McDonald's reports 12% increase in income
July 23, 2010
by Meat&Poultry Staff
OAK BROOK, ILL. — Driven by increased sales and the popularity of the Frappes, McDonald’s Corp. income rose 12% during the second quarter.
For the quarter ended June 30, the global restaurant chain had net income of $1,225.8 million, equal to $1.13 per share on the common stock, which compared with income of $1,093.7 million, or 98c per share, during the same quarter of the previous year. Revenue for the quarter was $5,945.5 million, up 5% from $5,647.3 million during the same quarter of the previous year.
“McDonald’s second quarter reflects strong top-line and bottom-line results with each area of the world generating higher comparable sales, traffic and profits,” said Jim Skinner, chief executive officer. “This performance demonstrates the popular appeal of McDonald’s relevant menu choices. We’re delivering great-tasting food to our 60 million customers around the world every day with the outstanding value and unmatched convenience they expect from McDonald’s.”
Results in the United States were driven by the beverage line-up, including the Frappes and value-based beverages, as well as the core menu items and the affordability of the dollar meal. Operating income in the United States rose 7%.
For the six months ended June 30, McDonald’s posted operating income of $2,315.6 million, or $2.13 per share, up 12% from $2,073.2 million, or $1.85 per share, during the same period of the previous year. Revenue for the six months was $11,555.6 million, up 8% from $10,724.6 million during the same period of the previous year.
“What makes McDonald’s unique is the distinctive experiences we’re creating for our customers through menu innovation, restaurant reimaging and operations excellence,” Mr. Skinner said. “I am pleased with our second-quarter performance and confident in our ability to continue to deliver solid results. As we begin the third quarter, our momentum continues with July global comparable sales trending in-line with or better than second-quarter sales.”