All-day breakfast helps fuel McDonald’s profits

Faster kitchens and discounting adds to fast food resurgence cooked up by new CEO

McDonald’s all-day breakfast  has  helped to  bring third-quarter revenue to $6.42 billion. Photograph: iStock
McDonald’s all-day breakfast has helped to bring third-quarter revenue to $6.42 billion. Photograph: iStock

McDonald's third-quarter revenue has topped analysts' estimates, helped by international markets like Britain and Canada, as well as the expansion of its all-day breakfast menu in the US.

Revenue was $6.42 billion in the quarter ended September 30th, the company based at Oak Brook, Illinois, said in a statement on Friday. Analysts had estimated $6.28 billion, on average. Globally, comparable-stores sales rose 3.5 per cent, while analysts projected a 1.5 per cent gain, according to Consensus Metrix.

Chief executive Steve Easterbrook has staged a turnaround at the company with the help of steep discounting, faster kitchens and all-day breakfast at its domestic locations.

McDonald's, which gets about two-thirds of its revenue from outside the US, was also helped in the quarter by gains in its international lead markets unit, which includes Britain, Canada, Australia and Germany.

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Shares increased 3.6 per cent to $114.50 in early trading in New York. McDonald’s has dropped 6.4 per cent this year.

(Bloomberg)