McDonald reveals Q4 mixed performance, Eyes 2025 Rebound

McDonald’s Q4 results showed mixed performance, with revenue slightly below expectations and adjusted earnings per share reaching $2.80. Global same-store sales saw a modest 0.4% increase, but US same-store sales fell 1.4% year over year due to an E. coli outbreak. CEO Chris Kempczinski acknowledged the need for swift action to boost guest counts, capture market share, and re-establish the brand’s reputation for value and affordability.

International markets presented a varied landscape, with positive same-store sales growth in the Middle East, Japan, and China. However, overall international-owned same-store sales growth was slightly negative. McDonald’s faced challenges in the US, with January proving sluggish for the restaurant industry and severe weather conditions impacting customer traffic.

In 2025, McDonald’s is prioritizing value and affordability as key drivers for growth. The company aims to recapture low-income consumers and attract a broader customer base through menu innovation and strategic marketing. Borden emphasized the importance of a strong value foundation, complemented by creative marketing campaigns designed to resonate with customers and drive profitable check growth. McDonald’s is also focusing on operational efficiency, with attention to margins in company-operated stores.

Franchisees have raised concerns about the current promotional strategy, noting that a significant portion of sales now comes from deep discounts and bundled deals. The challenge for McDonald’s lies in finding the right balance between attracting customers with value offerings and maintaining healthy profit margins for its franchisees.