McDonald’s reported an expected drop in first-quarter earnings as sales of its hamburgers in Europe continued to suffer from the fallout over BSE and foot and mouth disease.

Income in the period fell to US$378.3m from US$450.9m a year ago. Sales at the fastfood giant, which include both company-owned and franchised stores, rose to US$9.65bn from US$9.51bn a year ago. Sales in Europe, which account for about one-fourth of McDonald’s total, fell 6% to US$2.18bn from US$2.31 bn. The profit decline is the second consecutive quarterly drop for McDonald’s.

McDonald’s though are optimistic that sales and profits will improve. In a statement, Chairman and Chief Executive Jack Greenberg said, “In Europe, we are optimistic that lingering concerns about beef will continue to lessen as the year progresses.” Greenberg added that comparable-store sales trends in March improved in several key European markets.


How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.