McDonald’s Corp experienced strong sales in the first three months of the year and increased morning prices in New York by approximately 5%.
Profits increased 13% from the first quarter of 2017 to nearly $ 1.38 billion.
International demand, including in Britain and Germany, contributed to growth, according to the fast-food chain.
Faced with increasing competition from new restaurant chains, the company tried to win back its customers.
As part of a change plan showing signs of work, premium burger offerings were introduced, restaurants were redesigned, more technology was added, and fresh ingredients were added.
Sales at McDonald’s restaurants, which have been open for at least 13 months, increased by more than 5% in the first three months of the year and the number of guests by almost 1%, the fifth consecutive quarter with an increase in customer visits.
Growth all over the world
In the United States, sales at these stores increased by 2.9% year-over-year in the quarter, although the number of customers decreased.
In established international markets such as the United Kingdom and Canada, sales in the same business increased by 7.8%.
“It shows the strength of the brand the numbers were excellent around the world,” said Peter Saleh, a brokerage analyst at BTIG. The results were very extremely impressive, if not more impressive than what we expected.
Total revenue was $ 5.1 billion, 9% lower than the same period last year. According to the company, a decrease is due to the fact that more restaurants operate as direct and non-direct.
However, operating costs have also decreased and McDonald’s is expected to add a total of 600 restaurants worldwide this year. The second wave of strikes in Britain
The UK is one of the strongest markets for McDonald’s and has experienced consistent quarterly growth in the past 12 years.
But the company could face negative publicity this week in the UK if a second wave of strikes hit some of its restaurants.
It is a dispute over wages and conditions involving members of the bakery, grocery union and related workers. Only 11 workers at five restaurants (in Manchester, Cambridge, Crayford, South East London and two in Watford) will leave on May 1. They demand a minimum wage of 10 euros per hour, the end of “youth quotas” and greater flexibility in working hours.
Although the number is small, a similar number of workers were involved in the first McDonald’s strikes in the UK in September, which attracted a lot of media attention.
A BBC spokesperson said: “In the past three years, we have taken several additional steps to ensure that McDonald’s UK remains a great place to work.
Since September 2015, we have made three vital salary moves and have maintained the many profits we provide, from the fabulous training and development opportunities to the night bonuses that so many companies and their employees have paid in recent years.