McDonald’s misses targets with fourth quarter revenue as it appears to raise value awareness in 2025

McDonald’s (MCD) Fast food chains have low performance stock, inactive sales, and Escherichia coli development.

Fourth quarter revenue fell 0.28% from a year ago to $63.9 billion, unanticipated at $6.45 billion. Adjusted earnings of $2.80 per share were lower than Wall Street’s estimate of $2.84.

The same global store sales for the quarter ended December 31st increased by 0.4% compared to an expected decline of 0.91%. However, the outbreak of E. coli in late October offset the momentum, and sales in the same U.S. stores fell 1.4% year-on-year. The company hinted at a decline in check growth, offset by a slightly higher count of guests.

Many on the streets hope that its fourth quarter results will be “a low point in the brand’s recent history,” as City Analyst John Tower wrote in a note to clients. .

In 2025, the fast food giant aims to regain pedestrians at the spot McValue Menu Platform And new products in the form of chicken bids, strips and snack wraps return.

Here’s what McDonald reported on fourth quarter results compared to Wall Street estimates for each Bloomberg consensus data:

• Revenue: $63.9 billion and $6.45 billion

• Adjusted earnings per share: $2.80 vs $2.84

• Global sales growth for the same store: +0.4% vs -0.91%

  • Sales growth for the same US store: -0.35%-1.4%

  • Sales growth for the same internationally owned store: -0.1% vs -1.22%

  • Same store sales for international franchises: +4.1% vs -0.38%

Here is what McDonald’s reported for all 2024 fiscal years, compared to Wall Street estimates, for each Bloomberg consensus data:

• Revenue: $259.9 billion versus $259.2 billion

• Adjusted earnings per share: $11.39 vs $11.74

• Global sales growth for the same store: -0.1% vs -0.39%

  • Sales growth for the same US store: +0.2% vs 0.44%

  • Sales growth for the same internationally owned store:-0.2% vs -0.50%

  • Same store sales for international franchises: -0.3% vs -1.39%

And January was another tough month for McDonald’s, despite his optimism, mainly around the McValue platform.

“It sounds like January wasn’t a good month on the whole, but it’s mainly driven by really bad weather, snow and frigid weather in all regions,” BTIG analyst Peter Sale said on the phone. He spoke to. Conditions make it difficult to assess whether the value menu has driven progressive pedestrians.

Prior to the revenue report, Andrew Charles of TD Cowen said he wanted the impact from the margins and value delivery of stores operated by the company.

Net income fell 1% during the quarter to $2.22 billion and fell 3% annually to $8.22 billion.

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