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Wed 28th Jul 2021 - McDonald’s reports second-quarter global like-for-like sales up 6.9% on 2019 levels with ‘strong’ UK growth
McDonald’s reports second-quarter global like-for-like sales up 6.9% on 2019 levels with ‘strong’ UK growth, digital sales from top six markets almost $8bn: McDonald’s has reported global like-for-like sales were up 40.5% in its second quarter ending 30 June 2021 – with the UK seeing “strong” growth. The company’s global like-for-like sales performance was also up 6.9% on 2019 levels. Year-to-date system-wide sales from digital channels across its top six markets were almost $8bn – a 70% increase versus the prior year. The company has appointed Manu Steijaert to the newly created role of chief customer officer to drive its digital strategy. Chief executive Chris Kempczinski said: “Our performance is a continued demonstration of the broad-based strength and resiliency of our business as global comparable sales in the second quarter increased almost 7% over 2019. For 65 years, we’ve created iconic experiences for billions of people around the world. Along the way, we’ve always focused on following our customers’ needs, finding the most convenient and engaging ways for them to enjoy McDonald’s. It’s clear our next chapter will be driven by our leadership in digital. As we build on our momentum and embed our digital capabilities through the customer experience, I’m thrilled Manu Steijaert will be taking on the newly created role of chief customer officer. His team will deliver the seamless omnichannel experience our customers want and McDonald’s can provide.” Second-quarter like-for-like sales were up 25.9% year-on-year in the US and 14.9% on 2019 levels, benefiting from strong average transaction growth driven by larger order size and menu price increases. The Crispy Chicken Sandwich and BTS Famous Order promotion, as well as growth in delivery and digital platforms, contributed to the comparable sales growth, McDonald’s said. Like-for-like sales in the quarter for the “international operated” segment, which includes the UK, were up 75.1% year-on-year and 2.6% on 2019 levels. McDonald’s said the results reflected strong positive comparable sales in the UK and France as well as positive comparable sales across the entire segment due to significantly fewer restaurant closures and the easing of covid-19 restrictions. Comparable sales increased 2.6% on a two-year basis, reflecting positive two-year comparable sales in the UK, Australia and Canada and negative two-year comparable sales in France and Germany. In the “international developmental” licensed segment, second-quarter like-for-like sales were up 32.3% year-on-year and 0.3% on 2019 levels. The strong quarterly comparable sales were primarily driven by Brazil, Japan and China, along with positive comparable sales across all regions. McDonald’s stated: “Covid-19 resurgences throughout the quarter and six months have resulted in instances of government restrictions on restaurant operating hours, limited dine-in capacity and, in some cases, dining room closures. The company has continued to follow the guidance of expert health authorities to apply the appropriate precautionary measures to protect the health and safety of our people and our customers, and expects some operating restrictions in various markets so long as the covid-19 pandemic continues. Quarterly comparable sales and guest counts were positive across all segments. Comparable sales were impacted in both periods (to a greater extent in 2020) by covid-19.”

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