McDonald’s sales plummet 30%
Jul 28, 2020, 8:07 AM
FILE: Photo credit: Gene J. Puskar / Associated Press
(CNN) — McDonald’s is having a rough year, as shown in another dismal quarterly earnings report — but there are signs of recent improvement.
Total sales sank 30% in the second quarter compared to last year, McDonald’s announced Tuesday, falling to $3.76 billion. Net income plummeted 68% to $483.3 million.
The figures reflect the April to June period, the first full quarter of coronavirus effects in the United States. But beneath the terrible headline numbers, some numbers indicated improvement as the quarter went on.
For example, US same-store sales were down 19.2% in April compared to last year. But that loss narrowed rapidly, to down 5.1% in May and just a 2.3% decrease in June.
But same-store sales outside the US fell even more and their recovery has been slower, dragging down total global same-store sales. That global figure was down 39% in April compared to last year, almost 21% in May and more than 12% in June.
Overall, McDonald’s said, its drive-thru and delivery options are helping bolster its business.
“We saw continued improvement in our results throughout the second quarter as markets reopened around the world,” McDonald’s CEO Chris Kempczinski said in a press release.
That said, the company has slowed the reopening of dining rooms in states where the number of virus cases are still rising.
Shares fell 3% in premarket trading.
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