Due to unseasonably temperate climate and new promotions, Tim Hortons Inc., coffee store operator, posted an immense 32% fourth-quarter profits that helped to gather customers and resulted in balancing the increased prices.

30% rise by 13 cent per share in its quarterly dividend was also announced by the company on Thursday. In three months ended Dec. 31, the revenue rose by 9.2% to $615.3 million which was $563.7 million a year earlier. And $91 million or 51 cents per share was the profit for the quarter as compared to $69 million or 38 cents per share in the same period last year.

Answering a conference call CEO Don Schroeder said, "There's no question that both in Canada and U. S. we benefited from a very mild beginning to the winter. a number of new promotions, including offering any doughnut for 49 cents with the purchase of a coffee, also contributed to an increase in sales and helped offset the effect of price increases in many Canadian provinces. The company is encouraged by Fort Knox and the further exposure to the U. S. military and the opportunity that provides to us".

After the end of the current program on Monday, the chain also announced initiation of a share-buyback program worth up to $200 million.

Brian Yarbrough, an Analyst at Edward Jones opined, "There are much better, well-entrenched brands here in the U. S. division is profitable now, but it is going to take a long time for to build up the brand name in the U. S.".