---
title: "Burger King Parent Company Restructures Operations to Drive Growth"
url: https://burnaze.com/article/762b4ce4-e924-46c9-88cd-d902da02d226
source: "1851 Franchise"
original_url: https://1851franchise.com/burger-kings-parent-company-restructures-operations-in-china-and-the-us-to-drive-growth-2728638
category: "Burger"
industry: "Restaurants"
segment: "Burger"
topics: ["Finance & M&A","Operations"]
published: 2025-02-20T20:15:11.000Z
modified: 2026-11-01T00:54:33.276Z
image: https://newimage.1851franchise.com/cdn-cgi/image/quality=85,format=webp,width=1280,height=720/story/featureImage/1f36c3d7895396d4175d63512abe498e2891.jpg
---

# Burger King Parent Company Restructures Operations to Drive Growth

**TL;DR:** Restaurant Brands International, the parent company of Burger King, is restructuring its operations in China and the U.S. to drive growth and stabilize its operations. The company has acquired Burger King China and plans to find a new local operator, while also modernizing and restructurering Burger King's franchise system in the U.S.

*originally published in 1851 Franchise on 2025-02-20. [Read the original](https://1851franchise.com/burger-kings-parent-company-restructures-operations-in-china-and-the-us-to-drive-growth-2728638).*

## Story

Restaurant Brands International (RBI), the parent company of Burger King, is making strategic moves to stabilize and grow its operations, both in China and the U.S. In China, RBI has acquired Burger King China from TFI Asia Holdings for $158 million, but it does not intend to retain ownership.

Instead, the company plans to find a new local operator willing to invest in the struggling brand. Burger King China has faced significant challenges, with lower-than-average unit volumes of $400,000 per restaurant, financial instability and store closures outpacing new openings. The company had already terminated TFI’s agreement in October due to underperformance.

Despite RBI’s international success, China remains a weak spot, especially compared to fast-food competitors like McDonald’s, Starbucks and KFC, which continue to expand aggressively.

Meanwhile, in the U.S., RBI is accelerating its efforts to modernize and restructure Burger King’s franchise system.

The company has remodeled over 370 locations in 2024, surpassing the halfway mark of its “Reclaim the Flame” restaurant upgrade initiative*.* These remodels, particularly the new Sizzle concept stores, are driving significant sales increases. The company also aims to rework its franchise model by breaking up Carrols Restaurant Group’s 1,022-unit system, which it acquired for $1 billion.

The refranchising process is moving ahead of schedule, with RBI initiating sales of select locations in 2025 and accelerating the effort in 2026.

Burger King’s efforts to modernize and restructure are already paying off. The company reported a 1.5% increase in U.S. comparable sales in Q4 2024, outperforming McDonald’s, which saw a decline due to an E. coli outbreak.

Additionally, remodeled stores are seeing “mid-teens” percentage increases in sales, and franchisee profitability has significantly improved, with restaurant-level EBITDA rising from $140,000 in 2022 to $205,000 in 2024. RBI’s long-term strategy involves shifting ownership from large, struggling franchisees to smaller, engaged multi-unit operators, a move that has already shown success in markets like North Carolina. Through aggressive remodeling, refranchising and restructuring, RBI aims to position Burger King as a stronger competitor in the global fast-food market.

## Entities

- 1851 Franchise (publication)
- Restaurants (sector)
- unit expansion (topic)
- McDonald's (company)
- Starbucks (company)
- Burger King (company)
- United States (location)
- KFC (company)
- market growth (topic)
- franchise system (topic)
- China (location)
- refranchising (topic)

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Originally reported by 1851 Franchise (https://1851franchise.com/burger-kings-parent-company-restructures-operations-in-china-and-the-us-to-drive-growth-2728638). Summarized by Burnaze (https://burnaze.com/article/762b4ce4-e924-46c9-88cd-d902da02d226).