McDonald’s Corporation (MCD) is the leading global foodservice retailer with nearly 37,000 locations in over 100 countries. The Corporation operates and franchises McDonald’s restaurants in the US and across the globe with over 90% of its restaurants owned and operated by local, independent businessmen and women.
Fast food giant, McDonald’s reported quarterly profits on Wednesday exceeding analysts’ expectations. McDonald’s recorded an EPS of $1.97, adjusted, versus $1.96 expected. Revenue met expectations at $5.3 billion with same-store sales soaring at 5.9% globally.
McDonald’s has been facing tough competition from rivals and declining sales as consumers are moving away from fast food. The global fast-food giant expects to spend about $1.3 billion on capital expenditures in the U.S. for 2020, with more than half to be spent on store renovations including self-order kiosks.
“We’re committed to really updating and competing in an aggressive way in the chicken segment,” stated CEO, Chris Kempczinski.
Other Highlights from the earnings release:
- The company generated net income of $1.57 billion, or $2.08 per share in comparison to $1.41 billion, or $1.82 per share, a year earlier.
- Earnings of $1.97 per share were reported, topping expectations at $1.96 per share, excluding tax benefits as per new regulations,
- Net sales increased 4% to $5.3 billion, in-line with expectations.
Vista Partners LLC (”Vista”) is a California Registered Investment Advisor based in San Francisco. Vista delivers timely and relevant insights via the website: www.vistapglobal.com with daily stories, weekly market updates, monthly macroeconomic newsletters, podcasts, & Vista’s proprietary equity and market research to help you stay informed and stay competitive. Vista’s mission is to invest partner capital while arming investors with a comprehensive global financial perspective across all market sectors. Vista also seeks to provide select issuers with actionable advice regarding fundamental development, corporate governance, and capital market directives.
Stay Informed! Stay Competitive! Join us at Vista Partners!