2023-04-25 07:10:38 ET
McDonald's Corporation ( NYSE: MCD ) edged slightly lower in early trading on Tuesday after posting its Q1 earnings report .
Global comparable sales were up 12.6% for the restaurant giant vs. +8.2% consensus. Notably, all segments showed double-digit growth during the quarter.
U.S. comparable sales were up 12.6% vs. +7.5% consensus. The results benefited from strategic menu price increases and positive comparable guest count growth. Successful operational execution in McDonald's restaurants, effective marketing campaigns featuring the core menu and continued digital and delivery growth contributed to strong comparable sales results.
The International Operated Markets segment also reported a 12.6% increase during the quarter. McDonald's ( MCD ) pointed to segment performance being led by strong comparable sales across the Big Five and the majority of other markets.
The International Developmental Licensed Markets segment saw a 12.6% comparable sales increase. The quarter reflected strong comparable sales across the segment, led by Japan, along with all geographic regions.
Consolidated operating income increased 10% during the quarter and was 14% higher on a constant currency basis. Net incomce was $1.802B vs. $1.104B a year ago.
CEO update: "Our strong first quarter results demonstrate that our Accelerating the Arches strategy is working, as comparable sales grew 12.6% through a healthy balance of strategic menu price increases and positive traffic growth...Running great restaurants is fundamental to our business momentum. We have refocused on operational excellence through our global Performance and Customer Excellence initiative, and we've seen significant customer satisfaction improvement around the world. Amidst a challenging operating environment, customer demand for McDonald's Brand remains strong."
Shares of MCD fell 0.27% in premarket action to $292.40 vs. the 52-week trading range of $228.34 to $293.43.
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McDonald's sees double-digit comparable sales growth across all regions