McDonald’s has beaten market estimates for profit and revenue in the third quarter.
The company reported profits of $3.19 a share, 51 cents higher than the same quarter last year and up on the $3 anticipated by Wall Street for the quarter. It was the fifth quarter in a row in which the fast-food group had beaten consensus forecasts. In revenue terms, McDonald’s made $6.69 billion, ahead of Wall Street’s suggested $6.58 billion.
Same-store sales for the quarter grew by 8.8 per cent, beating expectations for an 8 per cent rise. In the United States, same-store sales increased by 8.1 per cent, boosted by higher menu prices, to beat predictions of 7.5 per cent growth. Strong international demand was driven by Britain, Germany and Canada.
Price rises did not dent demand from customers, while the company also made cost savings by reducing its corporate headcount. There were 1,500 net store openings in the year as a whole.
Chris Kempczinski, 55, the chief executive, said: “The macro-economic environment is unfolding in line with our expectations for the year and we continued to deliver convenience and value for our customers.”
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Kempczinski was installed as chief executive four years ago after Steve Easterbrook, 56, a Briton, was pushed out of the job for violating company policy by having a relationship with an employee.
McDonald’s shares closed up 1.7 per cent, or $4.39, to $260.15.
