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Food & drink

McDonald's posts double-digit growth in revenue and profit as prices rise

McDonald's Corp (NYSE:MCD) reported double-digit growth in revenue and net income supported by price rises and solid international growth.

The multi-national fast food chain said revenue in the third quarter revenue rose 14% to $6.70 billion from $5.87 billion, net income increased 17% to $2.32 billion from $1.98 billion, and diluted EPS climbed to $3.17 from $2.68.

McDonald's president and chief executive Chris Kempczinski said the results “reflect our position of strength as the industry leader.”

The firm said like-for-like sales benefited from strategic menu price increases, effective marketing and continued digital and delivery growth.

Global comparable sales increased 8.8%, reflecting strong comparable sales across all segments.

US sales increased 8.1%, the International Operated Markets segment increased 8.3% and the International Developmental Licensed Markets increased 10.5%.

International sales saw strong sales in most markets, led by the UK, Germany and Canada.

McDonald’s also declared a 10% increase in its quarterly cash dividend to $1.67 per share.

Shares rose 3.1% in pre-market trading to $263.45.

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