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Value Push Lifts McDonald's to Q4 Beat as Same-Store Sales Jump

Discounted meals plus seasonal promotions drove a traffic rebound that positions a new beverage platform as the next growth lever.

Overview

  • Global comparable sales rose 5.7% in the fourth quarter, topping estimates, with revenue at about $7.01 billion and adjusted earnings per share of $3.12.
  • U.S. same‑store sales increased 6.8% as Extra Value Meal price cuts, a revived McValue menu, and limited-time offers such as Monopoly and a Grinch meal pulled in budget‑conscious diners.
  • Executives highlighted value-focused marketing as the driver of improved traffic, while easier year‑ago comparisons after an E. coli‑related dip also aided growth.
  • The company tested an expanded beverage lineup in roughly 500 U.S. restaurants and is poised to broaden the higher‑margin platform as a new visit and margin driver.
  • Analysts issued upgrades, citing traffic gains from value and promotions and a strengthening innovation pipeline, even as consumer cost pressures keep competition intense across the sector.