A return to growth in international markets in focus at McDonald's

Wall Street analysts are expecting McDonald’s (MCD:NYSE) to report a 4.4% year-on-year decline in EPS (earnings per share) to $2.82 for the fourth quarter as revenues nudge-up by 1% to $6.48 billion, when it reports on 10 February.
The Golden Arches delivered a positive earnings surprise in the third quarter, beating EPS estimates by around 1.6%. Earnings revisions have slipped by nearly 2% over the last few months, which lowers the bar for another earnings beat.
Investors will be keen to know if US store visits have recovered from the E-Coli outbreak in October which forced the hamburger chain to temporarily pause sales of Quarter Pounders in a fifth of its 14,000 restaurants.
There will also be interest in how the launch of the everyday value menu in January 2025 is progressing as the hamburger chain looks to regain its value credentials in a market which is seeing more people choosing to cook at home.
Outside its home turf McDonald’s will be hoping to regain momentum in international markets after global sales fell 1.5% in the third quarter, the largest decline in four years.
Weaker consumer spending in China and the war in the Middle East have impacted international sales alongside sluggishness in the UK and France.
Despite these headwinds McDonald’s reaffirmed full year revenue and margin guidance at the Q3 results and said it expected no material impact from the E-Coli outbreak.
US UPDATES OVER THE NEXT 7 DAYS
QUARTERLY RESULTS
7 Feb: Cboe Global, Fortive, Kimco Realty
10 Feb: Arch Capital, Loews, McDonald’s, ON Semiconductor
11 Feb: AIG, Carrier Global, Coca Cola, DoorDash, Ecolab, Gilead, S&P Global, Vertex
12 Feb: Albermarle, Biogen, Cisco, Equinix, Global Payments, Kraft Heinz, MGM, Paramount Global, Paycom Soft, Rollins, Tyler Technologies, Ventas
13 Feb: Applied Materials, Datadog, Deere & Company, Duke Energy, Molson Coors Brewing, Moody’s, Pool
Important information:
These articles are provided by Shares magazine which is published by AJ Bell Media, a part of AJ Bell. Shares is not written by AJ Bell.
Shares is provided for your general information and use and is not a personal recommendation to invest. It is not intended to be relied upon by you in making or not making any investment decisions. The investments referred to in these articles will not be suitable for all investors. If in doubt please seek appropriate independent financial advice.
Investors acting on the information in these articles do so at their own risk and AJ Bell Media and its staff do not accept liability for losses suffered by investors as a result of their investment decisions.
Issue contents
Editor's View
Feature
Great Ideas
Investment Trusts
News
- US companies on course for highest quarterly earnings growth since 2021
- The factors driving Imperial Brands to 52-week highs
- Barclays set to deliver strong annual profit growth after doubling share price
- Mitchells & Butlers shares knocked by £100 million ‘cost headwinds’
- A return to growth in international markets in focus at McDonald's
- Markets brought back from the brink after planned tariffs put on hold
- Saba rebuffed as retail shareholders turn out for trust votes