Strong US sales give McDonald's a boost in 4Q

Sales moved into positive territory in key markets, including the United Kingdom.Net income fell 12 per cent to USD 1.4 billion for the fourth quarter. That was short of Wall Streets expectation of USD 1.77, according to analysts polled by FactSet.McDonalds revenue fell 2 per cent to USD 5.3 billion, also short of Wall Streets expectations.

McDonald's ended 2020 on a strong note, recovering nearly all of the global sales lost in the pandemic despite a resurgent virus.

U.S. sales were a big contributor, pumped up by new menu items like spicy Chicken McNuggets and celebrity collaborations. U.S. same-store sales rose 5.5 per cent in the October-December period.

Same-store sales or sales at locations open at least a year were down just 1.3 per cent worldwide in the quarter despite store closures in Italy, Spain and Germany. Sales moved into positive territory in key markets, including the United Kingdom.

Net income fell 12 per cent to USD 1.4 billion for the fourth quarter. Adjusted for one-time items, the Chicago fast food giant earned USD 1.70 per share. That was short of Wall Street's expectation of USD 1.77, according to analysts polled by FactSet.

McDonald's revenue fell 2 per cent to USD 5.3 billion, also short of Wall Street's expectations.