McDonald’s Corporation (NYSE:MCD) released the results from its first quarter, posting earnings of $1.21 per share on revenue of $6.73 billion. The fast food chain missed expectations of $1.24 per share in earnings and revenue of $6.73 billion.
Breaking down McDonald’s earnings results
According to this morning’s release, McDonald’s Corporation (NYSE:MCD) saw a .5% increase in global comparable sales, as U.S., Asia Pacific, and Middle East guest traffic declined, while average check size. Consolidated revenues rose 1% or 3% in constant currencies. Earnings per share declined.
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U.S. comparable store sales fell 1.7% year over year, while operating income declined 3$. Top-line results indicated negative comparable traffic. Comparable traffic in Europe rose 1.4%, while operating income increased 6% or 4% in constant currencies. Positive sales in the U.K., France and Russia was partially offset by weakness in Germany.
McDonald’s returns capital
The fast food chain returned $1.2 billion to shareholders through buybacks and dividends. Asia, Pacific, the Middle East, and Africa comparable sales rose .8%, while operating income fell 10$ or 2% in constant currencies. McDonald’s Corporation (NYSE:MCD) noted weakness in Japan and Australia but solid performance in China.
McDonald’s Corporation (NYSE:MCD) management said their U.S. operations are still focused on improving the restaurant experience. They also said they will try to stabilize their priority markets of Germany, Australia, and Japan, in addition to the U.S.
“In the near term, we are prioritizing our efforts around those elements of the restaurant experience that are most impactful – offering the best food and beverage options and delivering outstanding service,” said McDonald’s President and CEO Don Thompson. “For the long term, we are focused on more effectively leveraging consumer insights to guide our global growth priorities of optimizing our menu, modernizing the customer experience and broadening accessibility to brand McDonald’s. We are intent on pursuing initiatives that will strengthen our relationship with our customers to reignite our business momentum.””
The fast food chain expects to release sales information from April on May 8.