Breakfast bump: McDonald's U.S. sales jump 5.7 per cent

NEW YORK -- Breakfast around the clock is helping shake McDonald's out of its slump.

The world's biggest hamburger chain says the launch of an all-day breakfast menu and unseasonably warm weather helped lift sales by 5.7 per cent in the U.S.

See Full Article

for the final three months of the year.

It's the second straight quarter of domestic growth as McDonald's fights to win back customers, and the best showing since early 2012. Globally, sales rose 5 per cent at established locations.

Shares headed for an all-time high before the market opened Monday.

McDonald's, which has more than 36,000 locations around the world, is working to turnaround its business under CEO Steve Easterbrook, who will mark one year on the job in March.

One of the biggest changes under Easterbrook was to make the Egg McMuffin and other select breakfast foods available past normal breakfast hours in the U.S. -- an option many customers had long desired. The changes come after McDonald's executives conceded they failed to keep up with changing tastes and saw sales slide.

In 2015, guest counts at established McDonald's locations in the U.S. fell 3 per cent. That followed a 4.1 per cent drop the previous year. Guest counts declined globally as well during the period.

The latest sales jump in the U.S. marks the best showing since the first quarter of 2012, when comparable-stores sales rose 8.9 per cent.

Sales for the "International Lead" unit, which includes the United Kingdom and Canada, rose 4.2 per cent during the period. In the high-growth markets unit, which includes Russia and China, sales climbed 3 per cent.

For the three months ended Dec. 31, McDonald's Corp. earned $1.21 billion, or $1.31 per share. That beat Wall Street expectations for $1.23 per share, according to FactSet.

Total revenue was $6.34 billion, also topping the $6.24 billion analysts expected.

Shares of McDonald's rose almost 3 per cent to $121.90.



Advertisements

Latest Economic News

  • Ailing auto CEO Marchionne had multiple roles, no script

    Economic CTV News
    MILAN -- Sergio Marchionne's achievements as one of the automotive world's most charismatic chief executives include the bold trans-Atlantic merger of Italian carmaker Fiat and U.S. No. 3 Chrysler after he restored both to health. Source
  • 'Worse than oil': Sask. farmers say Husky downplaying damage from salt water leak

    Economic CBC News
    The Saskatchewan farming family that owns the land where salt water leaked from a Husky Energy line says the company is "underplaying" the damage. Ken and Nick Wourms have released aerial photos that show yellowed trees and vegetation in what appears to be the path of the leak, which spilled salt water into the Englishman River, about 500 metres from the leak site near Turtleford, Sask. Source
  • CMHC moves to make it easier for self-employed to get a mortgage

    Economic CBC News
    Self-employed Canadians seeking to buy a home may soon find it easier to secure a mortgage after changes announced by Canada Mortgage and Housing Corp. CMHC said self-employed people make up about 15 per cent of Canada's population, but they may have difficulty qualifying for a mortgage because their incomes may vary or be less predictable. Source
  • Investigating sales tactics and condos rush to ban weed: CBC's Marketplace consumer cheat sheet

    Economic CBC News
    Miss something this week? Don't panic. CBC's Marketplace rounds up the consumer and health news you need. Want this in your inbox? Get the Marketplace newsletter every Friday. Telecom sales tactics Have you ever felt pressured by employees selling TV, internet and wireless services? The CRTC is inviting you to raise your complaints online or at a public hearing starting Oct. Source
  • Pipeline protesters to hold news conference after eviction notice

    Economic CTV News
    BURNABY, B.C. -- Protesters at an anti-pipeline camp in Burnaby, B.C., are set to hold a news conference to relay their side of the story this morning, instead of complying with an eviction notice handed down by the city. Source
  • Pipeline protesters defy city-issued eviction order, say they'll meet with officials

    Economic CTV News
    BURNABY, B.C. -- Protesters at an anti-pipeline camp in Burnaby, B.C., say they will meet with officials to discuss safety measures, but will not comply with a city-issued eviction order. The City of Burnaby says there are safety concerns surrounding "Camp Cloud," including a two-storey watch house and a fire that the protesters describe as sacred and ceremonial. Source
  • Edmonton man charged following investigation into alleged $5.5M Ponzi scheme

    Economic CTV News
    EDMONTON -- Police say a 59-year-old Edmonton man is facing charges after allegedly orchestrating a Ponzi scheme valued at $5.5 million. Investigators with the Edmonton police say the man used the company name "Wakina Consulting Inc. Source
  • Edmonton man charged after investigation into alleged $5.5M Ponzi scheme

    Economic CTV News
    EDMONTON -- Police say a 59-year-old Edmonton man is facing charges after allegedly orchestrating a Ponzi scheme valued at $5.5 million. Investigators with the Edmonton police say the man used the company name "Wakina Consulting Inc. Source
  • Aeroplan wants to be your rewards program and travel agent. Will it work?

    Economic CBC News
    Aeroplan wants to be more than your rewards program; it also aims to serve as your travel agent. The program announced its ambitious plans this week, which include offering charter flights to sun destinations, opportunities to book travel with cash while earning points, and the ability to transfer miles to other loyalty programs. Source
  • Higher crude prices and weaker loonie could offer provinces royalty windfall

    Economic CBC News
    Resurgent oil prices this year could deliver three provinces unexpected windfalls — and maybe improved political fortunes — if crude stays strong. Sagging prices have weighed heavily on resource-based economies in recent years, putting the squeeze on provincial budgets that rely on petroleum revenues. Source