Burger King UK delivers solid performance, signs new 20-year franchise agreement, completes refinancing: Burger King UK produced a “solid performance” and resilient growth in 2024 amid sector headwinds, driven by its continued expansion, as it revealed it recently completed a refinancing. Revenue for the year ended 31 December 2024 increased by 7% to £408.3m (2023: £381.8n) with like-for-like sales growth of 4.5% to £347m (2023: £332m) – driven by home delivery sales and supported by targeted marketing and improved in-store trading. Underlying Ebitda increased by 12% to £26m (2023: £23.2 million), reflecting “disciplined cost control and operational efficiency”. The business, which operates 574 restaurants, 284 of which are directly owned and the remainder are sub-franchises, opened 13 new sites during the year and acquired two restaurants from sub-franchisees. It said it made strong progress in its remodelling programme during the period, with 18 existing restaurants upgraded, including Thorpe Park and Gloucester Road, delivering “improved customer experience and supporting sales uplift”. The company made a continued investment in digital innovation during 2024, with further rollout of kiosk technology and enhancements to the Burger King UK app, supporting growth in digital and delivery channels. Post-period, the company signed a new circa 20-year master franchise agreement with Burger King Europe GmbH (a subsidiary of Restaurant Brands International – RBI), extending its master franchise rights for Burger King to the Republic of Ireland for the first time. It said that post year-end trading remained robust, with continued sales growth and a strong pipeline of new openings. It said it had now surpassed $1bn in system-wide sales, more than doubling its sales since Q3 2017 when the business, backed by Bridgepoint, acquired the master franchise rights for Burger King in the UK. It plans to open circa 30 new restaurants per year from 2026, with a particular focus on company-owned locations. The group finished the year with cash of £19.2m (2023: £25.7m). During 2025, the group expects to invest over £25m to support the opening of new restaurants together with investment in the existing estate. Earlier this month, the company completed a refinancing process, extending the maturity of its bank facilities to March 2028. Alasdair Murdoch, chief executive of Burger King UK, said: “I am pleased to report another year of solid performance and strategic progress for Burger King UK in 2024. Despite a challenging macroeconomic environment and ongoing sector cost pressures, we delivered revenue growth, positive like-for-like sales, and improved underlying Ebitda through disciplined cost management and operational focus. We continued to expand, opening 13 new restaurants and acquiring two additional sites, while advancing our remodelling programme to enhance the customer experience. Our digital strategy has increased operational efficiency and enabled a seamless, best-in-class experience, with further rollout of kiosks and app enhancements driving strong growth in digital and delivery channels. We enhanced our iconic Whopper, bringing it closer to perfection, continued to innovate our Gourmet range, and invested in our family offering through Kids Meal improvements and the Kids Eat Free programme during school holidays. These initiatives have supported ongoing growth. While inflation in food and utility costs has returned to more normal levels, the sector continues to face softer consumer sentiment and rising labour costs following significant increases in the National Minimum Wage and National Living Wage. Despite these pressures, we have traded well, increasing revenue to £408.3m (2023: £381.8m), supported by good sales growth – including home delivery – and new store openings. We’ve maintained good momentum into the first half of 2025 and surpassed $1 billion in system-wide sales – more than doubling our sales since Q3 2017, when BKUK Group Ltd, backed by Bridgepoint, acquired the master franchise rights for Burger King in the UK. Since then, with a consistent leadership team in place, we have built a strong, resilient business focused on growth, innovation and delivering for our customers. Looking ahead, our new circa 20-year master franchise agreement marks a significant milestone – extending our master franchise rights for Burger King to the Republic of Ireland for the first time and providing a powerful platform to accelerate expansion across both the Republic of Ireland and the UK. While macroeconomic and political uncertainty persists, we remain confident that our ambitious expansion plans, ongoing innovation, and continued investment in digital initiatives will enable us to deliver sustained growth.”

Propel’s sector-leading guide to the UK’s 500 largest hospitality companies to be made free to Premium subscribers on day of publication: Propel’s sector-leading guide to the UK’s 500 largest hospitality companies is making its return – and will now be available to Premium Club subscribers on the day of publication. The Propel 500 – 2026 report will analyse the companies leading the charge in hospitality, reporting on turnover, number of sites and key staff. The 45,000-word report will feature exclusive analysis to provide a full understanding of the market’s dynamics, as the top companies in the sector shift position after a challenging year. Mark Wingett will review the mergers and acquisitions changing the shape of the Top 500 as size increasingly matters. Katherine Doggrell will examine the key developments in UK hotels and look into one of the sector’s brightest lights, experiential leisure, while Tim Street dissects the UK’s rapidly developing franchise market. Data expert Mark Bentley, business development director at HDI, will look at emerging growth sectors, and Meaningful Vision founder Maria Vanifatova will analyse the latest trends in the quick service restaurant market. Propel 500 – 2026 will be released on Friday, 9 January at 9am and will be available free to Premium Club subscribers. The report will be available to non-Premium Club subscribers for £595 plus VAT. A Premium Club subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Premium Club for a year for £995 plus VAT – whether they are an operator or supplier. Email kai.kirkman@propelinfo.com today to sign up and to pre-order Propel 500 – 2026.