Q2 2014
Investor Fact Sheet
Tim Hortons is one of the largest publicly-traded restaurant chains in North America based on market
capitalization, and the largest in Canada by a wide-measure. Operating in the quick service segment of the
restaurant industry, Tim Hortons appeals to a broad range of consumer tastes, with a menu that includes
premium coffee, hot and cold specialty drinks (including lattes, cappuccinos and espresso shots), specialty
teas and fruit smoothies, fresh baked goods, grilled Panini and classic sandwiches, wraps, soups, prepared
foods and other food products. As of June 29, 2014, Tim Hortons had 4,546 systemwide restaurants,
including 3,630 in Canada, 866 in the United States and 50 in the Gulf Cooperation Council (GCC).
Our Promise: We will delight every consumer who comes in contact with our brand
by providing superior quality products/services and the ultimate guest experience.
Q2 Highlights
• Acceleration in same-store sales growth contributes to strong operating performance
• Successful product innovation contributes to sales growth (eg. Crispy Chicken Sandwich and Frozen Hot
Chocolate)
• Significant advancements in mobile technology
• Company expects 2014 EPS and U.S. same-store sales growth at high end, or slightly above, target ranges
Q2 Same-Store
Sales Growth
Canada
U.S.
2.6%
5.9%
DEVELOPMENT
Q2 EPS:
Restaurants Opened
$0.92
+13.6%
CANADA
29
U.S.
1
INTERNATIONAL
6
Key Pillars of our 2014-2018 Strategic Plan: Winning in the New Era
CANADA
U.S.
INTERNATIONAL
Defend the core
Core and priority market AUV
growth
Grow and learn in GCC
Narrow the average
cheque gap
Capture new ‘demand spaces’
Extend our brand reach
Optimize box and capital
deployment model
Focus on select core and priority
markets
Validate strategy in 2014
beyond GCC
Redeploy resources
Positioned to enter new
market(s) in 2015
Q2 2014
Investor Fact Sheet
FINANCIAL STRENGTH (as of June 29, 2014)
FINANCIAL HIGHLIGHTS
(In millions, except Earnings Per Share (EPS). All numbers rounded.
All financial information is presented in Canadian dollars.)
Q2 2014
Q2 2013
6.5%
5.0%
2.6%
5.9%
1.5%
1.4%
Total Revenues
$874.3
$800.1
Total Costs & Expenses, net
$682.0
$623.6
Operating Income
$192.4
$176.6
Net Income Attributable to THI
$123.8
$123.7
Diluted EPS Attributable to THI
$0.92
$0.81
Avg. Diluted Shares Outstanding
134.4
152.6
Systemwide Sales Growth*
Same-Store Sales Growth
Can
US
Current Ratio
Quick Ratio
Debt to Equity Ratio
1.2
0.6
3.7
VALUATION RATIOS
Price
Price
Price
Price
to
to
to
to
Earnings
Revenue
Book
Cash Flow
18.1
2.3
20.2
11.8
MANAGEMENT EFFECTIVENESS
Return on Equity
Return on Invested Capital
Return on Assets
53.0%
24.9%
20.5%
PROFITABILITY RATIOS
*Determined using a constant exchange rate to exclude the effects of foreign currency
Operating Margin
Net Profit Margin
translation
Source: Company information as of June 29, 2014.
22.0%
14.2%
Source: Company information as of June 29, 2014.
SHARE PERFORMANCE
QUARTERLY DIVIDEND HISTORY
(as of June 29, 2014)
THI Daily (TSX: THI)
Dividend
$0.35
$0.30
$64
$62
$60
$58
$56
$54
$52
23%
$0.25
24%
$0.20
24%
$0.15
31%
April
30%
May
June
$0.10
Key Trading Data (as of June 29, 2014)
$0.05
2009
Payout
Range
2010
20-25%
2011
2012
30-35%
2013
2014
35-40%
* Percentages rounded
Complete history at www.timhortons.com/ca/en/corporate/dividend.php
Executive Management:
Marc Caira
Chief Executive Officer
Scott Bonikowsky
SVP, Corporate Affairs & IR
David Clanachan
Chief Operating Officer
Cynthia Devine
Chief Financial Officer
Mike Meilleur
EVP, U.S.
Peter Nowlan
Last Price
$58.41
52-week High
$64.18
52-week Low
$56.06
Market Capitalization
Jill Sutton
Transfer Agent:
Roland Walton
Computershare Investor Services
1(800) 564-6253 (Within N.A.)
1(514) 982-7555 (Outside N.A.)
www.computershare.com/service
EVP, General Counsel
President, Canada
Steve Wuthmann
Chief Brand & Marketing EVP, Human Resources
Officer
~$7.8 billion
Contact:
Scott Bonikowsky
SVP, Corporate Affairs & Investor
Relations
(905) 339-6186
bonikowsky_scott@timhortons.com
874 Sinclair Road
Oakville, ON L6K 2Y1