McDonald's (MCD) January Sales Rise Driven by International Operations
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McDonald's Corp. (NYSE: MCD) announced on Tuesday that sales in overseas markets pushed overall sales up by 2.6 percent in January helping to offset the decline that was seen in the United States.
Same-store sales for the world's largest fast-food chain in the U.S. fell 0.7 percent, while in Europe, Asia/Pacific, Middle East and Africa rose 4.3 percent.
Total sales for McDonald's rose 9.1 percent in January, rising 6.7 percent in Europe and 7.2 percent in the rest of the overseas market. A total sales decline of 0.1 percent was seen in the U.S. during the first month of the year.
McDonald's has traditionally been recession proof as a result of customers turning to the company's value menu items as a cheap alternative for dining. The company has started to feel the impact of the weak economy lately as competitors have been pushing their own value items in attempts to lure away some of McDonald's customers.
"As we raise the bar on our menu, convenience and value offerings, I am confident that we will exceed our customers' expectations again in 2010,” said Chief Executive Officer of McDonald's, Jim Skinner.
Nations like Great Britain and France outperformed others like Germany for McDonald's in the European market for January, while in Asia Japan and Australia showed significant growth as China was down due to the time of the country’s New Year.
The company also announced that it will take a $40 million to $50 million tax charge in the first half of 2010 due to the closing 430 Japanese stores.
Shares of McDonald’s are up 23 cents in early market movement on Tuesday to $63.15.
Same-store sales for the world's largest fast-food chain in the U.S. fell 0.7 percent, while in Europe, Asia/Pacific, Middle East and Africa rose 4.3 percent.
Total sales for McDonald's rose 9.1 percent in January, rising 6.7 percent in Europe and 7.2 percent in the rest of the overseas market. A total sales decline of 0.1 percent was seen in the U.S. during the first month of the year.
McDonald's has traditionally been recession proof as a result of customers turning to the company's value menu items as a cheap alternative for dining. The company has started to feel the impact of the weak economy lately as competitors have been pushing their own value items in attempts to lure away some of McDonald's customers.
"As we raise the bar on our menu, convenience and value offerings, I am confident that we will exceed our customers' expectations again in 2010,” said Chief Executive Officer of McDonald's, Jim Skinner.
Nations like Great Britain and France outperformed others like Germany for McDonald's in the European market for January, while in Asia Japan and Australia showed significant growth as China was down due to the time of the country’s New Year.
The company also announced that it will take a $40 million to $50 million tax charge in the first half of 2010 due to the closing 430 Japanese stores.
Shares of McDonald’s are up 23 cents in early market movement on Tuesday to $63.15.
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