Value promotions and Signature Crafted Recipes sandwiches boost results
McDonald’s Corp. value promotions and Signature Crafted Recipes sandwich platform helped generate 4.1-percent same-store growth in the U.S. during the third quarter ended Sept. 30, the company said Tuesday.
McDonald’s reported 6-percent global same-store sales growth, as worldwide markets continued to flourish.
Revenue fell 10 percent, to $5.8 billion, from $6.4 billion the previous year, reflecting the impact of refranchising.
Net income increased 48 percent, to $1.9 billion, or $2.32 per share, from $1.3 billion, or $1.50 per share, the previous year. Much of the increase came from the sale of the company’s restaurants in China and Hong Kong. With one-time events factored out, earnings per share were $1.76, which matched investor expectations, according to the financial website Earnings Whispers.
Still, investors pay close attention to sales in the U.S., McDonald’s biggest market. The company generated sales with a McPick 2 value promotion, $1 nationwide beverage promotion, and a semi-customizable Signature Crafted line of burgers and chicken sandwiches.
Same-store sales increased 5.7 percent in McDonald’s International Lead markets, which include the United Kingdom, Canada and Australia. Its High Growth segment, including China, saw 6.2-percent same-store sales growth.
McDonald’s stock fell slightly in pre-market trading on Tuesday.
Contact Jonathan Maze at [email protected]
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