McDonald's Corporation ($MCD (-0,41 %)
) slightly missed analysts' expectations in the first quarter of 2025 in terms of both sales and earnings per share. Despite challenging market conditions, the company was able to maintain its operating margins at a high level and and maintained its maintain its competitive position. No statements on the dividend or share buy-backs were made in the report. made in the report.
Key financial figures (Q1 2025):
- Turnover: 5.96 billion $
- ↳ Below expectations of USD 6.15 billion
- Earnings per share (EPS): 2,67 $
- ↳ Missed the forecast of $2.69 by $0.02
- Adjusted operating margin: approx. 45,5 %
- Currency effect: Expected positive contribution of +0,05 $ per share
Business development & market conditions:
- Global comparable sales: -1 %
- Despite a decline in customer traffic in key target groups (in particular lower-income households), McDonald's was able to keep its market share stable and customer frequency advantages over the competition.
- Strong restaurant margins and efficiency contributed to operational resilience.
Market reaction:
- Share price decline by -1,35 % after publication of results to 319,65 $
- The moderate negative reaction is due to missed expectations not due to fundamental weaknesses.
Outlook:
- McDonald's confirmed its annual targets for 2025.
- Focus on affordability, value propositions and menu innovations (e.g. McCrispy Chicken Strips, snack wraps) to boost guest numbers.
Conclusion:
McDonald's has slightly disappointed in a difficult consumer environment, but remains operationally solid. The management is strategically focused on value-for-money offerings and product innovation in order to grow in a highly competitive market environment.
