McDonald's 2Q profit jumps 12 pct on rising sales
McDonald's Corp's net income climbed 12 per cent in the second quarter as customers around the globe gobbled up its cheap food and US customers responded to its profitable frappes and other drinks on its hit McCafe menu.business Updated: Jul 23, 2010 20:18 IST
McDonald's Corp's net income climbed 12 per cent in the second quarter as customers around the globe gobbled up its cheap food and US customers responded to its profitable frappes and other drinks on its hit McCafe menu.
The world's largest hamburger chain also got a boost from business in customers in China and Australia.
For the three months that ended June 30, McDonald's earned $1.23 billion, or $1.13 per share. That's up from last year's net income of $1.09 billion, or 98 cents per share.
Revenue climbed 5 per cent to $5.95 billion. That's up from $5.65 billion last year.
Both figures topped Wall Street forecasts. Analysts surveyed by Thomson Reuters were expecting McDonald's Corp. to earn $1.12 per share on revenue of $5.91 billion.
Meanwhile, sales at locations open at least a year climbed 4.8 per cent during the quarter. The measure _ an important figure that tracks restaurant performance _ climbed 3.7 per cent in the US while rising 5.2 per cent in Europe and 4.6 per cent elsewhere around the globe.
In the US, where McDonald's has almost 14,000 of its more than 32,000 restaurants, operating income climbed 7 per cent to $895.1 million. Revenue in the US rose 2 per cent to $2.08 billion. McDonald's is based in Oak Brook, Illinois.
Its shares fell $1.10, or 1.5 per cent, to $70.30 in premarket trading Friday. Shares closed Thursday at $71.40.
First Published: Jul 23, 2010 20:16 IST