McDonald's Corp. announced results for the first quarter ended March 31, 2012, posting higher revenue, operating income and earnings per share over the prior year.
"McDonald's continued momentum in first quarter drove market share gains and profitability across all geographic segments," said McDonald's CEO Jim Skinner. "The ongoing strength of McDonald's results, amidst persistent economic headwinds, is a testament to our customer-focused plans and our proven business model. We remain committed to the global priorities that are most impactful to our customers – evolving our menu, modernizing the customer experience and broadening accessibility to our Brand. As we enter the second quarter, global comparable sales growth for April is expected to be about 4%."
McDonald's U.S. generated comparable sales of 8.9% and robust guest traffic through a balanced approach to variety, convenience and value. Top-line performance benefited from the ongoing popularity of McDonald's classic core favorites, menu innovations such as Chicken McBites, the enhanced customer experience of McDonald's reimaged restaurants and favorable weather. Operating income for the quarter rose 10%.
Europe delivered solid comparable sales growth of 5.0% and operating income growth of 4% (8% in constant currencies) for the quarter. Performance in the U.K. and Russia led the segment's sales growth, with France and Germany also contributing. Europe's emphasis on everyday affordability, premium product innovation and restaurant reimaging continued to provide an appealing restaurant experience and contributed to the segment's quarterly results. Ongoing economic challenges and severe weather in February negatively impacted the quarter.
Asia/Pacific, Middle East and Africa's (APMEA) comparable sales increase of 5.5% reflected broad-based growth led by China, Australia and Japan. APMEA's operating income rose 10% (7% in constant currencies) as strong execution of the segment's core menu, compelling value and convenience strategies drove results.
Jim Skinner concluded, "Last month I announced my plan to retire from McDonald's in June. As I reflect on the past eight years, I am inspired by the Owner/Operators, suppliers and employees around the world who have aligned behind the Plan to Win and made McDonald's more relevant for more customers than ever before. Looking ahead, I am confident that Don Thompson and his leadership team possess the vision, talent and commitment to seize the future and take McDonald's brand and business performance to new heights. I wish all McDonald's stakeholders the very best knowing the brightest days for McDonald's still lie ahead."
Source: McDonald's Corp.
