McDonald’s same-store sales rise 5%

McDonalds Profits Soar

McDonald’s Corp is finally reporting some good news. The company on Monday announced better-than-expected quarterly same-restaurant sales.

The company’s downturn was temporarily halted with the help of all-day breakfasts in the United States and recovering demand in China.

Global same-restaurant sales rose 5%, above the 3.2% growth expected by analysts polled by research firm Consensus Metrix.

Revenue fell to $6.34 billion in the quarter ended December from $6.57 billion a year earlier.

While same-store sales increased, many franchise owners in recent months had shared their disdain for the all-day breakfast menu. Those franchisees say breakfast food is eating into their profits because it offers a lower margin alternative to traditional lunch and dinner options.

Chief Executive Steve Easterbrook, called the fourth-quarter results “a testament to the swift changes we made and the early impact of our turnaround efforts.”

The company has said part of its increased sales were likely do to “unseasonably warm weather.”

Written by Tammy Johnson

Tammy Johnson

Tammy Johnson is the Retail Editor at BusinessPundit. She focuses on Fortune 500 retail company's and disruptive brick-and-mortar and e-commerce companies that are changing the retail landscape.