OAK BROOK, Ill. – McDonald’s Corp. announced its global comparable sales in May have decreased once again – this time by 0.3 percent. Its comparable sales were down 0.6 percent in April. Steve Easterbrook, president and CEO, announced the company’s “turnaround plan” back in April.
“McDonald’s has embarked on a turnaround plan to reignite our business performance,” Easterbrook said. “Our talented franchisees, suppliers and employees are placing renewed emphasis on the basics of great-tasting, high-quality food, compelling value and outstanding service. Our goal is to be a modern, progressive burger company that is responsive to consumers' evolving preferences, provides a contemporary experience for our customers and drives long-term value for our system and our shareholders.”
Negative customer traffic and ongoing competitive activity are to blame for the 2.2 percent decrease in US comparable sales in May. The company reports that in order to address these challenges, US stores are working to enhance the customer experience with limited-time menu and value options. In addition, the company is exploring opportunities to expand convenience, personalization and daypart availability to modernize the business.
Europe's comparable sales rose 2.3 percent in May. Strong results in the UK and slightly positive performance in Germany and France were responsible for the overall rise in European sales, though they were partly offset by slightly negative results in Russia.
Comparable sales in Asia/Pacific, Middle East and Africa (APMEA) declined 3.2 percent in May as strong performance in Australia was more than offset by continued challenges in Japan and negative performance in China.
The company reported solid comparable sales in its Other Countries and Corporate segment, which includes Latin America and Canada.
System-wide sales for the month decreased 7.2 percent, or increased 1.8 percent in constant currencies.
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