McDonald's profits jump on higher price as more markets reopen

[NEW YORK] McDonald's reported a jump in third-quarter earnings on Wednesday on strong US sales growth fuelled in part by price increases on some popular items and fewer closures in several overseas markets.

The fast-food giant pointed to the launch of a loyalty programme as a driver of higher sales in the United States, its biggest market, as well as a boost from larger order sizes and menu price increases.

McDonald's also benefited from higher sales in several international markets despite a decline in comparable sales in China due to Covid-19 resurgence and continued restrictions in Australia.

The company said sales were especially strong in Britain, Japan and Latin America and solid in Canada, France and Germany.

Net income was US$2.1 billion, up 22 per cent, on 14 per cent rise in revenues to US$6.2 billion.

"Our global comparable sales increased 10 per cent over 2019, which was delivered across an omnichannel experience that is focused on meeting the needs of our customers," said chief executive Chris Kempczinski.

AFP