McDonald’s delivers Q1 growth, says Middle East war has not impacted results

McDonald's food
McDonald’s global comparable sales increased 3.8 per cent in Q1. (Source: Bigstock)

McDonald’s Corporation posted sales growth in the first quarter despite a challenging environment marked by the conflict in the Middle East.

The company’s global comparable sales increased 3.8 per cent year-on-year during the quarter ended March 31.

US comparable sales rose 3.9 per cent, primarily driven by positive check growth. International operated markets grew 3.9 per cent, with nearly all markets recording positive growth, led by the UK, Germany and Australia. 

International developmental licensed markets lifted comparable sales by 3.4 per cent, with all regions posting uplfits, led by Japan.

Global systemwide sales jumped 11 per cent to over $34 billion (up 6 per cent in constant currencies). Consolidated revenues increased 9 per cent.

Chairman and CEO Chris Kempczinski said the results prove the company can drive positive growth even in a “challenging environment”.

During an earnings call, Kempczinski added that while the war in the Middle East has not had a material impact on total company results, the operating environment remains volatile. 

“Our teams are focused on supporting our franchisees, mitigating costs within our control, and protecting the long-term health of the business in the region,” he said.

On the bottom line, net income grew 6 per cent to $1.98 billion.

Last year, the restaurant chain reported a 3.1 per cent uplift in global comparable sales

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