than-not that a reporting unit’s fair value is less than its carrying amount. If we elect to bypass the qualitative assessment for any reporting unit, or if a qualitative assessment indicates it is more-likely-than-not that the estimated carrying value of a reporting unit exceeds its fair value, we perform a quantitative goodwill impairment test that requires us to estimate the fair value of the reporting unit. If the fair value of the reporting unit is less than its carrying amount, we will measure any goodwill impairment loss as the amount by which the carrying amount of a reporting unit exceeds its fair value, not to exceed the total amount of goodwill allocated to that reporting unit.
Under a qualitative approach, our impairment review for the Brands consists of an assessment of whether it is more-likely-than-not that a Brand’s fair value is less than its carrying amount. If we elect to bypass the qualitative assessment for a Brand, or if a qualitative assessment indicates it is more-likely-than-not that the estimated carrying value of a Brand exceeds its fair value, we estimate the fair value of the Brand and compare it to its carrying amount. If the carrying amount exceeds fair value, an impairment loss is recognized in an amount equal to that excess.
We completed our impairment tests for goodwill and the Brands as of October 1, 2024, 2023 and 2022 and no impairment resulted.
Long-Lived Assets
Long-lived assets, such as property and equipment, intangible assets subject to amortization and lease right-of-use assets, are tested for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset or asset group may not be recoverable. Some of the events or changes in circumstances that would trigger an impairment review include, but are not
limited to, bankruptcy proceedings or other significant financial distress of a lessee; significant negative industry or economic trends; knowledge of transactions involving the sale of similar property at amounts below the carrying value; or our expectation to dispose of long-lived assets before the end of their estimated useful lives. The impairment test for long-lived assets requires us to assess the recoverability of long-lived assets by comparing their net carrying value to the sum of undiscounted estimated future cash flows directly associated with and arising from use and eventual disposition of the assets or asset group. Long-lived assets are grouped for recognition and measurement of impairment at the lowest level for which identifiable cash flows are largely independent of the cash flows of other assets. If the net carrying value of a group of long-lived assets exceeds the sum of related undiscounted estimated future cash flows, we record an impairment charge equal to the excess, if any, of the net carrying value over fair value.
Other Comprehensive Income (Loss)
Other comprehensive income (loss) (“OCI”) refers to revenues, expenses, gains and losses that are included in comprehensive income (loss), but are excluded from net income (loss) as these amounts are recorded directly as an adjustment to shareholders’ equity, net of tax. Our other comprehensive income (loss) is primarily comprised of unrealized gains and losses on foreign currency translation adjustments and unrealized gains and losses on hedging activity, net of tax.
Derivative Financial Instruments
We recognize and measure all derivative instruments as either assets or liabilities at fair value in the consolidated balance sheets. Derivative instruments accounted for as net investments hedges are classified as long term assets and liabilities in the consolidated balance sheets. We may enter into derivatives that are not designated as hedging instruments for accounting purposes, but which largely offset the economic impact of certain transactions.
Gains or losses resulting from changes in the fair value of derivatives are recognized in earnings or recorded in other comprehensive income (loss) and recognized in the consolidated statements of operations when the hedged item affects earnings, depending on the purpose of the derivatives and whether they qualify for, and we have applied, hedge accounting treatment.
When applying hedge accounting, we designate at a derivative’s inception, the specific assets, liabilities or future commitments being hedged, and assess the hedge’s effectiveness at inception and on an ongoing basis. We discontinue hedge accounting when: (i) we determine that the cash flow derivative is no longer effective in offsetting changes in the cash flows of a hedged item; (ii) the derivative expires or is sold, terminated or exercised; (iii) it is no longer probable that the forecasted transaction will occur; or (iv) management determines that designation of the derivatives as a hedge instrument is no longer appropriate. We do not enter into or hold derivatives for speculative purposes.
Disclosures about Fair Value
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the principal market, or if none exists, the most advantageous market, for the specific asset or liability at the measurement date (the exit price). The fair value is based on assumptions that market participants would use when pricing the asset or liability. The fair values are assigned a level within the fair value hierarchy, depending on the source of the inputs into the calculation, as follows:
Level 1 Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets.
Level 2 Inputs other than quoted prices included in Level 1 that are observable for the asset or liability either directly or indirectly.
Level 3 Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability.
The carrying amounts for cash and cash equivalents, accounts and notes receivable and accounts and drafts payable approximate fair value based on the short-term nature of these amounts.
We carry all of our derivatives at fair value and value them using various pricing models or discounted cash flow analysis that incorporate observable market parameters, such as interest rate yield curves and currency rates, which are Level 2 inputs. Derivative valuations incorporate credit risk adjustments that are necessary to reflect the probability of default by the counterparty or us. For disclosures about the fair value measurements of our derivative instruments, see Note 12, Derivative Instruments.
The following table presents the fair value of our variable rate term debt and senior notes, estimated using inputs based on bid and offer prices that are Level 2 inputs, and principal carrying amount (in millions):
As of December 31,
20242023
Fair value of our variable term debt and senior notes$13,090 $12,401 
Principal carrying amount of our variable term debt and senior notes$13,651 $12,900 
The determination of fair values of certain tangible and intangible assets for purposes of the application of the acquisition method of accounting to the acquisition of Carrols Restaurant Group, Inc. were based on Level 3 inputs. The determination of fair values of our reporting units and the determination of the fair value of the Brands for impairment testing using a quantitative approach during 2024, 2023 and 2022 were based upon Level 3 inputs.
Revenue Recognition
Supply chain sales
Supply chain sales represent sales of products, supplies and restaurant equipment to franchisees, as well as sales to retailers and direct to consumer and are presented net of any related sales tax. Revenue is recognized upon transfer of control over ordered items, generally upon delivery to the customer, which is when the customer has all risks and rewards of ownership and an obligation to pay for the goods is created. Shipping and handling costs associated with outbound freight for supply chain sales are accounted for as fulfillment costs and classified as cost of sales.
Company restaurant sales
Company restaurant sales consist of sales to restaurant guests. Revenue from Company restaurant sales is recognized at the point of sale. Taxes assessed by a governmental authority that we collect are excluded from revenue.
Franchise revenues
Franchise revenues consist primarily of royalties, initial and renewal franchise fees and upfront fees from development agreements and master franchise and development agreements (“MFDAs”). Under franchise agreements, we provide franchisees with (i) a franchise license, which includes a license to use our intellectual property, (ii) pre-opening services, such as training and inspections, and (iii) ongoing services, such as development of training materials and menu items and restaurant monitoring and inspections. These services are highly interrelated and dependent upon the franchise license and we concluded these services do not represent individually distinct performance obligations. Consequently, we bundle the franchise license performance obligation and promises to provide these services into a single performance obligation (the “Franchise PO”), which we satisfy by providing a right to use our intellectual property over the term of each franchise agreement.
Royalties are calculated as a percentage of franchised restaurant sales over the term of the franchise agreement. Initial and renewal franchise fees are payable by the franchisee upon a new restaurant opening or renewal of an existing franchise agreement. Our franchise agreement royalties represent sales-based royalties that are related entirely to the Franchise PO and are recognized as franchise sales occur. Initial and renewal franchise fees are recognized as revenue on a straight-line basis over the term of the respective agreement. Our performance obligation under development agreements other than MFDAs generally consists of an obligation to grant exclusive development rights over a stated term, which are not distinct from franchise agreements. Upfront fees paid by franchisees for exclusive development rights are apportioned to each franchised restaurant opened by the franchisee, with the pro rata amount apportioned to each restaurant accounted for as an initial franchise fee.
We have a distinct performance obligation under our MFDAs to grant subfranchising rights over a stated term. Under the terms of MFDAs, we typically either receive an upfront fee paid in cash and/or receive noncash consideration in the form of an equity interest in the master franchisee or an affiliate of the master franchisee. We account for noncash consideration as investments in the applicable equity method investee and recognize revenue in an amount equal to the fair value of the equity interest received. Upfront fees from master franchisees, including the fair value of noncash consideration, are deferred and amortized over the MFDA term on a straight-line basis. We may recognize unamortized upfront fees when a contract with a franchisee or master franchisee is modified and is accounted for as a termination of the existing contract.
The portion of gift cards sold to customers which are never redeemed is commonly referred to as gift card breakage. We recognize gift card breakage income proportionately as each gift card is redeemed using an estimated breakage rate based on our historical experience.
In certain instances, we provide incentives to franchisees in connection with restaurant renovations or other initiatives. These incentives may consist of cash consideration or non-cash consideration such as restaurant equipment. In general, these incentives are designed to support system-wide sales growth to increase our future revenues. The costs of these incentives are capitalized and amortized as a reduction in franchise and property revenue over the term of the contract to which the incentive relates.
Advertising revenues and other services
Advertising revenues consist primarily of franchisee contributions to advertising funds in those markets where our subsidiaries manage an advertising fund and are calculated as a percentage of franchised restaurant sales over the term of the franchise agreement. Under our franchise agreements, advertising contributions received from franchisees must be spent on advertising, product development, marketing, and related activities. We determined our advertising and promotion management services do not represent individually distinct performance obligations and are included in the Franchise PO.
Other services revenues consist primarily of tech fees and revenues, that vary by market, and partially offset expenses related to technology initiatives. These services are distinct from the Franchise PO because they are not dependent upon the franchise license or highly interrelated with the franchise license.
Supply Chain Cost of Sales
Cost of sales consists primarily of costs associated with the management of our Tim Hortons supply chain, including cost of goods, direct labor, depreciation, bad debt expense (recoveries) from supply chain sales and cost of products sold to retailers.
Company Restaurant Expenses
Company restaurant expenses include food, beverage and packaging costs, restaurant wages and related expenses and restaurant occupancy and other expenses.
Franchise and Property Expenses
Franchise and property expenses consist primarily of depreciation of properties leased to franchisees, rental expense associated with properties subleased to franchisees, amortization of franchise agreements and reacquired franchise rights, and bad debt expense (recoveries) from franchise and property revenues.
Advertising Expenses and Other Services
Advertising expenses and other services consist primarily of expenses relating to marketing, advertising, promotion, and technology initiatives for the respective brands, bad debt expense (recoveries) from franchisee contributions to advertising funds we manage, depreciation and amortization and other related support functions for the respective brands. Additionally, we may incur discretionary expenses to fund advertising programs in connection with periodic initiatives.
Company restaurants and franchised restaurants contribute to advertising funds that our subsidiaries manage in the United States and Canada and certain other international markets. The advertising funds expense the production costs of advertising when the advertisements are first aired or displayed. All other advertising and promotional costs are expensed in the period incurred. The advertising contributions by Company restaurants are eliminated in consolidation. Consolidated advertising expense totaled $1,268 million, $1,201 million and $1,032 million in 2024, 2023 and 2022, respectively.
Deferred Financing Costs
Deferred financing costs are amortized over the term of the related debt agreement into interest expense using the effective interest method.
Income Taxes
Amounts in the Financial Statements related to income taxes are calculated using the principles of Accounting Standards Codification Topic 740, Income Taxes. Under these principles, deferred tax assets and liabilities reflect the impact of temporary differences between the amounts of assets and liabilities recognized for financial reporting purposes and the amounts recognized for tax purposes, as well as tax credit carry-forwards and loss carry-forwards. These deferred taxes are measured by applying currently enacted tax rates. A deferred tax asset is recognized when it is considered more-likely-than-not to be realized. The effects of changes in tax rates on deferred tax assets and liabilities are recognized in income in the year in which the law is enacted. A valuation allowance reduces deferred tax assets when it is more-likely-than-not that some portion or all of the deferred tax assets will not be realized.
We recognize positions taken or expected to be taken in a tax return in the Financial Statements when it is more-likely-than-not (i.e., a likelihood of more than 50%) that the position would be sustained upon examination by tax authorities. A recognized tax position is then measured at the largest amount of benefit with greater than 50% likelihood of being realized upon ultimate settlement.
Translation gains and losses resulting from the remeasurement of foreign deferred tax assets or liabilities denominated in a currency other than the functional currency are classified as other operating expenses (income), net in the consolidated statements of operations.
Share-based Compensation
Compensation expense related to the issuance of share-based awards to our employees is measured at fair value on the grant date. The fair value of restricted stock units (“RSUs”) is generally based on the closing price of RBI's common shares on the trading day preceding the date of grant. Our total shareholder return and if applicable our total shareholder return relative to our peer group is incorporated into the underlying assumptions using a Monte Carlo simulation valuation model to calculate grant date fair value for performance based awards with a market condition. Stock option awards are granted with an exercise price or market value equal to the closing price of RBI common shares on the trading day preceding the date of grant. The Black-Scholes option pricing model is used to value stock options. The compensation expense for awards that vest over a future service period is recognized over the requisite service period on a straight-line basis, adjusted for estimated forfeitures of awards that are not expected to vest. We use historical data to estimate forfeitures for share-based awards. The compensation expense for awards that contain performance conditions is recognized when it is probable that the performance conditions will be achieved.
Supplier Finance Programs
Our Tim Hortons business includes individually negotiated contracts with suppliers, which include payment terms that range up to 120 days. A global financial institution offers a voluntary supply chain finance (“SCF”) program to certain Tim Hortons vendors, which provides suppliers that elect to participate with the ability to elect early payment, which is discounted based on the payment terms and a rate based on RBI's credit rating, which may be beneficial to the vendor. Participation in the SCF program is at the sole discretion of the suppliers and financial institution and we are not a party to the arrangements between the suppliers and the financial institution. Our obligations to suppliers are not affected by the suppliers’ decisions to participate in the SCF program and our payment terms remain the same based on the original supplier invoicing terms and conditions. No guarantees are provided by us or any of our subsidiaries in connection with the SCF Program.
Our confirmed outstanding obligations under the SCF program are classified as Accounts and drafts payable in our consolidated balance sheets. All activity related to the obligations is classified as Cost of sales in our consolidated statements of operations and presented within cash flows from operating activities in our consolidated statements of cash flows. The following table reflects the change of our confirmed outstanding obligations under the SCF program between December 31, 2023 and December 31, 2024 (in millions):
Confirmed obligations outstanding at December 31, 2023$36 
Invoices confirmed during the period159 
Confirmed invoices paid during the period(173)
Confirmed obligations outstanding at December 31, 2024$22 
Reclassifications
Certain prior year amounts in the accompanying consolidated financial statements and notes to the consolidated financial statements have been reclassified in order to be comparable with the current year classifications. These reclassifications did not arise as a result of any changes to accounting policies and relate entirely to presentation with no effect on previously reported net income.
New Accounting Pronouncements
Segment Reporting – In November 2023, the Financial Accounting Standards Board (“FASB”) issued guidance that expands segment disclosures for public entities, including requiring disclosure of significant segment expenses that are regularly provided to the chief operating decision maker (“CODM”), the title and position of the CODM and an explanation of how the CODM uses reported measures of segment profit or loss in assessing segment performance and allocating resources. The new guidance also expands disclosures about a reportable segment’s profit or loss and assets in interim periods and clarifies that a public entity may report additional measures of segment profit if the CODM uses more than one measure of a segment’s profit or loss. The new guidance does not remove existing segment disclosure requirements or change how a public entity identifies its operating segments, aggregates those operating segments, or determines its reportable segments. During the fourth quarter of 2024, we adopted this guidance and added necessary disclosures upon adoption as disclosed in Note 18, Segment Reporting and Geographical Information.
Improvements to Income Tax Disclosures – In December 2023, the FASB issued guidance that expands income tax disclosures for public entities, including requiring enhanced disclosures related to the rate reconciliation and income taxes paid information. The guidance is effective for annual disclosures for fiscal years beginning after December 15, 2024, with early adoption permitted. The guidance should be applied on a prospective basis, with retrospective application to all prior periods presented in the financial statements permitted. We are currently evaluating the impact this new guidance will have on our disclosures upon adoption and expect to provide additional detail and disclosures under this new guidance.
Disaggregation of Income Statement Expenses – In November 2024, the FASB issued guidance that requires disclosure of disaggregated information about certain income statement expense line items. The guidance is effective for annual disclosures for fiscal years beginning after December 15, 2026, and subsequent interim periods with early adoption permitted, and requires retrospective application to all prior periods presented in the financial statements. We are currently evaluating the impact this new guidance will have on our disclosures upon adoption and expect to provide additional detail and disclosures under this new guidance.
v3.25.0.1
Carrols Acquisition
12 Months Ended
Dec. 31, 2024
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Carrols Acquisition Carrols Acquisition
Prior to May 16, 2024, we owned a 15% equity interest in Carrols Restaurant Group, Inc. (“Carrols”), which was accounted for as an equity method investment. On May 16, 2024, we acquired the remaining 85% of Carrols issued and outstanding shares that were not already held by us or our affiliates for $9.55 per share in an all cash transaction (the “Carrols Acquisition”) in order to accelerate the reimaging of restaurants before refranchising the majority of the acquired portfolio to new or existing smaller franchise operations. The Carrols Acquisition was accounted for as a business combination by applying the acquisition method of accounting and Carrols became our wholly owned consolidated subsidiary.
The acquisition of the 85% equity interest of Carrols was accounted for as a step acquisition, which required remeasurement of our existing 15% ownership interest in Carrols to fair value. We utilized the $9.55 per share acquisition price to determine the fair value of the existing equity interest. This resulted in an increase in the value of our existing 15% equity interest and the recognition of a gain of $79 million (the “Step Acquisition Gain”), which is included in (Income) loss from equity method investments in our consolidated statements of operations for 2024.
Total cash paid in connection with the Carrols Acquisition was $543 million. Additionally, in connection with the Carrols Acquisition, we assumed approximately $431 million of outstanding debt, all of which was fully extinguished as of June 30, 2024. The cash purchase price and extinguishment of debt assumed in the Carrols Acquisition was funded with a combination of cash on hand and $750 million of incremental borrowings under our senior secured term loan facility.
The following table summarizes the purchase price consideration in connection with the Carrols Acquisition (in millions):
Total cash paid$543 
Effective settlement of pre-existing balance sheet accounts (a)15 
Fair value of existing 15% equity interest
90 
Total consideration$648 
(a)Effective settlement of pre-existing balances with Carrols related to franchise and lease agreements prior to the date of acquisition.
Fees and expenses related to the Carrols Acquisition and related financings totaled approximately $11 million during 2024, consisting of professional fees and compensation-related expenses which are classified as general and administrative expenses in the accompanying consolidated statements of operations (the “Carrols Acquisition Costs”).
During the fourth quarter of 2024, we adjusted our preliminary estimate of the fair value of net assets acquired. The preliminary allocation of consideration to the net tangible and intangible assets acquired is presented in the table below (in millions):
May 16, 2024
Total current assets$81 
Property and equipment294 
Reacquired franchise rights363 
Operating lease assets705 
Other assets24 
Accounts and drafts payable(13)
Other accrued liabilities(150)
Current portion of long-term debt and finance leases(434)
Finance leases, net of current portion(9)
Operating lease liabilities, net of current portion(684)
Other liabilities(10)
Total identifiable net assets167 
Goodwill481 
Total consideration$648 
The adjustments to the preliminary estimate of net assets acquired resulted in a $16 million increase to the preliminary estimated goodwill, primarily reflecting a $22 million decrease in the estimated fair value of reacquired franchise rights, partially offset by changes in estimated fair values of other net assets acquired.
The purchase price allocation reflects preliminary fair value estimates for property and equipment, deferred income taxes and goodwill, which are based on management's analysis, including preliminary work performed by third-party valuation specialists. During the measurement period, we will continue to obtain information to assist in determining and finalizing the fair value of these items.
Reacquired franchise rights, which represent the fair value of reacquired franchise agreements determined using the excess earnings method, are amortized over the remaining term of the reacquired franchise agreement and have an estimated weighted average remaining term of 12 years.
Goodwill is considered to represent the value associated with the workforce and synergies anticipated to be realized as a combined company. Goodwill will be allocated to reporting units when the purchase price allocation is finalized during the measurement period.
Total revenues of Carrols from the acquisition date of May 16, 2024 through December 31, 2024, which have been included within Company restaurant sales in our consolidated financial statements, totaled $1,171 million.
Supplemental Pro Forma Information
The following table presents unaudited supplemental pro forma consolidated revenue for 2024 and 2023 as if the Carrols Acquisition had occurred on January 1, 2023 (in millions):
20242023
Total revenues$9,022 $8,707 
The unaudited supplemental pro forma consolidated revenue gives effect to actual revenues prior to the Carrols Acquisition, adjusted to exclude the elimination of intercompany transactions. Other than the impact of the Step Acquisition Gain and Carrols Acquisition Costs (as discussed above), supplemental pro forma net earnings, assuming the Carrols Acquisition had occurred on January 1, 2023, would not be materially different from the results reported during 2024 and 2023.
The unaudited pro forma information has been prepared for comparative purposes only, in accordance with the acquisition method of accounting, and is not necessarily indicative of the results of operations that would have occurred if the Carrols Acquisition had been completed on the date indicated, nor is it indicative of our future operating results.
v3.25.0.1
Earnings per Share
12 Months Ended
Dec. 31, 2024
Earnings Per Share [Abstract]  
Earnings per Share Earnings per Share
An economic interest in Partnership common equity is held by the holders of Class B exchangeable limited partnership units (the “Partnership exchangeable units”), which is reflected as a noncontrolling interest in our equity. See Note 13, Shareholders’ Equity.
Basic and diluted earnings per share is computed using the weighted average number of shares outstanding for the period. We apply the treasury stock method to determine the dilutive weighted average common shares represented by outstanding equity awards, unless the effect of their inclusion is anti-dilutive. The diluted earnings per share calculation assumes conversion of 100% of the Partnership exchangeable units under the “if converted” method. Accordingly, the numerator is also adjusted to include the earnings allocated to the holders of noncontrolling interests.
The following table summarizes the basic and diluted earnings per share calculations (in millions, except per share amounts):
202420232022
Numerator:
Net income attributable to common shareholders - basic$1,021 $1,190 $1,008 
Add: Net income attributable to noncontrolling interests421 525 471 
Net income available to common shareholders and noncontrolling interests - diluted$1,442 $1,715 $1,479 
Denominator:
Weighted average common shares - basic319 312 307 
Exchange of noncontrolling interests for common shares (Note 13)131 139 144 
Effect of other dilutive securities
Weighted average common shares - diluted454 456 455 
Basic earnings per share (a)$3.21 $3.82 $3.28 
Diluted earnings per share (a)$3.18 $3.76 $3.25 
Anti-dilutive securities outstanding
(a)Diluted weighted average common shares and earnings per share may not recalculate exactly as it is calculated based on unrounded numbers.
v3.25.0.1
Property and Equipment, net
12 Months Ended
Dec. 31, 2024
Property, Plant and Equipment [Abstract]  
Property and Equipment, net Property and Equipment, net
Property and equipment, net, consist of the following (in millions):
 As of December 31,
 20242023
Land$952 $987 
Buildings and improvements1,334 1,193 
Restaurant equipment310 215 
Furniture, fixtures, and other280 347 
Finance leases331 335 
Construction in progress116 62 
3,323 3,139 
Accumulated depreciation and amortization(1,087)(1,187)
Property and equipment, net$2,236 $1,952 
Depreciation and amortization expense on property and equipment totaled $186 million for 2024, $137 million for 2023 and $135 million for 2022.
Included in our property and equipment, net at December 31, 2024 and 2023 are $211 million and $226 million, respectively, of assets leased under finance leases (mostly buildings and improvements), net of accumulated depreciation and amortization of $120 million and $109 million, respectively.
v3.25.0.1
Intangible Assets, net and Goodwill
12 Months Ended
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets, net and Goodwill Intangible Assets, net and Goodwill
Intangible assets, net and goodwill consist of the following (in millions):
As of December 31,
20242023
GrossAccumulated AmortizationNetGrossAccumulated AmortizationNet
Identifiable assets subject to amortization:
   Franchise agreements$707 $(369)$338 $727 $(348)$379 
Reacquired franchise rights374 (22)352 — — — 
   Favorable leases74 (53)21 81 (54)27 
      Subtotal1,155 (444)711 808 (402)406 
Indefinite-lived intangible assets:
   Tim Hortons brand
$5,972 $— $5,972 $6,423 $— $6,423 
   Burger King brand
2,068 — 2,068 2,107 — 2,107 
   Popeyes brand
1,355 — 1,355 1,355 — 1,355 
Firehouse Subs brand
816 — 816 816 — 816 
      Subtotal10,211 — 10,211 10,701 — 10,701 
Intangible assets, net$10,922 $11,107 
Goodwill
   TH segment$3,841 $4,118 
   BK segment240 232 
   PLK segment844 844 
   FHS segment193 193 
INTL segment377 388 
RH segment491 — 
      Total$5,986 $5,775 
Amortization expense on intangible assets totaled $58 million for 2024, $37 million for 2023, and $39 million for 2022. The changes in reacquired franchise rights and goodwill balances during 2024 was primarily due to the Carrols Acquisition. Refer to Note 3, Carrols Acquisition, for a description of goodwill and intangible assets recognized in connection with the Carrols Acquisition. Additionally, the changes in intangible assets and goodwill balances also reflect the impact of foreign currency translation during 2024.
As of December 31, 2024, the estimated future amortization expense on identifiable assets subject to amortization is as follows (in millions):
Twelve-months ended December 31,Amount
2025$69 
202668 
202767 
202866 
202965 
Thereafter376 
Total$711 
v3.25.0.1
Equity Method Investments
12 Months Ended
Dec. 31, 2024
Equity Method Investments and Joint Ventures [Abstract]  
Equity Method Investments Equity Method Investments
As discussed in Note 3, Carrols Acquisition, prior to May 16, 2024, we owned a 15% equity interest in Carrols, which was accounted for as an equity method investment. In connection with the Carrols Acquisition, we acquired the remaining 85% equity interest in Carrols, resulting in the Step Acquisition Gain. As a result of the Carrols Acquisition, Carrols became a wholly owned consolidated subsidiary beginning on May 16, 2024.
The aggregate carrying amount of our equity method investments was $113 million and $163 million as of December 31, 2024 and 2023, respectively, and is included as a component of Other assets, net in our consolidated balance sheets.
Except for the following equity method investments, no quoted market prices are available for our other equity method investments. The aggregate market value of our 9.4% equity interest in Zamp S.A. (formerly BK Brasil Operação e Assessoria a Restaurantes S.A.) based on the quoted market price on December 31, 2024 is approximately $9 million. The aggregate market value of our 4.2% equity interest in TH International Limited based on the quoted market price on December 31, 2024 was approximately $5 million. We evaluate declines in the market value of these equity method investments and as a result, during 2022, we recognized an impairment of $15 million due to a sustained decline in Carrols' share price and market capitalization.
We have equity interests in entities that own or franchise Tim Hortons, Burger King and Popeyes restaurants. Revenues recognized from franchisees that are owned or franchised by entities in which we have an equity interest, including Carrols through May 15, 2024, consist of the following (in millions):

202420232022
Revenues from affiliates:
Royalties$369 $402 $353 
Advertising revenues36 79 71 
Property revenues13 32 31 
Franchise fees and other revenue21 21 18 
Sales17 19 18 
Total$456 $553 $491 
At December 31, 2024 and 2023, we had $44 million and $61 million, respectively, of accounts receivable, net from our equity method investments which were recorded in accounts and notes receivable, net in our consolidated balance sheets.
With respect to our Tim Hortons business, the most significant equity method investment is our 50% joint venture interest with The Wendy’s Company (the “TIMWEN Partnership”), which jointly holds real estate underlying Canadian combination restaurants. Distributions received from this joint venture were $14 million during 2024 and $13 million during 2023 and 2022.
We recognized rent expense associated with the TIMWEN Partnership of $21 million during 2024 and 2023 and $19 million during 2022.
(Income) loss from equity method investments reflects our share of investee net income or loss as well as gains or losses from changes in our ownership interests in equity investees.
In June 2024, we acquired the Popeyes China (“PLK China”) business from Tims China (“the PLK China Acquisition”). In addition, Tims China issued us a $20 million three-year convertible note due June 28, 2027 and a $5 million three-year convertible note due August 15, 2027, which are included within other assets, net in the consolidated balance sheets as of December 31, 2024.
v3.25.0.1
Other Accrued Liabilities and Other Liabilities
12 Months Ended
Dec. 31, 2024
Other Liabilities Disclosure [Abstract]  
Other Accrued Liabilities and Other Liabilities Other Accrued Liabilities and Other Liabilities
Other accrued liabilities (current) and other liabilities, net (non-current) consist of the following (in millions):
 As of December 31,
 20242023
Current:
Dividend payable$262 $245 
Interest payable69 67 
Accrued compensation and benefits143 147 
Taxes payable228 129 
Deferred income71 77 
Accrued advertising expenses35 58 
Restructuring and other provisions16 18 
Current portion of operating lease liabilities193 147 
Other124 117 
Other accrued liabilities$1,141 $1,005 
Non-current:
Taxes payable$52 $57 
Contract liabilities (see Note 15)517 555 
Derivatives liabilities227 
Unfavorable leases30 42 
Accrued pension23 34 
Deferred income54 57 
Other29 24 
Other liabilities, net$706 $996 
v3.25.0.1
Long-Term Debt
12 Months Ended
Dec. 31, 2024
Debt Disclosure [Abstract]  
Long-Term Debt Long-Term Debt
Long-term debt consists of the following (in millions):
 As of December 31,
 20242023
Term Loan B$4,726 $5,175 
Term Loan A1,275 1,275 
3.875% First Lien Senior Notes due 2028
1,550 1,550 
3.50% First Lien Senior Notes due 2029
750 750 
5.75% First Lien Senior Notes due 2025
— 500 
6.125% First Lien Senior Notes due 2029
1,200 — 
5.625% First Lien Senior Notes due 2029
500 — 
4.375% Second Lien Senior Notes due 2028
750 750 
4.00% Second Lien Senior Notes due 2030
2,900 2,900 
TH Facility and other108 143 
Less: unamortized deferred financing costs and deferred issuance discount(117)(122)
Total debt, net13,642 12,921 
Less: current maturities of debt(187)(67)
Total long-term debt$13,455 $12,854 
Credit Facilities
On September 21, 2023, two of our subsidiaries (the “Borrowers”) entered into a seventh amendment (the “7th Amendment”) to the credit agreement governing our senior secured term loan A facility (the “Term Loan A”), our senior secured term loan B facility (the “Term Loan B” and together with the Term Loan A, the “Term Loan Facilities”) and our senior secured revolving credit facility (including revolving loans, swingline loans and letters of credit) (the “Revolving Credit Facility” and together with the Term Loan Facilities, the “Credit Facilities”). Under the 7th Amendment we (i) amended the existing Revolving Credit Facility to increase the availability from $1,000 million to $1,250 million and extended the maturity of the facility to September 21, 2028 without changing the leverage-based spread to adjusted SOFR (Secured Overnight Financing Rate); (ii) increased the Term Loan A to $1,275 million and extended the maturity of the Term Loan A to September 21, 2028 without changing the leverage-based spread to adjusted SOFR; (iii) increased the Term Loan B to $5,175 million, extended the maturity of the Term Loan B to September 21, 2030, and changed the interest rate applicable to borrowings under our Term Loan B to term SOFR, subject to a floor of 0.00%, plus an applicable margin of 2.25%; and (iv) made certain other changes as set forth therein, including removing the 0.10% adjustment to the term SOFR rate across the facilities and changes to certain covenants to provide increased flexibility. On December 28, 2023, we entered into an eighth amendment (the “8th Amendment” and together with the 7th Amendment, the “2023 Amendments”) to the credit agreement whereby Partnership and its subsidiaries became guarantors, subject to the covenants applicable to the Credit Facilities. The 2023 Amendments made no other material changes to the terms of the credit agreement.
On May 16, 2024, the Borrowers entered into a sixth incremental facility amendment and a ninth amendment (the “First 2024 Amendment”) to the credit agreement governing our Credit Facilities. The First 2024 Amendment increased the existing Term Loan B by $750 million to $5,912 million on the same terms as the existing Term Loan B. The First 2024 Amendment also amended the interest rate applicable to the Canadian dollar loans under the credit agreement to be based on Term Canadian Overnight Repo Rate Average (“CORRA”). The security and guarantees under the amended Credit Agreement are the same as those under the existing facilities. The First 2024 Amendment made no other material changes to the terms of the Credit Agreement. The proceeds from the increase in the Term Loan B were used, along with cash on hand, to complete the Carrols Acquisition, the repayment of amounts outstanding under the Carrols' credit agreement and the redemption and discharge of Carrols' outstanding senior notes.
On June 17, 2024, the Borrowers entered into a tenth amendment to the credit agreement governing our Credit Facilities (the “Second 2024 Amendment”). The Second 2024 Amendment repriced our Term Loan B from an interest rate equal to the Adjusted Term SOFR plus 2.25% to an interest rate equal to the Adjusted Term SOFR Rate plus 1.75% and reduced the outstanding principal amount of the Term Loan B facility from $5,912 million to $4,750 million using a portion of the net proceeds from the issuance of the 6.125% First Lien Senior Notes due 2029 (defined below). There were no changes to the maturity of the Term Loan B following this repricing and all other terms are substantially unchanged.
As of December 31, 2024, the interest rate applicable to the Term Loan A and Revolving Credit Facility is, at our option, either (a) a base rate, subject to a floor of 1.00%, plus an applicable margin varying from 0.00% to 0.50%, or (b) term SOFR, subject to a floor of 0.00%, plus an applicable margin varying between 0.75% and 1.50%, in each case, determined by reference to a net first lien leverage-based pricing grid. The commitment fee on the unused portion of the Revolving Credit Facility is 0.15%. As of December 31, 2024, the interest rate on the Term Loan A was 5.61%. The principal amount of the Term Loan A amortizes in quarterly installments equal to $8 million beginning March 31, 2025 and $16 million beginning March 31, 2027 until maturity, with the balance payable at maturity.
As of December 31, 2024, the interest rate applicable to the Term Loan B is, at our option, either (a) a base rate, subject to a floor of 1.00%, plus an applicable margin of 0.75%, or (b) term SOFR, subject to a floor of 0.00%, plus an applicable margin of 1.75%. As of December 31, 2024, the interest rate on the Term Loan B was 6.11%. The principal amount of the Term Loan B amortizes in quarterly installments equal to $12 million until maturity, with the balance payable at maturity.
Revolving Credit Facility
As of December 31, 2024, we had no amounts outstanding under our Revolving Credit Facility. Funds available under the Revolving Credit Facility may be used to repay other debt, finance debt or share repurchases, to fund acquisitions or capital expenditures and for other general corporate purposes. We have a $125 million letter of credit sublimit as part of the Revolving Credit Facility, which reduces our borrowing availability thereunder by the cumulative amount of outstanding letters of credit. The interest rate applicable to amounts drawn under each letter of credit is 0.75% to 1.50%, depending on our net first lien leverage ratio. As of December 31, 2024, we had $2 million of letters of credit issued against the Revolving Credit Facility, and our borrowing availability was $1,248 million.
Obligations under the Credit Facilities are guaranteed on a senior secured basis, jointly and severally, by the Partnership and substantially all of its Canadian and U.S. subsidiaries, including The TDL Group Corp., Burger King Company LLC, Popeyes Louisiana Kitchen, Inc., FRG, LLC and substantially all of their respective Canadian and U.S. subsidiaries (the “Guarantors”). Amounts borrowed under the Credit Facilities are secured on a first priority basis by a perfected security interest in substantially all of the present and future property (subject to certain exceptions) of each Borrower and the Guarantors.
Senior Notes
3.875% First Lien Senior Notes due 2028
On September 24, 2019, the Borrowers entered into an indenture (the “3.875% First Lien Senior Notes Indenture”) in connection with the issuance of $750 million of 3.875% first lien senior notes due January 15, 2028 (the “2019 3.875% Senior Notes”). On July 6, 2021, the Borrowers issued an additional $800 million under the 3.875% First Lien Senior Notes Indenture (the “Additional Notes” and together with the 2019 3.875% Senior Notes, the “3.875% First Lien Senior Notes due 2028”). No principal payments are due until maturity and interest is paid semi-annually. The Additional Notes were priced at 100.250% of their face value. The net proceeds from the offering of the Additional Notes were used to redeem the remaining $775 million principal amount outstanding of 4.25% first lien senior notes, plus any accrued and unpaid interest thereon, and pay related redemption premiums, fees and expenses.
3.50% First Lien Senior Notes due 2029
On November 9, 2020, the Borrowers entered into an indenture (the “3.50% First Lien Senior Notes Indenture”) in connection with the issuance of $750 million of 3.50% first lien notes due February 15, 2029 (the “3.50% First Lien Senior Notes due 2029”). No principal payments are due until maturity and interest is paid semi-annually. The proceeds from the offering of the 3.50% First Lien Senior Notes due 2029, together with cash on hand, were used to redeem $725 million of 4.25% first lien senior notes and pay related redemption premiums, fees and expenses.
6.125% First Lien Senior Notes due 2029
On June 17, 2024, the Borrowers entered into an indenture (the “6.125% First Lien Senior Notes Indenture”) in connection with the issuance of $1,200 million of 6.125% first lien senior notes due June 15, 2029 (the “6.125% First Lien Senior Notes due 2029”). No principal payments are due until maturity and interest is paid semi-annually. The net proceeds from the offering of the 6.125% First Lien Senior Notes due 2029 were used to refinance a portion of the Term Loan B, pay related fees and expenses and for general corporate purposes.
5.625% First Lien Senior Notes due 2029
On September 13, 2024, the Borrowers entered into an indenture (the “5.625% First Lien Senior Notes Indenture”) in connection with the issuance of $500 million of 5.625% first lien senior notes due September 15, 2029 (the “5.625% First Lien Senior Notes due 2029”). No principal payments are due until maturity and interest is paid semi-annually. The net proceeds from the offering of the 5.625% First Lien Senior Notes due 2029, together with cash on hand, were used to redeem in full our outstanding 5.750% first lien senior notes due 2025 and pay related fees and expenses.
5.75% First Lien Senior Notes due 2025
On April 7, 2020, the Borrowers entered into an indenture (the “5.75% First Lien Senior Notes Indenture”) in connection with the issuance of $500 million of 5.75% first lien notes due April 15, 2025 (the “5.75% First Lien Senior Notes due 2025”). During 2024, we redeemed the entire outstanding principal balance of $500 million of the 5.75% First Lien Senior Notes due 2025 using proceeds from the offering of the 5.625% First Lien Senior Notes due 2029.
4.375% Second Lien Senior Notes due 2028
On November 19, 2019, the Borrowers entered into an indenture (the “4.375% Second Lien Senior Notes Indenture”) in connection with the issuance of $750 million of 4.375% second lien senior notes due January 15, 2028 (the “4.375% Second Lien Senior Notes due 2028”). No principal payments are due until maturity and interest is paid semi-annually.
4.00% Second Lien Senior Notes due 2030
During 2020, the Borrowers entered into an indenture (the “4.00% Second Lien Senior Notes Indenture”) in connection with the issuance of $2,900 million of 4.00% second lien notes due October 15, 2030 (the “4.00% Second Lien Senior Notes due 2030”). No principal payments are due until maturity and interest is paid semi-annually. The proceeds from the offering of the 4.00% Second Lien Senior Notes due 2030 were used to redeem the entire outstanding principal balance of $2,800 million of 5.00% second lien senior notes due October 15, 2025 (the “5.00% Second Lien Senior Notes due 2025”), pay related redemption premiums, fees and expenses.
Obligations under the 3.875% First Lien Senior Notes due 2028, the 3.50% First Lien Senior Notes due 2029, the 6.125% First Lien Senior Notes due 2029 and the 5.625% First Lien Senior Notes due 2029 (collectively, the “First Lien Senior Note”) are guaranteed on a senior secured basis, jointly and severally, by the Guarantors. The First Lien Senior Notes are first lien senior secured obligations and rank equal in right of payment with all of the existing and future first lien senior debt of the Borrowers and Guarantors, including borrowings and guarantees under our Credit Facilities.
Obligations under the 4.375% Second Lien Senior Notes due 2028 and the 4.00% Second Lien Senior Notes due 2030 (together, the “Second Lien Senior Notes” and together with the First Lien Senior Notes, the “Senior Notes”) are guaranteed on a second priority senior secured basis, jointly and severally, by the Guarantors. The Second Lien Senior Notes are second lien senior secured obligations and rank equal in right of payment with all of the existing and future senior debt of the Borrowers and Guarantors, including borrowings and guarantees of the Credit Facilities, and effectively subordinated to all of the existing and future first lien senior debt of the Borrowers and Guarantors.
The Borrowers may redeem a series of Senior Notes, in whole or in part, at any time at the redemption prices set forth in the applicable Senior Notes Indenture; provided that if the redemption is prior to October 15, 2025 for the 4.00% Second Lien Senior Notes due 2030, June 15, 2026 for the 6.125% First Lien Senior Notes due 2029, and September 15, 2026 for the 5.625% First Lien Senior Notes due 2029, it will instead be at a price equal to 100% of the principal amount redeemed plus a “make-whole” premium, plus accrued and unpaid interest, if any, to, but excluding, the redemption date. The Senior Notes Indentures (as defined below) also contain redemption provisions related to tender offers, change of control and equity offerings, among others.
Restrictions and Covenants
Our Credit Facilities, as well as the 3.875% First Lien Senior Notes Indenture, 3.50% First Lien Senior Notes Indenture, 6.125% First Lien Senior Notes, 5.625% First Lien Senior Notes, 4.375% Second Lien Senior Notes Indenture and 4.00% Second Lien Senior Notes Indenture (all together the “Senior Notes Indentures”) contain a number of customary affirmative and negative covenants that, among other things, limit or restrict our ability and the ability of certain of our subsidiaries to: incur additional indebtedness; incur liens; engage in mergers, consolidations, liquidations and dissolutions; sell assets; pay dividends and make other payments in respect of capital stock; make investments, loans and advances; pay or modify the terms of certain indebtedness; and engage in certain transactions with affiliates. In addition, under the Credit Facilities, the Borrowers are not permitted to exceed a first lien senior secured leverage ratio of 6.50 to 1.00 when, as of the end of any fiscal quarter beginning with the first fiscal quarter of 2020, (1) any amounts are outstanding under the Term Loan A and/or (2) the sum of (i) the amount of letters of credit outstanding exceeding $50 million (other than those that are cash collateralized); (ii) outstanding amounts under the Revolving Credit Facility and (iii) outstanding amounts of swing line loans, exceeds 30.0% of the commitments under the Revolving Credit Facility.
The restrictions under the Credit Facilities and the Senior Notes Indentures have resulted in substantially all of our consolidated assets being restricted.
As of December 31, 2024, we were in compliance with applicable financial debt covenants under the Credit Facilities and the Senior Notes Indentures and there were no limitations on our ability to draw on the remaining availability under our Revolving Credit Facility.
TH Facility
One of our subsidiaries entered into a non-revolving delayed drawdown term credit facility in a total aggregate principal amount of C$225 million with a maturity date of October 4, 2025 (the “TH Facility”). Prior to June 30, 2024, the interest rate applicable to the TH Facility was the Canadian Bankers’ Acceptance rate plus an applicable margin equal to 1.40% or the Prime Rate plus an applicable margin equal to 0.40%, at our option. Beginning July 1, 2024, the interest rate applicable to the TH Facility is the Adjusted Term CORRA rate plus an applicable margin equal to 1.40% or the Prime Rate plus an applicable margin equal to 0.40%, at our option. Obligations under the TH Facility are guaranteed by three of our subsidiaries, and amounts borrowed under the TH Facility are secured by certain parcels of real estate. As of December 31, 2024, we had approximately C$154 million outstanding under the TH Facility with a weighted average interest rate of 5.37%.
Debt Issuance Costs
During 2024, we incurred aggregate deferred financing costs of $41 million in connection with the First 2024 Amendment, the Second 2024 Amendment, the issuance of the 6.125% First Lien Senior Notes due 2029 and the issuance of the 5.625% First Lien Senior Notes due 2029. During 2023, we incurred aggregate deferred financing costs of $44 million in connection with the 7th Amendment. We did not incur any significant deferred financing costs during 2022.
Loss on Early Extinguishment of Debt
During 2024, we recorded a $33 million loss on early extinguishment of debt that primarily reflects expensing of fees and the write-off of unamortized debt issuance costs in connection with various amendments to our credit agreement and the full redemption of our outstanding 5.750% first lien senior notes due 2025. During 2023, we recorded a $16 million loss on early extinguishment of debt that primarily reflects expensing of fees in connection with the 7th Amendment and the write-off of unamortized debt issuance costs.
Maturities
The aggregate maturities of our long-term debt as of December 31, 2024 are as follows (in millions):
Year Ended December 31,Principal Amount
2025$187 
202679 
2027111 
20283,495 
20292,498 
Thereafter7,389 
Total$13,759 
Interest Expense, net
Interest expense, net consists of the following (in millions):
202420232022
Debt (a)$572 $576 $493 
Finance lease obligations19 19 19 
Amortization of deferred financing costs and debt issuance discount25 27 28 
Interest income(39)(40)(7)
Interest expense, net$577 $582 $533 
(a)Amount includes $135 million and $83 million benefit during 2024 and 2023, respectively, and $54 million of expense during 2022 related to our interest rate swaps. Amount includes $53 million, $61 million and $56 million benefit during 2024, 2023 and 2022, respectively, related to the quarterly net settlements of our cross-currency rate swaps and amortization of the Excluded Component as defined in Note 12, Derivative Instruments.
v3.25.0.1
Leases
12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Leases Leases
As of December 31, 2024, we leased or subleased approximately 4,600 restaurant properties to franchisees under operating leases, direct financing leases and sales-type leases where we are the lessor. Initial lease terms generally range from 10 to 20 years. Most leases to franchisees provide for fixed monthly payments and many provide for future rent escalations and renewal options. Certain leases also include provisions for variable rent, determined as a percentage of sales, generally when annual sales exceed specific levels. Lessees typically bear the cost of maintenance, insurance and property taxes.
We lease land, buildings, equipment, office space and warehouse space from third parties. Land and building leases generally have an initial term of 10 to 20 years, while land-only lease terms can extend longer, and most leases provide for fixed monthly payments. Many of these leases provide for future rent escalations and renewal options. Certain leases also include provisions for variable rent payments, determined as a percentage of sales, generally when annual sales exceed specified levels. Most leases also obligate us to pay, as lessee, variable lease cost related to maintenance, insurance and property taxes.
Company as Lessor
Assets leased to franchisees and others under operating leases where we are the lessor and which are included within our property and equipment, net are as follows (in millions):
 As of December 31,
 20242023
Land$779 $856 
Buildings and improvements962 1,102 
Restaurant equipment20 27 
1,761 1,985 
Accumulated depreciation and amortization(582)(656)
Property and equipment leased, net$1,179 $1,329 
Our net investment in direct financing and sales-type leases is as follows (in millions):
 As of December 31,
 20242023
Future rents to be received:
Future minimum lease receipts$105 $111 
Contingent rents (a)
Estimated unguaranteed residual value
Unearned income(25)(26)
88 95 
Current portion included within accounts receivable(5)(5)
Net investment in property leased to franchisees (b)$83 $90 
(a)Amounts represent estimated contingent rents recorded in connection with the acquisition method of accounting.
(b)Included as a component of Other assets, net in our consolidated balance sheets.

Property revenues are comprised primarily of rental income from operating leases and earned income on direct financing leases with franchisees as follows (in millions):
202420232022
Rental income:
Minimum lease payments$367 $385 $410 
Variable lease payments465 452 395 
Amortization of favorable and unfavorable income lease contracts, net
Subtotal - lease income from operating leases833 839 806 
Earned income on direct financing and sales-type leases12 
Total property revenues$837 $851 $813 
Company as Lessee
Lease cost and other information associated with these lease commitments are as follows (in millions):
Lease Cost (Income)
202420232022
Operating lease cost$277 $201 $202 
Operating lease variable lease cost206 201 196 
Finance lease cost:
Amortization of right-of-use assets31 26 27 
Interest on lease liabilities19 19 19 
Sublease income(624)(631)(603)
Total lease income$(91)$(184)$(159)
Lease Term and Discount Rate as of December 31, 2024 and 2023
As of December 31,
20242023
Weighted-average remaining lease term (in years):
Operating leases10.6 years9.5 years
Finance leases10.8 years11.2 years
Weighted-average discount rate:
Operating leases5.8 %5.5 %
Finance leases5.8 %5.8 %

Other Information for 2024, 2023 and 2022
202420232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$267 $202 $198 
Operating cash flows from finance leases$19 $19 $19 
Financing cash flows from finance leases$36 $33 $31 
Supplemental noncash information on lease liabilities arising from obtaining right-of-use assets:
Right-of-use assets obtained in exchange for new finance lease obligations$20 $32 $22 
Right-of-use assets obtained in exchange for new operating lease obligations$253 $168 $133 
As of December 31, 2024, future minimum lease receipts and commitments are as follows (in millions):
 Lease ReceiptsLease Commitments (a)
 Direct
Financing
and Sales-Type Leases
Operating
Leases
Finance
Leases
Operating
Leases
2025$$324 $52 $299 
2026297 49 286 
2027272 43 271 
2028242 42 254 
2029212 34 233 
Thereafter71 946 211 1,332 
Total minimum receipts / payments$105 $2,293 431 2,675 
Less amount representing interest(110)(712)
Present value of minimum lease payments321 1,963 
Current portion of lease obligations (b)(35)(193)
Long-term portion of lease obligations$286 $1,770 
(a)Minimum lease payments have not been reduced by minimum sublease rentals of $1,380 million due in the future under non-cancelable subleases.
(b)Current portion of operating lease obligations included as a component of Other accrued liabilities in our consolidated balance sheets.
As of December 31, 2024, we have executed real estate leases that have not yet commenced with estimated future nominal lease payments of approximately $26 million, which are not included in the tables above. These leases are expected to commence in 2025 with lease terms of generally 10 to 20 years.
Leases Leases
As of December 31, 2024, we leased or subleased approximately 4,600 restaurant properties to franchisees under operating leases, direct financing leases and sales-type leases where we are the lessor. Initial lease terms generally range from 10 to 20 years. Most leases to franchisees provide for fixed monthly payments and many provide for future rent escalations and renewal options. Certain leases also include provisions for variable rent, determined as a percentage of sales, generally when annual sales exceed specific levels. Lessees typically bear the cost of maintenance, insurance and property taxes.
We lease land, buildings, equipment, office space and warehouse space from third parties. Land and building leases generally have an initial term of 10 to 20 years, while land-only lease terms can extend longer, and most leases provide for fixed monthly payments. Many of these leases provide for future rent escalations and renewal options. Certain leases also include provisions for variable rent payments, determined as a percentage of sales, generally when annual sales exceed specified levels. Most leases also obligate us to pay, as lessee, variable lease cost related to maintenance, insurance and property taxes.
Company as Lessor
Assets leased to franchisees and others under operating leases where we are the lessor and which are included within our property and equipment, net are as follows (in millions):
 As of December 31,
 20242023
Land$779 $856 
Buildings and improvements962 1,102 
Restaurant equipment20 27 
1,761 1,985 
Accumulated depreciation and amortization(582)(656)
Property and equipment leased, net$1,179 $1,329 
Our net investment in direct financing and sales-type leases is as follows (in millions):
 As of December 31,
 20242023
Future rents to be received:
Future minimum lease receipts$105 $111 
Contingent rents (a)
Estimated unguaranteed residual value
Unearned income(25)(26)
88 95 
Current portion included within accounts receivable(5)(5)
Net investment in property leased to franchisees (b)$83 $90 
(a)Amounts represent estimated contingent rents recorded in connection with the acquisition method of accounting.
(b)Included as a component of Other assets, net in our consolidated balance sheets.

Property revenues are comprised primarily of rental income from operating leases and earned income on direct financing leases with franchisees as follows (in millions):
202420232022
Rental income:
Minimum lease payments$367 $385 $410 
Variable lease payments465 452 395 
Amortization of favorable and unfavorable income lease contracts, net
Subtotal - lease income from operating leases833 839 806 
Earned income on direct financing and sales-type leases12 
Total property revenues$837 $851 $813 
Company as Lessee
Lease cost and other information associated with these lease commitments are as follows (in millions):
Lease Cost (Income)
202420232022
Operating lease cost$277 $201 $202 
Operating lease variable lease cost206 201 196 
Finance lease cost:
Amortization of right-of-use assets31 26 27 
Interest on lease liabilities19 19 19 
Sublease income(624)(631)(603)
Total lease income$(91)$(184)$(159)
Lease Term and Discount Rate as of December 31, 2024 and 2023
As of December 31,
20242023
Weighted-average remaining lease term (in years):
Operating leases10.6 years9.5 years
Finance leases10.8 years11.2 years
Weighted-average discount rate:
Operating leases5.8 %5.5 %
Finance leases5.8 %5.8 %

Other Information for 2024, 2023 and 2022
202420232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$267 $202 $198 
Operating cash flows from finance leases$19 $19 $19 
Financing cash flows from finance leases$36 $33 $31 
Supplemental noncash information on lease liabilities arising from obtaining right-of-use assets:
Right-of-use assets obtained in exchange for new finance lease obligations$20 $32 $22 
Right-of-use assets obtained in exchange for new operating lease obligations$253 $168 $133 
As of December 31, 2024, future minimum lease receipts and commitments are as follows (in millions):
 Lease ReceiptsLease Commitments (a)
 Direct
Financing
and Sales-Type Leases
Operating
Leases
Finance
Leases
Operating
Leases
2025$$324 $52 $299 
2026297 49 286 
2027272 43 271 
2028242 42 254 
2029212 34 233 
Thereafter71 946 211 1,332 
Total minimum receipts / payments$105 $2,293 431 2,675 
Less amount representing interest(110)(712)
Present value of minimum lease payments321 1,963 
Current portion of lease obligations (b)(35)(193)
Long-term portion of lease obligations$286 $1,770 
(a)Minimum lease payments have not been reduced by minimum sublease rentals of $1,380 million due in the future under non-cancelable subleases.
(b)Current portion of operating lease obligations included as a component of Other accrued liabilities in our consolidated balance sheets.
As of December 31, 2024, we have executed real estate leases that have not yet commenced with estimated future nominal lease payments of approximately $26 million, which are not included in the tables above. These leases are expected to commence in 2025 with lease terms of generally 10 to 20 years.
Leases Leases
As of December 31, 2024, we leased or subleased approximately 4,600 restaurant properties to franchisees under operating leases, direct financing leases and sales-type leases where we are the lessor. Initial lease terms generally range from 10 to 20 years. Most leases to franchisees provide for fixed monthly payments and many provide for future rent escalations and renewal options. Certain leases also include provisions for variable rent, determined as a percentage of sales, generally when annual sales exceed specific levels. Lessees typically bear the cost of maintenance, insurance and property taxes.
We lease land, buildings, equipment, office space and warehouse space from third parties. Land and building leases generally have an initial term of 10 to 20 years, while land-only lease terms can extend longer, and most leases provide for fixed monthly payments. Many of these leases provide for future rent escalations and renewal options. Certain leases also include provisions for variable rent payments, determined as a percentage of sales, generally when annual sales exceed specified levels. Most leases also obligate us to pay, as lessee, variable lease cost related to maintenance, insurance and property taxes.
Company as Lessor
Assets leased to franchisees and others under operating leases where we are the lessor and which are included within our property and equipment, net are as follows (in millions):
 As of December 31,
 20242023
Land$779 $856 
Buildings and improvements962 1,102 
Restaurant equipment20 27 
1,761 1,985 
Accumulated depreciation and amortization(582)(656)
Property and equipment leased, net$1,179 $1,329 
Our net investment in direct financing and sales-type leases is as follows (in millions):
 As of December 31,
 20242023
Future rents to be received:
Future minimum lease receipts$105 $111 
Contingent rents (a)
Estimated unguaranteed residual value
Unearned income(25)(26)
88 95 
Current portion included within accounts receivable(5)(5)
Net investment in property leased to franchisees (b)$83 $90 
(a)Amounts represent estimated contingent rents recorded in connection with the acquisition method of accounting.
(b)Included as a component of Other assets, net in our consolidated balance sheets.

Property revenues are comprised primarily of rental income from operating leases and earned income on direct financing leases with franchisees as follows (in millions):
202420232022
Rental income:
Minimum lease payments$367 $385 $410 
Variable lease payments465 452 395 
Amortization of favorable and unfavorable income lease contracts, net
Subtotal - lease income from operating leases833 839 806 
Earned income on direct financing and sales-type leases12 
Total property revenues$837 $851 $813 
Company as Lessee
Lease cost and other information associated with these lease commitments are as follows (in millions):
Lease Cost (Income)
202420232022
Operating lease cost$277 $201 $202 
Operating lease variable lease cost206 201 196 
Finance lease cost:
Amortization of right-of-use assets31 26 27 
Interest on lease liabilities19 19 19 
Sublease income(624)(631)(603)
Total lease income$(91)$(184)$(159)
Lease Term and Discount Rate as of December 31, 2024 and 2023
As of December 31,
20242023
Weighted-average remaining lease term (in years):
Operating leases10.6 years9.5 years
Finance leases10.8 years11.2 years
Weighted-average discount rate:
Operating leases5.8 %5.5 %
Finance leases5.8 %5.8 %

Other Information for 2024, 2023 and 2022
202420232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$267 $202 $198 
Operating cash flows from finance leases$19 $19 $19 
Financing cash flows from finance leases$36 $33 $31 
Supplemental noncash information on lease liabilities arising from obtaining right-of-use assets:
Right-of-use assets obtained in exchange for new finance lease obligations$20 $32 $22 
Right-of-use assets obtained in exchange for new operating lease obligations$253 $168 $133 
As of December 31, 2024, future minimum lease receipts and commitments are as follows (in millions):
 Lease ReceiptsLease Commitments (a)
 Direct
Financing
and Sales-Type Leases
Operating
Leases
Finance
Leases
Operating
Leases
2025$$324 $52 $299 
2026297 49 286 
2027272 43 271 
2028242 42 254 
2029212 34 233 
Thereafter71 946 211 1,332 
Total minimum receipts / payments$105 $2,293 431 2,675 
Less amount representing interest(110)(712)
Present value of minimum lease payments321 1,963 
Current portion of lease obligations (b)(35)(193)
Long-term portion of lease obligations$286 $1,770 
(a)Minimum lease payments have not been reduced by minimum sublease rentals of $1,380 million due in the future under non-cancelable subleases.
(b)Current portion of operating lease obligations included as a component of Other accrued liabilities in our consolidated balance sheets.
As of December 31, 2024, we have executed real estate leases that have not yet commenced with estimated future nominal lease payments of approximately $26 million, which are not included in the tables above. These leases are expected to commence in 2025 with lease terms of generally 10 to 20 years.
Leases Leases
As of December 31, 2024, we leased or subleased approximately 4,600 restaurant properties to franchisees under operating leases, direct financing leases and sales-type leases where we are the lessor. Initial lease terms generally range from 10 to 20 years. Most leases to franchisees provide for fixed monthly payments and many provide for future rent escalations and renewal options. Certain leases also include provisions for variable rent, determined as a percentage of sales, generally when annual sales exceed specific levels. Lessees typically bear the cost of maintenance, insurance and property taxes.
We lease land, buildings, equipment, office space and warehouse space from third parties. Land and building leases generally have an initial term of 10 to 20 years, while land-only lease terms can extend longer, and most leases provide for fixed monthly payments. Many of these leases provide for future rent escalations and renewal options. Certain leases also include provisions for variable rent payments, determined as a percentage of sales, generally when annual sales exceed specified levels. Most leases also obligate us to pay, as lessee, variable lease cost related to maintenance, insurance and property taxes.
Company as Lessor
Assets leased to franchisees and others under operating leases where we are the lessor and which are included within our property and equipment, net are as follows (in millions):
 As of December 31,
 20242023
Land$779 $856 
Buildings and improvements962 1,102 
Restaurant equipment20 27 
1,761 1,985 
Accumulated depreciation and amortization(582)(656)
Property and equipment leased, net$1,179 $1,329 
Our net investment in direct financing and sales-type leases is as follows (in millions):
 As of December 31,
 20242023
Future rents to be received:
Future minimum lease receipts$105 $111 
Contingent rents (a)
Estimated unguaranteed residual value
Unearned income(25)(26)
88 95 
Current portion included within accounts receivable(5)(5)
Net investment in property leased to franchisees (b)$83 $90 
(a)Amounts represent estimated contingent rents recorded in connection with the acquisition method of accounting.
(b)Included as a component of Other assets, net in our consolidated balance sheets.

Property revenues are comprised primarily of rental income from operating leases and earned income on direct financing leases with franchisees as follows (in millions):
202420232022
Rental income:
Minimum lease payments$367 $385 $410 
Variable lease payments465 452 395 
Amortization of favorable and unfavorable income lease contracts, net
Subtotal - lease income from operating leases833 839 806 
Earned income on direct financing and sales-type leases12 
Total property revenues$837 $851 $813 
Company as Lessee
Lease cost and other information associated with these lease commitments are as follows (in millions):
Lease Cost (Income)
202420232022
Operating lease cost$277 $201 $202 
Operating lease variable lease cost206 201 196 
Finance lease cost:
Amortization of right-of-use assets31 26 27 
Interest on lease liabilities19 19 19 
Sublease income(624)(631)(603)
Total lease income$(91)$(184)$(159)
Lease Term and Discount Rate as of December 31, 2024 and 2023
As of December 31,
20242023
Weighted-average remaining lease term (in years):
Operating leases10.6 years9.5 years
Finance leases10.8 years11.2 years
Weighted-average discount rate:
Operating leases5.8 %5.5 %
Finance leases5.8 %5.8 %

Other Information for 2024, 2023 and 2022
202420232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$267 $202 $198 
Operating cash flows from finance leases$19 $19 $19 
Financing cash flows from finance leases$36 $33 $31 
Supplemental noncash information on lease liabilities arising from obtaining right-of-use assets:
Right-of-use assets obtained in exchange for new finance lease obligations$20 $32 $22 
Right-of-use assets obtained in exchange for new operating lease obligations$253 $168 $133 
As of December 31, 2024, future minimum lease receipts and commitments are as follows (in millions):
 Lease ReceiptsLease Commitments (a)
 Direct
Financing
and Sales-Type Leases
Operating
Leases
Finance
Leases
Operating
Leases
2025$$324 $52 $299 
2026297 49 286 
2027272 43 271 
2028242 42 254 
2029212 34 233 
Thereafter71 946 211 1,332 
Total minimum receipts / payments$105 $2,293 431 2,675 
Less amount representing interest(110)(712)
Present value of minimum lease payments321 1,963 
Current portion of lease obligations (b)(35)(193)
Long-term portion of lease obligations$286 $1,770 
(a)Minimum lease payments have not been reduced by minimum sublease rentals of $1,380 million due in the future under non-cancelable subleases.
(b)Current portion of operating lease obligations included as a component of Other accrued liabilities in our consolidated balance sheets.
As of December 31, 2024, we have executed real estate leases that have not yet commenced with estimated future nominal lease payments of approximately $26 million, which are not included in the tables above. These leases are expected to commence in 2025 with lease terms of generally 10 to 20 years.
v3.25.0.1
Income Taxes
12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Income before income taxes, classified by source of income, is as follows (in millions):
202420232022
Canadian$317 $493 $444 
Foreign1,492 960 921 
Income before income taxes$1,809 $1,453 $1,365 
Income tax expense (benefit) attributable to income from continuing operations consists of the following (in millions):
202420232022
Current:
Canadian$96 $(47)$(284)
U.S. Federal113 77 105 
U.S. state, net of federal income tax benefit24 27 26 
Other Foreign136 108 96 
$369 $165 $(57)
Deferred:
Canadian$(54)$(37)$20 
U.S. Federal(23)(18)(79)
U.S. state, net of federal income tax benefit(24)(5)(9)
Other Foreign96 (370)
$(5)$(430)$(60)
Income tax expense (benefit)$364 $(265)$(117)
The statutory rate reconciles to the effective income tax rate as follows:

202420232022
Statutory rate26.5 %26.5 %26.5 %
Costs and taxes related to foreign operations5.2 5.3 3.8 
Foreign tax rate differential(12.7)(15.1)(13.7)
Change in valuation allowance2.7 (0.8)(0.7)
Change in accrual for tax uncertainties(0.6)(6.2)(26.7)
Intercompany financing(1.8)(2.7)1.2 
Intra-Group reorganizations— (25.3)— 
Other0.8 0.1 1.0 
Effective income tax rate20.1 %(18.2)%(8.6)%
Companies subject to the Global Intangible Low-Taxed Income provision (GILTI) have the option to account for the GILTI tax as a period cost if and when incurred, or to recognize deferred taxes for outside basis temporary differences expected to reverse as GILTI. We have elected to account for GILTI as a period cost.
Income tax (benefit) expense allocated to continuing operations and amounts separately allocated to other items was (in millions):

202420232022
Income tax expense (benefit) from continuing operations$364 $(265)$(117)
Cash flow hedge in accumulated other comprehensive income (loss)(14)153 
Net investment hedge in accumulated other comprehensive income (loss)(16)22 77 
Foreign Currency Translation in accumulated other comprehensive income (loss)— — 
Pension liability in accumulated other comprehensive income (loss)
Total$351 $(254)$115 
The significant components of deferred income tax (benefit) expense attributable to income from continuing operations are as follows (in millions):

202420232022
Deferred income tax (benefit) expense$(39)$(1,788)$79 
Change in valuation allowance50 1,357 (143)
Change in effective U.S. state income tax rate(15)
Change in effective foreign income tax rate(1)(1)
Total$(5)$(430)$(60)
The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below (in millions):

 As of December 31,
 20242023
Deferred tax assets:
Accounts and notes receivable$$
Accrued employee benefits53 53 
Leases95 104 
Operating lease liabilities504 311 
Liabilities not currently deductible for tax665 452 
Tax loss and credit carryforwards1,050 1,042 
Intangible assets993 1,048 
Total gross deferred tax assets3,363 3,015 
Valuation allowance(1,588)(1,563)
Net deferred tax assets$1,775 $1,452 
Less deferred tax liabilities:
Property and equipment, principally due to differences in depreciation16 
Intangible assets1,738 1,743 
Leases113 128 
Operating lease assets475 288 
Statutory impairment26 28 
Derivatives63 47 
Outside basis difference36 28 
Other30 
Total gross deferred tax liabilities$2,497 $2,274 
Net deferred tax liability$722 $822 
The valuation allowance had a net increase of $25 million during 2024 primarily due to changes in estimates and foreign tax credits.
Changes in the valuation allowance are as follows (in millions):

202420232022
Beginning balance$1,563 $194 $356 
Change in estimates recorded to deferred income tax expense32 (12)(9)
Additions related to deferred tax assets generated in current year— 1,369 — 
Changes in losses and credits18 — (134)
(Reductions) additions related to other comprehensive income(25)12 (19)
Ending balance$1,588 $1,563 $194 

The gross amount and expiration dates of operating loss and tax credit carry-forwards as of December 31, 2024 are as follows (in millions):

AmountExpiration Date
Canadian net operating loss carryforwards$313 2036-2044
Canadian capital loss carryforwards213 Indefinite
U.S. state net operating loss carryforwards482 2025-Indefinite
U.S. federal net operating loss carryforwards97 Indefinite
U.S. capital loss carryforwards15 2025
U.S. foreign tax credits112 2025-2044
Other foreign net operating loss carryforwards41 Indefinite
Other foreign net operating loss carryforwards103 2025-2041
Other foreign capital loss carryforward30 Indefinite
Other foreign credits707 2033
We are generally permanently reinvested on any potential outside basis differences except for unremitted earnings and profits and thus do not record a deferred tax liability for such outside basis differences. To the extent of unremitted earnings and profits, we generally review various factors including, but not limited to, forecasts and budgets of financial needs of cash for working capital, liquidity and expected cash requirements to fund our various obligations and record deferred taxes to the extent we expect to distribute.
We had $44 million and $58 million of unrecognized tax benefits at December 31, 2024 and December 31, 2023, respectively, which if recognized, would favorably affect the effective income tax rate. A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows (in millions):

202420232022
Beginning balance$58 $139 $437 
Additions for tax positions related to the current year(5)
Additions for tax positions of prior years— 
Reductions for tax positions of prior years(9)(14)(15)
Additions for settlement— — 
Reductions due to statute expiration(7)(85)(281)
Ending balance$44 $58 $139 
Although the timing of the resolution, settlement, and closure of any audits is highly uncertain, it is reasonably possible that the balance of gross unrecognized tax benefits could significantly change in the next 12 months. We do not expect to reduce unrecognized tax benefits during the twelve months beginning January 1, 2025.
We recognize interest and penalties related to unrecognized tax benefits in income tax expense. The total amount of accrued interest and penalties was $12 million and $11 million at December 31, 2024 and 2023, respectively. Potential interest and penalties associated with uncertain tax positions in various jurisdictions recognized was $3 million during 2024, $4 million during 2023 and $3
million during 2022. To the extent interest and penalties are not assessed with respect to uncertain tax positions, amounts accrued will be reduced and reflected as a reduction of the overall income tax provision.
We file income tax returns with Canada and its provinces and territories. Generally, we are subject to routine examinations by the Canada Revenue Agency (“CRA”). The CRA is conducting examinations of the 2015 through 2020 taxation years. Additionally, income tax returns filed with various provincial jurisdictions are generally open to examination for periods up to six years subsequent to the filing and assessment of the respective return.
We also file income tax returns, including returns for our subsidiaries, with U.S. federal, U.S. state, and other foreign jurisdictions. We are subject to routine examination by taxing authorities in the U.S. jurisdictions, as well as other foreign tax jurisdictions. Taxable years of such U.S. companies are closed through 2020 for U.S. federal income tax purposes. We have various U.S. federal, state and other foreign income tax returns in the process of examination. From time to time, these audits result in proposed assessments where the ultimate resolution may result in owing additional taxes. We believe that our tax positions comply with applicable tax law and that we have adequately provided for these matters.
v3.25.0.1
Derivative Instruments
12 Months Ended
Dec. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments Derivative Instruments
Disclosures about Derivative Instruments and Hedging Activities
We enter into derivative instruments for risk management purposes, including derivatives designated as cash flow hedges and derivatives designated as net investment hedges. We use derivatives to manage our exposure to fluctuations in interest rates and currency exchange rates.
Interest Rate Swaps
At December 31, 2024, we had outstanding receive-variable, pay-fixed interest rate swaps with a total notional value of $3,500 million to hedge the variability in the interest payments on a portion of our Term Loan Facilities, including any subsequent refinancing or replacement of the Term Loan Facilities, beginning August 31, 2021 through the termination date of October 31, 2028. Additionally, at December 31, 2024, we also had outstanding receive-variable, pay-fixed interest rate swaps with a total notional value of $500 million to hedge the variability in the interest payments on a portion of our Term Loan Facilities effective September 30, 2019 through the termination date of September 30, 2026. Following the discontinuance of the U.S. dollar LIBOR after June 30, 2023, the interest rate on all these interest rate swaps transitioned from LIBOR to SOFR, with no impact to hedge effectiveness and no change in accounting treatment as a result of applicable accounting relief guidance for the transition away from LIBOR. At inception, all of these interest rate swaps were designated as cash flow hedges for hedge accounting. The unrealized changes in market value are recorded in AOCI, net of tax, and reclassified into interest expense during the period in which the hedged forecasted transaction affects earnings.
In connection with the Carrols Acquisition, we assumed a receive-variable, pay-fixed interest rate swap utilizing SOFR as the benchmark interest rate with a total notional value of $120 million to hedge the variability in the interest payments on a portion of our Term Loan Facilities, including any subsequent refinancing or replacement of the Term Loan Facilities, through the termination date of February 28, 2025. This interest rate swap is designated as a cash flow hedge for hedge accounting and the unrealized changes in market value are recorded in AOCI, net of tax, and reclassified into interest expense during the period in which the hedged forecasted transaction affects earnings.
At December 31, 2024, the net amount of pre-tax gains that we expect to be reclassified from AOCI into interest expense within the next 12 months is $89 million.
Cross-Currency Rate Swaps
To protect the value of our investments in our foreign operations against adverse changes in foreign currency exchange rates, we hedge a portion of our net investment in one or more of our foreign subsidiaries by using cross-currency rate swaps. At December 31, 2024, we had outstanding cross-currency rate swap contracts between the Canadian dollar and U.S. dollar and the euro and U.S. dollar that have been designated as net investment hedges of a portion of our equity in foreign operations in those currencies. The component of the gains and losses on our net investment in these designated foreign operations driven by changes in foreign exchange rates are economically partly offset by movements in the fair value of our cross-currency swap contracts. The fair value of the swaps is calculated each period with changes in fair value reported in AOCI, net of tax. Such amounts will remain in AOCI until the complete or substantially complete liquidation of our investment in the underlying foreign operations.
At December 31, 2024, we had outstanding cross-currency rate swaps in which we receive quarterly fixed-rate interest payments on the U.S. dollar notional value of $5,700 million to partially hedge the net investment in our Canadian subsidiaries. In November 2024, we restructured $5,000 million of cross-currency rate swaps, of which $1,950 million have a maturity of September 30, 2028, $1,400 million have a maturity of October 31, 2029 and $1,650 million have a maturity of October 31, 2030. The restructure resulted in a re-designation of the hedge and the swaps continue to be accounted for as a net investment hedge. Additionally, in November 2024 we entered into cross-currency rate swaps in which we receive quarterly fixed-rate interest payments on the U.S. dollar notional value of $700 million through the maturity date of October 31, 2027 (“incremental swaps”). At inception, these cross-currency rate swaps were designated as a hedge and are accounted for as a net investment hedge. Excluding the incremental swaps, at all times during 2024, 2023, and 2022, we have had $5,000 million of notional amount of cross-currency rate swaps between the Canadian dollar and U.S. dollar designated as hedges.
During 2022, we de-designated existing cross-currency rate swap hedges between the Canadian dollar and U.S. dollar with a total notional amount of $5,000 million for hedge accounting. As a result of these de-designations, changes in fair value of these un-designated hedges were recognized in earnings. Concurrently with these de-designations and to offset the changes in fair value recognized in earnings, we entered into off-setting cross-currency rate swaps, with a total notional amount of $5,000 million, that were not designated as a hedge for hedge accounting and as such changes in fair value were recognized in earnings. The balances in AOCI associated with the de-designated cross-currency rate swaps will remain in AOCI and will only be reclassified into earnings if and when the net investment in our Canadian subsidiaries is sold or substantially sold. The entire notional amount of the de-designated cross-currency rate swaps and the off-setting cross-currency rate swaps were cash settled during 2022 for approximately $35 million in net proceeds and included within investing activities in the consolidated statements of cash flows.
At December 31, 2024, we had outstanding cross-currency rate swap contracts between the euro and U.S. dollar in which we receive quarterly fixed-rate interest payments on the U.S. dollar aggregate amount of $2,750 million, of which $1,400 million were entered during 2023 and have a maturity date of October 31, 2026, $1,200 million were entered during 2023 and have a maturity date of November 30, 2028, and $150 million were entered during 2021 and have a maturity date of October 31, 2028. At inception, these cross-currency rate swaps were designated and continue to be hedges and are accounted for as net investment hedges. The cross-currency rate swaps that were entered during 2023 replaced our previously existing cross-currency rate swaps with a total notional value of $2,100 million that were settled in 2023 as detailed below.
During 2023, we settled our previously existing cross-currency rate swaps in which we paid quarterly fixed-rate interest payments on the euro notional amount of €1,108 million and received quarterly fixed-rate interest payments on the U.S. dollar notional amount of $1,200 million and an original maturity date of February 17, 2024. During 2023, we also settled our previously existing cross-currency rate swap contracts between the euro and U.S. dollar with a notional value of $900 million and an original maturity date of February 17, 2024. In connection with these settlements, we received $69 million in cash which is included within investing activities in the consolidated statements of cash flows.
In connection with the cross-currency rate swaps hedging Canadian dollar and euro net investments, we utilize the spot method to exclude the interest component (the “Excluded Component”) from the accounting hedge without affecting net investment hedge accounting and amortize the Excluded Component over the life of the derivative instrument. The amortization of the Excluded Component is recognized in Interest expense, net in the consolidated statements of operations. The change in fair value that is not related to the Excluded Component is recorded in AOCI and will be reclassified to earnings when the foreign subsidiaries are sold or substantially liquidated.
Foreign Currency Exchange Contracts
We use foreign exchange derivative instruments to manage the impact of foreign exchange fluctuations on U.S. dollar purchases and payments, such as coffee purchases made by our Canadian Tim Hortons operations. At December 31, 2024, we had outstanding forward currency contracts to manage this risk in which we sell Canadian dollars and buy U.S. dollars with a notional value of $169 million with maturities to January 15, 2026. We have designated these instruments as cash flow hedges, and as such, the unrealized changes in market value of effective hedges are recorded in AOCI and are reclassified into earnings during the period in which the hedged forecasted transaction affects earnings.
Credit Risk
By entering into derivative contracts, we are exposed to counterparty credit risk. Counterparty credit risk is the failure of the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is in an asset position, the counterparty has a liability to us, which creates credit risk for us. We attempt to minimize this risk by selecting counterparties with investment grade credit ratings and regularly monitoring our market position with each counterparty.
Credit-Risk Related Contingent Features
Our derivative instruments do not contain any credit-risk related contingent features.
Quantitative Disclosures about Derivative Instruments and Fair Value Measurements
The following tables present the required quantitative disclosures for our derivative instruments, including their estimated fair values (all estimated using Level 2 inputs) and their location on our consolidated balance sheets (in millions):
 Gain or (Loss) Recognized in
Other Comprehensive Income (Loss)
 202420232022
Derivatives designated as cash flow hedges(1)
Interest rate swaps$133 $41 $509 
Forward-currency contracts$13 $(2)$14 
Derivatives designated as net investment hedges
Cross-currency rate swaps$298 $(210)$409 
(1) We did not exclude any components from the cash flow hedge relationships presented in this table.
Location of Gain or (Loss) Reclassified from AOCI into EarningsGain or (Loss) Reclassified from AOCI into
Earnings
 202420232022
Derivatives designated as cash flow hedges
Interest rate swapsInterest expense, net$135 $83 $(54)
Forward-currency contractsCost of sales$$$
 Location of Gain or (Loss) Recognized in EarningsGain or (Loss) Recognized in Earnings (Amount Excluded from Effectiveness Testing)
 202420232022
Derivatives designated as net investment hedges
Cross-currency rate swapsInterest expense, net$53 $61 $56 
 Fair Value as of
December 31,
 
 20242023Balance Sheet Location
Assets:
Derivatives designated as cash flow hedges
Interest rate$194 $190 Other assets, net
Interest rate— Prepaids and other current assets
Foreign currency— Prepaids and other current assets
Derivatives designated as net investment hedges
Foreign currency83 Other assets, net
Total assets at fair value$286 $197 
Liabilities:
Derivatives designated as cash flow hedges
Foreign currency$— $Other accrued liabilities
Derivatives designated as net investment hedges
Foreign currency227 Other liabilities, net
Total liabilities at fair value$$229 
v3.25.0.1
Shareholders' Equity
12 Months Ended
Dec. 31, 2024
Equity [Abstract]  
Shareholders' Equity Shareholders’ Equity
Special Voting Share
The holders of the Partnership exchangeable units are indirectly entitled to vote in respect of matters on which holders of the common shares of the Company are entitled to vote, including in respect of the election of RBI directors, through a special voting share of the Company (the “Special Voting Share”). The Special Voting Share is held by a trustee, entitling the trustee to that number of votes on matters on which holders of common shares of the Company are entitled to vote equal to the number of Partnership exchangeable units outstanding. The trustee is required to cast such votes in accordance with voting instructions provided by holders of Partnership exchangeable units. At any shareholder meeting of the Company, holders of our common shares vote together as a single class with the Special Voting Share except as otherwise provided by law.
Noncontrolling Interests
We reflect a noncontrolling interest which primarily represents the interests of the holders of Partnership exchangeable units in Partnership that are not held by RBI. The holders of Partnership exchangeable units held an economic interest of approximately 28.1% and 29.9% in Partnership common equity through the ownership of 127,038,577 and 133,597,764 Partnership exchangeable units as of December 31, 2024 and 2023, respectively.
Pursuant to the terms of the partnership agreement, each holder of a Partnership exchangeable unit is entitled to distributions from Partnership in an amount equal to any dividends or distributions that we declare and pay with respect to our common shares. Additionally, each holder of a Partnership exchangeable unit is entitled to vote in respect of matters on which holders of RBI common shares are entitled to vote through our special voting share. A holder of a Partnership exchangeable unit may require Partnership to exchange all or any portion of such holder’s Partnership exchangeable units for our common shares at a ratio of one common share for each Partnership exchangeable unit, subject to our right as the general partner of Partnership, in our sole discretion, to deliver a cash payment in lieu of our common shares. If we elect to make a cash payment in lieu of issuing common shares, the amount of the payment will be the weighted average trading price of the common shares on the New York Stock Exchange for the 20 consecutive trading days ending on the last business day prior to the exchange date.
Pursuant to exchange notices received, Partnership exchanged 6,559,187, 9,398,876 and 1,996,818 Partnership exchangeable units in 2024, 2023 and 2022, respectively. In accordance with the terms of the partnership agreement, Partnership satisfied the exchange notices by exchanging these Partnership exchangeable units for the same number of newly issued RBI common shares and each such Partnership exchangeable unit was cancelled concurrently with the exchange. Partnership exchangeable units exchanged for RBI common shares subsequent to December 31, 2023 also result in the issuance of additional Partnership Class A common units to RBI in an amount equal to the number of RBI common shares exchanged. The exchanges represented increases in our ownership interest in Partnership and were accounted for as equity transactions, with no gain or loss recorded in the consolidated statements of operations.
Share Repurchases
On August 31, 2023, our board of directors approved a share repurchase program that allows us to purchase up to $1,000 million of our common shares until September 30, 2025. This approval follows the expiration of our prior two-year authorization to repurchase up to $1,000 million amount of our common shares. During 2024, we did not repurchase any of our common shares. During 2023, we repurchased and cancelled 7,639,137 common shares for $500 million. During 2022, we repurchased and cancelled 6,101,364 common shares for $326 million. As of December 31, 2024, we had $500 million remaining under the authorization.
Accumulated Other Comprehensive Income (Loss)
The following table displays the change in the components of AOCI (in millions):
DerivativesPensionsForeign
Currency
Translation
Accumulated 
Other
Comprehensive
Income (Loss)
Balances at December 31, 2021$136 $(21)$(825)$(710)
Foreign currency translation adjustment— — (703)(703)
Net change in fair value of derivatives, net of tax714 — — 714 
Amounts reclassified to earnings of cash flow hedges, net of tax34 — — 34 
Pension and post-retirement benefit plans, net of tax— — 
Amounts attributable to noncontrolling interests(236)(2)218 (20)
Balances at December 31, 2022$648 $(17)$(1,310)$(679)
Foreign currency translation adjustment— — 250 250 
Net change in fair value of derivatives, net of tax(203)— — (203)
Amounts reclassified to earnings of cash flow hedges, net of tax(66)— — (66)
Pension and post-retirement benefit plans, net of tax— — 
Amounts attributable to noncontrolling interests101 (3)(113)(15)
Balances at December 31, 2023$480 $(13)$(1,173)$(706)
Foreign currency translation adjustment— — (858)(858)
Net change in fair value of derivatives, net of tax421 — — 421 
Amounts reclassified to earnings of cash flow hedges, net of tax(101)— — (101)
Pension and post-retirement benefit plans, net of tax— (2)— (2)
Amounts attributable to noncontrolling interests(81)219 139 
Balances at December 31, 2024$719 $(14)$(1,812)$(1,107)
v3.25.0.1
Share-based Compensation
12 Months Ended
Dec. 31, 2024
Share-Based Payment Arrangement [Abstract]  
Share-based Compensation Share-based Compensation
We are currently issuing awards under the 2023 Omnibus Incentive Plan (the “2023 Plan”) and the number of shares available for issuance under such plan as of December 31, 2024 was 13,641,631. The 2023 Plan permits the grant of several types of awards with respect to our common shares, including stock options, time-vested RSUs, and performance-based RSUs, which may include Company, S&P 500 Index and/or individual performance based-vesting conditions.
We also have some outstanding awards under legacy plans for Burger King and Tim Hortons, which were assumed in connection with the merger and amalgamation of those entities within the RBI group. No new awards may be granted under our Amended and Restated 2014 Omnibus Incentive Plan as amended that preceded the 2023 Plan or these legacy Burger King or legacy Tim Hortons plans.
Share-based compensation expense is generally classified as general and administrative expenses in the consolidated statements of operations and consists of the following for the periods presented (in millions):
202420232022
Total share-based compensation expense $161 $177 $121 
As of December 31, 2024, total unrecognized compensation cost related to share-based compensation arrangements was $218 million and is expected to be recognized over a weighted-average period of approximately 2.5 years.
Restricted Stock Units
RSUs are generally entitled to dividend equivalents, which are not distributed unless the related awards vest. Upon vesting, the amount of the dividend equivalent, which is distributed in additional RSUs, except in the case of RSUs awarded to non-management members of our board of directors, is equal to the equivalent of the aggregate dividends declared on common shares during the period from the date of grant of the award compounded until the date the shares underlying the award are delivered. RBI grants fully vested RSUs, with dividend equivalent rights that accrue in cash, to non-employee members of its board of directors in lieu of a cash retainer and committee fees. All such RSUs will settle and common shares of RBI will be issued following termination of service by the board member.
Starting in 2021, grants of time-vested RSUs generally vest 25% per year on December 15th or 31st over four years from the grant date and performance-based RSUs generally cliff vest three years from the grant date (the starting date for the applicable vesting period is referred to as the “Anniversary Date”). Time-vested RSUs and performance-based RSUs awarded prior to 2021 generally cliff vest five years from the original grant date.
During 2022, RBI granted performance-based RSUs that cliff vest three years from the original grant date based on achievement of performance metrics with a multiplier that can increase or decrease the amount vested based on the achievement of contractually defined relative total shareholder return targets with respect to the S&P 500 Index. Performance-based RSUs granted in 2021, 2023 and 2024 cliff vest three years from the original grant date based solely on defined relative total shareholder return targets with respect to the S&P 500 Index. Performance-based RSUs granted to the CEO in 2023 cliff vest five years from the date of grant and may be earned from 50% for threshold performance to 200% for maximum performance, based on meeting performance targets tied to the appreciation of the price of RBI common shares, with none of the award being earned if the threshold is not met. The respective fair value of these performance-based RSU awards was based on a Monte Carlo Simulation valuation model and these market condition awards are expensed over the vesting period. The total fair value of performance-based RSUs that solely have a performance condition relative to the S&P 500 Index does not change regardless of the value that the award recipients ultimately receive.
For grants of time-vested RSUs, if the employee is terminated for any reason prior to any vesting date, the employee will forfeit all of the RSUs that are unvested at the time of termination. For grants of performance-based RSUs beginning in 2021, if the employee is terminated within the first two years of the Anniversary Date, 100% of the performance-based RSUs will be forfeited. If we terminate the employment of a performance-based RSU holder without cause at least two years after the grant date, or if the employee retires, the employee will become vested in 67% of the performance-based RSUs that are earned based on the performance criteria.
An alternate ratable vesting schedule applies to the extent the participant ends employment by reason of death or disability.
Chairman Awards
In connection with the appointment of the Executive Chairman in November 2022, RBI made one-time grants of options, RSUs and performance-based RSUs with specific terms and conditions. RBI granted 2,000,000 options with an exercise price equal to the closing price of RBI common shares on the trading day preceding the date of grant that cliff vest five years from the date of grant and expire after ten years. RBI granted 500,000 RSUs that vest ratably over five years on the anniversary of the grant date. Lastly, RBI granted 750,000 performance-based RSUs that cliff vest five and a half years from the date of grant and may be earned from 50% for threshold performance to 200% for maximum performance, based on meeting performance targets tied to the appreciation of the price of RBI common shares, with none of the award being earned if the threshold is not met. The respective fair value of these performance-based RSU awards was based on a Monte Carlo Simulation valuation model and these market condition awards are expensed over the vesting period regardless of the value that the award recipient ultimately receives.
Restricted Stock Units Activity
The following is a summary of time-vested RSUs and performance-based RSUs activity for the year ended December 31, 2024:
 Time-vested RSUsPerformance-based RSUs
 Total Number of
Shares
(in 000’s)
Weighted Average
Grant Date Fair
Value
Total Number of
Shares
(in 000’s)
Weighted Average
Grant Date Fair
Value
Outstanding at January 1, 20243,034 $60.29 7,346 $57.68 
Granted967 $73.91 991 $73.14 
Vested and settled(1,412)$63.34 (2,225)$62.56 
Dividend equivalents granted85 $— 191 $— 
Forfeited(315)$65.06 (487)$69.25 
Outstanding at December 31, 20242,359 $62.74 5,816 $57.04 

The weighted-average grant date fair value of time-vested RSUs granted was $68.40 and $57.24 during 2023 and 2022, respectively. The weighted-average grant date fair value of performance-based RSUs granted was $59.66 and $51.31 during 2023 and 2022, respectively. The total fair value, determined as of the date of vesting, of RSUs vested and converted to RBI common shares during 2024, 2023 and 2022 was $271 million, $141 million and $58 million, respectively.
Stock Options
RBI satisfies stock option exercises through the issuance of authorized but previously unissued common shares. Stock option grants generally cliff vest 5 years from the original grant date, provided the employee is continuously employed by us or one of our affiliates, and the stock options expire 10 years following the grant date. Additionally, if we terminate the employment of a stock option holder without cause prior to the vesting date, or if the employee retires or becomes disabled, the employee will become vested in the number of stock options as if the stock options vested 20% on each anniversary of the grant date. If the employee dies, the employee will become vested in the number of stock options as if the stock options vested 20% on the first anniversary of the grant date, 40% on the second anniversary of the grant date and 100% on the third anniversary of the grant date. If an employee is terminated with cause or resigns before vesting, all stock options are forfeited. If there is an event such as a return of capital or dividend that is determined to be dilutive, the exercise price of the awards will be adjusted accordingly.
The following assumptions were used in the Black-Scholes option-pricing model to determine the fair value of stock option awards granted in 2022 at the grant date. There were no significant stock option awards granted in 2024 or 2023.
2022
Risk-free interest rate3.92%
Expected term (in years)7.50
Expected volatility30.0%
Expected dividend yield3.24%
The risk-free interest rate was based on the U.S. Treasury or Canadian Sovereign bond yield with a remaining term equal to the expected option life assumed at the date of grant. The expected term was calculated based on the analysis of a five-year vesting period coupled with our expectations of exercise activity. Expected volatility was based on the historical and implied equity volatility of RBI. The expected dividend yield is based on the annual dividend yield at the time of grant.
Stock Options Activity
The following is a summary of stock option activity under our plans for the year ended December 31, 2024:
Total Number of
Options 
(in 000’s)
Weighted 
Average
Exercise Price
Aggregate 
Intrinsic
Value (a)
(in 000’s)
Weighted 
Average
Remaining
Contractual Term
(Years)
Outstanding at January 1, 20246,198 $60.23 
Granted— $— 
Exercised(1,538)$50.35 
Forfeited(45)$65.44 
Outstanding at December 31, 20244,615 $62.91 $14,470 5.6
Exercisable at December 31, 20241,656 $57.39 $12,921 2.9
Vested or expected to vest at December 31, 20244,492 $62.85 $14,358 5.6

(a)The intrinsic value represents the amount by which the fair value of our stock exceeds the option exercise price at December 31, 2024.
The weighted-average grant date fair value per stock option granted was $18.61, and $17.52 during 2023 and 2022, respectively. No stock options were granted in 2024. The total intrinsic value of stock options exercised was $38 million during 2024, $30 million during 2023, and $10 million during 2022.
v3.25.0.1
Revenue Recognition
12 Months Ended
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
Contract Liabilities
Contract liabilities consist of deferred revenue resulting from initial and renewal franchise fees paid by franchisees, as well as upfront fees paid by master franchisees, which are generally recognized on a straight-line basis over the term of the underlying agreement. We may recognize unamortized franchise fees and upfront fees when a contract with a franchisee or master franchisee is modified and is accounted for as a termination of the existing contract. We classify these contract liabilities as Other liabilities, net in our consolidated balance sheets. The following table reflects the change in contract liabilities on a consolidated basis between December 31, 2023 and December 31, 2024 (in millions):
Contract Liabilities
Balance at December 31, 2023$555 
Recognized during period and included in the contract liability balance at the beginning of the year(60)
Increase, excluding amounts recognized as revenue during the period56 
Effective settlement of pre-existing contract liabilities in connection with Carrols Acquisition(22)
Impact of foreign currency translation(12)
Balance at December 31, 2024$517 
The following table illustrates estimated revenues expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) on a consolidated basis as of December 31, 2024 (in millions):
Contract liabilities expected to be recognized in
2025$53 
202651 
202747 
202844 
202941 
Thereafter281 
Total$517 
Disaggregation of Total Revenues
As described in Note 18, Segment Reporting and Geographical Information, following the Carrols Acquisition and PLK China Acquisition, we are reporting the operations of Burger King restaurants acquired as part of the Carrols Acquisition and the operations of PLK China restaurants in a new operating and reportable segment called Restaurant Holdings (“RH”) from the respective date of acquisition.
The following tables disaggregate revenue by segment (in millions):
2024
THBKPLKFHSINTLRHELIM (a)Total
Supply chain sales$2,708 $— $— $— $— $— $— $2,708 
Company restaurant sales45 242 148 41 — 1,116 — 1,592 
Royalties332 484 300 71 803 — (50)1,940 
Property revenues622 219 14 — — (20)837 
Franchise fees and other revenue32 17 11 34 48 — — 142 
Advertising revenues and other services301 488 295 68 82 — (47)1,187 
Total revenues$4,040 $1,450 $768 $214 $935 $1,116 $(117)$8,406 
(a)Represents elimination of intersegment revenues that consists of royalties, property and advertising and other services revenue recognized by BK and INTL from intersegment transactions with RH.
2023
THBKPLKFHSINTLTotal
Supply chain sales$2,679 $— $— $— $— $2,679 
Company restaurant sales46 97 89 39 — 271 
Royalties324 483 291 69 753 1,920 
Property revenues609 227 13 — 851 
Franchise fees and other revenue22 20 10 31 49 132 
Advertising revenues and other services292 470 289 48 70 1,169 
Total revenues$3,972 $1,297 $692 $187 $874 $7,022 
2022
THBKPLKFHSINTLTotal
Supply chain sales$2,583 $— $— $— $— $2,583 
Company restaurant sales48 70 78 40 — 236 
Royalties302 450 264 66 655 1,737 
Property revenues576 222 12 — 813 
Franchise fees and other revenue26 16 19 42 111 
Advertising revenues and other services266 438 257 13 51 1,025 
Total revenues$3,801 $1,196 $619 $138 $751 $6,505 
v3.25.0.1
Other Operating Expenses (Income), net
12 Months Ended
Dec. 31, 2024
Other Income and Expenses [Abstract]  
Other Operating Expenses (Income), net Other Operating Expenses (Income), net
Other operating expenses (income), net, consist of the following (in millions):
202420232022
Net losses (gains) on disposal of assets, restaurant closures and refranchisings$$16 $
Litigation settlements and reserves, net— 11 
Net losses (gains) on foreign exchange(71)20 (4)
Other, net18 14 
Other operating expenses (income), net$(59)$55 $25 
Net losses (gains) on disposal of assets, restaurant closures, and refranchisings represent sales of properties and other costs related to restaurant closures and refranchisings. Gains and losses recognized in the current period may reflect certain costs related to closures and refranchisings that occurred in previous periods. The amount for 2023 includes asset write-offs and related costs in connection with the discontinuance of an internally developed software project.
Litigation settlements and reserves, net primarily reflects accruals and payments made and proceeds received in connection with litigation and arbitration matters and other business disputes.
Net losses (gains) on foreign exchange consist of remeasurement of foreign denominated assets and liabilities, primarily intercompany financing.
Other, net for 2023 and 2022 are primarily related to payments in connection with FHS area representative buyouts.
v3.25.0.1
Commitments and Contingencies
12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Letters of Credit
As of December 31, 2024, we had $24 million in irrevocable standby letters of credit outstanding, which were issued primarily to certain insurance carriers to guarantee payments of deductibles for various insurance programs, such as health and commercial liability insurance. Of these letters of credit outstanding, $2 million are secured by the collateral under our Revolving Credit Facility and the remainder are secured by cash collateral. As of December 31, 2024, no amounts had been drawn on any of these irrevocable standby letters of credit.
Purchase Commitments
As of December 31, 2024, we have arrangements for information technology and telecommunication services with an aggregate contractual obligation of $84 million over the next five years, some of which have early termination fees and commitments to purchase advertising which totaled $192 million, most of which is due within the next 12 months. We also entered into commitments to purchase beverage and restaurant equipment which totaled $23 million over the next four years.
Litigation
From time to time, we are involved in legal proceedings arising in the ordinary course of business relating to matters including, but not limited to, disputes with franchisees, suppliers, employees and customers, as well as disputes over our intellectual property.
On October 5, 2018, a class action complaint was filed against Burger King Worldwide, Inc. (“BKW”) and Burger King Company, successor in interest, (“BKC”) in the U.S. District Court for the Southern District of Florida by Jarvis Arrington, individually and on behalf of all others similarly situated. On October 18, 2018, a second class action complaint was filed against RBI, BKW and BKC in the U.S. District Court for the Southern District of Florida by Monique Michel, individually and on behalf of all others similarly situated. On October 31, 2018, a third class action complaint was filed against BKC and BKW in the U.S. District Court for the Southern District of Florida by Geneva Blanchard and Tiffany Miller, individually and on behalf of all others similarly situated. On November 2, 2018, a fourth class action complaint was filed against RBI, BKW and BKC in the U.S. District Court for the Southern District of Florida by Sandra Munster, individually and on behalf of all others similarly situated. These complaints have been consolidated and allege that the defendants violated Section 1 of the Sherman Act by incorporating an employee no-solicitation and no-hiring clause in the standard form franchise agreement all Burger King franchisees are required to sign. Each plaintiff seeks injunctive relief and damages for himself or herself and other members of the class. On March 24, 2020, the Court granted BKC’s motion to dismiss for failure to state a claim and on April 20, 2020 the plaintiffs filed a motion for leave to amend their complaint. On April 27, 2020, BKC filed a motion opposing the motion for leave to amend. The court denied the plaintiffs motion for leave to amend their complaint in August 2020 and the plaintiffs appealed this ruling. In August 2022, the federal appellate court reversed the lower court's decision to dismiss the case and remanded the case to the lower court for further proceedings. While we intend to vigorously defend these claims, we are unable to predict the ultimate outcome of this case or estimate the range of possible loss, if any.
On October 7, 2024, purported former shareholders of Carrols filed a complaint in the Court of Chancery of the State of Delaware against RBI and two individuals that were on the board of Carrols. The complaint alleges claims for breach of fiduciary duty by RBI, as a purported controlling shareholder of Carrols, and unjust enrichment by RBI in connection with the acquisition of Carrols, as well as claims for breaches of fiduciary duty by the two individual directors. The complaint generally alleges that RBI coerced Carrols into the transaction, and that the two directors failed to disclose that their interests differed from the interests of other Carrols shareholders, and that the two directors were not independent from RBI. The complaint seeks equitable relief, damages and fees and expenses. We filed a motion to dismiss in December 2024 and the plaintiffs filed an amended complaint in February 2025. We intend to vigorously defend these claims, however, we are unable to predict the ultimate outcome of this case or estimate the range of possible loss, if any.
v3.25.0.1
Segment Reporting and Geographical Information
12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Segment Reporting and Geographical Information Segment Reporting and Geographical Information
As stated in Note 1, Description of Business and Organization, we manage four brands: Tim Hortons, Burger King, Popeyes and Firehouse Subs.
Our management structure and information regularly reviewed by our Chief Executive Officer, who is our Chief Operating Decision Maker (“CODM”), reflects five operating and reportable segments that reflect our franchisor operations consistent with how the business will be managed long-term. Additionally, following the Carrols Acquisition and PLK China Acquisition in the second quarter of 2024, we established a sixth operating and reportable segment, which includes results from the Burger King restaurants acquired as part of the Carrols Acquisition and the PLK China restaurants and will include results from Firehouse Subs Brazil (“FHS Brazil”) beginning in 2025, to reflect the manner in which our CODM manages and assesses performance of these acquired businesses. As a result, our six operating and reportable segments consist of the following:
1.Tim Hortons – operations of our Tim Hortons brand in Canada and the U.S. (“TH”);
2.Burger King – operations of our Burger King brand in the U.S. and Canada, excluding results of Burger King restaurants acquired as part of the Carrols Acquisition, included in our RH segment (defined below) (“BK”);
3.Popeyes Louisiana Kitchen – operations of our Popeyes brand in the U.S. and Canada (“PLK”);
4.Firehouse Subs – operations of our Firehouse Subs brand in the U.S. and Canada (“FHS”);
5.International – operations of each of our brands outside the U.S. and Canada, excluding results of PLK China and FHS Brazil restaurants included in our RH segment (“INTL”); and
6.Restaurant Holdings – operations of Burger King restaurants acquired as part of the Carrols Acquisition and the operations of PLK China and FHS Brazil restaurants (“RH”).
Our measure of segment income is Adjusted Operating Income which represents income from operations adjusted to exclude (i) franchise agreement and reacquired franchise right intangible asset amortization as a result of acquisition accounting, (ii) (income) loss from equity method investments, net of cash distributions received from equity method investments, (iii) other operating expenses (income), net and, (iv) income/expenses from non-recurring projects and non-operating activities. For the periods referenced, income/expenses from non-recurring projects and non-operating activities included (i) non-recurring fees and expenses incurred in connection with the Carrols Acquisition and the PLK China Acquisition consisting primarily of professional fees, compensation-related expenses and integration costs (“RH Transaction costs”); (ii) non-recurring fees and expense incurred in connection with the acquisition of Firehouse Subs consisting primarily of professional fees, compensation-related expenses and integration costs (“FHS Transaction costs”); and (iii) non-operating costs from professional advisory and consulting services associated with certain transformational corporate restructuring initiatives that rationalize our structure and optimize cash movements as well as services related to significant tax reform legislation and regulations (“Corporate restructuring and advisory fees”).
The following tables present total segment revenues, significant segment expenses that are regularly reviewed by the CODM to manage and assess segment performance and segment income, as well as depreciation and amortization, (income) loss from equity method investments, and capital expenditures by segment (in millions). For the periods referenced, segment franchise and property expenses (“Segment F&P expenses”) for each segment excludes franchise agreement and reacquired franchise rights amortization and Segment G&A for each segment excludes RH Transaction costs, FHS Transaction costs and Corporate restructuring and advisory fees (each as defined below). For segment reporting purposes, capital expenditures include payments for additions of property and equipment during the period, as well as the change in accruals for additions of property and equipment since the prior period. For 2024, capital expenditures for RH excludes $7 million of accruals for additions of property and equipment assumed in connection with the Carrols Acquisition.
2024
THBKPLKFHSINTLRHELIMTotal
Revenues from external customers$4,040 $1,333 $768 $214 $935 $1,116 $— $8,406 
Intersegment revenues— 117 — — — — (117)— 
Total revenues$4,040 $1,450 $768 $214 $935 $1,116 $(117)$8,406 
Operating costs and expenses:
Supply chain cost of sales2,180 — — — — — — 2,180 
Company restaurant expenses (a)37 221 129 36 — 965 (60)1,328 
Segment F&P expenses330 122 31 — (10)490 
Advertising expenses and other services307 558 303 70 90 49 (47)1,330 
Segment G&A158 139 84 51 200 59 — 691 
Adjustments:
Cash distributions received from equity method investments15 — — — — — — 15 
Adjusted Operating Income1,043 410 243 48 614 44 — 2,402 
Additional segment information:
Depreciation and amortization111 49 13 27 59 — 264 
(Income) loss from equity method investments(15)(78)— — 24 — — (69)
Capital expenditures47 72 23 11 86 — 245 
(a)The components of Company restaurant expenses for our RH segment are included below.
2023
THBKPLKFHSINTLTotal
Total revenues$3,972 $1,297 $692 $187 $874 $7,022 
Operating costs and expenses:
Supply chain cost of sales2,193 — — — — 2,193 
Company restaurant expenses38 90 80 34 — 242 
Segment F&P expenses319 133 10 11 481 
Advertising expenses and other services309 543 295 49 77 1,273 
Segment G&A168 145 86 58 190 647 
Adjustments:
Cash distributions received from equity method investments14 — — — — 14 
Adjusted Operating Income958 386 221 38 597 2,200 
Additional segment information:
Depreciation and amortization108 46 11 22 191 
(Income) loss from equity method investments(15)— — (1)(8)
Capital expenditures51 37 19 120 
2022
THBKPLKFHSINTLTotal
Total revenues$3,801 $1,196 $619 $138 $751 $6,505 
Operating costs and expenses:
Supply chain cost of sales2,093 — — — — 2,093 
Company restaurant expenses38 74 72 35 — 219 
Segment F&P expenses325 133 13 486 
Advertising expenses and other services282 468 261 12 54 1,077 
Segment G&A151 126 72 52 160 561 
Adjustments:
Cash distributions received from equity method investments13 — — — 15 
Adjusted Operating Income925 396 205 33 525 2,084 
Additional segment information:
Depreciation and amortization114 45 10 17 190 
(Income) loss from equity method investments(13)27 — — 30 44 
Capital expenditures39 31 18 100 
The following table presents the components of Company restaurant expenses for our RH segment (in millions):
2024
Company restaurant expenses for RH segment
Food, beverage and packaging costs$312 
Restaurant wages and related expenses358 
Restaurant occupancy expense and other295 
             Total$965 
The following tables present revenues by country (in millions):
202420232022
Revenues by country (b):
Canada$3,684 $3,630 $3,484 
United States3,783 2,518 2,270 
Other939 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,
 20242023
By country:
Canada$1,435 $1,545 
United States2,684 1,578 
Other52 41 
Total$4,171 $3,164 
Long-lived assets include property and equipment, net, finance and operating lease right of use assets, net and net investment in property leased to franchisees. Only Canada and the United States represented 10% or more of our total long-lived assets as of December 31, 2024 and December 31, 2023.
Adjusted Operating Income is used by management to measure operating performance of the business, excluding these non-cash and other specifically identified items that management believes are not relevant to management’s assessment of our operating performance. A reconciliation of segment income to net income consists of the following (in millions):
202420232022
Segment income:
TH$1,043 $958 $925 
BK410 386 396 
PLK243 221 205 
FHS48 38 33 
INTL614 597 525 
RH44 — — 
Adjusted Operating Income2,402 2,200 2,084 
Franchise agreement and reacquired franchise rights amortization53 31 32 
RH Transaction costs22 — — 
FHS Transaction costs— 19 24 
Corporate restructuring and advisory fees20 38 46 
Impact of equity method investments (a)(53)59 
Other operating expenses (income), net(59)55 25 
Income from operations2,419 2,051 1,898 
Interest expense, net577 582 533 
Loss on early extinguishment of debt33 16 — 
Income tax expense (benefit)364 (265)(117)
Net income$1,445 $1,718 $1,482 
(a)Represents (i) (income) loss from equity method investments and (ii) cash distributions received from our equity method investments. Cash distributions received from our equity method investments are included in segment income.
v3.25.0.1
Subsequent Events
12 Months Ended
Dec. 31, 2024
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
Dividends
On January 3, 2025, we paid a cash dividend of $0.58 per common share to common shareholders of record on December 20, 2024. On such date, Partnership also made a distribution in respect of each Partnership exchangeable unit in the amount of $0.58 per exchangeable unit to holders of record on December 20, 2024.
On February 12, 2025, we announced that the board of directors had declared a cash dividend of $0.62 per common share for the first quarter of 2025. The dividend will be paid on April 4, 2025 to common shareholders of record on March 21, 2025. Partnership will also make a distribution in respect of each Partnership exchangeable unit in the amount of $0.62 per Partnership exchangeable unit, and the record date and payment date for distributions on Partnership exchangeable units are the same as for the common shares.
Burger King China Acquisition
On February 14, 2025, we acquired substantially all of the remaining equity interests of Burger King China for approximately $158 million in an all-cash transaction. The acquisition of Burger King China will be accounted for as a business combination for which we have determined that the criteria for held for sale have been met on the acquisition date. Consequently, Burger King China will be reported as a discontinued operation.
v3.25.0.1
Insider Trading Arrangements
3 Months Ended
Dec. 31, 2024
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.0.1
Insider Trading Policies and Procedures
12 Months Ended
Dec. 31, 2024
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.0.1
Cybersecurity Risk Management and Strategy Disclosure
12 Months Ended
Dec. 31, 2024
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
We recognize the critical importance of maintaining the trust and confidence of our guests, franchisees and employees. Consequently, our cybersecurity policies, standards, processes and practices are embedded within our overall enterprise risk management (“ERM”) program.
We have an ongoing cybersecurity risk mitigation program, which includes maintaining up-to-date detection, prevention and monitoring systems and contracting with outside cybersecurity firms to provide continuous monitoring of our systems as well as threat-detection services. We define a cybersecurity threat as any potential unauthorized occurrence on or conducted through our information systems or information systems of a third party that we utilize in our business that may result in adverse effects on the confidentiality, integrity or availability of our information systems or any information residing therein. Our cybersecurity policies, standards, processes, and practices are based on recognized frameworks established by the National Institute of Standards and Technology and include the following components:
Collaborative Approach: We have implemented a comprehensive, cross-functional approach to identifying, preventing, and mitigating cybersecurity threats and incidents, while also implementing controls and procedures that provide for the prompt escalation of certain cybersecurity incidents so that decisions regarding the public disclosure and reporting of such incidents can be made by management in a timely manner.
Deployment of Technical Safeguards: We deploy technical safeguards that are designed to protect our information systems from cybersecurity threats, including firewalls, intrusion prevention and detection systems, anti-malware functionality and access controls, which are evaluated and improved through vulnerability assessments and cybersecurity threat intelligence.
Development and Periodic Testing of Incident Response and Recovery Planning: We have developed and maintain comprehensive incident response and recovery plans that address our response to cybersecurity threats, and such plans are tested and evaluated on a regular basis. Our periodic testing of these plans includes a wide range of activities, including audits, assessments, tabletop exercises, threat modeling, vulnerability testing and other exercises focused on evaluating the effectiveness of our cybersecurity measures and planning. We engage third parties to perform assessments on our cybersecurity measures, including information security maturity assessments, audits and independent reviews of our information security control environment and operating effectiveness. The results of such assessments, audits and reviews are reported to the Audit Committee, and we adjust cybersecurity policies, standards, processes and practices as necessary based on the information provided by these assessments, audits and reviews.
Third-Party Risk Management: We maintain a comprehensive, risk-based approach to identifying and overseeing cybersecurity risks presented by third parties, including vendors, service providers, franchisees and other external users of our systems, as well as the systems of third parties that could adversely impact our business in the event of a cybersecurity incident affecting those third-party systems.
Implementation of Regular and Mandatory Employee Training and Awareness Programs: We provide regular, mandatory training for our personnel regarding cybersecurity threats as a means to equip them with effective tools to detect and address cybersecurity threats, and to communicate our evolving information security policies, standards, processes and practices.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block] We recognize the critical importance of maintaining the trust and confidence of our guests, franchisees and employees. Consequently, our cybersecurity policies, standards, processes and practices are embedded within our overall enterprise risk management (“ERM”) program.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block] Our Audit Committee oversees our ERM program, including the management of risks arising from cybersecurity threats. The Audit Committee regularly receives presentations and reports on cybersecurity risks, which address a wide range of topics including recent developments, evolving standards, vulnerability assessments, third-party and independent reviews, the threat environment, technological trends and information security considerations arising with respect to our peers and third parties. Our Internal Audit function performs periodic audits of our cyber security program and reports results to the Audit Committee. On a periodic basis, the Audit Committee discusses our approach to cybersecurity risk management with our Chief Information Security Officer (“CISO”).
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] Our Audit Committee oversees our ERM program, including the management of risks arising from cybersecurity threats. The Audit Committee regularly receives presentations and reports on cybersecurity risks, which address a wide range of topics including recent developments, evolving standards, vulnerability assessments, third-party and independent reviews, the threat environment, technological trends and information security considerations arising with respect to our peers and third parties. Our Internal Audit function performs periodic audits of our cyber security program and reports results to the Audit Committee. On a periodic basis, the Audit Committee discusses our approach to cybersecurity risk management with our Chief Information Security Officer (“CISO”).
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] On a periodic basis, the Audit Committee discusses our approach to cybersecurity risk management with our Chief Information Security Officer (“CISO”).
Cybersecurity Risk Role of Management [Text Block] We have a dedicated team of cybersecurity specialists, led by our Chief Information Security Officer (CISO), who works in coordination with our senior management and leaders at each of our brands to implement a program designed to protect our information systems from cybersecurity threats and to promptly respond to any cybersecurity incidents in accordance with our incident response and recovery plans. Our CISO has served in various roles in information technology and information security, as an IT auditor and an IT security executive, for over 38 years as of December 31, 2024, and has both the CISA and CRP designation. We also use a Managed Security Service Provider (MSSP) to provide continuous monitoring of our systems and supplement our internal security team.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block]
Our Audit Committee oversees our ERM program, including the management of risks arising from cybersecurity threats. The Audit Committee regularly receives presentations and reports on cybersecurity risks, which address a wide range of topics including recent developments, evolving standards, vulnerability assessments, third-party and independent reviews, the threat environment, technological trends and information security considerations arising with respect to our peers and third parties. Our Internal Audit function performs periodic audits of our cyber security program and reports results to the Audit Committee. On a periodic basis, the Audit Committee discusses our approach to cybersecurity risk management with our Chief Information Security Officer (“CISO”).
We have a dedicated team of cybersecurity specialists, led by our Chief Information Security Officer (CISO), who works in coordination with our senior management and leaders at each of our brands to implement a program designed to protect our information systems from cybersecurity threats and to promptly respond to any cybersecurity incidents in accordance with our incident response and recovery plans. Our CISO has served in various roles in information technology and information security, as an IT auditor and an IT security executive, for over 38 years as of December 31, 2024, and has both the CISA and CRP designation. We also use a Managed Security Service Provider (MSSP) to provide continuous monitoring of our systems and supplement our internal security team.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] Our CISO has served in various roles in information technology and information security, as an IT auditor and an IT security executive, for over 38 years as of December 31, 2024, and has both the CISA and CRP designation.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block] On a periodic basis, the Audit Committee discusses our approach to cybersecurity risk management with our Chief Information Security Officer (“CISO”).
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.0.1
Significant Accounting Policies (Policies)
12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Fiscal Year
Fiscal Year
We operate on a monthly calendar, with a fiscal year that ends on December 31.
Basis of Presentation
Basis of Presentation
The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States (“GAAP”) and related rules and regulations of the U.S. Securities and Exchange Commission requires our management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the related disclosure of contingent assets and liabilities. Actual results could differ from these estimates.
Principles of Consolidation
Principles of Consolidation
The consolidated financial statements (the "Financial Statements") include our accounts and the accounts of entities in which we have a controlling financial interest, the usual condition of which is ownership of a majority voting interest, including marketing funds we control. We also consider entities for consolidation when the controlling financial interest may be achieved through arrangements that do not involve voting interests (“VIE”).
We are the sole general partner of Partnership and, as such we have the exclusive right, power and authority to manage, control, administer and operate the business and affairs and to make decisions regarding the undertaking and business of Partnership, subject to the terms of the limited partnership agreement of Partnership (“partnership agreement”) and applicable laws. As a result, we consolidate the results of Partnership and record a noncontrolling interest in our consolidated balance sheets and statements of operations with respect to the remaining economic interest in Partnership we do not hold.
All material intercompany balances and transactions have been eliminated in consolidation. Investments in other affiliates that are owned 50% or less where we have significant influence are generally accounted for by the equity method.
Foreign Currency Translation and Transaction Gains and Losses
Foreign Currency Translation and Transaction Gains and Losses
Our functional currency is the U.S. dollar, since our term loans and senior secured notes are denominated in U.S. dollars, and the principal market for our common shares is the U.S. The functional currency of each of our operating subsidiaries is generally the currency of the economic environment in which the subsidiary primarily does business. Our foreign subsidiaries’ financial statements are translated into U.S. dollars using the foreign exchange rates applicable to the dates of the financial statements. Assets and liabilities are translated using the end-of-period spot foreign exchange rates. Income, expenses and cash flows are translated at the average foreign exchange rates for each period. Equity accounts are translated at historical foreign exchange rates. The effects of these translation adjustments are reported as a component of accumulated other comprehensive income (loss) (“AOCI”) in the consolidated statements of shareholders’ equity.
For any transaction that is denominated in a currency different from the entity’s functional currency, we record a gain or loss based on the difference between the foreign exchange rate at the transaction date and the foreign exchange rate at the transaction settlement date (or rate at period end, if unsettled) which is included within other operating expenses (income), net in the consolidated statements of operations.
Cash and Cash Equivalents
Cash and Cash Equivalents
All highly liquid investments with original maturities of three months or less and credit card receivables are considered cash equivalents.
Accounts and Notes Receivable, net
Accounts and Notes Receivable, net
Our credit loss exposure is mainly concentrated in our accounts and notes receivable portfolio, which consists primarily of amounts due from franchisees, including royalties, rents, franchise fees, contributions due to advertising funds we manage and, in the case of our TH segment, amounts due for supply chain sales. Accounts and notes receivable are reported net of an allowance for expected credit losses over the estimated life of the receivable. Credit losses are estimated based on aging, historical collection experience, financial position of the franchisee and other factors, including those related to current economic conditions and reasonable and supportable forecasts of future conditions.
Bad debt expense recognized for expected credit losses is classified in our consolidated statement of operations as Cost of sales, Franchise and property expenses or Advertising expenses and other services, based on the nature of the underlying receivable.
Inventories
Inventories
Inventories are carried at the lower of cost or net realizable value and consist primarily of raw materials such as green coffee beans and finished goods such as new equipment, parts, paper supplies and restaurant food items. The moving average method is used to determine the cost of raw materials and finished goods inventories held for sale to Tim Hortons franchisees.
Property and Equipment, net
Property and Equipment, net
We record property and equipment at historical cost less accumulated depreciation and amortization, which is recognized using the straight-line method over the following estimated useful lives: (i) buildings and improvements – up to 40 years; (ii) restaurant equipment – up to 17 years; (iii) furniture, fixtures and other – up to 10 years; and (iv) manufacturing equipment – up to 25 years. Leasehold improvements to properties where we are the lessee are amortized over the lesser of the remaining term of the lease or the estimated useful life of the improvement.
Major improvements are capitalized, while maintenance and repairs are expensed when incurred.
Capitalized Software and Cloud Computing Costs
We record capitalized software at historical cost less accumulated amortization, which is recognized using the straight-line method. Amortization expense is based on the estimated useful life of the software, which is primarily up to five years, once the asset is available for its intended use.
Implementation costs incurred in connection with Cloud Computing Arrangements (“CCA”) are capitalized consistently with costs capitalized for internal-use software. Capitalized CCA implementation costs are included in “Other assets” in the consolidated balance sheets and are amortized over the term of the related hosting agreement, including renewal periods that are reasonably certain to be exercised. Amortization expense of CCA implementation costs is classified as “General and administrative expenses” in the consolidated statements of operations.
Lessor Accounting
Lessor Accounting
We recognize lease payments for operating leases as property revenue on a straight-line basis over the lease term, and property revenue is presented net of any related sales tax. Lease incentive payments we make to lessees are amortized as a reduction in property revenue over the lease term. We account for reimbursements of maintenance and property tax costs paid to us by lessees as property revenue.
We also have net investments in properties leased to franchisees, which are classified as sales-type leases or direct financing leases. Investments in sales-type leases and direct financing leases are recorded on a net basis. Profit on sales-type leases is recognized at lease commencement and recorded in other operating expenses (income), net. Unearned income on direct financing leases is deferred, included in the net investment in the lease, and recognized over the lease term, yielding a constant periodic rate of return on the net investment in the lease.
We recognize variable lease payment income in the period when changes in facts and circumstances on which the variable lease payments are based occur.
Lessee Accounting
Lessee Accounting
In leases where we are the lessee, we recognize a right-of-use (“ROU”) asset and lease liability at lease commencement, which are measured by discounting lease payments using our incremental borrowing rate as the discount rate. We determine the incremental borrowing rate applicable to each lease by reference to our outstanding secured borrowings and implied spreads over the risk-free discount rates that correspond to the term of each lease, as adjusted for the currency of the lease. Subsequent amortization of the ROU asset and accretion of the lease liability for an operating lease is recognized as a single lease cost, on a straight-line basis, over the lease term. Reductions of the ROU asset and the change in the lease liability are included in changes in Other long-term assets and liabilities in the Consolidated Statement of Cash Flows.
A finance lease ROU asset is depreciated on a straight-line basis over the lesser of the useful life of the leased asset or lease term. Interest on each finance lease liability is determined as the amount that results in a constant periodic discount rate on the remaining balance of the liability. Operating lease and finance lease ROU assets are assessed for impairment in accordance with our long-lived asset impairment policy.
We reassess lease classification and remeasure ROU assets and lease liabilities when a lease is modified and that modification is not accounted for as a separate contract or upon certain other events that require reassessment. Maintenance and property tax expenses are accounted for on an accrual basis as variable lease cost.
We recognize variable lease cost in the period when changes in facts and circumstances on which the variable lease payments are based occur.
Goodwill and Intangible Assets Not Subject to Amortization
Goodwill and Intangible Assets Not Subject to Amortization
Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed in connection with business combination transactions. Our indefinite-lived intangible assets consist of the Tim Hortons brand, the Burger King brand, the Popeyes brand and the Firehouse Subs brand (each a “Brand” and together, the “Brands”). Goodwill and the Brands are tested for impairment at least annually as of October 1 of each year and more often if an event occurs or circumstances change which indicate that impairment might exist. Our annual impairment tests of goodwill and the Brands may be completed through qualitative assessments. We may elect to bypass the qualitative assessment and proceed directly to a quantitative impairment test for any reporting unit or Brand in any period. We can resume the qualitative assessment for any reporting unit or Brand in any subsequent period.
Under a qualitative approach, our impairment review for goodwill consists of an assessment of whether it is more-likely-than-not that a reporting unit’s fair value is less than its carrying amount. If we elect to bypass the qualitative assessment for any reporting unit, or if a qualitative assessment indicates it is more-likely-than-not that the estimated carrying value of a reporting unit exceeds its fair value, we perform a quantitative goodwill impairment test that requires us to estimate the fair value of the reporting unit. If the fair value of the reporting unit is less than its carrying amount, we will measure any goodwill impairment loss as the amount by which the carrying amount of a reporting unit exceeds its fair value, not to exceed the total amount of goodwill allocated to that reporting unit.
Under a qualitative approach, our impairment review for the Brands consists of an assessment of whether it is more-likely-than-not that a Brand’s fair value is less than its carrying amount. If we elect to bypass the qualitative assessment for a Brand, or if a qualitative assessment indicates it is more-likely-than-not that the estimated carrying value of a Brand exceeds its fair value, we estimate the fair value of the Brand and compare it to its carrying amount. If the carrying amount exceeds fair value, an impairment loss is recognized in an amount equal to that excess.
Long-Lived Assets
Long-Lived Assets
Long-lived assets, such as property and equipment, intangible assets subject to amortization and lease right-of-use assets, are tested for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset or asset group may not be recoverable. Some of the events or changes in circumstances that would trigger an impairment review include, but are not
limited to, bankruptcy proceedings or other significant financial distress of a lessee; significant negative industry or economic trends; knowledge of transactions involving the sale of similar property at amounts below the carrying value; or our expectation to dispose of long-lived assets before the end of their estimated useful lives. The impairment test for long-lived assets requires us to assess the recoverability of long-lived assets by comparing their net carrying value to the sum of undiscounted estimated future cash flows directly associated with and arising from use and eventual disposition of the assets or asset group. Long-lived assets are grouped for recognition and measurement of impairment at the lowest level for which identifiable cash flows are largely independent of the cash flows of other assets. If the net carrying value of a group of long-lived assets exceeds the sum of related undiscounted estimated future cash flows, we record an impairment charge equal to the excess, if any, of the net carrying value over fair value.
Other Comprehensive Income (Loss)
Other Comprehensive Income (Loss)
Other comprehensive income (loss) (“OCI”) refers to revenues, expenses, gains and losses that are included in comprehensive income (loss), but are excluded from net income (loss) as these amounts are recorded directly as an adjustment to shareholders’ equity, net of tax. Our other comprehensive income (loss) is primarily comprised of unrealized gains and losses on foreign currency translation adjustments and unrealized gains and losses on hedging activity, net of tax.
Derivative Financial Instruments
Derivative Financial Instruments
We recognize and measure all derivative instruments as either assets or liabilities at fair value in the consolidated balance sheets. Derivative instruments accounted for as net investments hedges are classified as long term assets and liabilities in the consolidated balance sheets. We may enter into derivatives that are not designated as hedging instruments for accounting purposes, but which largely offset the economic impact of certain transactions.
Gains or losses resulting from changes in the fair value of derivatives are recognized in earnings or recorded in other comprehensive income (loss) and recognized in the consolidated statements of operations when the hedged item affects earnings, depending on the purpose of the derivatives and whether they qualify for, and we have applied, hedge accounting treatment.
When applying hedge accounting, we designate at a derivative’s inception, the specific assets, liabilities or future commitments being hedged, and assess the hedge’s effectiveness at inception and on an ongoing basis. We discontinue hedge accounting when: (i) we determine that the cash flow derivative is no longer effective in offsetting changes in the cash flows of a hedged item; (ii) the derivative expires or is sold, terminated or exercised; (iii) it is no longer probable that the forecasted transaction will occur; or (iv) management determines that designation of the derivatives as a hedge instrument is no longer appropriate. We do not enter into or hold derivatives for speculative purposes.
Disclosures about Fair Value
Disclosures about Fair Value
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the principal market, or if none exists, the most advantageous market, for the specific asset or liability at the measurement date (the exit price). The fair value is based on assumptions that market participants would use when pricing the asset or liability. The fair values are assigned a level within the fair value hierarchy, depending on the source of the inputs into the calculation, as follows:
Level 1 Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets.
Level 2 Inputs other than quoted prices included in Level 1 that are observable for the asset or liability either directly or indirectly.
Level 3 Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability.
The carrying amounts for cash and cash equivalents, accounts and notes receivable and accounts and drafts payable approximate fair value based on the short-term nature of these amounts.
We carry all of our derivatives at fair value and value them using various pricing models or discounted cash flow analysis that incorporate observable market parameters, such as interest rate yield curves and currency rates, which are Level 2 inputs. Derivative valuations incorporate credit risk adjustments that are necessary to reflect the probability of default by the counterparty or us.
Revenue Recognition, Supply Chain Cost of Sales and Company Restaurant Expenses
Revenue Recognition
Supply chain sales
Supply chain sales represent sales of products, supplies and restaurant equipment to franchisees, as well as sales to retailers and direct to consumer and are presented net of any related sales tax. Revenue is recognized upon transfer of control over ordered items, generally upon delivery to the customer, which is when the customer has all risks and rewards of ownership and an obligation to pay for the goods is created. Shipping and handling costs associated with outbound freight for supply chain sales are accounted for as fulfillment costs and classified as cost of sales.
Company restaurant sales
Company restaurant sales consist of sales to restaurant guests. Revenue from Company restaurant sales is recognized at the point of sale. Taxes assessed by a governmental authority that we collect are excluded from revenue.
Franchise revenues
Franchise revenues consist primarily of royalties, initial and renewal franchise fees and upfront fees from development agreements and master franchise and development agreements (“MFDAs”). Under franchise agreements, we provide franchisees with (i) a franchise license, which includes a license to use our intellectual property, (ii) pre-opening services, such as training and inspections, and (iii) ongoing services, such as development of training materials and menu items and restaurant monitoring and inspections. These services are highly interrelated and dependent upon the franchise license and we concluded these services do not represent individually distinct performance obligations. Consequently, we bundle the franchise license performance obligation and promises to provide these services into a single performance obligation (the “Franchise PO”), which we satisfy by providing a right to use our intellectual property over the term of each franchise agreement.
Royalties are calculated as a percentage of franchised restaurant sales over the term of the franchise agreement. Initial and renewal franchise fees are payable by the franchisee upon a new restaurant opening or renewal of an existing franchise agreement. Our franchise agreement royalties represent sales-based royalties that are related entirely to the Franchise PO and are recognized as franchise sales occur. Initial and renewal franchise fees are recognized as revenue on a straight-line basis over the term of the respective agreement. Our performance obligation under development agreements other than MFDAs generally consists of an obligation to grant exclusive development rights over a stated term, which are not distinct from franchise agreements. Upfront fees paid by franchisees for exclusive development rights are apportioned to each franchised restaurant opened by the franchisee, with the pro rata amount apportioned to each restaurant accounted for as an initial franchise fee.
We have a distinct performance obligation under our MFDAs to grant subfranchising rights over a stated term. Under the terms of MFDAs, we typically either receive an upfront fee paid in cash and/or receive noncash consideration in the form of an equity interest in the master franchisee or an affiliate of the master franchisee. We account for noncash consideration as investments in the applicable equity method investee and recognize revenue in an amount equal to the fair value of the equity interest received. Upfront fees from master franchisees, including the fair value of noncash consideration, are deferred and amortized over the MFDA term on a straight-line basis. We may recognize unamortized upfront fees when a contract with a franchisee or master franchisee is modified and is accounted for as a termination of the existing contract.
The portion of gift cards sold to customers which are never redeemed is commonly referred to as gift card breakage. We recognize gift card breakage income proportionately as each gift card is redeemed using an estimated breakage rate based on our historical experience.
Advertising revenues and other services
Advertising revenues consist primarily of franchisee contributions to advertising funds in those markets where our subsidiaries manage an advertising fund and are calculated as a percentage of franchised restaurant sales over the term of the franchise agreement. Under our franchise agreements, advertising contributions received from franchisees must be spent on advertising, product development, marketing, and related activities. We determined our advertising and promotion management services do not represent individually distinct performance obligations and are included in the Franchise PO.
Other services revenues consist primarily of tech fees and revenues, that vary by market, and partially offset expenses related to technology initiatives. These services are distinct from the Franchise PO because they are not dependent upon the franchise license or highly interrelated with the franchise license.
Supply Chain Cost of Sales
Cost of sales consists primarily of costs associated with the management of our Tim Hortons supply chain, including cost of goods, direct labor, depreciation, bad debt expense (recoveries) from supply chain sales and cost of products sold to retailers.
Company Restaurant Expenses
Company restaurant expenses include food, beverage and packaging costs, restaurant wages and related expenses and restaurant occupancy and other expenses.
Property revenues In certain instances, we provide incentives to franchisees in connection with restaurant renovations or other initiatives. These incentives may consist of cash consideration or non-cash consideration such as restaurant equipment. In general, these incentives are designed to support system-wide sales growth to increase our future revenues. The costs of these incentives are capitalized and amortized as a reduction in franchise and property revenue over the term of the contract to which the incentive relates.
Franchise and Property Expenses
Franchise and Property Expenses
Franchise and property expenses consist primarily of depreciation of properties leased to franchisees, rental expense associated with properties subleased to franchisees, amortization of franchise agreements and reacquired franchise rights, and bad debt expense (recoveries) from franchise and property revenues.
Advertising Expenses and Other Services
Advertising Expenses and Other Services
Advertising expenses and other services consist primarily of expenses relating to marketing, advertising, promotion, and technology initiatives for the respective brands, bad debt expense (recoveries) from franchisee contributions to advertising funds we manage, depreciation and amortization and other related support functions for the respective brands. Additionally, we may incur discretionary expenses to fund advertising programs in connection with periodic initiatives.
Company restaurants and franchised restaurants contribute to advertising funds that our subsidiaries manage in the United States and Canada and certain other international markets. The advertising funds expense the production costs of advertising when the advertisements are first aired or displayed. All other advertising and promotional costs are expensed in the period incurred. The advertising contributions by Company restaurants are eliminated in consolidation. Consolidated advertising expense totaled $1,268 million, $1,201 million and $1,032 million in 2024, 2023 and 2022, respectively.
Deferred Financing Costs
Deferred Financing Costs
Deferred financing costs are amortized over the term of the related debt agreement into interest expense using the effective interest method.
Income Taxes
Income Taxes
Amounts in the Financial Statements related to income taxes are calculated using the principles of Accounting Standards Codification Topic 740, Income Taxes. Under these principles, deferred tax assets and liabilities reflect the impact of temporary differences between the amounts of assets and liabilities recognized for financial reporting purposes and the amounts recognized for tax purposes, as well as tax credit carry-forwards and loss carry-forwards. These deferred taxes are measured by applying currently enacted tax rates. A deferred tax asset is recognized when it is considered more-likely-than-not to be realized. The effects of changes in tax rates on deferred tax assets and liabilities are recognized in income in the year in which the law is enacted. A valuation allowance reduces deferred tax assets when it is more-likely-than-not that some portion or all of the deferred tax assets will not be realized.
We recognize positions taken or expected to be taken in a tax return in the Financial Statements when it is more-likely-than-not (i.e., a likelihood of more than 50%) that the position would be sustained upon examination by tax authorities. A recognized tax position is then measured at the largest amount of benefit with greater than 50% likelihood of being realized upon ultimate settlement.
Translation gains and losses resulting from the remeasurement of foreign deferred tax assets or liabilities denominated in a currency other than the functional currency are classified as other operating expenses (income), net in the consolidated statements of operations.
Share-based Compensation
Share-based Compensation
Compensation expense related to the issuance of share-based awards to our employees is measured at fair value on the grant date. The fair value of restricted stock units (“RSUs”) is generally based on the closing price of RBI's common shares on the trading day preceding the date of grant. Our total shareholder return and if applicable our total shareholder return relative to our peer group is incorporated into the underlying assumptions using a Monte Carlo simulation valuation model to calculate grant date fair value for performance based awards with a market condition. Stock option awards are granted with an exercise price or market value equal to the closing price of RBI common shares on the trading day preceding the date of grant. The Black-Scholes option pricing model is used to value stock options. The compensation expense for awards that vest over a future service period is recognized over the requisite service period on a straight-line basis, adjusted for estimated forfeitures of awards that are not expected to vest. We use historical data to estimate forfeitures for share-based awards. The compensation expense for awards that contain performance conditions is recognized when it is probable that the performance conditions will be achieved.
Supplier Finance Programs
Supplier Finance Programs
Our Tim Hortons business includes individually negotiated contracts with suppliers, which include payment terms that range up to 120 days. A global financial institution offers a voluntary supply chain finance (“SCF”) program to certain Tim Hortons vendors, which provides suppliers that elect to participate with the ability to elect early payment, which is discounted based on the payment terms and a rate based on RBI's credit rating, which may be beneficial to the vendor. Participation in the SCF program is at the sole discretion of the suppliers and financial institution and we are not a party to the arrangements between the suppliers and the financial institution. Our obligations to suppliers are not affected by the suppliers’ decisions to participate in the SCF program and our payment terms remain the same based on the original supplier invoicing terms and conditions. No guarantees are provided by us or any of our subsidiaries in connection with the SCF Program.
Reclassification
Reclassifications
Certain prior year amounts in the accompanying consolidated financial statements and notes to the consolidated financial statements have been reclassified in order to be comparable with the current year classifications. These reclassifications did not arise as a result of any changes to accounting policies and relate entirely to presentation with no effect on previously reported net income.
New Accounting Pronouncements
New Accounting Pronouncements
Segment Reporting – In November 2023, the Financial Accounting Standards Board (“FASB”) issued guidance that expands segment disclosures for public entities, including requiring disclosure of significant segment expenses that are regularly provided to the chief operating decision maker (“CODM”), the title and position of the CODM and an explanation of how the CODM uses reported measures of segment profit or loss in assessing segment performance and allocating resources. The new guidance also expands disclosures about a reportable segment’s profit or loss and assets in interim periods and clarifies that a public entity may report additional measures of segment profit if the CODM uses more than one measure of a segment’s profit or loss. The new guidance does not remove existing segment disclosure requirements or change how a public entity identifies its operating segments, aggregates those operating segments, or determines its reportable segments. During the fourth quarter of 2024, we adopted this guidance and added necessary disclosures upon adoption as disclosed in Note 18, Segment Reporting and Geographical Information.
Improvements to Income Tax Disclosures – In December 2023, the FASB issued guidance that expands income tax disclosures for public entities, including requiring enhanced disclosures related to the rate reconciliation and income taxes paid information. The guidance is effective for annual disclosures for fiscal years beginning after December 15, 2024, with early adoption permitted. The guidance should be applied on a prospective basis, with retrospective application to all prior periods presented in the financial statements permitted. We are currently evaluating the impact this new guidance will have on our disclosures upon adoption and expect to provide additional detail and disclosures under this new guidance.
Disaggregation of Income Statement Expenses – In November 2024, the FASB issued guidance that requires disclosure of disaggregated information about certain income statement expense line items. The guidance is effective for annual disclosures for fiscal years beginning after December 15, 2026, and subsequent interim periods with early adoption permitted, and requires retrospective application to all prior periods presented in the financial statements. We are currently evaluating the impact this new guidance will have on our disclosures upon adoption and expect to provide additional detail and disclosures under this new guidance.
v3.25.0.1
Significant Accounting Policies (Tables)
12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Schedule of Fair Value Measurements
The following table presents the fair value of our variable rate term debt and senior notes, estimated using inputs based on bid and offer prices that are Level 2 inputs, and principal carrying amount (in millions):
As of December 31,
20242023
Fair value of our variable term debt and senior notes$13,090 $12,401 
Principal carrying amount of our variable term debt and senior notes$13,651 $12,900 
Schedule of Supplier Finance Program Obligations The following table reflects the change of our confirmed outstanding obligations under the SCF program between December 31, 2023 and December 31, 2024 (in millions):
Confirmed obligations outstanding at December 31, 2023$36 
Invoices confirmed during the period159 
Confirmed invoices paid during the period(173)
Confirmed obligations outstanding at December 31, 2024$22 
v3.25.0.1
Carrols Acquisition (Tables)
12 Months Ended
Dec. 31, 2024
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Schedule of Business Acquisitions, by Acquisition
The following table summarizes the purchase price consideration in connection with the Carrols Acquisition (in millions):
Total cash paid$543 
Effective settlement of pre-existing balance sheet accounts (a)15 
Fair value of existing 15% equity interest
90 
Total consideration$648 
(a)Effective settlement of pre-existing balances with Carrols related to franchise and lease agreements prior to the date of acquisition.
Schedule of Preliminary Allocation of Consideration to Net Tangible and Intangible Assets Acquired
During the fourth quarter of 2024, we adjusted our preliminary estimate of the fair value of net assets acquired. The preliminary allocation of consideration to the net tangible and intangible assets acquired is presented in the table below (in millions):
May 16, 2024
Total current assets$81 
Property and equipment294 
Reacquired franchise rights363 
Operating lease assets705 
Other assets24 
Accounts and drafts payable(13)
Other accrued liabilities(150)
Current portion of long-term debt and finance leases(434)
Finance leases, net of current portion(9)
Operating lease liabilities, net of current portion(684)
Other liabilities(10)
Total identifiable net assets167 
Goodwill481 
Total consideration$648 
Business Acquisition, Pro Forma Information
The following table presents unaudited supplemental pro forma consolidated revenue for 2024 and 2023 as if the Carrols Acquisition had occurred on January 1, 2023 (in millions):
20242023
Total revenues$9,022 $8,707 
v3.25.0.1
Earnings per Share (Tables)
12 Months Ended
Dec. 31, 2024
Earnings Per Share [Abstract]  
Schedule of Basic and Diluted Earnings Per Share
The following table summarizes the basic and diluted earnings per share calculations (in millions, except per share amounts):
202420232022
Numerator:
Net income attributable to common shareholders - basic$1,021 $1,190 $1,008 
Add: Net income attributable to noncontrolling interests421 525 471 
Net income available to common shareholders and noncontrolling interests - diluted$1,442 $1,715 $1,479 
Denominator:
Weighted average common shares - basic319 312 307 
Exchange of noncontrolling interests for common shares (Note 13)131 139 144 
Effect of other dilutive securities
Weighted average common shares - diluted454 456 455 
Basic earnings per share (a)$3.21 $3.82 $3.28 
Diluted earnings per share (a)$3.18 $3.76 $3.25 
Anti-dilutive securities outstanding
(a)Diluted weighted average common shares and earnings per share may not recalculate exactly as it is calculated based on unrounded numbers.
v3.25.0.1
Property and Equipment, net (Tables)
12 Months Ended
Dec. 31, 2024
Property, Plant and Equipment [Abstract]  
Schedule of Property and Equipment, Net
Property and equipment, net, consist of the following (in millions):
 As of December 31,
 20242023
Land$952 $987 
Buildings and improvements1,334 1,193 
Restaurant equipment310 215 
Furniture, fixtures, and other280 347 
Finance leases331 335 
Construction in progress116 62 
3,323 3,139 
Accumulated depreciation and amortization(1,087)(1,187)
Property and equipment, net$2,236 $1,952 
v3.25.0.1
Intangible Assets, net and Goodwill (Tables)
12 Months Ended
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Intangible Assets, Net and Goodwill
Intangible assets, net and goodwill consist of the following (in millions):
As of December 31,
20242023
GrossAccumulated AmortizationNetGrossAccumulated AmortizationNet
Identifiable assets subject to amortization:
   Franchise agreements$707 $(369)$338 $727 $(348)$379 
Reacquired franchise rights374 (22)352 — — — 
   Favorable leases74 (53)21 81 (54)27 
      Subtotal1,155 (444)711 808 (402)406 
Indefinite-lived intangible assets:
   Tim Hortons brand
$5,972 $— $5,972 $6,423 $— $6,423 
   Burger King brand
2,068 — 2,068 2,107 — 2,107 
   Popeyes brand
1,355 — 1,355 1,355 — 1,355 
Firehouse Subs brand
816 — 816 816 — 816 
      Subtotal10,211 — 10,211 10,701 — 10,701 
Intangible assets, net$10,922 $11,107 
Goodwill
   TH segment$3,841 $4,118 
   BK segment240 232 
   PLK segment844 844 
   FHS segment193 193 
INTL segment377 388 
RH segment491 — 
      Total$5,986 $5,775 
Schedule of Estimated Future Amortization Expenses on Intangible Assets
As of December 31, 2024, the estimated future amortization expense on identifiable assets subject to amortization is as follows (in millions):
Twelve-months ended December 31,Amount
2025$69 
202668 
202767 
202866 
202965 
Thereafter376 
Total$711 
v3.25.0.1
Equity Method Investments (Tables)
12 Months Ended
Dec. 31, 2024
Equity Method Investments and Joint Ventures [Abstract]  
Schedule of Franchise and Property Revenue
We have equity interests in entities that own or franchise Tim Hortons, Burger King and Popeyes restaurants. Revenues recognized from franchisees that are owned or franchised by entities in which we have an equity interest, including Carrols through May 15, 2024, consist of the following (in millions):

202420232022
Revenues from affiliates:
Royalties$369 $402 $353 
Advertising revenues36 79 71 
Property revenues13 32 31 
Franchise fees and other revenue21 21 18 
Sales17 19 18 
Total$456 $553 $491 
v3.25.0.1
Other Accrued Liabilities and Other Liabilities (Tables)
12 Months Ended
Dec. 31, 2024
Other Liabilities Disclosure [Abstract]  
Schedule of Other Accrued Liabilities (Current) and Other Liabilities (Non-Current), Net
Other accrued liabilities (current) and other liabilities, net (non-current) consist of the following (in millions):
 As of December 31,
 20242023
Current:
Dividend payable$262 $245 
Interest payable69 67 
Accrued compensation and benefits143 147 
Taxes payable228 129 
Deferred income71 77 
Accrued advertising expenses35 58 
Restructuring and other provisions16 18 
Current portion of operating lease liabilities193 147 
Other124 117 
Other accrued liabilities$1,141 $1,005 
Non-current:
Taxes payable$52 $57 
Contract liabilities (see Note 15)517 555 
Derivatives liabilities227 
Unfavorable leases30 42 
Accrued pension23 34 
Deferred income54 57 
Other29 24 
Other liabilities, net$706 $996 
v3.25.0.1
Long-Term Debt (Tables)
12 Months Ended
Dec. 31, 2024
Debt Disclosure [Abstract]  
Schedule of Long-Term Debt
Long-term debt consists of the following (in millions):
 As of December 31,
 20242023
Term Loan B$4,726 $5,175 
Term Loan A1,275 1,275 
3.875% First Lien Senior Notes due 2028
1,550 1,550 
3.50% First Lien Senior Notes due 2029
750 750 
5.75% First Lien Senior Notes due 2025
— 500 
6.125% First Lien Senior Notes due 2029
1,200 — 
5.625% First Lien Senior Notes due 2029
500 — 
4.375% Second Lien Senior Notes due 2028
750 750 
4.00% Second Lien Senior Notes due 2030
2,900 2,900 
TH Facility and other108 143 
Less: unamortized deferred financing costs and deferred issuance discount(117)(122)
Total debt, net13,642 12,921 
Less: current maturities of debt(187)(67)
Total long-term debt$13,455 $12,854 
Schedule of Aggregate Maturities of Long-Term Debt
The aggregate maturities of our long-term debt as of December 31, 2024 are as follows (in millions):
Year Ended December 31,Principal Amount
2025$187 
202679 
2027111 
20283,495 
20292,498 
Thereafter7,389 
Total$13,759 
Schedule of Interest Expense, Net
Interest expense, net consists of the following (in millions):
202420232022
Debt (a)$572 $576 $493 
Finance lease obligations19 19 19 
Amortization of deferred financing costs and debt issuance discount25 27 28 
Interest income(39)(40)(7)
Interest expense, net$577 $582 $533 
(a)Amount includes $135 million and $83 million benefit during 2024 and 2023, respectively, and $54 million of expense during 2022 related to our interest rate swaps. Amount includes $53 million, $61 million and $56 million benefit during 2024, 2023 and 2022, respectively, related to the quarterly net settlements of our cross-currency rate swaps and amortization of the Excluded Component as defined in Note 12, Derivative Instruments.
v3.25.0.1
Leases (Tables)
12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Schedule of Lessor Operating Lease Assets
Assets leased to franchisees and others under operating leases where we are the lessor and which are included within our property and equipment, net are as follows (in millions):
 As of December 31,
 20242023
Land$779 $856 
Buildings and improvements962 1,102 
Restaurant equipment20 27 
1,761 1,985 
Accumulated depreciation and amortization(582)(656)
Property and equipment leased, net$1,179 $1,329 
Schedule of Net Investment, Direct Financing Leases
Our net investment in direct financing and sales-type leases is as follows (in millions):
 As of December 31,
 20242023
Future rents to be received:
Future minimum lease receipts$105 $111 
Contingent rents (a)
Estimated unguaranteed residual value
Unearned income(25)(26)
88 95 
Current portion included within accounts receivable(5)(5)
Net investment in property leased to franchisees (b)$83 $90 
(a)Amounts represent estimated contingent rents recorded in connection with the acquisition method of accounting.
(b)Included as a component of Other assets, net in our consolidated balance sheets.
Schedule of Property Revenue
Property revenues are comprised primarily of rental income from operating leases and earned income on direct financing leases with franchisees as follows (in millions):
202420232022
Rental income:
Minimum lease payments$367 $385 $410 
Variable lease payments465 452 395 
Amortization of favorable and unfavorable income lease contracts, net
Subtotal - lease income from operating leases833 839 806 
Earned income on direct financing and sales-type leases12 
Total property revenues$837 $851 $813 
Schedule of Lease Cost
Lease cost and other information associated with these lease commitments are as follows (in millions):
Lease Cost (Income)
202420232022
Operating lease cost$277 $201 $202 
Operating lease variable lease cost206 201 196 
Finance lease cost:
Amortization of right-of-use assets31 26 27 
Interest on lease liabilities19 19 19 
Sublease income(624)(631)(603)
Total lease income$(91)$(184)$(159)
Schedule of Lease Terms and Discount Rates
Lease Term and Discount Rate as of December 31, 2024 and 2023
As of December 31,
20242023
Weighted-average remaining lease term (in years):
Operating leases10.6 years9.5 years
Finance leases10.8 years11.2 years
Weighted-average discount rate:
Operating leases5.8 %5.5 %
Finance leases5.8 %5.8 %
Schedule of Other Lease Information
Other Information for 2024, 2023 and 2022
202420232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$267 $202 $198 
Operating cash flows from finance leases$19 $19 $19 
Financing cash flows from finance leases$36 $33 $31 
Supplemental noncash information on lease liabilities arising from obtaining right-of-use assets:
Right-of-use assets obtained in exchange for new finance lease obligations$20 $32 $22 
Right-of-use assets obtained in exchange for new operating lease obligations$253 $168 $133 
Schedule of Future Minimum Lease Receipts and Commitments
As of December 31, 2024, future minimum lease receipts and commitments are as follows (in millions):
 Lease ReceiptsLease Commitments (a)
 Direct
Financing
and Sales-Type Leases
Operating
Leases
Finance
Leases
Operating
Leases
2025$$324 $52 $299 
2026297 49 286 
2027272 43 271 
2028242 42 254 
2029212 34 233 
Thereafter71 946 211 1,332 
Total minimum receipts / payments$105 $2,293 431 2,675 
Less amount representing interest(110)(712)
Present value of minimum lease payments321 1,963 
Current portion of lease obligations (b)(35)(193)
Long-term portion of lease obligations$286 $1,770 
(a)Minimum lease payments have not been reduced by minimum sublease rentals of $1,380 million due in the future under non-cancelable subleases.
(b)Current portion of operating lease obligations included as a component of Other accrued liabilities in our consolidated balance sheets.
v3.25.0.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
Schedule of Income (Loss) Before Income Taxes
Income before income taxes, classified by source of income, is as follows (in millions):
202420232022
Canadian$317 $493 $444 
Foreign1,492 960 921 
Income before income taxes$1,809 $1,453 $1,365 
Schedule of Income Tax Expense (Benefit) Attributable to Income from Continuing Operations
Income tax expense (benefit) attributable to income from continuing operations consists of the following (in millions):
202420232022
Current:
Canadian$96 $(47)$(284)
U.S. Federal113 77 105 
U.S. state, net of federal income tax benefit24 27 26 
Other Foreign136 108 96 
$369 $165 $(57)
Deferred:
Canadian$(54)$(37)$20 
U.S. Federal(23)(18)(79)
U.S. state, net of federal income tax benefit(24)(5)(9)
Other Foreign96 (370)
$(5)$(430)$(60)
Income tax expense (benefit)$364 $(265)$(117)
Schedule of Statutory Rate Reconciles to Effective Income Tax Rate
The statutory rate reconciles to the effective income tax rate as follows:

202420232022
Statutory rate26.5 %26.5 %26.5 %
Costs and taxes related to foreign operations5.2 5.3 3.8 
Foreign tax rate differential(12.7)(15.1)(13.7)
Change in valuation allowance2.7 (0.8)(0.7)
Change in accrual for tax uncertainties(0.6)(6.2)(26.7)
Intercompany financing(1.8)(2.7)1.2 
Intra-Group reorganizations— (25.3)— 
Other0.8 0.1 1.0 
Effective income tax rate20.1 %(18.2)%(8.6)%
Schedule of Income Tax Expense (Benefit) Allocated to Continuing Operations and Amounts Separately Allocated to Other Items
Income tax (benefit) expense allocated to continuing operations and amounts separately allocated to other items was (in millions):

202420232022
Income tax expense (benefit) from continuing operations$364 $(265)$(117)
Cash flow hedge in accumulated other comprehensive income (loss)(14)153 
Net investment hedge in accumulated other comprehensive income (loss)(16)22 77 
Foreign Currency Translation in accumulated other comprehensive income (loss)— — 
Pension liability in accumulated other comprehensive income (loss)
Total$351 $(254)$115 
Schedule of Deferred Income Tax Expense (Benefit) Attributable to Income from Continuing Operations
The significant components of deferred income tax (benefit) expense attributable to income from continuing operations are as follows (in millions):

202420232022
Deferred income tax (benefit) expense$(39)$(1,788)$79 
Change in valuation allowance50 1,357 (143)
Change in effective U.S. state income tax rate(15)
Change in effective foreign income tax rate(1)(1)
Total$(5)$(430)$(60)
Schedule of the Deferred Tax Assets and Deferred Tax Liabilities
The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below (in millions):

 As of December 31,
 20242023
Deferred tax assets:
Accounts and notes receivable$$
Accrued employee benefits53 53 
Leases95 104 
Operating lease liabilities504 311 
Liabilities not currently deductible for tax665 452 
Tax loss and credit carryforwards1,050 1,042 
Intangible assets993 1,048 
Total gross deferred tax assets3,363 3,015 
Valuation allowance(1,588)(1,563)
Net deferred tax assets$1,775 $1,452 
Less deferred tax liabilities:
Property and equipment, principally due to differences in depreciation16 
Intangible assets1,738 1,743 
Leases113 128 
Operating lease assets475 288 
Statutory impairment26 28 
Derivatives63 47 
Outside basis difference36 28 
Other30 
Total gross deferred tax liabilities$2,497 $2,274 
Net deferred tax liability$722 $822 
Schedule of Changes in Valuation Allowance
Changes in the valuation allowance are as follows (in millions):

202420232022
Beginning balance$1,563 $194 $356 
Change in estimates recorded to deferred income tax expense32 (12)(9)
Additions related to deferred tax assets generated in current year— 1,369 — 
Changes in losses and credits18 — (134)
(Reductions) additions related to other comprehensive income(25)12 (19)
Ending balance$1,588 $1,563 $194 
Schedule of Amount and Expiration Dates of Operating Loss and Tax Credit Carry-forwards
The gross amount and expiration dates of operating loss and tax credit carry-forwards as of December 31, 2024 are as follows (in millions):

AmountExpiration Date
Canadian net operating loss carryforwards$313 2036-2044
Canadian capital loss carryforwards213 Indefinite
U.S. state net operating loss carryforwards482 2025-Indefinite
U.S. federal net operating loss carryforwards97 Indefinite
U.S. capital loss carryforwards15 2025
U.S. foreign tax credits112 2025-2044
Other foreign net operating loss carryforwards41 Indefinite
Other foreign net operating loss carryforwards103 2025-2041
Other foreign capital loss carryforward30 Indefinite
Other foreign credits707 2033
Schedule of Reconciliation of Beginning and Ending Amounts of Unrecognized Tax Benefits A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows (in millions):
202420232022
Beginning balance$58 $139 $437 
Additions for tax positions related to the current year(5)
Additions for tax positions of prior years— 
Reductions for tax positions of prior years(9)(14)(15)
Additions for settlement— — 
Reductions due to statute expiration(7)(85)(281)
Ending balance$44 $58 $139 
v3.25.0.1
Derivative Instruments (Tables)
12 Months Ended
Dec. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Quantitative Disclosures of Derivative Instruments
The following tables present the required quantitative disclosures for our derivative instruments, including their estimated fair values (all estimated using Level 2 inputs) and their location on our consolidated balance sheets (in millions):
 Gain or (Loss) Recognized in
Other Comprehensive Income (Loss)
 202420232022
Derivatives designated as cash flow hedges(1)
Interest rate swaps$133 $41 $509 
Forward-currency contracts$13 $(2)$14 
Derivatives designated as net investment hedges
Cross-currency rate swaps$298 $(210)$409 
(1) We did not exclude any components from the cash flow hedge relationships presented in this table.
Location of Gain or (Loss) Reclassified from AOCI into EarningsGain or (Loss) Reclassified from AOCI into
Earnings
 202420232022
Derivatives designated as cash flow hedges
Interest rate swapsInterest expense, net$135 $83 $(54)
Forward-currency contractsCost of sales$$$
 Location of Gain or (Loss) Recognized in EarningsGain or (Loss) Recognized in Earnings (Amount Excluded from Effectiveness Testing)
 202420232022
Derivatives designated as net investment hedges
Cross-currency rate swapsInterest expense, net$53 $61 $56 
Schedule of Fair Value Measurements
 Fair Value as of
December 31,
 
 20242023Balance Sheet Location
Assets:
Derivatives designated as cash flow hedges
Interest rate$194 $190 Other assets, net
Interest rate— Prepaids and other current assets
Foreign currency— Prepaids and other current assets
Derivatives designated as net investment hedges
Foreign currency83 Other assets, net
Total assets at fair value$286 $197 
Liabilities:
Derivatives designated as cash flow hedges
Foreign currency$— $Other accrued liabilities
Derivatives designated as net investment hedges
Foreign currency227 Other liabilities, net
Total liabilities at fair value$$229 
v3.25.0.1
Shareholders' Equity (Tables)
12 Months Ended
Dec. 31, 2024
Equity [Abstract]  
Schedule of Change in Components of Accumulated Other Comprehensive Income (Loss) ("AOCI")
The following table displays the change in the components of AOCI (in millions):
DerivativesPensionsForeign
Currency
Translation
Accumulated 
Other
Comprehensive
Income (Loss)
Balances at December 31, 2021$136 $(21)$(825)$(710)
Foreign currency translation adjustment— — (703)(703)
Net change in fair value of derivatives, net of tax714 — — 714 
Amounts reclassified to earnings of cash flow hedges, net of tax34 — — 34 
Pension and post-retirement benefit plans, net of tax— — 
Amounts attributable to noncontrolling interests(236)(2)218 (20)
Balances at December 31, 2022$648 $(17)$(1,310)$(679)
Foreign currency translation adjustment— — 250 250 
Net change in fair value of derivatives, net of tax(203)— — (203)
Amounts reclassified to earnings of cash flow hedges, net of tax(66)— — (66)
Pension and post-retirement benefit plans, net of tax— — 
Amounts attributable to noncontrolling interests101 (3)(113)(15)
Balances at December 31, 2023$480 $(13)$(1,173)$(706)
Foreign currency translation adjustment— — (858)(858)
Net change in fair value of derivatives, net of tax421 — — 421 
Amounts reclassified to earnings of cash flow hedges, net of tax(101)— — (101)
Pension and post-retirement benefit plans, net of tax— (2)— (2)
Amounts attributable to noncontrolling interests(81)219 139 
Balances at December 31, 2024$719 $(14)$(1,812)$(1,107)
v3.25.0.1
Share-based Compensation (Tables)
12 Months Ended
Dec. 31, 2024
Share-Based Payment Arrangement [Abstract]  
Schedule of Share-based Compensation Expense
Share-based compensation expense is generally classified as general and administrative expenses in the consolidated statements of operations and consists of the following for the periods presented (in millions):
202420232022
Total share-based compensation expense $161 $177 $121 
Schedule of Time-Vested RSUs and Performance-Based RSUs Activity
The following is a summary of time-vested RSUs and performance-based RSUs activity for the year ended December 31, 2024:
 Time-vested RSUsPerformance-based RSUs
 Total Number of
Shares
(in 000’s)
Weighted Average
Grant Date Fair
Value
Total Number of
Shares
(in 000’s)
Weighted Average
Grant Date Fair
Value
Outstanding at January 1, 20243,034 $60.29 7,346 $57.68 
Granted967 $73.91 991 $73.14 
Vested and settled(1,412)$63.34 (2,225)$62.56 
Dividend equivalents granted85 $— 191 $— 
Forfeited(315)$65.06 (487)$69.25 
Outstanding at December 31, 20242,359 $62.74 5,816 $57.04 
Schedule of the Significant Assumptions Used During the Year to Estimate the Fair Value of Stock Options
The following assumptions were used in the Black-Scholes option-pricing model to determine the fair value of stock option awards granted in 2022 at the grant date. There were no significant stock option awards granted in 2024 or 2023.
2022
Risk-free interest rate3.92%
Expected term (in years)7.50
Expected volatility30.0%
Expected dividend yield3.24%
Schedule of Option Activity under the Various Plan
The following is a summary of stock option activity under our plans for the year ended December 31, 2024:
Total Number of
Options 
(in 000’s)
Weighted 
Average
Exercise Price
Aggregate 
Intrinsic
Value (a)
(in 000’s)
Weighted 
Average
Remaining
Contractual Term
(Years)
Outstanding at January 1, 20246,198 $60.23 
Granted— $— 
Exercised(1,538)$50.35 
Forfeited(45)$65.44 
Outstanding at December 31, 20244,615 $62.91 $14,470 5.6
Exercisable at December 31, 20241,656 $57.39 $12,921 2.9
Vested or expected to vest at December 31, 20244,492 $62.85 $14,358 5.6

(a)The intrinsic value represents the amount by which the fair value of our stock exceeds the option exercise price at December 31, 2024.
v3.25.0.1
Revenue Recognition (Tables)
12 Months Ended
Dec. 31, 2024
Revenue from Contract with Customer [Abstract]  
Schedule of Change in Contract Liabilities December 31, 2023 and December 31, 2024 (in millions):
Contract Liabilities
Balance at December 31, 2023$555 
Recognized during period and included in the contract liability balance at the beginning of the year(60)
Increase, excluding amounts recognized as revenue during the period56 
Effective settlement of pre-existing contract liabilities in connection with Carrols Acquisition(22)
Impact of foreign currency translation(12)
Balance at December 31, 2024$517 
Schedule of Estimated Revenues Expected to be Recognized
The following table illustrates estimated revenues expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) on a consolidated basis as of December 31, 2024 (in millions):
Contract liabilities expected to be recognized in
2025$53 
202651 
202747 
202844 
202941 
Thereafter281 
Total$517 
Schedule of Disaggregation of Total Revenues
The following tables disaggregate revenue by segment (in millions):
2024
THBKPLKFHSINTLRHELIM (a)Total
Supply chain sales$2,708 $— $— $— $— $— $— $2,708 
Company restaurant sales45 242 148 41 — 1,116 — 1,592 
Royalties332 484 300 71 803 — (50)1,940 
Property revenues622 219 14 — — (20)837 
Franchise fees and other revenue32 17 11 34 48 — — 142 
Advertising revenues and other services301 488 295 68 82 — (47)1,187 
Total revenues$4,040 $1,450 $768 $214 $935 $1,116 $(117)$8,406 
(a)Represents elimination of intersegment revenues that consists of royalties, property and advertising and other services revenue recognized by BK and INTL from intersegment transactions with RH.
2023
THBKPLKFHSINTLTotal
Supply chain sales$2,679 $— $— $— $— $2,679 
Company restaurant sales46 97 89 39 — 271 
Royalties324 483 291 69 753 1,920 
Property revenues609 227 13 — 851 
Franchise fees and other revenue22 20 10 31 49 132 
Advertising revenues and other services292 470 289 48 70 1,169 
Total revenues$3,972 $1,297 $692 $187 $874 $7,022 
2022
THBKPLKFHSINTLTotal
Supply chain sales$2,583 $— $— $— $— $2,583 
Company restaurant sales48 70 78 40 — 236 
Royalties302 450 264 66 655 1,737 
Property revenues576 222 12 — 813 
Franchise fees and other revenue26 16 19 42 111 
Advertising revenues and other services266 438 257 13 51 1,025 
Total revenues$3,801 $1,196 $619 $138 $751 $6,505 
v3.25.0.1
Other Operating Expenses (Income), net (Tables)
12 Months Ended
Dec. 31, 2024
Other Income and Expenses [Abstract]  
Schedule of Other Operating Expenses (Income), Net
Other operating expenses (income), net, consist of the following (in millions):
202420232022
Net losses (gains) on disposal of assets, restaurant closures and refranchisings$$16 $
Litigation settlements and reserves, net— 11 
Net losses (gains) on foreign exchange(71)20 (4)
Other, net18 14 
Other operating expenses (income), net$(59)$55 $25 
v3.25.0.1
Segment Reporting and Geographical Information (Tables)
12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Schedule of Revenues by Operating Segment and Country
The following tables present total segment revenues, significant segment expenses that are regularly reviewed by the CODM to manage and assess segment performance and segment income, as well as depreciation and amortization, (income) loss from equity method investments, and capital expenditures by segment (in millions). For the periods referenced, segment franchise and property expenses (“Segment F&P expenses”) for each segment excludes franchise agreement and reacquired franchise rights amortization and Segment G&A for each segment excludes RH Transaction costs, FHS Transaction costs and Corporate restructuring and advisory fees (each as defined below). For segment reporting purposes, capital expenditures include payments for additions of property and equipment during the period, as well as the change in accruals for additions of property and equipment since the prior period. For 2024, capital expenditures for RH excludes $7 million of accruals for additions of property and equipment assumed in connection with the Carrols Acquisition.
2024
THBKPLKFHSINTLRHELIMTotal
Revenues from external customers$4,040 $1,333 $768 $214 $935 $1,116 $— $8,406 
Intersegment revenues— 117 — — — — (117)— 
Total revenues$4,040 $1,450 $768 $214 $935 $1,116 $(117)$8,406 
Operating costs and expenses:
Supply chain cost of sales2,180 — — — — — — 2,180 
Company restaurant expenses (a)37 221 129 36 — 965 (60)1,328 
Segment F&P expenses330 122 31 — (10)490 
Advertising expenses and other services307 558 303 70 90 49 (47)1,330 
Segment G&A158 139 84 51 200 59 — 691 
Adjustments:
Cash distributions received from equity method investments15 — — — — — — 15 
Adjusted Operating Income1,043 410 243 48 614 44 — 2,402 
Additional segment information:
Depreciation and amortization111 49 13 27 59 — 264 
(Income) loss from equity method investments(15)(78)— — 24 — — (69)
Capital expenditures47 72 23 11 86 — 245 
(a)The components of Company restaurant expenses for our RH segment are included below.
2023
THBKPLKFHSINTLTotal
Total revenues$3,972 $1,297 $692 $187 $874 $7,022 
Operating costs and expenses:
Supply chain cost of sales2,193 — — — — 2,193 
Company restaurant expenses38 90 80 34 — 242 
Segment F&P expenses319 133 10 11 481 
Advertising expenses and other services309 543 295 49 77 1,273 
Segment G&A168 145 86 58 190 647 
Adjustments:
Cash distributions received from equity method investments14 — — — — 14 
Adjusted Operating Income958 386 221 38 597 2,200 
Additional segment information:
Depreciation and amortization108 46 11 22 191 
(Income) loss from equity method investments(15)— — (1)(8)
Capital expenditures51 37 19 120 
2022
THBKPLKFHSINTLTotal
Total revenues$3,801 $1,196 $619 $138 $751 $6,505 
Operating costs and expenses:
Supply chain cost of sales2,093 — — — — 2,093 
Company restaurant expenses38 74 72 35 — 219 
Segment F&P expenses325 133 13 486 
Advertising expenses and other services282 468 261 12 54 1,077 
Segment G&A151 126 72 52 160 561 
Adjustments:
Cash distributions received from equity method investments13 — — — 15 
Adjusted Operating Income925 396 205 33 525 2,084 
Additional segment information:
Depreciation and amortization114 45 10 17 190 
(Income) loss from equity method investments(13)27 — — 30 44 
Capital expenditures39 31 18 100 
The following table presents the components of Company restaurant expenses for our RH segment (in millions):
2024
Company restaurant expenses for RH segment
Food, beverage and packaging costs$312 
Restaurant wages and related expenses358 
Restaurant occupancy expense and other295 
             Total$965 
The following tables present revenues by country (in millions):
202420232022
Revenues by country (b):
Canada$3,684 $3,630 $3,484 
United States3,783 2,518 2,270 
Other939 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.
Total long-lived assets by country are as follows (in millions):
 As of December 31,
 20242023
By country:
Canada$1,435 $1,545 
United States2,684 1,578 
Other52 41 
Total$4,171 $3,164 
Schedule of Reconciliation of Segment Income to Net Income (Loss) A reconciliation of segment income to net income consists of the following (in millions):
202420232022
Segment income:
TH$1,043 $958 $925 
BK410 386 396 
PLK243 221 205 
FHS48 38 33 
INTL614 597 525 
RH44 — — 
Adjusted Operating Income2,402 2,200 2,084 
Franchise agreement and reacquired franchise rights amortization53 31 32 
RH Transaction costs22 — — 
FHS Transaction costs— 19 24 
Corporate restructuring and advisory fees20 38 46 
Impact of equity method investments (a)(53)59 
Other operating expenses (income), net(59)55 25 
Income from operations2,419 2,051 1,898 
Interest expense, net577 582 533 
Loss on early extinguishment of debt33 16 — 
Income tax expense (benefit)364 (265)(117)
Net income$1,445 $1,718 $1,482 
(a)Represents (i) (income) loss from equity method investments and (ii) cash distributions received from our equity method investments. Cash distributions received from our equity method investments are included in segment income.
v3.25.0.1
Description of Business and Organization - Additional Information (Details)
Dec. 31, 2024
restaurant
country
Basis of Presentation [Line Items]  
Number of restaurants in operation 32,125
Number of countries and territories in which company and franchise restaurants operated (more than) | country 120
Percent of system-wide restaurants franchised 95.00%
TH  
Basis of Presentation [Line Items]  
Number of restaurants in operation 6,043
BK  
Basis of Presentation [Line Items]  
Number of restaurants in operation 19,732
PLK  
Basis of Presentation [Line Items]  
Number of restaurants in operation 4,979
Firehouse Subs  
Basis of Presentation [Line Items]  
Number of restaurants in operation 1,371
v3.25.0.1
Significant Accounting Policies - Additional Information (Details) - USD ($)
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Summary Of Accounting Policies [Line Items]      
Net bad debt expense (recoveries) $ 24,000,000 $ 20,000,000 $ 19,000,000
Goodwill and brand impairment 0 0 0
Advertising expenses and other services $ 1,268,000,000 $ 1,201,000,000 $ 1,032,000,000
Supplier finance programs, term 120 days    
Supplier Finance Program, Obligation, Current, Statement of Financial Position [Extensible Enumeration] Accounts and drafts payable    
Buildings and improvements      
Summary Of Accounting Policies [Line Items]      
Estimated useful life of assets (up to) 40 years    
Restaurant equipment      
Summary Of Accounting Policies [Line Items]      
Estimated useful life of assets (up to) 17 years    
Furniture, fixtures, and other      
Summary Of Accounting Policies [Line Items]      
Estimated useful life of assets (up to) 10 years    
Manufacturing equipment      
Summary Of Accounting Policies [Line Items]      
Estimated useful life of assets (up to) 25 years    
Corporate systems | Maximum      
Summary Of Accounting Policies [Line Items]      
Estimated useful life of assets (up to) 5 years    
v3.25.0.1
Significant Accounting Policies - Schedule of Fair Value Measurements (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Principal carrying amount of our variable term debt and senior notes $ 13,759  
Variable Term Debt and Senior Notes    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Fair value of our variable term debt and senior notes 13,090 $ 12,401
Principal carrying amount of our variable term debt and senior notes $ 13,651 $ 12,900
v3.25.0.1
Accounting Policies - Schedule of Supplier Finance Program Obligations (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Supplier Finance Program, Obligation [Roll Forward]    
Confirmed obligations outstanding at December 31, 2023 $ 22 $ 36
Invoices confirmed during the period 159  
Confirmed invoices paid during the period (173)  
Confirmed obligations outstanding at December 31, 2024 $ 22  
v3.25.0.1
Carrols Acquisition - Narrative (Details) - Carrols Restaurant Group, Inc. - USD ($)
$ / shares in Units, $ in Millions
2 Months Ended 8 Months Ended 9 Months Ended 12 Months Ended
May 16, 2024
Jun. 30, 2024
Dec. 31, 2024
Sep. 30, 2024
Dec. 31, 2024
May 15, 2024
Asset Acquisition, Contingent Consideration [Line Items]            
Equity interest           15.00%
Acquisition, remaining issued and outstanding shares percentage 85.00%          
Business acquisition price per share (in dollars per share) $ 9.55          
Business combination, recognition of gain       $ 79    
Payments to acquire businesses $ 543          
Outstanding debt $ 431          
Proceeds from loans used to business combination   $ 750        
Transaction costs         $ 11  
Goodwill, measurement adjustment     $ 16      
Reacquired franchise rights     22      
Weighted average amortization period         12 years  
Revenue     $ 1,171      
v3.25.0.1
Carrols Acquisition - Purchase Price Consideration (Details) - Carrols Restaurant Group, Inc. - USD ($)
$ in Millions
May 16, 2024
May 15, 2024
Asset Acquisition [Line Items]    
Total cash paid $ 543  
Effective settlement of pre-existing balance sheet accounts 15  
Fair value of existing 15% equity interest 90  
Equity interest   15.00%
Total consideration $ 648  
v3.25.0.1
Carrols Acquisition - Allocation of Consideration to Net Tangible and Intangible Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2024
May 16, 2024
Dec. 31, 2023
Business Acquisition [Line Items]      
Goodwill $ 5,986   $ 5,775
Carrols Restaurant Group, Inc.      
Business Acquisition [Line Items]      
Total current assets   $ 81  
Property and equipment   294  
Reacquired franchise rights   363  
Operating lease assets   705  
Other assets   24  
Accounts and drafts payable   (13)  
Other accrued liabilities   (150)  
Current portion of long-term debt and finance leases   (434)  
Finance leases, net of current portion   (9)  
Operating lease liabilities, net of current portion   (684)  
Other liabilities   (10)  
Total identifiable net assets   167  
Goodwill   481  
Total consideration   $ 648  
v3.25.0.1
Carrols Acquisition - Supplemental Pro Forma Information (Details) - USD ($)
$ in Millions
3 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Carrols Restaurant Group, Inc.    
Business Acquisition [Line Items]    
Total revenues $ 9,022 $ 8,707
v3.25.0.1
Earnings per Share - Schedule of Basic and Diluted Earnings Per Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Earnings Per Share [Abstract]      
Assumed conversion of convertible securities, percent 100.00%    
Numerator:      
Net income attributable to common shareholders - basic $ 1,021 $ 1,190 $ 1,008
Add: Net income attributable to noncontrolling interests 421 525 471
Net income available to common shareholders and noncontrolling interests - diluted $ 1,442 $ 1,715 $ 1,479
Denominator:      
Weighted average common shares - basic (in shares) 319 312 307
Exchange of noncontrolling interests for common shares (in shares) 131 139 144
Effect of other dilutive securities (in shares) 4 6 4
Weighted average common shares - diluted (in shares) 454 456 455
Basic earnings per share (in dollars per share) $ 3.21 $ 3.82 $ 3.28
Diluted earnings per share (in dollars per share) $ 3.18 $ 3.76 $ 3.25
Anti-dilutive securities outstanding (in shares) 4 5 6
v3.25.0.1
Property and Equipment, net - Schedule of Property and Equipment, Net (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Property, Plant and Equipment [Line Items]    
Property and equipment, including finance leases, gross $ 3,323 $ 3,139
Accumulated depreciation and amortization (1,087) (1,187)
Property and equipment, net 2,236 1,952
Land    
Property, Plant and Equipment [Line Items]    
Property and equipment, including finance leases, gross 952 987
Buildings and improvements    
Property, Plant and Equipment [Line Items]    
Property and equipment, including finance leases, gross 1,334 1,193
Restaurant equipment    
Property, Plant and Equipment [Line Items]    
Property and equipment, including finance leases, gross 310 215
Furniture, fixtures, and other    
Property, Plant and Equipment [Line Items]    
Property and equipment, including finance leases, gross 280 347
Finance leases    
Property, Plant and Equipment [Line Items]    
Property and equipment, including finance leases, gross 331 335
Construction in progress    
Property, Plant and Equipment [Line Items]    
Property and equipment, including finance leases, gross $ 116 $ 62
v3.25.0.1
Property and Equipment, net - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Property, Plant and Equipment [Line Items]      
Depreciation and amortization expense on property and equipment $ 186 $ 137 $ 135
Accumulated depreciation and amortization, finance leases 120 109  
Buildings and improvements      
Property, Plant and Equipment [Line Items]      
Assets leased under finance leases $ 211 $ 226  
v3.25.0.1
Intangible Assets, net and Goodwill - Schedule of Intangible Assets, Net and Goodwill (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]    
Gross $ 1,155 $ 808
Accumulated Amortization (444) (402)
Total 711 406
Indefinite-lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets: 10,211 10,701
Intangible assets, net 10,922 11,107
Trade Names | TH    
Indefinite-lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets: 5,972 6,423
Trade Names | BK    
Indefinite-lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets: 2,068 2,107
Trade Names | PLK    
Indefinite-lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets: 1,355 1,355
Trade Names | FHS    
Indefinite-lived Intangible Assets [Line Items]    
Indefinite-lived intangible assets: 816 816
Franchise agreements    
Finite-Lived Intangible Assets [Line Items]    
Gross 707 727
Accumulated Amortization (369) (348)
Total 338 379
Reacquired franchise rights    
Finite-Lived Intangible Assets [Line Items]    
Gross 374 0
Accumulated Amortization (22) 0
Total 352 0
Favorable leases    
Finite-Lived Intangible Assets [Line Items]    
Gross 74 81
Accumulated Amortization (53) (54)
Total $ 21 $ 27
v3.25.0.1
Intangible Assets, net and Goodwill - Schedule of Goodwill (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Goodwill [Line Items]    
Goodwill $ 5,986 $ 5,775
TH    
Goodwill [Line Items]    
Goodwill 3,841 4,118
BK    
Goodwill [Line Items]    
Goodwill 240 232
PLK    
Goodwill [Line Items]    
Goodwill 844 844
FHS    
Goodwill [Line Items]    
Goodwill 193 193
INTL    
Goodwill [Line Items]    
Goodwill 377 388
RH    
Goodwill [Line Items]    
Goodwill $ 491 $ 0
v3.25.0.1
Intangible Assets, net and Goodwill - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]      
Amortization expense on intangible assets $ 58 $ 37 $ 39
v3.25.0.1
Intangible Assets, net and Goodwill - Schedule of the Estimated Future Amortization Expenses on Intangible Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]    
2025 $ 69  
2026 68  
2027 67  
2028 66  
2029 65  
Thereafter 376  
Total $ 711 $ 406
v3.25.0.1
Equity Method Investments - Additional Information (Details) - USD ($)
$ in Millions
1 Months Ended 12 Months Ended
Jun. 30, 2024
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
May 16, 2024
May 15, 2024
Schedule of Equity Method Investments [Line Items]            
Equity method investments   $ 113 $ 163      
Cash distributions   15 14 $ 15    
Carrols Restaurant Group, Inc.            
Schedule of Equity Method Investments [Line Items]            
Equity interest           15.00%
Acquisition, remaining issued and outstanding shares percentage         85.00%  
Equity method investee            
Schedule of Equity Method Investments [Line Items]            
Accounts receivable from equity method investments   $ 44 61      
Related Party | Popeyes China | Convertible Notes Payable Due June 28, 2027            
Schedule of Equity Method Investments [Line Items]            
Debt instrument, face amount $ 20          
Debt instrument term 3 years          
Related Party | Popeyes China | Convertible Notes Payable Due August 15, 2027            
Schedule of Equity Method Investments [Line Items]            
Debt instrument, face amount $ 5          
Debt instrument term 3 years          
BK Brasil            
Schedule of Equity Method Investments [Line Items]            
Equity method investment ownership percentage (as a percent)   9.40%        
Quoted market price   $ 9        
TH            
Schedule of Equity Method Investments [Line Items]            
Equity method investment ownership percentage (as a percent)   4.20%        
Quoted market price   $ 5        
Carrols Restaurant Group, Inc.            
Schedule of Equity Method Investments [Line Items]            
Impairment     15      
Wendy's Company TIMWEN Partnership            
Schedule of Equity Method Investments [Line Items]            
Cash distributions   14 13 13    
Rent expense   $ 21 $ 21 $ 19    
Wendy's Company TIMWEN Partnership | Canadian            
Schedule of Equity Method Investments [Line Items]            
Equity method investment ownership percentage (as a percent)   50.00%        
v3.25.0.1
Equity Method Investments - Schedule of Franchise and Property Revenue (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Revenues from affiliates:      
Property revenues $ 837 $ 851 $ 813
Total revenues 8,406 7,022 6,505
Royalties      
Revenues from affiliates:      
Revenues 1,940 1,920 1,737
Advertising revenues      
Revenues from affiliates:      
Revenues 1,187 1,169 1,025
Total revenues 1,187 1,169 1,025
Franchise fees and other revenue      
Revenues from affiliates:      
Revenues 142 132 111
Affiliates      
Revenues from affiliates:      
Total revenues 456 553 491
Affiliates | Royalties      
Revenues from affiliates:      
Revenues 369 402 353
Affiliates | Advertising revenues      
Revenues from affiliates:      
Revenues 36 79 71
Affiliates | Property revenues      
Revenues from affiliates:      
Property revenues 13 32 31
Affiliates | Franchise fees and other revenue      
Revenues from affiliates:      
Revenues 21 21 18
Affiliates | Sales      
Revenues from affiliates:      
Revenues $ 17 $ 19 $ 18
v3.25.0.1
Other Accrued Liabilities and Other Liabilities - Schedule of Other Accrued Liabilities (Current) and Other Liabilities (Noncurrent), Net (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Current:    
Dividend payable $ 262 $ 245
Interest payable 69 67
Accrued compensation and benefits 143 147
Taxes payable 228 129
Deferred income 71 77
Accrued advertising expenses 35 58
Restructuring and other provisions 16 18
Current portion of operating lease liabilities $ 193 $ 147
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] Other accrued liabilities Other accrued liabilities
Other $ 124 $ 117
Other accrued liabilities 1,141 1,005
Non-current:    
Taxes payable 52 57
Contract liabilities (see Note 15) 517 555
Derivatives liabilities 1 227
Unfavorable leases 30 42
Accrued pension 23 34
Deferred income 54 57
Other 29 24
Other liabilities, net $ 706 $ 996
v3.25.0.1
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Sep. 13, 2024
Dec. 31, 2023
Sep. 21, 2023
Dec. 31, 2020
Nov. 09, 2020
Nov. 19, 2019
Sep. 24, 2019
Debt Instrument [Line Items]                
TH Facility and other $ 108   $ 143          
Less: unamortized deferred financing costs and deferred issuance discount (117)   (122)          
Total debt, net 13,642   12,921          
Less: current maturities of debt (187)   (67)          
Total long-term debt 13,455   12,854          
Term Loan B                
Debt Instrument [Line Items]                
Term loan facility 4,726   5,175          
Term Loan A                
Debt Instrument [Line Items]                
Term loan facility $ 1,275   1,275 $ 1,275        
3.875% First Lien Senior Notes due 2028 | Senior notes                
Debt Instrument [Line Items]                
Stated interest rate (as a percent) 3.875%             3.875%
Senior notes $ 1,550   1,550          
3.50% First Lien Senior Notes due 2029 | Senior notes                
Debt Instrument [Line Items]                
Stated interest rate (as a percent) 3.50%         3.50%    
Senior notes $ 750   750          
5.75% First Lien Senior Notes due 2025 | Senior notes                
Debt Instrument [Line Items]                
Stated interest rate (as a percent) 5.75%              
Senior notes $ 0   500          
6.125% First Lien Senior Notes due 2029 | Senior notes                
Debt Instrument [Line Items]                
Stated interest rate (as a percent) 6.125%              
Senior notes $ 1,200   0          
5.625% First Lien Senior Notes due 2029                
Debt Instrument [Line Items]                
Stated interest rate (as a percent)   5.625%            
5.625% First Lien Senior Notes due 2029 | Senior notes                
Debt Instrument [Line Items]                
Stated interest rate (as a percent) 5.625%              
Senior notes $ 500   0          
4.375% Second Lien Senior Notes due 2028 | Senior notes                
Debt Instrument [Line Items]                
Stated interest rate (as a percent) 4.375%           4.375%  
Senior notes $ 750   750          
4.00% Second Lien Senior Notes due 2030                
Debt Instrument [Line Items]                
Stated interest rate (as a percent)         4.00%      
4.00% Second Lien Senior Notes due 2030 | Senior notes                
Debt Instrument [Line Items]                
Senior notes $ 2,900   $ 2,900          
v3.25.0.1
Long-Term Debt - Credit Facilities (Details)
12 Months Ended
Jun. 17, 2024
USD ($)
Jun. 16, 2024
May 16, 2024
USD ($)
Sep. 21, 2023
USD ($)
subsidiary
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Sep. 20, 2023
USD ($)
Revolving Credit Facility              
Line of Credit Facility [Line Items]              
Commitment fee percentage (as a percent)         0.15%    
Term Loan A Due September 21, 2028              
Line of Credit Facility [Line Items]              
Number of subsidiaries | subsidiary       2      
Term Loan A Due September 21, 2028 | Revolving Credit Facility              
Line of Credit Facility [Line Items]              
Maximum borrowing capacity       $ 1,250,000,000     $ 1,000,000,000
Term Loan A              
Line of Credit Facility [Line Items]              
Term loan facility       1,275,000,000 $ 1,275,000,000 $ 1,275,000,000  
Interest rate, base rate floor (as a percent)         1.00%    
Effective interest rate (as a percent)         5.61%    
Term Loan A | Term loan A Quarterly Installment, One              
Line of Credit Facility [Line Items]              
Quarterly installment payment         $ 8,000,000    
Term Loan A | Term loan A Quarterly Installment, Thereafter              
Line of Credit Facility [Line Items]              
Quarterly installment payment         $ 16,000,000    
Term Loan A | Base rate | Minimum              
Line of Credit Facility [Line Items]              
Debt instrument floor rate (as a percent)         0.00%    
Term Loan A | Base rate | Maximum              
Line of Credit Facility [Line Items]              
Debt instrument floor rate (as a percent)         0.50%    
Term Loan A | Secured Overnight Financing Rate (SOFR)              
Line of Credit Facility [Line Items]              
Interest rate, base rate floor (as a percent)         0.00%    
Term Loan A | Secured Overnight Financing Rate (SOFR) | Minimum              
Line of Credit Facility [Line Items]              
Debt instrument floor rate (as a percent)         0.75%    
Term Loan A | Secured Overnight Financing Rate (SOFR) | Maximum              
Line of Credit Facility [Line Items]              
Debt instrument floor rate (as a percent)         1.50%    
Term Loan B Due September 21, 2030              
Line of Credit Facility [Line Items]              
Term loan facility       $ 5,175,000,000      
Term Loan B Due September 21, 2030 | Adjusted Term SOFR              
Line of Credit Facility [Line Items]              
Debt instrument adjustment (as a percent)       0.10%      
Term Loan B              
Line of Credit Facility [Line Items]              
Term loan facility         $ 4,726,000,000 $ 5,175,000,000  
Effective interest rate (as a percent)         6.11%    
Term Loan B | Term loan A Quarterly Installment, One              
Line of Credit Facility [Line Items]              
Quarterly installment payment       $ 12,000,000      
Term Loan B | Eurodollar              
Line of Credit Facility [Line Items]              
Interest rate, base rate floor (as a percent)       0.00%      
Debt instrument floor rate (as a percent)       1.75%      
Term Loan B | Base rate              
Line of Credit Facility [Line Items]              
Interest rate, base rate floor (as a percent)       1.00%      
Debt instrument floor rate (as a percent)       0.75%      
Term Loan Facility B | Senior notes              
Line of Credit Facility [Line Items]              
Stated interest rate (as a percent) 6.125%            
Term Loan Facility B | Revolving Credit Facility | Line of Credit              
Line of Credit Facility [Line Items]              
Term loan facility $ 4,750,000,000   $ 5,912,000,000        
Secured debt, increase (decrease), net     $ 750,000,000        
Debt instrument floor rate (as a percent) 1.75% 2.25%          
v3.25.0.1
Long-Term Debt - Revolving Credit Facility (Details)
12 Months Ended
Dec. 31, 2024
USD ($)
Revolving Credit Facility | Line of Credit  
Line of Credit Facility [Line Items]  
Long-term line of credit $ 0
Remaining borrowing capacity $ 1,248,000,000
Letter of Credit | Minimum  
Line of Credit Facility [Line Items]  
Debt instrument floor rate (as a percent) 0.75%
Letter of Credit | Maximum  
Line of Credit Facility [Line Items]  
Debt instrument floor rate (as a percent) 1.50%
Letter of Credit | Line of Credit  
Line of Credit Facility [Line Items]  
Long-term line of credit $ 2,000,000
Letter of credit sublimit as part of revolving credit facility $ 125,000,000
v3.25.0.1
Long-Term Debt - Senior Notes (Details) - USD ($)
12 Months Ended
Jul. 06, 2021
Nov. 09, 2020
Nov. 19, 2019
Sep. 24, 2019
Dec. 31, 2020
Dec. 31, 2024
Sep. 13, 2024
Jun. 17, 2024
Apr. 07, 2020
Dec. 31, 2017
3.875% First Lien Senior Notes due 2028 | Senior notes                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)       3.875%   3.875%        
Debt instrument, face amount $ 800,000,000     $ 750,000,000            
Principal payments       $ 0            
Debt instrument redemption price percentage (as a percent) 100.25%                  
2017 4.25% Senior Notes (due May 15, 2024) | Senior notes                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)                   4.25%
Principal amount redeemed $ 775,000,000 $ 725,000,000                
3.50% First Lien Senior Notes due 2029 | Senior notes                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)   3.50%       3.50%        
Debt instrument, face amount   $ 750,000,000                
Principal payments   $ 0                
Term Loan Facility B | Senior notes                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)               6.125%    
6.125% First Lien Senior Notes Due 2029                    
Debt Instrument [Line Items]                    
Debt instrument, face amount               $ 1,200,000,000    
5.625% First Lien Senior Notes due 2029                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)             5.625%      
Debt instrument, face amount             $ 500,000,000      
5.625% First Lien Senior Notes due 2029 | Senior notes                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)           5.625%        
5.75% First Lien Senior Notes due 2025 | Senior notes                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)                 5.75%  
Debt instrument, face amount                 $ 500,000,000  
4.375% Second Lien Senior Notes due 2028 | Senior notes                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)     4.375%     4.375%        
Debt instrument, face amount     $ 750,000,000              
Principal payments     $ 0              
4.00% Second Lien Senior Notes due 2030 | Senior notes                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)           4.00%        
Debt instrument, face amount         $ 2,900,000,000          
Principal payments         $ 0          
5.00% Second Lien Senior Notes due 2025 | Senior notes                    
Debt Instrument [Line Items]                    
Stated interest rate (as a percent)         5.00%          
Principal amount redeemed         $ 2,800,000,000          
v3.25.0.1
Long-Term Debt - Restrictions and Covenants (Details) - USD ($)
Dec. 31, 2024
Sep. 13, 2024
Jun. 17, 2024
Dec. 31, 2020
Nov. 09, 2020
Nov. 19, 2019
Sep. 24, 2019
5.625% First Lien Senior Notes due 2029              
Line of Credit Facility [Line Items]              
Stated interest rate (as a percent)   5.625%          
4.00% Second Lien Senior Notes due 2030              
Line of Credit Facility [Line Items]              
Stated interest rate (as a percent)       4.00%      
Senior notes | 3.875% First Lien Senior Notes due 2028              
Line of Credit Facility [Line Items]              
Stated interest rate (as a percent) 3.875%           3.875%
Senior notes | 3.50% First Lien Senior Notes due 2029              
Line of Credit Facility [Line Items]              
Stated interest rate (as a percent) 3.50%       3.50%    
Senior notes | Term Loan Facility B              
Line of Credit Facility [Line Items]              
Stated interest rate (as a percent)     6.125%        
Senior notes | 5.625% First Lien Senior Notes due 2029              
Line of Credit Facility [Line Items]              
Stated interest rate (as a percent) 5.625%            
Senior notes | 4.375% Second Lien Senior Notes due 2028              
Line of Credit Facility [Line Items]              
Stated interest rate (as a percent) 4.375%         4.375%  
Line of Credit              
Line of Credit Facility [Line Items]              
First lien senior secured leverage ratio limit 6.50            
Covenant, maximum amount of letters of credit outstanding $ 50,000,000            
Swingline loans outstanding percentage (as a percent) 30.00%            
v3.25.0.1
Long-Term Debt - TH Facility and RE Facility (Details)
$ in Millions
12 Months Ended
Dec. 31, 2024
USD ($)
subsidiary
Dec. 31, 2024
CAD ($)
subsidiary
Dec. 31, 2023
USD ($)
Line of Credit Facility [Line Items]      
Principal carrying amount of our variable term debt and senior notes $ 13,642   $ 12,921
TH Facility | Line of Credit      
Line of Credit Facility [Line Items]      
Number of subsidiaries | subsidiary 1 1  
Maximum borrowing capacity   $ 225,000,000  
Number of guaranteed subsidiaries | subsidiary 3 3  
Principal carrying amount of our variable term debt and senior notes   $ 154,000,000  
Effective interest rate (as a percent) 5.37% 5.37%  
TH Facility | Line of Credit | Canadian Bankers' Acceptance rate      
Line of Credit Facility [Line Items]      
Debt instrument floor rate (as a percent) 1.40%    
TH Facility | Line of Credit | Prime rate      
Line of Credit Facility [Line Items]      
Debt instrument floor rate (as a percent) 0.40%    
v3.25.0.1
Long-Term Debt - Debt Issuance Costs and Loss on Early Extinguishment of Debt (Details) - USD ($)
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Sep. 13, 2024
Jun. 17, 2024
Apr. 07, 2020
Debt Instrument [Line Items]            
Capitalized debt issuance costs $ 41,000,000 $ 44,000,000 $ 0      
Loss on early extinguishment of debt $ 33,000,000 16,000,000 $ 0      
Term Loan Facility B | Senior notes            
Debt Instrument [Line Items]            
Stated interest rate (as a percent)         6.125%  
5.625% First Lien Senior Notes due 2029            
Debt Instrument [Line Items]            
Stated interest rate (as a percent)       5.625%    
5.625% First Lien Senior Notes due 2029 | Senior notes            
Debt Instrument [Line Items]            
Stated interest rate (as a percent) 5.625%          
5.75% First Lien Senior Notes due 2025            
Debt Instrument [Line Items]            
Loss on early extinguishment of debt   $ 16,000,000        
5.75% First Lien Senior Notes due 2025 | Senior notes            
Debt Instrument [Line Items]            
Stated interest rate (as a percent)           5.75%
5.75% First Lien Senior Notes due 2025 | Senior notes            
Debt Instrument [Line Items]            
Stated interest rate (as a percent) 5.75%          
v3.25.0.1
Long-Term Debt - Schedule of Aggregate Maturities of Long-Term Debt (Details)
$ in Millions
Dec. 31, 2024
USD ($)
Principal Amount  
2025 $ 187
2026 79
2027 111
2028 3,495
2029 2,498
Thereafter 7,389
Total $ 13,759
v3.25.0.1
Long-Term Debt - Schedule of Interest Expense, Net (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Debt Disclosure [Abstract]      
Debt $ 572 $ 576 $ 493
Finance lease obligations 19 19 19
Amortization of deferred financing costs and debt issuance discount 25 27 28
Interest income (39) (40) (7)
Interest expense, net 577 582 533
Cross-currency rate swaps | Derivatives designated as net investment hedges | Interest expense, net      
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Gain (loss) reclassified to earnings, net investment hedge 53 61 56
Interest rate swaps | Derivatives designated as cash flow hedges | Interest expense, net      
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Gain or (loss) reclassified from AOCI into earnings $ 135 $ 83 $ (54)
v3.25.0.1
Leases - Additional Information (Details)
$ in Millions
12 Months Ended
Dec. 31, 2024
USD ($)
restaurant
Lessee, Lease, Description [Line Items]  
Restaurant properties to franchisees leased or subleased | restaurant 4,600
Minimum lease term for assets given on lease 10 years
Maximum lease term for assets given on lease 20 years
Minimum lease term for assets taken on lease 10 years
Maximum lease term for assets taken on lease 20 years
Total future undiscounted lease payments under leases not yet commenced | $ $ 26
Minimum  
Lessee, Lease, Description [Line Items]  
Terms of operating leases 10 years
Maximum  
Lessee, Lease, Description [Line Items]  
Terms of operating leases 20 years
v3.25.0.1
Leases - Schedule of Assets Lease, Property and Equipment, Net (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Property Subject to or Available for Operating Lease [Line Items]    
Property and equipment, gross $ 1,761 $ 1,985
Accumulated depreciation and amortization (582) (656)
Property and equipment, net 1,179 1,329
Land    
Property Subject to or Available for Operating Lease [Line Items]    
Property and equipment, gross 779 856
Buildings and improvements    
Property Subject to or Available for Operating Lease [Line Items]    
Property and equipment, gross 962 1,102
Restaurant equipment    
Property Subject to or Available for Operating Lease [Line Items]    
Property and equipment, gross $ 20 $ 27
v3.25.0.1
Leases - Schedule of Net Investment, Direct Financing Leases (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Future rents to be received:    
Future minimum lease receipts $ 105 $ 111
Contingent rents 2 4
Estimated unguaranteed residual value 6 6
Unearned income (25) (26)
Net investment in lease 88 95
Current portion included within accounts receivable (5) (5)
Net investment in property leased to franchisees $ 83 $ 90
v3.25.0.1
Leases - Schedule of Property Revenue (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Rental income:      
Minimum lease payments $ 367 $ 385 $ 410
Variable lease payments 465 452 395
Amortization of favorable and unfavorable income lease contracts, net 1 2 1
Subtotal - lease income from operating leases 833 839 806
Earned income on direct financing and sales-type leases 4 12 7
Total property revenues $ 837 $ 851 $ 813
v3.25.0.1
Leases - Lease Cost (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Leases [Abstract]      
Operating lease cost $ 277 $ 201 $ 202
Operating lease variable lease cost 206 201 196
Finance lease cost:      
Amortization of right-of-use assets 31 26 27
Interest on lease liabilities 19 19 19
Sublease income (624) (631) (603)
Total lease income $ (91) $ (184) $ (159)
v3.25.0.1
Leases - Lease Term and Discount Rate (Details)
Dec. 31, 2024
Dec. 31, 2023
Weighted-average remaining lease term (in years):    
Operating leases 10 years 7 months 6 days 9 years 6 months
Finance leases 10 years 9 months 18 days 11 years 2 months 12 days
Weighted-average discount rate:    
Operating leases 5.80% 5.50%
Finance leases 5.80% 5.80%
v3.25.0.1
Leases - Other Information Associated With Leases (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Cash paid for amounts included in the measurement of lease liabilities:      
Operating cash flows from operating leases $ 267 $ 202 $ 198
Operating cash flows from finance leases 19 19 19
Financing cash flows from finance leases 36 33 31
Supplemental noncash information on lease liabilities arising from obtaining right-of-use assets:      
Right-of-use assets obtained in exchange for new finance lease obligations 20 32 22
Right-of-use assets obtained in exchange for new operating lease obligations $ 253 $ 168 $ 133
v3.25.0.1
Leases - Schedule of Future Minimum Lease Receipts and Commitments (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Direct Financing and Sales-Type Leases    
2025 $ 7  
2026 7  
2027 7  
2028 7  
2029 6  
Thereafter 71  
Total minimum receipts / payments 105  
Operating Leases    
2025 324  
2026 297  
2027 272  
2028 242  
2029 212  
Thereafter 946  
Total minimum receipts / payments 2,293  
Finance Leases    
2025 52  
2026 49  
2027 43  
2028 42  
2029 34  
Thereafter 211  
Total minimum receipts / payments 431  
Less amount representing interest (110)  
Present value of minimum lease payments $ 321  
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Current portion of long-term debt and finance leases Current portion of long-term debt and finance leases
Current portion of lease obligations $ (35)  
Long-term portion of lease obligations 286 $ 312
Operating Leases    
2025 299  
2026 286  
2027 271  
2028 254  
2029 233  
Thereafter 1,332  
Total minimum receipts / payments 2,675  
Less amount representing interest (712)  
Present value of minimum lease payments 1,963  
Current portion of lease obligations (193) (147)
Long-term portion of lease obligations 1,770 $ 1,059
Minimum sublease rentals $ 1,380  
v3.25.0.1
Income Taxes - Income (Loss) Before Income Taxes (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Canadian $ 317 $ 493 $ 444
Foreign 1,492 960 921
Income before income taxes $ 1,809 $ 1,453 $ 1,365
v3.25.0.1
Income Taxes - Income Tax (Benefit) Expense Attributable to Income from Continuing Operations (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Current:      
Total current income tax expense (benefit) $ 369 $ 165 $ (57)
Deferred:      
Total (5) (430) (60)
Income tax expense (benefit) 364 (265) (117)
Canadian      
Current:      
Foreign 96 (47) (284)
Deferred:      
Foreign (54) (37) 20
United States      
Current:      
U.S. Federal 113 77 105
U.S. state, net of federal income tax benefit 24 27 26
Deferred:      
U.S. Federal (23) (18) (79)
U.S. state, net of federal income tax benefit (24) (5) (9)
Other Foreign      
Current:      
Foreign 136 108 96
Deferred:      
Foreign $ 96 $ (370) $ 8
v3.25.0.1
Income Taxes - Schedule of US Federal Tax Statutory Rate Reconciles to Effective Income Tax Rate (Details)
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Statutory rate 26.50% 26.50% 26.50%
Costs and taxes related to foreign operations 5.20% 5.30% 3.80%
Foreign tax rate differential (12.70%) (15.10%) (13.70%)
Change in valuation allowance 2.70% (0.80%) (0.70%)
Change in accrual for tax uncertainties (0.60%) (6.20%) (26.70%)
Intercompany financing (1.80%) (2.70%) 1.20%
Intra-Group reorganizations 0.00% (25.30%) 0.00%
Other 0.80% 0.10% 1.00%
Effective income tax rate 20.10% (18.20%) (8.60%)
v3.25.0.1
Income Taxes - Schedule of Income Tax (Benefit) Expense Allocated to Continuing Operations and Amounts Separately Allocated to Other Items (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Income tax expense (benefit) $ 364 $ (265) $ (117)
Cash flow hedge in accumulated other comprehensive income (loss) 2 (14) 153
Net investment hedge in accumulated other comprehensive income (loss) (16) 22 77
Foreign Currency Translation in accumulated other comprehensive income (loss) 0 1 0
Pension liability in accumulated other comprehensive income (loss) 1 2 2
Total $ 351 $ (254) $ 115
v3.25.0.1
Income Taxes - Schedule of Deferred Income Tax (Benefit) Expense Attributable to Income from Continuing Operations (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Deferred income tax (benefit) expense $ (39) $ (1,788) $ 79
Change in valuation allowance 50 1,357 (143)
Change in effective U.S. state income tax rate (15) 2 3
Change in effective foreign income tax rate (1) (1) 1
Total $ (5) $ (430) $ (60)
v3.25.0.1
Income Taxes - Schedule of the Deferred Tax Assets and Deferred Tax Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Deferred tax assets:        
Accounts and notes receivable $ 3 $ 5    
Accrued employee benefits 53 53    
Leases 95 104    
Operating lease liabilities 504 311    
Liabilities not currently deductible for tax 665 452    
Tax loss and credit carryforwards 1,050 1,042    
Intangible assets 993 1,048    
Total gross deferred tax assets 3,363 3,015    
Valuation allowance (1,588) (1,563) $ (194) $ (356)
Net deferred tax assets 1,775 1,452    
Less deferred tax liabilities:        
Property and equipment, principally due to differences in depreciation 16 7    
Intangible assets 1,738 1,743    
Leases 113 128    
Operating lease assets 475 288    
Statutory impairment 26 28    
Derivatives 63 47    
Outside basis difference 36 28    
Other 30 5    
Total gross deferred tax liabilities 2,497 2,274    
Net deferred tax liability $ 722 $ 822    
v3.25.0.1
Income Taxes - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Income Tax Disclosure [Abstract]        
Increase in valuation allowance $ 25      
Unrecognized tax benefits 44 $ 58 $ 139 $ 437
Total amount of accrued interest and penalties 12 11    
Potential interest and penalties associated with uncertain tax positions $ 3 $ 4 $ 3  
Income tax returns period subject to examination (up to) 6 years      
v3.25.0.1
Income Taxes - Schedule of Changes in Valuation Allowance (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Unrecognized Tax Benefits [Roll Forward]      
Beginning balance $ 1,563 $ 194 $ 356
Change in estimates recorded to deferred income tax expense 32 (12) (9)
Additions related to deferred tax assets generated in current year 0 1,369 0
Changes in losses and credits 18 0 (134)
(Reductions) additions related to other comprehensive income (25) 12 (19)
Ending balance $ 1,588 $ 1,563 $ 194
v3.25.0.1
Income Taxes - Schedule of Amount and Expiration Dates of Operating Loss and Tax Credit Carry-forwards (Details)
$ in Millions
Dec. 31, 2024
USD ($)
Canadian net operating loss carryforwards  
Operating Loss And Tax Credit Carryforwards [Line Items]  
Operating loss carryforwards $ 313
Canadian capital loss carryforwards  
Operating Loss And Tax Credit Carryforwards [Line Items]  
Capital loss carryforwards 213
U.S. state net operating loss carryforwards  
Operating Loss And Tax Credit Carryforwards [Line Items]  
Operating loss carryforwards 482
U.S. federal net operating loss carryforward  
Operating Loss And Tax Credit Carryforwards [Line Items]  
Operating loss carryforwards 97
U.S. capital loss carryforwards  
Operating Loss And Tax Credit Carryforwards [Line Items]  
Capital loss carryforwards 15
U.S. foreign tax credits  
Operating Loss And Tax Credit Carryforwards [Line Items]  
U.S. foreign tax credits 112
Foreign tax credits  
Operating Loss And Tax Credit Carryforwards [Line Items]  
Operating loss carryforwards 41
Capital loss carryforwards 30
Other foreign net operating loss carryforwards  
Operating Loss And Tax Credit Carryforwards [Line Items]  
Operating loss carryforwards 103
Other foreign credits  
Operating Loss And Tax Credit Carryforwards [Line Items]  
U.S. foreign tax credits $ 707
v3.25.0.1
Income Taxes - A Reconciliation of Beginning and Ending Amounts of Unrecognized Tax Benefits (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Unrecognized Tax Benefits [Roll Forward]      
Beginning balance $ 58 $ 139 $ 437
Additions for tax positions related to the current year 2 5  
Additions for tax positions related to the current year     (5)
Additions for tax positions of prior years 0 7 3
Reductions for tax positions of prior years (9) (14) (15)
Additions for settlement 0 6 0
Reductions due to statute expiration (7) (85) (281)
Ending balance $ 44 $ 58 $ 139
v3.25.0.1
Derivative Instruments - Additional Information (Details)
€ in Millions
12 Months Ended
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Nov. 30, 2024
USD ($)
Dec. 31, 2023
EUR (€)
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Settlement/sale of derivatives, net $ 74,000,000 $ 112,000,000 $ 71,000,000    
Interest Rate Swap - Period One          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount 3,500,000,000        
Interest Rate Swap - Period Two          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount 500,000,000        
Interest Rate Swaps - Period Three          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount 120,000,000        
Interest rate swaps | Interest expense, net          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Gain reclassified from AOCI to income 89,000,000        
Cross currency interest rate contract | Fixed Income Interest Rate          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount   1,200,000,000 5,000,000,000   € 1,108
Cross currency interest rate contract | Derivatives designated as net investment hedges          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount 5,700,000,000        
Settlement/sale of derivatives, net     35,000,000    
Cross currency interest rate contract | Derivatives designated as net investment hedges | Fixed Income Interest Rate | Euro Member Countries, Euro          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount   900,000,000      
Settlement/sale of derivatives, net   69,000,000      
Cross currency interest rate contract | Fixed Income Interest Rate | Fixed Income Interest Rate          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount     $ 5,000,000,000    
Cross Currency Interest Rate Contract, Maturing October 31, 2027 | Derivatives designated as net investment hedges          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount 700,000,000        
Cross Currency Interest Rate Contract, Maturing October 31, 2028 | Derivatives designated as net investment hedges | Fixed Income Interest Rate          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount 150,000,000        
Cross Currency Interest Rate Contract, Maturing October 31, 2029 | Derivatives designated as net investment hedges          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount       $ 1,400,000,000  
Cross Currency Interest Rate Contract, Maturing October 31, 2030 | Derivatives designated as net investment hedges          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount       1,650,000,000  
Cross Currency Interest Rate Contract, Maturing October 31, 2026 | Derivatives designated as net investment hedges | Fixed Income Interest Rate          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount 1,400,000,000        
Cross Currency Interest Rate Contract, Maturing November 30, 2028 | Derivatives designated as net investment hedges          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount 1,200,000,000        
Foreign Exchange Contract          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount 169,000,000        
Cross Currency Interest Rate Contract, Maturing February 17, 2024 | Derivatives designated as net investment hedges          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount   $ 2,100,000,000      
Cross Currency Interest Rate Contract, Interest Payable | Derivatives designated as net investment hedges | Fixed Income Interest Rate          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount       5,000,000,000  
Cross Currency Interest Rate Contract, Interest Receivable | Derivatives designated as net investment hedges          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount $ 2,750,000,000        
Cross Currency Interest Rate Contract, Maturing September 30 2028 | Derivatives designated as net investment hedges          
Derivative Instruments and Hedging Activities Disclosures [Line Items]          
Derivative notional amount       $ 1,950,000,000  
v3.25.0.1
Derivative Instruments - Quantitative Disclosures of Derivative Instruments (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Derivatives designated as cash flow hedges | Interest rate swaps      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain or (Loss) Recognized in Other Comprehensive Income (Loss) $ 133 $ 41 $ 509
Derivatives designated as cash flow hedges | Interest rate swaps | Interest expense, net      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain or (Loss) Reclassified from AOCI into Earnings 135 83 (54)
Derivatives designated as cash flow hedges | Forward-currency contracts      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain or (Loss) Recognized in Other Comprehensive Income (Loss) 13 (2) 14
Derivatives designated as cash flow hedges | Forward-currency contracts | Cost of sales      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain or (Loss) Reclassified from AOCI into Earnings 3 7 8
Derivatives designated as net investment hedges | Cross-currency rate swaps      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain or (Loss) Recognized in Other Comprehensive Income (Loss) 298 (210) 409
Derivatives designated as net investment hedges | Cross-currency rate swaps | Interest expense, net      
Derivative Instruments and Hedging Activities Disclosures [Line Items]      
Gain or (Loss) Recognized in Earnings (Amount Excluded from Effectiveness Testing) $ 53 $ 61 $ 56
v3.25.0.1
Derivative Instruments - Schedule of Fair Value Measurements (Details) - USD ($)
$ in Millions
Dec. 31, 2024
Dec. 31, 2023
Derivative [Line Items]    
Derivatives assets $ 286 $ 197
Derivatives liabilities 1 229
Derivatives designated as cash flow hedges | Interest rate | Other assets, net    
Derivative [Line Items]    
Derivatives assets 194 190
Derivatives designated as cash flow hedges | Interest rate | Prepaids and other current assets    
Derivative [Line Items]    
Derivatives assets 1 0
Derivatives designated as cash flow hedges | Foreign currency | Prepaids and other current assets    
Derivative [Line Items]    
Derivatives assets 8 0
Derivatives designated as cash flow hedges | Foreign currency | Other accrued liabilities    
Derivative [Line Items]    
Derivatives liabilities 0 2
Derivatives designated as net investment hedges | Foreign currency | Other assets, net    
Derivative [Line Items]    
Derivatives assets 83 7
Derivatives designated as net investment hedges | Foreign currency | Other liabilities, net    
Derivative [Line Items]    
Derivatives liabilities $ 1 $ 227
v3.25.0.1
Shareholders' Equity - Additional Information (Details)
12 Months Ended
Aug. 30, 2023
shares
Dec. 31, 2024
USD ($)
day
shares
Dec. 31, 2023
USD ($)
shares
Dec. 31, 2022
USD ($)
shares
Aug. 31, 2023
shares
Stockholders Equity [Line Items]          
Conversion rate (in shares)   1      
Consecutive trading days | day   20      
Partnership exchangeable units (in shares)     9,398,876 1,996,818  
Gain (loss) recorded on equity transactions | $   $ 0 $ 0 $ 0  
Number of shares authorized to be repurchased (in shares up to) 1,000,000,000       1,000,000,000
Stock repurchase program, period 2 years        
Number of shares repurchased and cancelled (in shares)     7,639,137 6,101,364  
Amount of shares repurchased and cancelled | $     $ 500,000,000 $ 326,000,000  
Remaining authorized repurchase amount | $   $ 500,000,000      
Partnerships Exchangeable Units          
Stockholders Equity [Line Items]          
Partnership exchangeable units (in shares)   6,559,187      
Restaurant Brands International Limited Partnership          
Stockholders Equity [Line Items]          
Partnership exchangeable units economic interest   28.10% 29.90%    
Partnership exchangeable units economic interest (in shares)   127,038,577 133,597,764    
v3.25.0.1
Shareholders' Equity - Schedule of Change in Components of AOCI (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Beginning balance $ 4,730 $ 4,268 $ 3,853
Foreign currency translation adjustment (858) 250 (703)
Net change in fair value of derivatives, net of tax 421 (203) 714
Amounts reclassified to earnings of cash flow hedges, net of tax (101) (66) 34
Pension and post-retirement benefit plans, net of tax (2) 7 6
Amounts attributable to noncontrolling interests 139 (15) (20)
Ending balance 4,843 4,730 4,268
Accumulated  Other Comprehensive Income (Loss)      
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Beginning balance (706) (679) (710)
Ending balance (1,107) (706) (679)
Derivatives      
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Beginning balance 480 648 136
Net change in fair value of derivatives, net of tax 421 (203) 714
Amounts reclassified to earnings of cash flow hedges, net of tax (101) (66) 34
Amounts attributable to noncontrolling interests (81) 101 (236)
Ending balance 719 480 648
Pensions      
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Beginning balance (13) (17) (21)
Pension and post-retirement benefit plans, net of tax (2) 7 6
Amounts attributable to noncontrolling interests 1 (3) (2)
Ending balance (14) (13) (17)
Foreign Currency Translation      
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Beginning balance (1,173) (1,310) (825)
Foreign currency translation adjustment (858) 250 (703)
Amounts attributable to noncontrolling interests 219 (113) 218
Ending balance $ (1,812) $ (1,173) $ (1,310)
v3.25.0.1
Share-based Compensation - Additional Information (Details) - USD ($)
$ / shares in Units, $ in Millions
1 Months Ended 12 Months Ended
Nov. 30, 2022
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Unrecognized compensation cost, period for recognition   2 years 6 months      
Portion of options vesting on each anniversary date, vesting percentage (as a percent)   20.00%      
New awards granted (in shares) 2,000,000 0 0    
Expected term (in years)       7 years 6 months  
Fair value of options granted (in usd per share)     $ 18.61 $ 17.52  
Total intrinsic value of stock options exercised   $ 38 $ 30 $ 10  
Third Anniversary          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent)   100.00%      
First Anniversary          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent)   20.00%      
Second Anniversary          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent)   40.00%      
Maximum | U.S. Treasury Yield          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Expected term (in years)   5 years      
2016 Omnibus Incentive Plan          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Shares available for issuance under the plan (in shares)   13,641,631      
Stock Compensation Plan          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Unrecognized compensation cost   $ 218      
Time-vested RSUs          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent)         25.00%
Vesting period         4 years
Weighted average grant date fair value, over period of time (in usd per share)     $ 68.40 $ 57.24  
Performance-based RSUs          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent)         100.00%
Vesting period 5 years 6 months 3 years 3 years 3 years 3 years
Employee service period         2 years
New awards granted (in shares) 750,000        
Weighted average grant date fair value, over period of time (in usd per share)     $ 59.66 $ 51.31  
Performance-based RSUs | If Employee Retires          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent)         67.00%
Performance-based RSUs | Chief Executive Officer          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting period     5 years    
Performance-based RSUs | Chief Executive Officer | Minimum          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent)     50.00%    
Performance-based RSUs | Chief Executive Officer | Maximum          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent)     200.00%    
Time-vested RSUs and Performance-based RSUs          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting period         5 years
Time-vested RSUs and Performance-based RSUs | Minimum          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent) 50.00%        
Time-vested RSUs and Performance-based RSUs | Maximum          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Portion of options vesting on each anniversary date, vesting percentage (as a percent) 200.00%        
Restricted Stock Units (RSUs)          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting period 5 years        
New awards granted (in shares) 500,000        
Total intrinsic value of vested RSU's   $ 271 $ 141 $ 58  
Share-based Payment Arrangement, Option          
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]          
Vesting period 5 years 5 years      
Stock options, expiration period 10 years 10 years      
v3.25.0.1
Share-based Compensation - Schedule of Share-based Compensation Expense (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]      
Total share-based compensation expense $ 161 $ 177 $ 121
v3.25.0.1
Share-based Compensation - Schedule of Time-Vested RSUs and Performance-Based RSUs Activity (Details)
shares in Thousands
12 Months Ended
Dec. 31, 2024
$ / shares
shares
Time-vested RSUs  
Total Number of Shares (in 000’s)  
Outstanding beginning balance (in shares) | shares 3,034
Granted (in shares) | shares 967
Vested and settled (in shares) | shares (1,412)
Dividend equivalents grants (in shares) | shares 85
Forfeited (in shares) | shares (315)
Outstanding ending balance (in shares) | shares 2,359
Weighted Average Grant Date Fair Value  
Outstanding beginning balance (in dollars per share) | $ / shares $ 60.29
Granted (in dollars per share) | $ / shares 73.91
Vested and settled (in dollars per share) | $ / shares 63.34
Dividend equivalents granted (in dollars per share) | $ / shares 0
Forfeited (in dollars per share) | $ / shares 65.06
Outstanding ending balance (in dollars per share) | $ / shares $ 62.74
Performance-based RSUs  
Total Number of Shares (in 000’s)  
Outstanding beginning balance (in shares) | shares 7,346
Granted (in shares) | shares 991
Vested and settled (in shares) | shares (2,225)
Dividend equivalents grants (in shares) | shares 191
Forfeited (in shares) | shares (487)
Outstanding ending balance (in shares) | shares 5,816
Weighted Average Grant Date Fair Value  
Outstanding beginning balance (in dollars per share) | $ / shares $ 57.68
Granted (in dollars per share) | $ / shares 73.14
Vested and settled (in dollars per share) | $ / shares 62.56
Dividend equivalents granted (in dollars per share) | $ / shares 0
Forfeited (in dollars per share) | $ / shares 69.25
Outstanding ending balance (in dollars per share) | $ / shares $ 57.04
v3.25.0.1
Share-based Compensation - Schedule of the Significant Assumptions Used During the Year to Estimate the Fair Value of Stock Options (Details) - shares
shares in Thousands
1 Months Ended 12 Months Ended
Nov. 30, 2022
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]        
New awards granted (in shares) 2,000 0 0  
Risk-free interest rate       3.92%
Expected term (in years)       7 years 6 months
Expected volatility       30.00%
Expected dividend yield       3.24%
v3.25.0.1
Share-based Compensation - Schedule of Option Activity under the Various Plan (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
1 Months Ended 12 Months Ended
Nov. 30, 2022
Dec. 31, 2024
Dec. 31, 2023
Total Number of Options      
Outstanding beginning balance (in shares)   6,198  
Granted (in shares) 2,000 0 0
Exercised (in shares)   (1,538)  
Forfeited (in shares)   (45)  
Outstanding ending balance (in shares)   4,615 6,198
Number of options, Exercisable (in shares)   1,656  
Number of options, Vested or expected to vest (in shares)   4,492  
Weighted  Average Exercise Price      
Outstanding beginning balance (in dollars per share)   $ 60.23  
Granted (in dollars per share)   0  
Exercised (in dollars per share)   50.35  
Forfeited (in dollars per share)   65.44  
Outstanding ending balance (in dollars per share)   62.91 $ 60.23
Weighted Average Exercise Price, Exercisable (in dollars per share)   57.39  
Weighted Average Exercise Price, Vested or expected to vest (in dollars per share)   $ 62.85  
Stock Option Activity, Additional Disclosures      
Aggregate Intrinsic Value, Outstanding   $ 14,470  
Weighted Average Remaining Contractual Term (Years), Outstanding   5 years 7 months 6 days  
Aggregate Intrinsic Value, Exercisable   $ 12,921  
Weighted Average Remaining Contractual Term (Years), Exercisable   2 years 10 months 24 days  
Aggregate Intrinsic Value, Vested or expected to vest   $ 14,358  
Weighted Average Remaining Contractual Term (Years), Vested or expected to vest   5 years 7 months 6 days  
v3.25.0.1
Revenue Recognition - Change in Contract Liabilities (Details)
$ in Millions
12 Months Ended
Dec. 31, 2024
USD ($)
Change In Contract With Customer Liability [Roll Forward]  
Beginning balance $ 555
Recognized during period and included in the contract liability balance at the beginning of the year (60)
Increase, excluding amounts recognized as revenue during the period 56
Effective settlement of pre-existing contract liabilities in connection with Carrols Acquisition (22)
Impact of foreign currency translation (12)
Ending balance $ 517
v3.25.0.1
Revenue Recognition - Estimated Revenue Recognition (Details)
$ in Millions
Dec. 31, 2024
USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Contract liabilities expected to be recognized in $ 517
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, expected timing of satisfaction, period 1 year
Contract liabilities expected to be recognized in $ 53
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, expected timing of satisfaction, period 1 year
Contract liabilities expected to be recognized in $ 51
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, expected timing of satisfaction, period 1 year
Contract liabilities expected to be recognized in $ 47
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2028-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, expected timing of satisfaction, period 1 year
Contract liabilities expected to be recognized in $ 44
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2029-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, expected timing of satisfaction, period 1 year
Contract liabilities expected to be recognized in $ 41
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2030-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, expected timing of satisfaction, period
Contract liabilities expected to be recognized in $ 281
v3.25.0.1
Revenue Recognition - Disaggregation of Total Revenues (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues $ 837 $ 851 $ 813
Total revenues 8,406 7,022 6,505
TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues   609 576
Total revenues 4,040 3,972 3,801
BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues   227 222
Total revenues 1,333 1,297 1,196
PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues   13 12
Total revenues 768 692 619
FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues   0 0
Total revenues 214 187 138
INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues   2 3
Total revenues 935 874 751
RH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 1,116    
Product | Supply chain sales      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 2,708 2,679 2,583
Total revenues 2,708 2,679 2,583
Product | Supply chain sales | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   2,679 2,583
Product | Supply chain sales | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   0 0
Product | Supply chain sales | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   0 0
Product | Supply chain sales | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   0 0
Product | Supply chain sales | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   0 0
Product | Company restaurant sales      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 1,592 271 236
Total revenues 1,592 271 236
Product | Company restaurant sales | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   46 48
Product | Company restaurant sales | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   97 70
Product | Company restaurant sales | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   89 78
Product | Company restaurant sales | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   39 40
Product | Company restaurant sales | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   0 0
Royalties      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 1,940 1,920 1,737
Royalties | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   324 302
Royalties | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   483 450
Royalties | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   291 264
Royalties | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   69 66
Royalties | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   753 655
Franchise fees and other revenue      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 142 132 111
Franchise fees and other revenue | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   22 26
Franchise fees and other revenue | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   20 16
Franchise fees and other revenue | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   10 8
Franchise fees and other revenue | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   31 19
Franchise fees and other revenue | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   49 42
Advertising revenues and other services      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 1,187 1,169 1,025
Total revenues 1,187 1,169 1,025
Advertising revenues and other services | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   292 266
Advertising revenues and other services | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   470 438
Advertising revenues and other services | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   289 257
Advertising revenues and other services | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   48 13
Advertising revenues and other services | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues   70 51
Operating Segments | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues 622    
Total revenues 4,040 3,972 3,801
Operating Segments | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues 219    
Total revenues 1,450 1,297 1,196
Operating Segments | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues 14    
Total revenues 768 692 619
Operating Segments | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues 0    
Total revenues 214 187 138
Operating Segments | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues 2    
Total revenues 935 $ 874 $ 751
Operating Segments | RH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues 0    
Total revenues 1,116    
Operating Segments | Product | Supply chain sales | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 2,708    
Operating Segments | Product | Supply chain sales | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Operating Segments | Product | Supply chain sales | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Operating Segments | Product | Supply chain sales | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Operating Segments | Product | Supply chain sales | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Operating Segments | Product | Supply chain sales | RH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Operating Segments | Product | Company restaurant sales | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 45    
Operating Segments | Product | Company restaurant sales | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 242    
Operating Segments | Product | Company restaurant sales | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 148    
Operating Segments | Product | Company restaurant sales | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 41    
Operating Segments | Product | Company restaurant sales | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Operating Segments | Product | Company restaurant sales | RH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 1,116    
Operating Segments | Royalties | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 332    
Operating Segments | Royalties | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 484    
Operating Segments | Royalties | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 300    
Operating Segments | Royalties | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 71    
Operating Segments | Royalties | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 803    
Operating Segments | Royalties | RH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Operating Segments | Franchise fees and other revenue | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 32    
Operating Segments | Franchise fees and other revenue | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 17    
Operating Segments | Franchise fees and other revenue | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 11    
Operating Segments | Franchise fees and other revenue | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 34    
Operating Segments | Franchise fees and other revenue | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 48    
Operating Segments | Franchise fees and other revenue | RH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Operating Segments | Advertising revenues and other services | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 301    
Operating Segments | Advertising revenues and other services | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 488    
Operating Segments | Advertising revenues and other services | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 295    
Operating Segments | Advertising revenues and other services | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 68    
Operating Segments | Advertising revenues and other services | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 82    
Operating Segments | Advertising revenues and other services | RH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Intersegment revenues      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Property revenues (20)    
Total revenues (117)    
Intersegment revenues | TH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Intersegment revenues | BK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 117    
Intersegment revenues | PLK      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Intersegment revenues | FHS      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Intersegment revenues | INTL      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Intersegment revenues | RH      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Intersegment revenues | Product | Supply chain sales      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Intersegment revenues | Product | Company restaurant sales      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Intersegment revenues | Royalties      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues (50)    
Intersegment revenues | Franchise fees and other revenue      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues 0    
Intersegment revenues | Advertising revenues and other services      
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]      
Total revenues $ (47)    
v3.25.0.1
Other Operating Expenses (Income), net - Other Operating Expenses (Income), net (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Other Income and Expenses [Abstract]      
Net losses (gains) on disposal of assets, restaurant closures and refranchisings $ 3 $ 16 $ 4
Litigation settlements and reserves, net 0 1 11
Net losses (gains) on foreign exchange (71) 20 (4)
Other, net 9 18 14
Other operating expenses (income), net $ (59) $ 55 $ 25
v3.25.0.1
Commitments and Contingencies (Details)
12 Months Ended
Oct. 07, 2024
director
Dec. 31, 2024
USD ($)
Commitments Contingencies And Litigation [Line Items]    
Amount of letter of credit outstanding   $ 0
Litigation settlement, gross   84,000,000
Beverages And Restaurant Equipment    
Commitments Contingencies And Litigation [Line Items]    
Long term purchase commitment, amount   $ 23,000,000
Long term purchase commitment, period   4 years
Former Shareholder Vs Individual Directors | Pending Litigation    
Commitments Contingencies And Litigation [Line Items]    
Number of defendants | director 2  
Purchase Commitment    
Commitments Contingencies And Litigation [Line Items]    
Contractual obligation related with telecommunication   5 years
Purchase Commitment | Advertising Commitment    
Commitments Contingencies And Litigation [Line Items]    
Purchase of advertising   $ 192,000,000
Standby Letters of Credit    
Commitments Contingencies And Litigation [Line Items]    
Amount of letter of credit outstanding   24,000,000
Letters of credit secured by collateral   $ 2,000,000
v3.25.0.1
Segment Reporting and Geographical Information - Additional Information (Details)
$ in Millions
6 Months Ended 12 Months Ended
Dec. 31, 2024
segment
Jun. 30, 2024
segment
Dec. 31, 2024
USD ($)
brand
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Revenue, Major Customer [Line Items]          
Number of brands | brand     4    
Number of operating segments | segment 6 5      
Number of reportable segments | segment 6 5      
Accruals for additions of property and equipment | $     $ 51 $ 0 $ 0
Carrols Restaurant Group, Inc.          
Revenue, Major Customer [Line Items]          
Accruals for additions of property and equipment | $     $ 7    
v3.25.0.1
Segment Reporting and Geographical Information - Revenues by Operating Segment and Country (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Revenue, Major Customer [Line Items]      
Total revenues $ 8,406 $ 7,022 $ 6,505
Segment F&P expenses 490 481 486
Advertising expenses and other services 1,330 1,273 1,077
Segment G&A 691 647 561
Cash distributions received from equity method investments 15 14 15
Adjusted Operating Income 2,402 2,200 2,084
Additional segment information:      
Depreciation and amortization 264 191 190
(Income) loss from equity method investments (69) (8) 44
Capital expenditures 245 120 100
Supply chain sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 2,180 2,193 2,093
Company restaurant sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 1,328 242 219
TH      
Revenue, Major Customer [Line Items]      
Total revenues 4,040 3,972 3,801
BK      
Revenue, Major Customer [Line Items]      
Total revenues 1,333 1,297 1,196
PLK      
Revenue, Major Customer [Line Items]      
Total revenues 768 692 619
FHS      
Revenue, Major Customer [Line Items]      
Total revenues 214 187 138
INTL      
Revenue, Major Customer [Line Items]      
Total revenues 935 874 751
RH      
Revenue, Major Customer [Line Items]      
Total revenues 1,116    
Operating Segments | TH      
Revenue, Major Customer [Line Items]      
Total revenues 4,040 3,972 3,801
Segment F&P expenses 330 319 325
Advertising expenses and other services 307 309 282
Segment G&A 158 168 151
Cash distributions received from equity method investments 15 14 13
Adjusted Operating Income 1,043 958 925
Additional segment information:      
Depreciation and amortization 111 108 114
(Income) loss from equity method investments (15) (15) (13)
Capital expenditures 47 51 39
Operating Segments | TH | Supply chain sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 2,180 2,193 2,093
Operating Segments | TH | Company restaurant sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 37 38 38
Operating Segments | BK      
Revenue, Major Customer [Line Items]      
Total revenues 1,450 1,297 1,196
Segment F&P expenses 122 133 133
Advertising expenses and other services 558 543 468
Segment G&A 139 145 126
Cash distributions received from equity method investments 0 0 0
Adjusted Operating Income 410 386 396
Additional segment information:      
Depreciation and amortization 49 46 45
(Income) loss from equity method investments (78) 8 27
Capital expenditures 72 37 31
Operating Segments | BK | Supply chain sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 0 0 0
Operating Segments | BK | Company restaurant sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 221 90 74
Operating Segments | PLK      
Revenue, Major Customer [Line Items]      
Total revenues 768 692 619
Segment F&P expenses 9 10 9
Advertising expenses and other services 303 295 261
Segment G&A 84 86 72
Cash distributions received from equity method investments 0 0 0
Adjusted Operating Income 243 221 205
Additional segment information:      
Depreciation and amortization 13 11 10
(Income) loss from equity method investments 0 0 0
Capital expenditures 23 9 9
Operating Segments | PLK | Supply chain sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 0 0 0
Operating Segments | PLK | Company restaurant sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 129 80 72
Operating Segments | FHS      
Revenue, Major Customer [Line Items]      
Total revenues 214 187 138
Segment F&P expenses 8 8 6
Advertising expenses and other services 70 49 12
Segment G&A 51 58 52
Cash distributions received from equity method investments 0 0 0
Adjusted Operating Income 48 38 33
Additional segment information:      
Depreciation and amortization 5 4 4
(Income) loss from equity method investments 0 0 0
Capital expenditures 6 4 3
Operating Segments | FHS | Supply chain sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 0 0 0
Operating Segments | FHS | Company restaurant sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 36 34 35
Operating Segments | INTL      
Revenue, Major Customer [Line Items]      
Total revenues 935 874 751
Segment F&P expenses 31 11 13
Advertising expenses and other services 90 77 54
Segment G&A 200 190 160
Cash distributions received from equity method investments 0 0 2
Adjusted Operating Income 614 597 525
Additional segment information:      
Depreciation and amortization 27 22 17
(Income) loss from equity method investments 24 (1) 30
Capital expenditures 11 19 18
Operating Segments | INTL | Supply chain sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 0 0 0
Operating Segments | INTL | Company restaurant sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 0 0 0
Operating Segments | RH      
Revenue, Major Customer [Line Items]      
Total revenues 1,116    
Segment F&P expenses 0    
Advertising expenses and other services 49    
Segment G&A 59    
Cash distributions received from equity method investments 0    
Adjusted Operating Income 44 $ 0 $ 0
Additional segment information:      
Depreciation and amortization 59    
(Income) loss from equity method investments 0    
Capital expenditures 86    
Operating Segments | RH | Supply chain sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 0    
Operating Segments | RH | Company restaurant sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 965    
Operating Segments | RH | Company restaurant sales | Food, beverage and packaging costs      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 312    
Operating Segments | RH | Company restaurant sales | Restaurant wages and related expenses      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 358    
Operating Segments | RH | Company restaurant sales | Restaurant occupancy expense and other      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 295    
Intersegment Eliminations      
Revenue, Major Customer [Line Items]      
Total revenues (117)    
Segment F&P expenses (10)    
Advertising expenses and other services (47)    
Segment G&A 0    
Cash distributions received from equity method investments 0    
Adjusted Operating Income 0    
Additional segment information:      
Depreciation and amortization 0    
(Income) loss from equity method investments 0    
Capital expenditures 0    
Intersegment Eliminations | Supply chain sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 0    
Intersegment Eliminations | Company restaurant sales      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs (60)    
Intersegment Eliminations | TH      
Revenue, Major Customer [Line Items]      
Total revenues 0    
Intersegment Eliminations | BK      
Revenue, Major Customer [Line Items]      
Total revenues 117    
Intersegment Eliminations | PLK      
Revenue, Major Customer [Line Items]      
Total revenues 0    
Intersegment Eliminations | FHS      
Revenue, Major Customer [Line Items]      
Total revenues 0    
Intersegment Eliminations | INTL      
Revenue, Major Customer [Line Items]      
Total revenues 0    
Intersegment Eliminations | RH      
Revenue, Major Customer [Line Items]      
Total revenues $ 0    
v3.25.0.1
Segment Reporting and Geographical Information - Schedule of Components of Company Restaurant (Details) - Company restaurant sales - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs $ 1,328 $ 242 $ 219
RH | Operating Segments      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 965    
RH | Operating Segments | Food, beverage and packaging costs      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 312    
RH | Operating Segments | Restaurant wages and related expenses      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs 358    
RH | Operating Segments | Restaurant occupancy expense and other      
Revenue, Major Customer [Line Items]      
Food, beverage and packaging costs $ 295    
v3.25.0.1
Segment Reporting and Geographical Information - Schedule of Revenues by Country (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Revenue, Major Customer [Line Items]      
Total revenues $ 8,406 $ 7,022 $ 6,505
Canadian      
Revenue, Major Customer [Line Items]      
Total revenues $ 3,684 $ 3,630 3,484
Canadian | Sales Revenue, net | Geographic Concentration Risk      
Revenue, Major Customer [Line Items]      
Percentage of revenue (as a percent) 10.00% 10.00%  
United States      
Revenue, Major Customer [Line Items]      
Total revenues $ 3,783 $ 2,518 2,270
United States | Sales Revenue, net | Geographic Concentration Risk      
Revenue, Major Customer [Line Items]      
Percentage of revenue (as a percent) 10.00% 10.00%  
Other      
Revenue, Major Customer [Line Items]      
Total revenues $ 939 $ 874 $ 751
v3.25.0.1
Segment Reporting and Geographical Information - Schedule of Segment Related Assets and Long Lived Assets (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Revenue, Major Customer [Line Items]    
Total $ 4,171 $ 3,164
Canadian    
Revenue, Major Customer [Line Items]    
Total $ 1,435 $ 1,545
Canadian | Geographic Concentration Risk | Assets, Total    
Revenue, Major Customer [Line Items]    
Percentage of revenue (as a percent) 10.00% 10.00%
United States    
Revenue, Major Customer [Line Items]    
Total $ 2,684 $ 1,578
United States | Geographic Concentration Risk | Assets, Total    
Revenue, Major Customer [Line Items]    
Percentage of revenue (as a percent) 10.00% 10.00%
Other    
Revenue, Major Customer [Line Items]    
Total $ 52 $ 41
v3.25.0.1
Segment Reporting and Geographical Information - Reconciliation of Segment Income to Net Income (Loss) (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Segment Reporting, Revenue Reconciling Item [Line Items]      
Adjusted Operating Income $ 2,402 $ 2,200 $ 2,084
(Income) loss from equity method investments (69) (8) 44
Other operating expenses (income), net (59) 55 25
Income from operations 2,419 2,051 1,898
Interest expense, net 577 582 533
Loss on early extinguishment of debt 33 16 0
Income tax expense (benefit) 364 (265) (117)
Net income 1,445 1,718 1,482
Operating Segments | TH      
Segment Reporting, Revenue Reconciling Item [Line Items]      
Adjusted Operating Income 1,043 958 925
(Income) loss from equity method investments (15) (15) (13)
Operating Segments | BK      
Segment Reporting, Revenue Reconciling Item [Line Items]      
Adjusted Operating Income 410 386 396
(Income) loss from equity method investments (78) 8 27
Operating Segments | PLK      
Segment Reporting, Revenue Reconciling Item [Line Items]      
Adjusted Operating Income 243 221 205
(Income) loss from equity method investments 0 0 0
Operating Segments | FHS      
Segment Reporting, Revenue Reconciling Item [Line Items]      
Adjusted Operating Income 48 38 33
(Income) loss from equity method investments 0 0 0
Operating Segments | INTL      
Segment Reporting, Revenue Reconciling Item [Line Items]      
Adjusted Operating Income 614 597 525
(Income) loss from equity method investments 24 (1) 30
Operating Segments | RH      
Segment Reporting, Revenue Reconciling Item [Line Items]      
Adjusted Operating Income 44 0 0
(Income) loss from equity method investments 0    
Unallocated management G&A      
Segment Reporting, Revenue Reconciling Item [Line Items]      
Franchise agreement and reacquired franchise rights amortization 53 31 32
Corporate restructuring and advisory fees 20 38 46
(Income) loss from equity method investments (53) 6 59
Other operating expenses (income), net (59) 55 25
Unallocated management G&A | FHS      
Segment Reporting, Revenue Reconciling Item [Line Items]      
Transaction costs 0 19 24
Unallocated management G&A | RH      
Segment Reporting, Revenue Reconciling Item [Line Items]      
Transaction costs $ 22 $ 0 $ 0
v3.25.0.1
Subsequent Events - Additional Information (Details) - Subsequent Event - USD ($)
$ / shares in Units, $ in Millions
Feb. 14, 2025
Feb. 12, 2025
Jan. 03, 2025
Subsequent Event [Line Items]      
Common stock, dividends paid (in usd per share)     $ 0.58
Dividends payable (in dollars per share)   $ 0.62  
Burger King China      
Subsequent Event [Line Items]      
Consideration transferred $ 158    
Partnerships Exchangeable Units | Restaurant Brands International Limited Partnership      
Subsequent Event [Line Items]      
Distribution in respect of each Partnership exchangeable unit (in usd per share)   $ 0.62 $ 0.58