#United States #McDonald's #Chicago #Global Sales #Q4 2024 Results

McDonald's Financial Results for 2024

McDonald's Corporation has recently shared its financial results for the fourth quarter and the entire year ending December 31, 2024. The data highlights both achievements and challenges faced by the company over the past year.

Key Highlights

• - The company's global systemwide sales exceeded $130 billion for the year, representing an increase of over $1 billion. This amounts to more than $2 billion in constant currency.
• - Sales attributed to loyalty programs reached approximately $30 billion, showcasing a growth of 30% from the previous year. For the last quarter alone, these sales totaled around $8 billion across 60 loyalty markets.
• - The total number of active loyalty users has grown to over 175 million, marking an increase of about 15% over the previous year.

Q4 Financial Overview

During the fourth quarter:

• - Global comparable sales rose by 0.4%. However, the U.S. market experienced a downturn with a decrease of 1.4%.
• - The International Operated Markets saw a modest increase of 0.1%, while the International Developmental Licensed Markets segment outperformed with a significant increase of 4.1%.
• - Consolidated revenues remained flat, and the operating income showed a slight increase of 2%. When excluding recent net charges and previous year costs, operating income actually decreased by 2%.
• - The diluted earnings per share were flat at $2.80, but grew by 1% when calculated without the impact of foreign currencies.

Full Year Financial Summary

For the full year 2024:

• - Global comparable sales dipped slightly by 0.1%. In contrast, the U.S. segment rose marginally by 0.2%, whereas International Operated Markets and Developmental Licensed Markets both posted minor declines.
• - Total revenues had a slight uptick of 2%, and systemwide sales increased by 1%.
• - The company’s operating income also rose by 1%, despite settling $221 million in charges related to restructuring efforts and other transaction costs.
• - The diluted earnings per share decreased by 1% to $11.39, but increased by 1% in constant currency terms after adjusting for charges from previous years.

Management Commentary

Chairman and CEO Chris Kempczinski noted, "Accelerating the Arches continues to be the right strategy as we focus on growing market share. We're committed to delivering outstanding value to our customers through exciting menu innovations and culturally relevant marketing strategies."

Forward-looking Statements

McDonald's remains focused on adapting to changing market conditions and enhancing customer experiences. The company is committed to implementing its growth strategy while managing operational challenges. Investors can expect updates on continued progress, including insights into future earnings calls and conferences that will be available through McDonald's investor relations web page.

As the world's leading global foodservice retailer, McDonald's operates over 43,000 locations in more than 100 countries. The corporation emphasizes the importance of loyalty programs, reflecting a significant area of growth moving forward. This indicates a positive trend, despite facing challenges in certain markets.