McDonald's (MCD) earnings Q1 2023
Delivery couriers are seen near McDonald's restaurant in Krakow, Poland on April 12, 2023.
McDonald's on Tuesday reported quarterly earnings and revenue that topped analysts' expectations as U.S. consumers keep buying Big Macs and Shamrock Shakes.
Shares of the company rose about 1% in premarket trading.
Here's what the company reported compared with Wall Street expectations, based on a survey of analysts by Refinitiv:
Earnings per share: $2.63 adjusted vs. $2.33 expected
Revenue: $5.9 billion vs. $5.59 billion expected
The fast-food giant reported first-quarter net income of $1.8 billion, or $2.45 per share, up from $1.1 billion, or $1.48 per share, a year earlier.
Excluding $180 million in restructuring charges and other items, McDonald's earned $2.63 per share.
Net sales rose 4% to $5.9 billion. All three of its divisions reported same-store sales growth of 12.6%.
In its home market, higher menu prices and increased traffic fueled same-store sales growth, which topped StreetAccount estimates of 7.9%.
McDonald's U.S. traffic rose for the third consecutive quarter, bucking the industry trend of slipping traffic as menu prices rise. Historically, fast-food chains like McDonald's have fared well during times of economic uncertainty as consumers trade down to its cheaper meals.
Outside the United States, McDonald's also saw better-than-expected sales. Its international operated markets, which include the United Kingdom, France, Germany and Australia, beat StreetAccount estimates of 8.5% same-store sales growth.
Its international developmental licensed markets segment, which includes China and Japan, topped same-store sales expectations of 10.5%.
This is breaking news. Please check back for updates.
Source: CNBC
