Fast food enthusiasts haven’t been flocking to McDonald’s in the first quarter of 2024 in the manner the company expected. Sharing its quarterly result, McDonald’s revealed misses on sales estimates as well as revenue growth and earnings.
In the U.S., McDonald’s saw a 2.5% same-store sales growth compared to the 2.6% estimated, while the same-store sales growth on a global level came at 1.9% versus 2.33% expected by Wall Street analysts. For reference, the company saw 12.6% growth in same-store sales in the same period of 2023.
Additionally, the company’s revenue came at $6.17 billion, slightly higher than estimates of $6.15 billion, but adjusted earnings per share missed the mark at $2.70 per share as analysts expected $2.72.
“Consumers continue to be even more discriminating with every dollar that they spend as they faced elevated prices in their day-to-day spending, which is putting pressure on the [quick-service restaurant] industry,” said CEO Chris Kempczinski during the earnings call.
After the quarterly results were made public, McDonald’s shares slipped more than 3% compared to the closing price of $274.00 per share on Monday. The stock quickly corrected and was trending towards its highest mark in April at $276.41. The company’s shares are currently 7.11% down year-to-date.