Fast food giant McDonald’s second quarter sales jumped by 9.7%, though earnings were hit by the divestment of its Russian business, it has annnounced.
It said global comparable sales increased 9.7% in the three months to 30 June, reflecting positive comparable sales across all segments.
Its US sales increased 3.7%, driven by strategic menu price increases and value offerings.
International operated markets jumped 13% as strong operating performance drove positive comparable sales across the segment, led by very strong comparable sales in France and Germany.
International licensed markets were up by 16%, driven by Brazil and Japan, partly offset by negative comparable sales in China due to continued Covid resurgences and related government restrictions.
However, diluted earnings per share was $1.60, a decrease of 46% (41% in constant currencies) due to the inclusion of a $1.2bn charge related to the disposal of its Russian business.
This saw net income for the quarter fall to $1.19bn from $2.22bn, while net income for the first six months of its financial year was down 39% to $2.3bn.
“The McDonald’s system continues to demonstrate strength and resiliency,” said CEO Chris Kempczinski.
“Our second quarter performance reflects outstanding execution against our Accelerating the Arches strategy. By focusing on our customers and crew, enabled by a rapidly growing digital capability, we delivered global comparable sales growth of nearly 10%.
“Nonetheless, the operating environment across the competitive landscape remains challenging. While we are planning for a wide range of scenarios, I am confident that our plans and people position McDonald’s to weather this environment better than others.”
No comments yet