All-day breakfast helps fuel McDonald’s profits

McDonald's third-quarter revenue has topped analysts' estimates, helped by international markets like Britain and Canada, as well as the expansion of its all-day breakfast menu in the US.

Revenue was $6.42 billion in the quarter ended September 30th, the company based at Oak Brook, Illinois, said in a statement on Friday. Analysts had estimated $6.28 billion, on average. Globally, comparable-stores sales rose 3.5 per cent, while analysts projected a 1.5 per cent gain, according to Consensus Metrix.

Chief executive Steve Easterbrook has staged a turnaround at the company with the help of steep discounting, faster kitchens and all-day breakfast at its domestic locations.

McDonald's, which gets about two-thirds of its revenue from outside the US, was also helped in the quarter by gains in its international lead markets unit, which includes Britain, Canada, Australia and Germany.

Shares increased 3.6 per cent to $114.50 in early trading in New York. McDonald’s has dropped 6.4 per cent this year.

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(Bloomberg)