The company said that it had $1.45 in adjusted earnings per share (EPS), versus a GAAP-EPS of $1.25, on $6.265 billion in revenue.
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McDonald’s said its sales growth in the USA was largely driven by the all-day breakfast menu and the chain’s McPick 2 promotion.
The company recorded pre-tax charges of about $230 million, or 20 cents per share, in the latest quarter related to refranchising initiatives and relocation of its headquarters to Chicago.
Total revenues for the quarter decreased 4 percent, or declined 1 percent in constant currencies, to $6.265 billion from $6.498 billion in the same quarter past year.
“There is no doubt that in the United States the market as a whole was weak across the reporting period, with lower growth in consumer expenditure on fast food and casual dining”, said Neil Saunders, chief executive of research firm Conlumino. In the same period of previous year, its EPS came to $1.26, on $6.5 billion in revenue.
Comparable sales at worldwide restaurants increased 3.1 percent, missing the average estimate of 3.6 percent rise. “We’re making steady progress on transforming our business to satisfy the needs of our customers around the world, despite a challenging environment in several key markets”.
Earnings per share missed analysts’ expectations.
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McDonald’s Corporation (NYSE: MCD) released its Q2 results on Tuesday morning. McDonald’s (NYSE:MCD) trades to a PE of 25. McDonald’s (NYSE:MCD) shares have gained 5.02% over the last four weeks and are up 7.84% year to date, while trading in a range from $87.50 to $131.96. Citigroup Inc. restated a “hold” rating on shares of McDonald’s Corp.in a report on Saturday, April 23rd. That undercuts a 124.18 buy point cleared on July 19.
