Burger King UK’s revenue spikes after restaurants revamped and new sites opened
Burger King has reported a rise in sales and revenue in 2023 after a boost from new restaurant openings.
Revenue spiked by a huge 30 per cent, although like-for-like sales only rose by three percent.
The rise in revenue was due to growth in the “existing estate and new restaurants”, as well as “good cost management”.
Burger King UK opened 18 new restaurants last year, and refitted a further 10.
Operating profit for Burger King UK significantly improved to £13.4m for the year, up from a loss of £20.7m in 2022 due to a “combination of factors including the increase in revenue and good cost management”, the company said.
The fast-food offering has managed to grow at a time when other chains – like McDonald’s – have posted profit dips.
Alasdair Murdoch, chief executive of Burger King UK, said: “Our revenue performance and improvement in operating profit reflects the strength of our brand and the continued demand for our high-quality, affordable food offering.
We also continued to invest in our customer proposition through our remodelling programme, advancements in digital transformation and the launch of several new products.
Looking ahead, we are excited about our ambitious expansion plans and the continued growth of our digital and delivery services, supported by good cost management and a robust pipeline of new openings.”
Higher-than-inflation price rises at multiple fast food restaurants have pushed consumers away from the chains, especially in north America.
In the US, a Burger King whopper meal for two has increased by $5.50 – from $8.99 to $14.49 – since 2021, while the official inflation rate would have only increased it $1.55 from $8.99 to $10.54.
The business continued to expand its home delivery service and has partnerships with major home delivery operators including Deliveroo, Just Eat and Uber Eats.