McDonald’s Overseas Sales Hit by Strong Dollar
26 Jan 2016 --- McDonald’s has reported a 4 per cent drop in revenues to $6.3bn in the three months ending December 2015, as the stronger dollar impacted its overseas sales.
The fast-food giant has been making cost cuts to its business and expanding its menu offering, including offering all-day breakfasts, as it looks to lure in more customers.
Operating profit rose 7 per cent to $1.87bn and pre-tax profits jumped 10 per cent to $1.19bn in the period.
McDonald’s president and chief executive Steve Easterbrook said: “We took bold, urgent action in 2015 to reset the business and position McDonald’s to deliver sustained profitable growth."
“We ended the year with momentum, including positive comparable sales across all segments for both the quarter and the year.”
The fast-food giant has also been looking to improve the quality of its ingredients and enhancing its digital strategy.
The McDonald’s app has attracted more than 5m downloads since the end of the third quarter.
The company flagged up strong sales in the UK, Canada and Australia but sales in Japan remain problematic down to logistical problems.
In its home US market, operating profit lifted by 30 per cent, helped by new menu offerings.
Its performance in the US was also helped by the improved weather, luring more people out to its outlets.
Easterbrook added: “We are demonstrating that our turnaround plan is key to restarting our growth and becoming a modern and progressive burger company.”
