McDonald’s rises after Q2 sales rebound, as US customers spend more per visit
McDonald’s just posted a US sales rebound in the second quarter — a comeback after a rough start to the year.
Revenue rose 5% year over year to $6.84 billion, beating Wall Street’s $6.7 billion estimate, while adjusted earnings per share came in at $3.19, above the $3.14 expected, according to FactSet.
Global same-store sales climbed 3.8%, topping the 2.6% forecast, aided by 2.5% growth at US locations. That marks a welcome reversal from the first quarter, when the fast-food giant’s US restaurants saw their largest same-store sales decline since early Covid, as budget-conscious customers pulled back on eating out.
After introducing back-to-back menu moves targeting price-sensitive (and chicken-loving) diners, including the May launch of McCrispy Chicken Strips and the June rollout of the $5 Meal Deal, customers have had a lot of protein-packed, snack-sized value options at the golden arches.
But while the value message may have landed, at least in the US, the rebound seems less driven by customers opting for cheaper meals, with McDonald’s saying that the US comparable sales results were primarily driven by “positive check growth.”
Meanwhile, a nostalgic item could further lift traffic and sales in the current quarter: the burger giant brought back its long-awaited Snack Wrap in July.
Looking ahead to Q3, McDonald’s plans to test premium sodas aimed at Gen Z, expand late-night hours at US stores, and continue opening new locations globally at a 4% to 5% annual pace.
After introducing back-to-back menu moves targeting price-sensitive (and chicken-loving) diners, including the May launch of McCrispy Chicken Strips and the June rollout of the $5 Meal Deal, customers have had a lot of protein-packed, snack-sized value options at the golden arches.
But while the value message may have landed, at least in the US, the rebound seems less driven by customers opting for cheaper meals, with McDonald’s saying that the US comparable sales results were primarily driven by “positive check growth.”
Meanwhile, a nostalgic item could further lift traffic and sales in the current quarter: the burger giant brought back its long-awaited Snack Wrap in July.
Looking ahead to Q3, McDonald’s plans to test premium sodas aimed at Gen Z, expand late-night hours at US stores, and continue opening new locations globally at a 4% to 5% annual pace.
