News

McDonald's feeling effects of challenging global economy

May 8, 2013

McDonald's Corporation today announced that global comparable sales decreased 0.6 percent in April, mostly due to the continued challenging global economy.

Europe sales, for example, were down 2.4 percent, while the Asia/Pacific, Middle East and Africa (APMEA) segment was down 2.9 percent.

However, the chain's U.S. business rebounded slightly in April, with sales up 0.7 percent.

"McDonald's is focused on becoming our customers' favorite place and way to eat and drink by leveraging the strength of our menu variety, unsurpassed value and convenience, and by emphasizing outstanding customer service," said Don Thompson, CEO and president. "As we begin the second quarter against the backdrop of a persistently challenging macro environment, the McDonald's system is aligned around executing our long-term strategies to drive sustained, profitable growth."

In the U.S., comparable sales increased 0.7 percent due to the national introduction of Premium McWraps, value options and the ongoing popularity of McDonald's breakfast. Moving forward, the company says its U.S. initiatives will feature a balanced combination of value, menu innovation and service.

In Europe, positive performance in the U.K. and Russia was more than offset by Germany, France and other markets. McDonald's markets across Europe continue to pursue customer-focused strategies around menu choice, everyday affordability and enhancing brand presence by adding new restaurants and increasing operating hours.

APMEA's April sales reflect the impact of Avian influenza, primarily in China, and softer results in Japan and Australia. Across the region, McDonald's is focused on emphasizing unique value platforms, accelerating growth at breakfast and enhancing customer service and convenience.

Systemwide sales for the month decreased 0.4 percent and increased 1.9 percent in constant currencies.

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