Tim Hortons' 4th-Q net more than quadruples; revs up 15.5%

Nation's Restaurant News,  Feb 19, 2007  

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Oakville, Ontario -- Tim Hortons Inc., parent to the namesake chain of 3,047 doughnut outlets, posted a more-than-fourfold increase in fourth-quarter net income from a year earlier, when profits were hurt by impairment charges and expenses from its spinoff from Wendy's International Inc.

For the quarter ended Dec. 31, Tim Hortons earned $67.9 million Canadian, or $58.3 million U.S., versus profit of $16.4 million Canadian, or $14.1 million U.S., a year earlier. Revenues increased 15.5 percent to $466.5 million Canadian, or $400.3 million U.S.

Fourth-quarter same-store sales rose 9.3 percent at outlets in Canada and 8.3 percent at U.S. locations, Tim Hortons reported.

The fourth quarter of fiscal 2005 included an asset write-down related to the 2004 acquisition of Bess Eaton outlets in New England. General and administrative expenses were 25.9 percent lower in the latest quarter because of year-earlier costs related to the company's IPO and its spinoff.

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