McDonald’s reported fourth quarter earnings on Friday morning, which showed that its global same-store sales fell 0.9%, less than the 1.5% decline that was expected by analysts.
In pre-market trade on Friday, shares of McDonald’s were up about 1.5%.
In the US, same-store sales fell 1.7% in the fourth quarter, less than the 2.1% that was expected.
Here’s a quick overview of McDonald’s Q4 results:
- Global comparable sales decrease of 0.9%, reflecting negative guest traffic in all major segments
- Consolidated revenues decrease of 7% (1% in constant currencies)
- Consolidated operating income decrease of 20% (15% in constant currencies), primarily due to weak operating performance in the U.S. and the impact of the supplier issue in APMEA
- Diluted earnings per share of $US1.13, a decrease of 19% (14% in constant currencies), which includes a negative impact of $US0.09 per share due to the supplier issue in APMEA
- Returned $US1.8 billion to shareholders through dividends and share repurchases
In a statement, McDonald’s CEO Don Thompson said, “2014 was a challenging year for McDonald’s around the world. Our results declined as unforeseen events and weak operating performance pressured results in each of our geographic segments,.”
McDonald’s said that its capital expense budget in 2015 is set at $US2 billion, the lowest level in five years.
Thompson added: “Our business continues to face meaningful headwinds … While January comparable sales are expected to be negative and results are expected to remain pressured, particularly in the first half of the year, I am energized by the opportunities ahead for McDonald’s and remain confident that we can regain our momentum and build value for shareholders over the long term.”