McDonald’s U.S. sales still slipping

by Monica Watrous    View Me on Google+
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OAK BROOK, ILL. — Promotions of the Dollar Menu & More and breakfast failed to lift U.S. sales for the McDonald’s Corp. in May. Citing ongoing marketplace challenges, the fast-food chain reported a 1% drop in comparable sales for the month at its restaurants in the United States, which continued a streak of flat or declining sales in the region.

Stronger performance elsewhere offset domestic results to help McDonald’s achieve a 0.9% increase in global comparable sales.

“Around the world we are pursuing opportunities to provide our customers with their favorite food and drink, create memorable experiences, offer unparalleled convenience and become an even more trusted brand,” said Don Thompson, president and chief executive officer. “We are intensifying our commitment to place the customer at the center of everything we do and are determined to create experiences that deliver the most meaningful impact for our customers and our business.”

In May, Europe’s comparable sales rose 0.4%, driven by positive performance in the United Kingdom and France that was partly offset by weakness in Germany. The chain said a combination of value and premium menu options and an expanded beverage business supported the results.

Comparable sales for McDonald’s Asia/Pacific, Middle East and Africa (APMEA) region climbed 2.5%, led by strength in China, which included a prior-year comparison to the impact of Avian influenza, as well as positive results across a number of markets that were partially offset by continued negative performance in Japan. The region remains focused on strengthening its value platforms, breakfast and convenience.

System-wide sales in May increased 2.4%, or 3.4% in constant currencies.
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