2019 Interim Report Provided

Restaurant Brands New Zealand Limited
Interim Report 2019
Reaching
new heights

Restaurant Brands New Zealand LimitedB
Restaurant Brands New Zealand Limited operates the KFC, Pizza Hut, Carl’s Jr. and Starbucks Coffee
brands in New Zealand, the KFC brand in Australia and the Taco Bell and Pizza Hut brands in Hawaii, Saipan
and Guam. These brands - five of the world’s most famous - are distinguished for their product, ambiance,
service and for the total experience they deliver to their customers in New Zealand and around the world.
Contents—
03
Key points
04
Group operating results
12
Consolidated income statement
14
Non-GAAP financial measures
16
Consolidated statement of comprehensive income
17
Consolidated statement of changes in equity
19
Consolidated statement of financial position
20
Consolidated statement of cash flows
22
Notes to the financial statements
30
Independent review report
32
Corporate directory
32
Financial calendar
The overall business continues to
deliver solid results across all geographic
markets. The strong performance of
Taco Bell in Hawaii and the KFC brand
in Australia and New Zealand is expected
to continue.
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Restaurant Brands New Zealand Limited02
Total Group sales
were $431.0 million, up 11.6% on the previous half
year, with the bulk of the increase being attributable
to Australian KFC acquisitions made in the second
half of FY 2018.
NPAT (reported)
for the 28 weeks ended 10 September 2018 (1H
2019) was $20.4 million (16.5 cents per share), up
$1.3 million or +7.0% on the prior period (1H 2018).
NPAT (excluding non-trading items)
was $21.9 million (17.6 cents per share),
up $1.5 million or +7.0% on the prior period.
Total concept EBITDA
was up $5.8 million to $69.2 million with $4.6 million
of the increase from the Australian KFC business as
a result of prior year acquisitions and strong same
store sales growth (+4.8%) and the New Zealand
businesses delivering a further $1.1 million.
Key points—
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Restaurant Brands New Zealand Limited04
Group operating results
1H 2019
1H 2018Change ($)Change (%)
Total Group sales ($NZm)
431.0
386 .1+44.9+11. 6
Group NPAT (reported) ($NZm)
20.4
19 .1+1. 3+7.0
Group NPAT (excl. non-trading) ($NZm)
21.9
20.4+1. 5+7.0
Directors are pleased to report that Restaurant Brands New Zealand Limited (RBD) has produced
a first half unaudited net profit after tax for the 28 weeks ended 10 September 2018 (1H 2019) of
$20.4 million (16.5 cents per share). This compares with a reported NPAT of $19.1 million (15.5 cents
per share) for the prior half year.
After allowing for the impact of non-trading items the underlying NPAT was $21.9 million (17.6 cents
per share), up $1.5 million or +7.0% on prior year.
Total brand sales for the Group were $431.0 million, up $44.9 million or +11.6% on 1H 2018 with
the benefit of $A25.8 million in sales from the acquisition of 13 Australian KFC stores and one
new store opening in the second half of FY18. Total operating revenue was $445.8 million, up
$45.9 million on prior year.
Combined brand EBITDA at $69.2 million was $5.8 million (+9.1%) up on prior year, largely because
of the contribution from KFC Australia acquisitions which delivered an additional $4.6 million.
Restaurant Brands’ store numbers now total 305, up eight on the prior year and comprise 163 in
New Zealand, 81 in Hawaii and 61 stores in Australia.
New Zealand operations
New Zealand operating revenue was $244.9 million, up $5.8 million or +2.4% on 1H 2018.
Total store sales were $230.2 million, an increase of $4.8 million (+2.1%) on last year, with EBITDA
of $41.2 million; a $1.1 million or +2.8% improvement on 1H 2018 driven mainly by the continued
strong performance of the KFC business.
New Zealand operations produced an EBIT (before non-trading items) of $23.8 million, up 5.1% on
the prior year.
KFC New Zealand
1H 2019
1H 2018Change ($) Change (%)
Network sales ($m)
190.2
180.8+9.4+5.2
Network store numbers
100
98
RBD sales ($m)
179. 3
170.3+9.0+5.3
RBD store numbers
94
92
RBD EBITDA ($m)
37.0
35.3+1. 7+4.9
EBITDA as a % of sales
20.6
20.7
Restaurant Brands’ KFC New Zealand sales were $179.3 million, up 5.3% or $9.0 million on prior year
with same store sales up 3.8%. Successful product promotions and the increased use of the delivery
service in selected stores contributed to a strong first half sales performance.
Margins remained strong in percentage terms, with an EBITDA margin of 20.6% of sales being
delivered in the period. In dollar terms EBITDA totalled $37.0 million, up $1.7 million (+4.9%) on last
year’s result.
Both company owned and total network store numbers increased by two to a total of 94 and 100
respectively with the opening of the Christchurch Airport store and a new format store in Fort Street
Auckland in 2H 2018. The Fort Street store continues to outperform expectations and is now the
prototype for similar central city stores planned for Wellington and Christchurch.

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Restaurant Brands New Zealand Limited06
Pizza Hut New Zealand
1H 2019
1H 2018Change ($) Change (%)
Network sales ($m)
55.8
54.9+0.9+1. 7
Network store numbers
98
94
RBD sales ($m)
20.5
22.9-2.4-10.5
RBD store numbers
29
34
RBD EBITDA ($m)
1.5
2.1-0.6-29.7
EBITDA as a % of sales
7.1
9.0
Restaurant Brands’ Pizza Hut store sales were down $2.4 million to $20.5 million, due to a reduction
in the company’s store network to 29 stores, because of further sales to independent franchisees.
Same store sales from Restaurant Brands’ stores were also down -4.9%, rolling over +10.6% in the
prior year.
Restaurant Brands’ Pizza Hut store earnings were $1.5 million (7.1% of sales), down $0.6 million or
29.7% on the equivalent period last year reflecting both the reduction in store numbers and the
ongoing cost pressures encountered in the first half of the year, particularly in relation to increased
labour rates.
Total Pizza Hut network sales climbed to $55.8 million for the half year, up $0.9 million (+1.7%) on prior
year. Whilst company owned store numbers continue to reduce, the Pizza Hut network continues to
expand with total store numbers up four on prior year to 98, with independent franchisees operating 69.
On 13 June 2018, the company entered into a ten year master franchise agreement with Yum! for the
Pizza Hut business in the New Zealand market. Under the terms of this agreement Restaurant Brands
stepped into the position of franchisor to existing independent franchisees. The company provides
operational, marketing and development support to new franchisees, and in return receives a portion
of the franchise fees payable by independent franchisees to Yum!.
Starbucks Coffee New Zealand
1H 2019
1H 2018Change ($) Change (%)
Sales ($m)
13 .0
13.4-0.4-2.8
EBITDA ($m)
2 .1
2.2- 0 .1-7.5
EBITDA as a % of sales
15.8
16.6
Store numbers
22
23
Starbucks Coffee saw same store sales growth over the period of +3.8%.
Total sales were down marginally on 1H 2018 by $0.4 million (-2.8%) to $13.0 million, reflecting the
reduced store network to 22 stores, following the closure of the Auckland Newmarket store in 2H 2018.
Margins decreased with the continued pressure on costs. The brand achieved an EBITDA of
$2.1 million (15.8% of sales), down $0.1 million on 1H 2018.
As Restaurant Brands has increasingly pursued a growth strategy with a much stronger emphasis
on its core quick service restaurant brands, the Starbucks Coffee business has less relevance to
its core activities. On 3 September 2018, the Group announced the sale of the Starbucks Coffee
business for $4.4 million. Settlement on this transaction is expected to be late October 2018.
Carl’s Jr. New Zealand
1H 2019
1H 2018Change ($) Change (%)
Sales ($m)
17. 5
18.8-1. 3-7.1
EBITDA ($m)
0.7
0.5+0.2 +28.3
EBITDA as a % of sales
4.0
2.9
Store numbers
18
19
The Carl’s Jr. business continues to make steady progress towards a sustainable operation with a
focus on building margin.
Sales were down 7.1% due primarily to the closure of the Upper Harbour store (-2.0% on a same store
basis). With the focus on generating more profitable sales rather than driving sales through discounting
and promotional activity EBITDA was $0.7 million (4.0% of sales), an increase of $0.2 million or
+28.3% on last year.
Store numbers now total 18 following the compulsory closure of the Auckland Upper Harbour store in
1H 2019 due to road development.
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Restaurant Brands New Zealand Limited08
Australia operations
In $NZ terms the Australian business (operating the KFC brand) contributed total sales of $NZ103.4
million, a store EBITDA of $NZ15.2 million and EBIT of $NZ6.9 million. These results are all significantly
up on prior year, primarily because of the acquisition of 13 stores and the opening of one new store
during 2H 2018.
KFC Australia
1H 2019
1H 2018Change ($) Change (%)
Sales ($Am)
95.5
66.7+28.8+43.1
Store EBITDA ($Am)
14.0
9.8+4.2+42.5
EBITDA as a % of sales
14.7
14.7
Store numbers
61
47
In $A terms total sales of the KFC business in Australia were $A95.5 million, up $A28.8 million (or
+43.1%) on last year, reflecting both increased store numbers following the acquisition of 13 stores
during 2H 2018 and the annualised effect of the five stores acquired at the start of 1H 2018. Same
store sales were strong at +4.5% for the period.
Store EBITDA margins of $A14.0 million (14.7% of sales) are up $A4.2 million or +42.5% on last year.
Further new store build and acquisition opportunities continue to be explored.
Hawaii operations
Total sales in Hawaii for the period were $US67.1 million with store level EBITDA of $US8.8 million
generated equating to 13.1% of sales.
In $NZ terms the Hawaiian operations contributed $NZ97.4 million in revenues, $NZ12.8 million in
EBITDA and an EBIT of $NZ4.3 million for the period.
Taco Bell Hawaii
1H 2019
1H 2018Change ($) Change (%)
Sales ($USm)
38.6
36.6+2.0+5.5
Store EBITDA ($USm)
7. 8
7.2+0.6 +8.0
EBITDA as a % of sales
20.1
19.7
Store numbers
36
37
Taco Bell continues to perform well with total sales of $US38.6 million up 5.5% in total and 3.2%
on a same store basis, assisted by a strong promotional programme.
Store-level EBITDA rose to $US7.8 million (20.1% of sales) despite some increasing cost pressure
in labour and ingredients.
Store numbers have dropped by one with the closure of the Pearlridge store due to the lease expiring.
The company has undertaken a number of minor refurbishments as part of an asset refurbishment
strategy which continue to drive sales as they are completed. A number of major store transformations
are expected to be under way in the coming months.
Pizza Hut Hawaii
1H 2019
1H 2018Change ($) Change (%)
Sales ($USm)
28.4
27.3+1. 2+4.4
Store EBITDA ($USm)
1.0
1.9-0.9-48.9
EBITDA as a % of sales
3.5
7.1
Store numbers
45
45
Whilst total sales were up for the brand, they were negative (-2.0%) on a same store basis.
Disruption from the implementation of a new store point of sale system, a weak economic environment
in Guam and a lack of new promotions all contributed to a softer sales outcome at $US28.4 million.
EBITDA at $US1.0 million (3.5% of sales) was also down because of significant margin pressure
from participating in value-led marketing promotions together with some higher commodity costs
and rising direct labour expense from low unemployment rates.
The company continues with an asset refurbishment strategy that will see a move away from the
larger restaurants into smaller, more cost-effective delivery and carry out (delco) units.
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Restaurant Brands New Zealand Limited10
Corporate and other
General and administration (G&A) costs were $19.5 million, a 5.3% increase on prior year. The
increase in the G&A cost base was partly as a result of growth of the Australian operations with
various acquisitions part way through 2H 2018 and partly through more corporate resource.
G&A as a % of total revenue was 4.4%, down from 4.6% in the prior year.
Depreciation charges of $16.5 million for the half year were $1.0 million higher than the prior year,
which primarily related to the Australian business acquisitions.
Financing costs of $3.7 million were up $1.0 million on prior year reflecting the higher borrowings
required to fund the Australian acquisition and increasing interest rates in the US.
Tax expense was $7.7 million, down $0.6 million on the prior year despite higher reported profit
levels. The effective tax rate of 27.5% reflects the increased proportion of profits that are generated
off-shore and the drop in the corporate tax rate in the US to 21% together with a non-trading capital
gain on the sale of five Pizza Huts to independent franchisees.
Non-trading items
Non-trading expenditure for the half was $2.1 million, an increase of $0.4 million on prior year.
This year’s costs included a $2.0 million settlement provision for New Zealand leave remediation
following a review of historical holiday pay calculations. Also included was the amortisation of
franchise rights acquired on acquisition of QSR Pty Limited and Pacific Island Restaurants Inc.
(PIR) and the impairment of assets associated with the relocation of the Australian support office.
These were partially off-set by gains on the sale of Pizza Hut stores to independent franchisees.
Cash flow and balance sheet
Bank debt at the end of the half year was down to $159.6 million compared to $166.8 million
at the previous year end. As at balance date, the Group had bank debt facilities totalling
$257.6 million in place.
Operating cash flows continue to improve, up $9.7 million to $47.3 million with enhanced earnings,
albeit with the assistance of positive working capital movements.
Net investing cash outflows at $13.9 million versus $10.1 million last year (excluding business
acquisition) reflects the increased level of spend as the Group continues to focus on refurbishing
stores throughout the network. Cash inflows for the period saw $4.4 million received from the
sale of Pizza Hut stores.
Partial takeover proposal
On 18 October 2018 the Group announced that it had received a non-binding indicative approach from
Finaccess Capital, S.A. de C.V. to acquire up to 75% of Restaurant Brands’ shares by way of a partial
takeover offer at $NZ9.45 cash per share (“Proposal”).
The Proposal does not constitute a takeover notice pursuant to the Takeovers Code. The Group and
Finaccess are in discussions to seek to agree and finalise the terms of takeover implementation
arrangements which, if agreed, could result in Finaccess issuing a takeover notice to Restaurant
Brands New Zealand Limited. There is no guarantee at this stage that agreement will be reached or
that Finaccess will proceed with a takeover. If Finaccess does proceed to make a takeover, the offer
would be subject to various conditions, including Overseas Investment Office consent and receiving
consent from certain subsidiaries of Yum! Brands Inc., the owner of the KFC, Pizza Hut and Taco Bell
brands franchised to the Group.
As a result of this Proposal the directors have resolved not to declare an interim dividend at this time.
If the Proposal does not result in a takeover by Finaccess, the Board will consider declaring a dividend
at a later stage.
Outlook
The overall business continues to deliver solid results across all geographic markets.
The strong performance of Taco Bell in Hawaii and the KFC brand in Australia and New Zealand
is expected to continue in the second half of the year. This will be partially off-set by the sale of
the Starbucks Coffee brand which is expected to have a minor adverse impact of approximately
$1.3 million on the Group’s EBITDA.
Directors believe that, absent any major changes to economic or market conditions, the Group
is expected to deliver a Net Profit after Tax (excluding non-trading items) for the FY19 year of
between $43 million and $45 million, after adjusting for the impact of the Starbucks Coffee sale.
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Restaurant Brands New Zealand Limited12
Consolidated income statement
for the 28 week period ended 10 September 2018

$NZ000’s
10 September 2018
28 weeks
vs Prior
%
11 September 2017
28 weeks
% sales% sales
Concept EBITDA before G&A
KFC37,018
20.64.935,277 20.7
Pizza Hut1,450 7.1(29.7 )2,061 9.0
Starbucks Coffee2,061 15. 8(7.5)2,230 16.6
Carl's Jr.704 4.028.3549 2.9
Total New Zealand41,233 17. 92.84 0 ,116 17. 8
KFC15 ,19 7 14.743.510,592 14.7
Total Australia15,197 14.743.510,592 14.7
Taco Bell11, 3 0 5 20 .112.9 10,016 19.7
Pizza Hut1,471 3.6(45.6) 2,704 7.1
Total Hawaii12 ,776 13 .10.4 12,720 14.3
Total concept EBITDA before G&A69,206 16.19.163,428 16.4
Ratios
Net tangible assets per security
(net tangible assets divided by
number of shares) in cents(35.6)(22.2)
Cost of goods sold are direct costs of operating stores: food, paper, freight, labour and store overheads.
Distribution expenses are costs of distributing product from store.
Marketing expenses are order centre, advertising and local store marketing expenses.
General and administration expenses (G&A) are non-store related overheads.
Sales and store EBITDA for each of the concepts may not aggregate to the total due to rounding.

$NZ000’s
10 September 2018
28 weeks
vs Prior
%
11 September 2017
28 weeks
Sales
KFC179,264
5.3170,307
Pizza Hut20,452
(10.5)22,862
Starbucks Coffee13,049
(2.8)13,425
Carl's Jr.17,461
( 7.1)18,803
Total New Zealand sales230,226
2 .1225,397
KFC103,391
43.971,864
Total Australia sales103,391
43.971,864
Taco Bell5 6 ,115
10 .1 50,950
Pizza Hut41, 255
8.8 37,919
Total Hawaii sales97,370
9.6 88,869
Total sales430,987
11. 6386,130
Other revenue14,861
7.713, 804
Total operating revenue445,848
11. 5399,934
Cost of goods sold(366,536)
12.1(327,007 )
Gross margin79,312
8.872,927
Distribution expenses (2,016)
17.7(1,713)
Marketing expenses(23,871)
14. 2(20,909)
General and administration expenses(19,523)
5.3(18,537 )
EBIT before non-trading items33,902
6.731,768
Non-trading items(2,095)
22.0(1,718)
EBIT31,807
5.830,050
Financing expenses(3,663)
36.3(2,687)
Net profit before taxation28 ,144
2.927, 363
Taxation expense (7,726)
(6.7 )(8,277)
Net profit after taxation (NPAT)20,418
7.019,086
NPAT excluding
non-trading items21,853
7.020,430
Consolidated income statement (continued)
for the 28 week period ended 10 September 2018
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Restaurant Brands New Zealand Limited14
Non-GAAP financial measures
for the 28 week period ended 10 September 2018
Non-GAAP financial measures (continued)
for the 28 week period ended 10 September 2018
The Group results are prepared in accordance with New Zealand Generally Accepted Accounting
Practice (“GAAP”) and comply with International Financial Reporting Standards (“IFRS”). These financial
statements include non-GAAP financial measures that are not prepared in accordance with IFRS.
The non-GAAP financial measures used in this presentation are as follows:
1. EBITDA before G&A. The Group calculates Earnings Before Interest, Tax, Depreciation and
Amortisation (“EBITDA”) before G&A (general and administration expenses) by taking net profit
before taxation and adding back (or deducting) financing expenses, non-trading items, depreciation,
amortisation and G&A. The Group also refers to this measure as Concept EBITDA before G&A.
The term Concept refers to the Group’s seven operating divisions comprising the New Zealand
divisions (KFC, Pizza Hut, Starbucks Coffee and Carl’s Jr.), KFC Australia and the two Hawaii divisions
(Taco Bell and Pizza Hut). The term G&A represents non-store related overheads.
2. EBIT before non-trading items. Earnings before interest and taxation (“EBIT”) before non-trading is
calculated by taking net profit before taxation and adding back (or deducting) financing expenses and
non-trading items.
3. Non-trading items. Non-trading items represent amounts the Group considers unrelated to the
day to day operational performance of the Group. Excluding non-trading items enables the Group
to measure underlying trends of the business and monitor performance on a consistent basis.
4. EBIT after non-trading items. The Group calculates EBIT after non-trading items by taking net
profit before taxation and adding back financing expenses.
5. NPAT excluding non-trading items. Net Profit After Taxation (“NPAT”) excluding non-trading
items is calculated by taking profit after taxation attributable to shareholders and adding back
(or deducting) non-trading items whilst also allowing for any tax impact of those items.
The Group believes that these non-GAAP measures provide useful information to readers to assist in
the understanding of the financial performance and position of the Group but that they should not be
viewed in isolation, nor considered as a substitute for measures reported in accordance with IFRS.
Non-GAAP measures as reported by the Group may not be comparable to similarly titled amounts
reported by other companies.
The following is a reconciliation between these non-GAAP measures and net profit after taxation:
$NZ000’s Note*
2019 half year
(28 weeks)
unaudited
2018 half year
(28 weeks)
unaudited
EBITDA before G&A169,206 63,428
Depreciation(16,426)(15,49 0)
Net loss on sale of property, plant and equipment
(included in depreciation)(112 ) –
Amortisation (included in cost of sales)(1,920)(1,304)
General and administration costs – area managers,
general managers and support centre(16,846)(14, 866)
EBIT before non-trading items
233,902 31,768
Non-trading items**
3(2,095)(1,718)
EBIT after non-trading items
431,807 30,050
Financing expenses(3,663)(2,687)
Net profit before taxation 28 ,144 27,363
Taxation expense(7,726 )(8,277)
Net profit after taxation20,418 19,086
Add back non-trading items2,095 1,718
Income tax on non-trading items(660)(374)
Net profit after taxation excluding non-trading items
521,853 20,430
* Refers to the list of non-GAAP measures as listed above.
** Refer to Note 3 of the interim financial statements for an analysis of non-trading items.
Interim Report 201915

Restaurant Brands New Zealand Limited16

$NZ000’s
Note
2019 half year
(28 weeks)
unaudited
2018 half year
(28 weeks)
unaudited
2018 full year
(52 weeks)
audited
Store sales revenue430,987 386,130 740,7 76
Other revenue14, 861 13, 804 25 , 513
Total operating revenue445,848 399,934 766,289
Cost of goods sold(366,536)(327,007 )(626,027)
Gross profit79,312 72,927 14 0, 262
Distribution expenses(2 ,016)(1,713)(2,895)
Marketing expenses(23,871)(20,909)(40,095)
General and administration expenses(19,523)(18,537 )(34,090)
EBIT before non-trading items33,902 31,768 6 3 ,182
Non-trading items
3(2,095)(1,718)(5,429)
Earnings before interest and taxation (EBIT)31,807 30,050 57,753
Financing expenses(3,663)(2,687)(5,604)
Profit before taxation28 ,144 27,363 52,149
Taxation expense(7,726 )(8,277)(16,683)
Profit after taxation attributable to
shareholders20,418 19,086 35,466
Other comprehensive income
Exchange differences on translating foreign operations11, 4 3 8 (1,545)(3,538)
Share option reserve34 5 34
Derivative hedging reserve(65)492 1, 6 51
Income tax relating to components of other
comprehensive income90 (275)(303)
Other comprehensive income for the half year,
net of tax11, 4 97 (1,323)(2,156 )
Total comprehensive income for the half year
attributable to shareholders31,915 17,763 33,310
Basic and diluted earnings per share (cents)
416.47 15.50 28.83
For and on behalf of the Board:
E K van Arkel H W Stevens
Chairman Director
18 October 2018
Consolidated statement of comprehensive income
for the 28 week period ended 10 September 2018
Consolidated statement of changes in equity
for the 28 week period ended 10 September 2018

$NZ000’s
Share
capital
Share
option
reserve
Foreign
currency
translation
reserve
Derivative
hedging
reserve
Retained
earningsTotal
For the 52 week period ended 26 February 2018
Balance at the beginning
of the period143 ,386 – (2,522)(1,174 )52,369 192 ,059
Comprehensive income
Profit after taxation attributable
to shareholders––––19,086 19,086
Other comprehensive income
Movement in share option reserve – 5 – – – 5
Movement in foreign currency
translation reserve – – (1,545) – – (1,545)
Movement in derivative
hedging reserve – – – 217 – 217
Total other comprehensive income – 5 (1,545)217 – (1,323)
Total comprehensive income – 5 (1,545)217 19,086 17,763
Transactions with owners
Net dividends distributed – – – – (16,584)(16,584)
Total transactions with owners – – – – (16,584)(16,584)
Unaudited balance as at
11 September 2017143 ,386 5 (4,067)(957)54,871 193,238
Comprehensive income
Profit after taxation attributable
to shareholders––––16,380 16,380
Other comprehensive income
Movement in share option reserve – 29 – –
– 29
Movement in foreign currency
translation reserve – – (1,993) – – (1,993)
Movement in derivative
hedging reserve – – – 1,131 – 1,131
Total other comprehensive income – 29 (1,993)1,131 – (833)
Total comprehensive income – 29 (1,993)1,131 16,380 15,547
Transactions with owners
Shares issued5,168 – – – – 5,168
Share issued costs(63) – – – – (63)
Net dividends distributed – – – – (12,282)(12,282)
Total transactions with owners5,105 – – – (12 , 282)(7,177)
Audited balance as at
26 February 2018148 , 491 34 (6,060)174 58,969 201,608
Interim Report 201917

Restaurant Brands New Zealand Limited18
Consolidated statement of changes in equity (continued)
for the 28 week period ended 10 September 2018
Consolidated statement of financial position
as at 10 September 2018

$NZ000’s
Share
capital
Share
option
reserve
Foreign
currency
translation
reserve
Derivative
hedging
reserve
Retained
earningsTotal
For the 28 week period ended 10 September 2018
Balance at the beginning
of the period148 , 491 34 (6,060)174 58,969 201,608
Comprehensive income
Profit after taxation attributable
to shareholders––––20,418 20,418
Other comprehensive income
Movement in share option reserve– 34 ––– 34
Movement in foreign currency
translation reserve – – 11,438 – – 11,438
Movement in derivative
hedging reserve – – – 25 – 25
Total other comprehensive income
for the year – 34 11, 4 3 8 25 – 11, 4 97
Total comprehensive income – 34 11, 4 3 8 25 20,418 31,915
Transactions with owners
Shares issued5 , 8 41 – – –
– 5,841
Share issue costs(35) – – –
– (35)
Net dividends distributed – – – – (22,254)(22,254)
Total transactions with owners5,806 – – – (22,254)(16,448)
Unaudited balance as at
10 September 2018154,297 68 5,378 199 57,133 217, 075

$NZ000’s
Note
2019 half year
unaudited
2018 half year
unaudited
2018 full year
audited
Non-current assets
Property, plant and equipment158,358 145,7 39 15 7, 211
Intangible assets261,338 220,531 246,257
Deferred tax asset16,045 13,585 14, 955
Total non-current assets435,741 379,855 418,423
Current assets
Inventories10,589 11,449 12,634
Trade and other receivables11, 6 6 0 9,728
8,819
Income tax receivable1,700 1,899 –
Cash and cash equivalents12,000 8,701 10 ,14 0
Derivative financial instruments837 – 538
Assets classified as held for sale
81,855 2,762 2,396
Total current assets38,641 34,539 34,527
Total assets474,382 414,394 452,950
Equity attributable to shareholders
Share capital154,297 143,386 148,491
Reserves5,645 (5,019)(5,852)
Retained earnings57,133 54,871 58,969
Total equity attributable to shareholders217, 075 193,238 201,608
Non-current liabilities
Provision for employee entitlements809 690 813
Deferred income8,449 8,708 8,876
Loans
7159,580 123,7 24 166, 815
Total non-current liabilities168,838 133 ,122 176,504
Current liabilities
Income tax payable2,347 3,793 4,16 7
Creditors and accruals82,831 71,021 67,548
Provision for employee entitlements1,657 1,532 1,683
Deferred income823 1,198 930
Derivative financial instruments 811 1,142 510
Loans
7 – 9,348 –
Total current liabilities88,469 88,034 74,838
Total liabilities257, 307 221,156 251, 3 42
Total equity and liabilities474,382 414,394 452,950
Interim Report 201919

Restaurant Brands New Zealand Limited20
Consolidated statement of cash flows
for the 28 week period ended 10 September 2018

$NZ000’s

2019 half year
unaudited
2018 half year
unaudited
2018 full year
audited
Cash flows from operating activities
Cash was provided by/(applied to):
Receipts from customers446,753 398 , 541 763,573
Payments to suppliers and employees(384,752)(349,336)(674,371)
Interest paid(4,031)(2,423)(5,625)
Payment of income tax(10,692)(9,199)(15, 809)
Net cash flows from operating activities47, 278 37,583 67,768
Cash flows from investing activities
Cash was provided by/(applied to):
Acquisition of business – (105,326)(147, 502)
Payment for intangibles(2,575)(1,374)(4,772)
Purchase of property, plant and equipment(15,768)(9,090)(26,353)
Proceeds from disposal of property, plant and equipment4,405 414 4,064
Landlord contributions received46 – 1,222
Net cash used in investing activities(13 , 892)(115 , 3 7 6 )(17 3 , 341)
Cash flows from financing activities
Cash was provided by/(applied to):
Proceeds from non-current loans181,088 223,785 4 51,716
Repayment of non-current loans(195,455)(195,622)(387,024)
Dividends paid to shareholders(17,701)(16,584)(23,700)
Share issue costs(34) – (63)
Net cash (used in)/from financing activities(32 ,102)11, 5 7 9 40,929
Net increase/(decrease) in cash and
cash equivalents1,284 (66 , 214)(64,644)
Cash and cash equivalents at beginning
of the period10,140 70,390 70,390
Opening cash balances acquired on acquisition – 4 , 513 4,621
Foreign exchange movements576 12 (227)
Cash and cash equivalents at the end
of the period12,000 8,701 10 ,14 0
Cash and cash equivalents comprise:
Cash on hand567 408 513
Cash at bank11, 4 3 3 8,293 9,627
12,000 8,701 10 ,14 0
Consolidated statement of cash flows (continued)
for the 28 week period ended 10 September 2018
Reconciliation of profit after taxation with net cash from operating activities

$NZ000’s

2019 half year
unaudited
2018 half year
unaudited
2018 full year
audited
Total profit after taxation attributable
to shareholders20,418 19,086 35,466
Add items classified as investing/financing activities:
Gain on disposal of property, plant and equipment(1,770)(98)(648)
FX gain on investing – (873)(873)
(1,770)(971)(1,521)
Add/(less) non-cash items:
Depreciation16,538 15,490 29,599
Increase/(decrease) in provisions14 (109)(802)
Amortisation of intangible assets3,010 2,335 5 ,14 4
Impairment on property, plant and equipment – – (60)
Impairment of goodwill – – 1,217
Net increase in deferred tax asset(1,014)(1,333)(394)
Share option amortisation34 29 5
18,582 16,412 34,709
Add/(less) movement in working capital:
Decrease/(increase) in inventories2 ,111 (1,914)(3,864)
Increase in trade and other receivables(2,394)(4,369)(4,309)
Increase in trade creditors and other payables12 , 264 9,881 5,723
(Decrease)/increase in income tax payable(1,933)(542)1,564
10,048 3,056 (886)
Net cash flows from operating activities47, 278 37,583 67,768
Reconciliation of movement in term loans
Balance as at 26 February 2018166,815
Net cash flow movement(14,367)
Foreign exchange movement7,132
Balance as at 10 September 2018159,580
Interim Report 201921

Restaurant Brands New Zealand Limited22
Notes to the financial statements
for the 28 week period ended 10 September 2018
1. General information
Restaurant Brands New Zealand Limited (“Company” or “Parent”), together with its subsidiaries
(the “Group”) operate quick service and takeaway restaurant concepts in New Zealand, Australia,
Hawaii, Guam and Saipan.
The Company is a limited liability company incorporated and domiciled in New Zealand.
Statutory base
The Company is registered under the Companies Act 1993 and is a FMC reporting entity under
Part 7 of the Markets conduct Act 2013.
Reporting framework
The unaudited interim financial statements have been prepared in accordance with New Zealand
Generally Accepted Accounting Practice (“NZ GAAP”). They comply with New Zealand equivalents
to International Financial Reporting Standards (“IFRS”) and other applicable New Zealand Reporting
Standards as appropriate for profit oriented entities. The financial statements comply with IFRS.
These policies have been consistently applied to all the periods presented, unless otherwise noted.
The Group has a negative working capital balance as the nature of the business results in most
sales being conducted on a cash basis. The Group has bank facilities totalling $257.6 million (refer
note 7) and has the ability to fully pay debts as they fall due. At balance date the amount undrawn
was $98.0 million.
These interim financial statements for the 28 week period ended 10 September 2018 (“2019 Half
Year”) have been prepared in accordance with NZ IAS 34, Interim Financial Reporting and should
be read in conjunction with the financial statements published in the Annual Report for the 52 week
period ended 26 February 2018 referred to in these statements as (“2018 Full Year”). They also
comply with International Accounting Standard 34 Interim Financial Reporting (IAS 34).
The Group divides its financial year into thirteen 4-week periods. These interim financial statements
are for the first 7 periods (28 weeks) of the year ended on 10 September 2018 (2018: 28 weeks ended
11 September 2017). The second half will be for 6 periods (24 weeks). The prior full year comparative
represents the 52 week period ended 26 February 2018 (2018 Full Year).
To ensure consistency with the current period, comparative figures have been restated where
appropriate.
New standards and amendments
• NZ IFRS 16 Leases (effective for periods beginning on or after 1 January 2019) replaces the
current guidance in NZ IAS 17. Under NZ IFRS 16, a contract is, or contains, a lease if the contract
conveys the right to control the use of an identified asset for a period of time in exchange for
consideration. Under NZ IAS 17, a lessee was required to make a distinction between a finance
lease (on balance sheet) and an operating lease (off balance sheet). NZ IFRS 16 now requires a
lessee to recognise a lease liability reflecting future lease payments and a ‘right-of-use asset’ for
virtually all lease contracts. Included is an optional exemption for certain short-term leases and
leases of low-value assets; however, this exemption can only be applied by lessees. The Group
intends to adopt NZ IFRS 16 on its effective date being for the year ended 2 March 2020 and
is currently working through a process to establish its full impact. However based on preliminary
assessments the Group has determined that NZ IFRS 16 will have a significant impact on the
Group’s balance sheet and income statement disclosures. The balance sheet will be impacted by
the recognition of a right to use asset and a corresponding lease liability. The income statement
will be impacted by the recognition of an interest expense and amortisation expense and the
removal of the current rental expense. The full impact on these statements has yet to be finalised.
• The impact of NZ IFRS 9 and NZ IFRS 15 were assessed as having an immaterial impact on
the Group.
Notes to the financial statements (continued)
for the 28 week period ended 10 September 2018
Interim Report 201923

Restaurant Brands New Zealand Limited24
2. Segmental reporting
Operating segments are reported in a manner consistent with the internal reporting provided to
the chief operating decision makers. The Group is split into three geographically distinct operating
divisions; New Zealand, Australia, and Hawaii. The chief operating decision makers, responsible for
allocating resources and assessing performance of the operating segments, have been identified
as the Group Chief Executive Officer and Group Chief Financial Officer. The chief operating decision
makers considers the performance of the business from a geographic perspective, being New Zealand,
Australia and Hawaii (including Guam and Saipan) while the performance of the corporate support
function is assessed separately.
The Group is therefore organised into three operating segments, depicting the three geographic
regions the Group operates in and the corporate support function located in New Zealand.
All segments operate quick service and takeaway restaurant concepts. All operating revenue
is from external customers.
The Group evaluates performance and allocates resources to its operating segments on the basis of
segment assets, segment revenues, concept EBITDA before general and administration expenses and
EBIT before non-trading items. EBITDA refers to earnings before interest, taxation, depreciation and
amortisation. EBIT refers to earnings before interest and taxation.
2019
$NZ000’s
New Zealand AustraliaHawaii
Corporate
support
function
Consolidated
half year
unaudited
Business segments
Store sales revenue230,226 103,391 97,370 – 430,987
Other revenue14,66 7 – 194 – 14,861
Total operating revenue244,893 103,391 97, 564 – 445,848
EBITDA before general and
administration expenses41,233 15,197 12 ,776 – 69,206
General & administration expenses( 7,122)(3,868)(4,776)(1,080)(16,846)
EBITDA after general and
administration expenses3 4 ,111 11, 3 2 9 8,000 (1,080)52,360
Depreciation( 9 ,116 )(4,207 )(3,215) – (16,538)
Amortisation
(included in cost of sales)(1,225)(252)(443) – (1,920)
Segment result (EBIT)
before non-trading items23,770 6,870 4,342 (1,080)33,902
Other non-trading items(2,095)
Operating profit (EBIT)
after non-trading items31,807
Current assets 19,533 9,147 9,961 – 38 ,6 41
Non-current assets114 , 2 0 6 149,186 172,349 – 4 35 ,741
Total assets133,739 158,333 182,310 – 474,382
2018
$NZ000’s
New Zealand AustraliaHawaii
Corporate
support
function
Consolidated
half year
unaudited
Business segments
Store sales revenue225,397 71,864 88,869 – 386,130
Other revenue13,7 02 – 102 – 13, 804
Total operating revenue239,099 71,864 88,971 – 399,934
EBITDA before general and
administration expenses4 0 ,116 10,592 12,720 – 63,428
General & administration expenses(7,180)(2,692)(4,207 )(787)(14, 866)
EBITDA after general and
administration expenses32,936 7, 90 0 8 , 513 (787)48,562
Depreciation(9,155)(3,242)(3,093) – (15,49 0)
Amortisation
(included in cost of sales)(1,17 0 )(134) – – (1,304)
Segment result (EBIT)
before non-trading items2 2 , 611 4,524 5,420 (787)31,768
Other non-trading items(1,718)
Operating profit (EBIT)
after non-trading items30,050
Current assets 19,423 6,762 8,354 – 34,539
Non-current assets115,153 109,596 155 ,10 6 – 379,855
Total assets134, 576 116 , 3 5 8 163,460 – 414,394
Notes to the financial statements (continued)
for the 28 week period ended 10 September 2018
Notes to the financial statements (continued)
for the 28 week period ended 10 September 2018
Interim Report 201925

Restaurant Brands New Zealand Limited26
2.1 Reconciliation between EBIT after non-trading and net profit after tax

$NZ000’s

2019 half year
unaudited
2018 half year
unaudited
2018 full year
audited
EBIT after non-trading items31,807 30,050 57,753
Financing expenses(3,663)(2,687)(5,604)
Net profit before taxation28 ,144 27,363 52,149
Taxation expense(7,726 )(8,277)(16,683)
Net profit after taxation20,418 19,086 35,466
Add back non-trading items2,095 1,718 5,429
Income tax on non-trading items(660)(374)(48)
Net profit after taxation excluding non-trading items21,853 20,430 40,847
3. Profit before taxation

$NZ000’s

2019 half year
unaudited
2018 half year
unaudited
2018 full year
audited
Profit before taxation
The profit before taxation is calculated after
charging/(crediting) the following items:
Royalties paid25,552 22,838 43,830
Operating rental expenses24,629 21,522 40,452
Net gain on disposal of property, plant and equipment (1,036)(98)(694)
Non-trading items
Gain on sale of stores
Net sale proceeds 2,332 306 588
Property, plant and equipment disposed of(721)(56)(95)
1, 611 250 493
Amortisation of franchise rights acquired on
acquisition of QSR Pty Limited (QSR) and
Pacific Island Restaurants Inc. (PIR)(1,090)(1,031)(1,911)
Acquisition costs(225)(694)(1,598)
Store closure costs101 (166)(325)
ASX listing-related costs20 (570)(608)
FEC Exchange gains – 873 873
Impairment of assets – – (879)
Relocation and refurbishment(463) – –
Leave remediation(2,021)(380)(674)
Impairment of goodwill – – (1,217 )
Make good on acquisition(28) – –
Gain on store sale and leaseback – – 417
Total non-trading items(2,095)(1,718)(5,429)
Leave remediation
Included in non-trading items above is a $2 million (Half year 2018: $0.4 million, Full year 2018: $0.7 million)
expense relating to leave remediation. The Group identified payroll calculation errors in regards to
entitlements under the Holidays Act 2003 which, over time, have resulted in staff receiving incorrect
payments. The specific areas that require remediation date back to 2012, and primarily relate to the
payment rates for annual leave. This amount represents an estimated provision required for periods
prior to the 2018 financial year. Any provisions related to the 2018 full year (Half year 2018: $0.2 million,
Full year 2018: $0.4 million) and 2019 half year (nil) have been included as part of operating costs.
This has resulted in the restatement of $0.4 million of costs from cost of goods sold to non-trading items
within the 2018 half year (Full year 2018: $0.7 million) consolidated statement of comprehensive income.
The restatement has been performed to ensure EBIT before non-trading items profit measure is directly
comparable between periods.
4. Earnings per share

2019 half year
unaudited
2018 half year
unaudited
2018 full year
audited
Basic and diluted earnings per share
Profit after taxation attributable to shareholders
($NZ000's)20,418 19,086 35,466
Weighted average number of shares on issue (000's)123 ,936 122, 84 3 123,032
Basic and diluted earnings per share (cents)16.47 15.54 28.83
Shares on issue
As at 10 September 2018, the total number of ordinary shares on issue was 124,380,523
(2018: 122,843,191).
5. Property, plant and equipment
Acquisitions and disposals
During the half year ended 10 September 2018, the Group acquired assets with a total cost
of $17.1 million (2018: $9.4 million) and disposed of assets with a total cost of $5.3 million
(2018: $2.0 million).
Notes to the financial statements (continued)
for the 28 week period ended 10 September 2018
Notes to the financial statements (continued)
for the 28 week period ended 10 September 2018
Interim Report 201927

Restaurant Brands New Zealand Limited28
6. Related party transactions
Transactions with entities with key management or entities related to them
During the period the Group made the following:
• Acquired services totalling $145,512 (2018: $37,000) from AsureQuality Limited, a company of
which Company director Hamish Stevens is a director. There was $32,764 owed at balance date
(2018: $nil).
These transactions were at arm’s length and performed on normal commercial terms.
7. Loans
The Group has loan facilities in place totalling $NZ257.6 million with the following financial institutions:
• Westpac Banking Corporation - $NZ125.0 million facility expiring on 12 October 2020.
• First Hawaiian Bank - $US51.2 million facility of which $US13.0 million expires on 1 August 2019
with the remainder expiring 16 December 2023.
• MUFG Bank, Ltd - $A50.0 million facility expiring on 12 October 2020.
8. Assets classified as held for sale
On 3 September 2018 the Group announced the sale of the Starbucks Coffee business in New Zealand
for $4.4 million (including stock). Settlement for the transaction is expected to be late October 2018.
The assets held for sale represent the non-current assets relating to the Starbucks Coffee business.
Half year 2018 relate to Pizza Hut stores that were immediately available for sale and therefore the
associated non-current assets had been classified as held for sale.
Year end 2018 relate to Pizza Hut stores immediately available for sale and the non-current assets
associated with the Carl’s Jr. Upper Harbour store which had been acquired under the Public Works
Ac t 1981.
9. Capital commitments
The Group has capital commitments totalling $9.1 million (2018: $2.7 million) which are not provided
for in these financial statements.
Notes to the financial statements (continued)
for the 28 week period ended 10 September 2018
Notes to the financial statements (continued)
for the 28 week period ended 10 September 2018
10. Contingent liabilities
At period end there are no contingent liabilities that the directors consider will have a significant impact
on the financial position of the Group (2018: nil).
11. Deed of Cross Guarantee
Pursuant to the Australian Securities and Investment Commission (ASIC) Class Order 98/1418,
the wholly owed subsidiary, QSR Pty Limited (QSR), is relieved from the Corporations Act 2001
requirement for the preparation, audit and lodgement of financial reports.
It is a condition of that class order that Restaurant Brands New Zealand Limited (RBNZ) and QSR enter
into a Deed of Cross Guarantee (Deed). On 9 February 2017 a Deed was executed between RBNZ,
QSR, Restaurant Brands Australia Pty Limited and Restaurant Brand Australia Holdings Pty Limited
under which each company guarantees the debts of the others.
12. Subsequent events
On 18 October 2018 the Group announced that it had received a non-binding indicative approach
from Finaccess Capital, S.A. de C.V. to acquire up to 75% of Restaurant Brands’ shares by way of a
partial takeover offer at $NZ9.45 cash per share (“Proposal”).
The Proposal does not constitute a takeover notice pursuant to the Takeovers Code. The Group
and Finaccess are in discussions to seek to agree and finalise the terms of takeover implementation
arrangements which, if agreed, could result in Finaccess issuing a takeover notice to Restaurant
Brands New Zealand Limited. There is no guarantee at this stage that agreement will be reached or
that Finaccess will proceed with a takeover. If Finaccess does proceed to make a takeover, the offer
would be subject to various conditions, including Overseas Investment Office consent and receiving
consent from certain subsidiaries of Yum! Brands Inc., the owner of the KFC, Pizza Hut and Taco Bell
brands franchised to the Group.
As a result of the Proposal the Group has a contingent liability in relation to the long term incentive
scheme established for the Group CEO and Group CFO. If the Proposal results in a change of control
of the Group the performance rights issued under the plan will vest, resulting in a cost to the Group
of approximately $0.2 million.
Interim Report 201929

Restaurant Brands New Zealand Limited30
Independent review report (continued)
To the Directors of Restaurant Brands New Zealand Limited
Report on the interim financial statements
We have reviewed the accompanying interim financial statements of Restaurant Brands New Zealand
Limited (the “Company”) and its subsidiaries (the “Group”) on pages 16 to 29, which comprise the
consolidated statement of financial position as at 10 September 2018, and the consolidated statement
of comprehensive income, the consolidated statement of changes in equity and the consolidated
statement of cash flows for the period ended on that date, and selected explanatory notes.
Directors’ responsibility for the interim financial statements
The Directors are responsible on behalf of the Group for the preparation and presentation of these
interim financial statements in accordance with International Accounting Standard 34 Interim
Financial Reporting (IAS 34) and New Zealand Equivalent to International Accounting Standard 34
Interim Financial Reporting (NZ IAS 34) and for such internal controls as the Directors determine
are necessary to enable the preparation of interim financial statements that are free from material
misstatement, whether due to fraud or error.
Our responsibility
Our responsibility is to express a conclusion on the accompanying interim financial statements based
on our review. We conducted our review in accordance with the New Zealand Standard on Review
Engagements 2410 Review of Financial Statements Performed by the Independent Auditor of the
Entity (NZ SRE 2410). NZ SRE 2410 requires us to conclude whether anything has come to our
attention that causes us to believe that the interim financial statements, taken as a whole, are not
prepared in all material respects, in accordance with IAS 34 and NZ IAS 34. As the auditors of the
Group, NZ SRE 2410 requires that we comply with the ethical requirements relevant to the audit of
the annual financial statements.
A review of interim financial statements in accordance with NZ SRE 2410 is a limited assurance
engagement. The auditor performs procedures, primarily consisting of making enquiries, primarily
of persons responsible for financial and accounting matters, and applying analytical and other review
procedures. The procedures performed in a review are substantially less than those performed
in an audit conducted in accordance with International Standards on Auditing (New Zealand) and
International Standards on Auditing. Accordingly, we do not express an audit opinion on these interim
financial statements.
We are independent of the Group. Our firm carries out other services for the Group in the areas of
specified procedures on landlord certificates and executive reward services. The provision of these
other services has not impaired our independence.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that these interim
financial statements of the Group are not prepared, in all material respects, in accordance with
IAS 34 and NZ IAS 34.
Who we report to
This report is made solely to the Group’s Directors, as a body. Our review work has been undertaken
so that we might state to the Group’s Directors those matters which we are required to state to them
in our review report and for no other purpose. To the fullest extent permitted by law, we do not accept
or assume responsibility to anyone other than the Directors, as a body, for our review procedures,
for this report, or for the conclusion we have formed.
For and on behalf of:
Chartered Accountants
18 October 2018 Auckland
Independent review report
To the Directors of Restaurant Brands New Zealand Limited
Interim Report 201931

Restaurant Brands New Zealand Limited32
Directors
E K (Ted) van Arkel (Chairman)
David Beguely
Hamish Stevens
Stephen Copulos
Victoria Taylor
Registered office
Level 3
Building 7
Central Park
666 Great South Road
Penrose
Auckland 1061
New Zealand
Share registrar
New Zealand
Computershare Investor Services Limited
Level 2
159 Hurstmere Road
Takapuna
Private Bag 92 119
Auckland 1142
New Zealand
T: 64 9 488 8700
E: enquiry@computershare.co.nz
Australia
Computershare Investor Services Limited
Yarra Falls
452 Johnston Street
Abbotsford, VIC 3067
GPO Box 3329
Melbourne, VIC 3001
Australia
T: 1 800 501 366 (within Australia)
T: 61 3 9415 4083
F: 61 3 9473 2500
E: enquiry@computershare.co.nz
Auditors
PricewaterhouseCoopers
Solicitors
Bell Gully
Harmos Horton Lusk
Meredith Connell
Bankers
Westpac Banking Corporation
First Hawaiian Bank
MUFG Bank, Ltd
Contact details
Postal Address:
P O Box 22 749
Otahuhu
Auckland 1640
New Zealand
Telephone: 64 9 525 8700
Fax: 64 9 525 8711
Email: investor@rbd.co.nz
Financial calendar
Financial year end
25 February 2019
Annual profit announcement
April 2019
Corporate directory

www.restaurantbrands.co.nz