McDonald's Corp (NYSE:MCD, XETRA:MDO) beat Wall Street's profit expectations in the second quarter and named a new leader for its US business, capping a shakeup at the top of the company's largest market.
The fast-food giant posted earnings per share of $3.32, matching estimates and up 6% year-over-year.
Net income came in at $2.36 billion, a 5% increase from the prior year and in line with forecasts. Revenue rose 4% to $7.1 billion, in line with analyst estimates of $7.13 billion.
Global comparable sales rose 1.3%, just below the 1.4% growth analysts had expected and down from 3.8% growth in the first quarter, according to Bloomberg consensus data.
In the US, comparable sales grew for a fifth consecutive quarter, rising 0.8%, slightly below the 0.9% growth forecast and well under the 2.5% gain posted in the same period last year. Sales growth in the company's international operated and licensed market segments was roughly in line with expectations.
Operating income totaled $3.3 billion, up 3% from a year ago but slightly below the $3.39 billion analysts had expected.
For fiscal 2026, McDonald's guided capital expenditures of $3.7 billion to $3.9 billion, above the $3.73 billion estimate. The company expects operating margin in the mid-to-high 40% range, an effective tax rate of 21% to 23%, interest expense growth of 4% to 6%, and free cash flow conversion in the low-to-mid 80% range.
McDonald's also named Skye Anderson, a 26-year veteran of the company, as president of McDonald's USA. She succeeds Joe Erlinger, who is departing after more than two decades with the company, including nearly seven years leading its US business.
Shares of McDonald's were up 1.4% in Tuesday morning trading.