Long-struggling Burger King is making turnaround progress.
The QSR chain reported a profit of $25 million for its first fiscal quarter, ended in March, compared to a a loss of $5.9 million in Q1 2011.
A major menu overhaul focused on healthier items and a marketing campaign featuring celebrities David Beckham, Jay Leno and Slma Hayek contributed to same-store sales gains of 4.2% in North America, versus a 6% decline in last year’s first quarter.
Globally, revenue grew by 3.2%, and same-store sales increased 4.6%, despite a comp-store decline of 2.8% in the Asia-Pacific region.
BK’s results also reflect a reduction in costs from completing restructuring and various other projects, and early debt payoffs made possible through a 2011 refinancing.
BK CFO Daniel Schwartz said that the company is “particularly please with [its] performance in North America, which delivered its best comparable-sales performance in more than eight quarters.” He also said that strong execution of BK’s global business strategies is reflected in the company’s strong performance in key internatioal markets.