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Burger King Is Winning the Fast Food Fight With 8.5% Sales Growth

A $28 million burger revamp drove the quarter, with $356 million in remodels still unfunded.
Burger King Is Winning the Fast Food Fight With 8.5% Sales Growth
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Article by reviewed by Katherine MaclangRu Reid
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Burger King's U.S. same-store sales jumped 8.5% in the second quarter, running 7.7 points ahead of McDonald's 0.8% growth

Almost none of the growth came from the remodel program Burger King has spent four years promoting.

RBI funded roughly $5 million toward Royal Reset remodels during the quarter.

Royal Reset is one piece of "Reclaim the Flame," the turnaround plan Burger King has run since 2022.

The plan covers remodels, kitchen upgrades, a revamped Whopper, and a direct relationship with customers.

The Whopper revamp, which Tom Curtis credits for the result, runs near $28 million a year across the entire U.S. system.

Burger King bought its best quarter in three years with the cheapest item on its list.

The Whopper Revamp Costs $4,000 per Restaurant a Year

The easy explanation for Burger King's sales growth is the Whopper.

The chain updated its signature burger this year with a new bun, creamier mayonnaise, and freshly cut toppings.

New packaging holds it together on the way to the customer.

Curtis puts the cost at about $4,000 per restaurant annually. Across roughly 7,000 U.S. restaurants, the revamp totals near $28 million a year. 

RBI told investors in February that its guest experience ranking has moved from 10th to sixth in the industry.

Advertising can convince someone to give a brand another try, but the customer experience decides whether they'll return.

Burger King's marketing has increasingly acknowledged this.

The chain's "There's A New King And It's You" campaign, created with BarkleyOKRP, openly addressed the brand's previous problems.

The chain highlighted old restaurants, slow service, and simple mistakes before pointing to the changes being made.

Sales moved within two quarters of the new burger reaching restaurants.

Product design changes travel faster than construction because customers meet them on the next visit.

A brand can reset what customers expect at the counter long before it remodels the building.

RBI Owes $356 Million in Remodels Over 10 Quarters

Burger King's restaurant estate moved on a much slower clock than its menu.

Restaurants with a modern image also increased from 37% in 2021 to 58% in 2025, against a target of 85% to 90% by 2028.

RBI also raised the initial $400 million remodel fund to as much as $700 million through 2028, with $550 million set aside for Royal Reset remodels.

As of June 30, the company had funded $194 million of it. The running total sat at $152 million in June 2025.

That leaves $356 million to fund with 10 quarters left on the clock.

Burger King spent about $42 million across the trailing year, and finishing by 2028 requires roughly $36 million every quarter.

The distance between a stated investment and a funded one is where most turnaround stories quietly break.

Brand strategy commitments get judged on the cash that actually moves each quarter.

Only 65% of McDonald's Restaurants Ran the Under-$3 Menu

McDonald's posted 0.8% U.S. comparable sales for the same quarter, as guest counts fell.

Reuters reports that McDonald’s recent U.S. performance has been weighed down by softer traffic, particularly among lower-income customers.

The chain’s value promotions have also failed to generate the traffic it expected, including its under-$3 menu and $4 breakfast deal.

CEO Chris Kempczinski told investors the company does not have a strategy problem, but an execution one.

He revealed that only 60% to 65% of U.S. restaurants actually ran the under-$3 menu.

Loose pricing rules also let some franchisees raise the price of small fries during a value push.

Roughly 95% of McDonald's U.S. restaurants belong to franchisees, so every change has to clear more than 13,000 independently run locations.

Burger King bought Carrols in 2024 for about $1 billion and took direct control of more than 1,000 restaurants.

Same-store sales at these company-owned locations rose 9.0%, outpacing the 8.5% system figure.

A change tested inside restaurants the company owns arrives faster than one negotiated across a franchise base.

Brand consistency is an ownership question long before it becomes a marketing one.

Burger King's comeback offers valuable insights for brands looking to rebuild.

  • Sequence the cheap fixes first. Changes customers meet on their next visit deliver results faster than capital projects, and those results pay for the rest.
  • Track the dollars actually funded. A multi-year commitment reads the same whether it is on pace or years behind, so measure each quarter against what remains.
  • Own a slice of the operation you want to change. Company-run locations prove a change works before independent operators fund it.

Turnarounds hold when the money keeps moving after the sales number arrives.

Our Take: Is Burger King's Turnaround Fully Paid For?

McDonald's launched its NEXT plan in June, covering menu quality, restaurant redesign, hospitality, and marketing.

Burger King announced almost the same four things in September 2022.

We think the four-year head start explains the entire gap between these two quarters, and no, the turnaround is not paid for yet.

Curtis gave out his phone number in February and heard from more than 30,000 customers.

Every one of them was told that the restaurants were getting fixed.

Burger King still has $356 million of remodel commitment left and 10 quarters to fund it.

The investment is clearly working, which is exactly why Burger King has to keep funding it.

Beating McDonald's is just the beginning, but it's a very promising start indeed. 

Want to turn customer feedback into stronger brand experiences?

Explore these top brand strategy agencies to find a partner that can connect audience insight with action.

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