People wear protective face masks in front of McDonald’s in Times Square as the city resumes Phase 4 reopening after restrictions were imposed in New York City on September 18, 2020 to slow the spread of the coronavirus.
Noam Galai | Getty Images
MC Donalds is expected to report its first quarter earnings before the bell on Thursday.
Here’s what Wall Street expects based on an analyst survey by Refinitiv:
- Earnings per share: $ 1.81 expected
- Revenue: $ 5.03 billion expected
The fast food giant reported a year ago There have been “dramatic changes in consumer behavior” due to the coronavirus pandemic, which reduced net sales by 6%. This quarter, analysts are forecasting the company’s revenue will be above pre-pandemic levels.
Like the rest of the fast food sector, McDonald’s in the US has recovered from the crisis faster than the broader restaurant industry thanks to digital investment, thoroughfares, and cheap prices. Last quarter, Sales in the same store in the US increased 5.5%. Demand for McDonald’s Crispy Chicken Sandwich, which was released in late Februarycould boost domestic sales growth in the same business this quarter.
However, some McDonald’s international markets are taking longer to recover as new outbreaks across Europe and parts of Asia led to tightened restrictions.
For the full year 2021, McDonald’s expects system-wide revenue growth in the low double-digit range, excluding currency changes. New restaurant units are expected to contribute around 1% to system-wide sales growth.
McDonald’s stock is up 8% in 2021, giving the company a market value of $ 179 billion.