McDonald's extends sales streak as value push gains traction
Add Axios as your preferred source to
see more of our stories on Google.
McDonald's released its quarterly earnings Feb. 11. Photo: Joe Raedle/Getty Images
McDonald's extended its U.S. sales streak to three quarters — turning in broad-based growth as its value push resonates with price-conscious diners.
Why it matters: The earnings reported Wednesday suggest the fast-food giant is sustaining traffic while navigating the industry's core tension: keeping prices competitive without sacrificing margins.
By the numbers: Global comparable sales rose 5.7% in the fourth quarter, with gains across all segments.
- U.S. comparable sales climbed 6.8%.
- Operating income rose 10%, even as the company recorded restructuring charges tied to its "Accelerating the Organization" effort.
- Full-year systemwide sales hit $139 billion.
Flashback: McDonald's said in November it was absorbing part of the cost of its $5 and $8 meal promotions to win back cash-strapped diners — a rare move that underscored the fragility of the low-income consumer.
- At the time, traffic from lower-income customers across fast food had fallen nearly double digits, while higher-income visits were rising — a divide executives expected to persist.
- McDonald's revived its Extra Value Meals in September, rolling out new combo deals for breakfast, lunch and dinner after launching its McValue platform in January 2025.
State of play: The latest quarter comes as trade-down behavior continues to reshape the restaurant industry, pressuring more expensive fast-casual chains.
- CEO Chris Kempczinski said on Wednesday's earnings call that the Extra Value Meals relaunch helped McDonald's gain share with low-income consumers in December and improved its value and affordability scores.
- CFO Ian Borden said the relaunch drove higher unit sales for its top value bundles, and that U.S. franchisee cash flow grew year over year despite stronger value offerings.
Popular promotions helped too, like the return of McDonald's Monopoly game and its holiday Grinch meal.
- Fun fact: The Grinch campaign delivered McDonald's highest single sales day in history, sold nearly as many meals as its Minecraft and collector cups promotions combined, and briefly made it the world's largest seller of socks, executives said.
What we're watching: The company highlighted loyalty as a major driver of growth.
- Across 70 markets, systemwide sales to loyalty members rose 20% to nearly $37 billion, with 90-day active users up 19% to nearly 210 million.
Editor's note: This story was updated with comments and information from McDonald's earnings call.
More from Axios:
