Search
The Caterer

McDonald's reports eating out market ‘remains challenging'

McDonald's reports eating out market ‘remains challenging'

Fast food giant McDonald's said the "informal eating-out market remains challenging" in its 2013 second quarter results statement, and that this will affect its results for the rest of the year.

In the three months to 30 June, the company earned $1.4b (£910m), an increase on last year's $1.35b (£880m), with global sales at established restaurants up 1%.

Chief executive Dan Thompson said: "While our consolidated results this quarter were positive, global comparable sales for July are expected to be relatively flat. Based on recent sales trends, our results for the remainder of the year are expected to remain challenged."

The UK and Russia delivered a solid sales performance, but this could not offset a decline in France and Germany and Europe saw a 0.1% fall in sales. The company said that while European earnings continued to be affected by the challenging consumer environment, they drove the majority of the company's operating income growth for the period.

The company's UK business has already filled 1,500 of the 2,500 jobs it announced in January that it would create by the end of 2013, through new openings and longer opening hours at some existing restaurants.

Jill McDonald, chief executive of McDonald's UK, said: "We know it's still tough out there for everyone and that's why I'm determined to maintain momentum by continuing to invest in the long-term growth of our business - our restaurants, our people and quality ingredients that are responsibly sourced - to ensure our customers enjoy a great experience at great value every time they visit."

US sales grew 1%, helped by the Dollar Menu and new products such as chicken wraps and egg-white breakfast sandwiches.

Sales declined 0.3% in the Asia-Pacific, Middle East and Africa, largely due to "negative results" in China, Australia and Japan.

http://www.catererandhotelkeeper.co.uk/Articles/25/1/2013/347180/mcdonald-s-to-create-2-500-new-uk-jobs-in-2013.htm" target="_blank" rel="noreferrer">
McDonald's to create 2,500 new UK jobs in 2013 >>

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.