McDonald's 3Q profit rises, revenue short of expectations
APOAK BROOK, Illinois--McDonald's third-quarter profit rose 5 percent, as the world's biggest hamburger chain benefited from a Monopoly promotion in the U.S. and strength in the UK and Russia.
October 22, 2013, 12:06 am TWN
But revenue missed analyst expectations and shares slid more than 2 percent in premarket trading.
After outperforming rivals for years, McDonald's has struggled recently as it faces heightened competition, shifting eating habits and tough economic conditions around the world. Late last year, its monthly sales at stores open at least a year fell for nearly the first time in a decade.
“Our results reflect McDonald's ability to grow amid the broad-based challenges of the current environment by focusing on those areas of the business within our control,” said CEO Don Thompson.
For the three months ended Sept. 30, net income rose to US$1.52 billion, or US$1.52 per share. That compared with US$1.46 billion, or US$1.43 per share, last year. Analysts expected US$1.51 per share, according to FactSet.
Revenue rose 2 percent to US$7.32 billion from US$7.15 billion last year. Analysts expected US$7.33 billion.