McDonald’s logged its 13th consecutive month of positive same-store sales and topped Wall Street profit and revenue expectations for the third quarter.
Shares in the world’s biggest burger chain defied a major sell-off in U.S. markets before the opening bell Tuesday, rising more than 2 percent.
The company earned $1.64 billion, or $2.10 per share. That’s 12 cents better than industry analysts had projected, according to a survey by Zacks Investment Research.
Revenue of $5.37 billion, though down from the same period last year, also beat expectations. The company has been turning company-owned restaurants into franchises, which pulls on its revenue numbers.
“Putting to one side the decline in revenue, which is a function of McDonald’s transferring company-owned restaurants into franchises, this is a reasonable set of results for the burger giant,” said Neil Saunders, the managing director of GlobalData Retail. “Overall comparable sales growth is solid, with both the US and international divisions contributing to the uplifts.”
Same-store sales for McDonald’s Corp. rose 2.4 percent, which was shy of most estimates, but overlooked by investors in early trading.
Shares are still down 3 percent this year, but have risen almost 5 percent in the just-ended quarter.
This article provided by NewsEdge.