A McDonald’s restaurant is seen in Belmont, California, on April 3, 2023.
Tayfun Coskun | Anadolu Agency | Getty Images
McDonald’s on Monday reported quarterly earnings and revenue that beat analysts’ expectations as price hikes boosted its U.S. sales.
Shares of the company rose more than 2% in premarket trading.
Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by LSEG, formerly known as Refinitiv:
- Earnings per share: $3.19 adjusted vs. $3 expected
- Revenue: $6.69 billion vs. $6.58 billion expected
The fast-good giant reported third-quarter net income of $2.32 billion, or $3.17 per share, up from $1.98 billion, or $2.68 per share, a year earlier.
Excluding items, McDonald’s earned $3.19 per share.
McDonald’s revenue rose 14% to $6.69 billion.
Global same-store sales grew 8.8% in the quarter, beating StreetAccount estimates of 7.8%.
The company’s U.S. same-store sales increased 8.1%, fueled by strategic price increases. McDonald’s did not disclose how much its prices have risen compared with the year-ago period. The chain also credited its marketing campaigns and digital and delivery orders for its sales growth.
McDonald’s international operated markets division reported same-store sales growth of 8.3%, boosted by strong demand in the United Kingdom, Germany and Canada.
The company’s international developmental licensed markets segment, which includes China and Japan, saw same-store sales growth of 10.5%.
CEO Chris Kempczinski said in a statement that the broader economic environment is unfolding in line with the company’s expectations for the year.