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McDonald's notches sales growth in key regions; profits dip
[NEW YORK] McDonald's, home of the Big Mac, reported a dip in third-quarter profit Tuesday, but notched comparable sales growth in key regions, including Britain, France and Japan.
Net income at the fast-food giant fell to US$1.6 billion, a drop of 13.1 per cent from the same period of the prior year. But the 2017 quarter was boosted by about US$850 million from the sale of businesses in China and Hong Kong.
Quarterly revenues fell 6.7 per cent to US$5.4 billion.
But on the bright side, comparable sales - a key benchmark in the restaurant business - grew in all four of McDonald's regional categories, with the home US market up 2.4 per cent.
The company also experienced strong sales growth in Britain, Australia, France, Italy, the Netherlands and Japan, McDonald's said.
The results come on the heels of improvements in comparable sales over the last three years following efforts at simplifying the menu to speed service and upgrading mobile applications to meet consumer demand.
The company also has invested in food delivery.
"We have made substantial progress modernizing restaurants around the world, enhancing hospitality and elevating the experience for the millions of customers we serve every day," said McDonald's Chief Executive Steve Easterbrook.
Shares jumped 2.6 per cent to US$170.95 in pre-market trading.