McDonald's Corp. shares soared Thursday as the world's largest restaurant company posted solid third-quarter earnings, primarily in the U.S.
For the three months ended in September, McDonald's reported diluted earnings of $2.68 per share, down 6.3% year over year but far ahead of the $2.58 per share expected by Wall Street.
McDonald's said that its global sales were down 5.3% to $5.87 billion, but that this was still above the $5.685 billion predicted by experts.
The continued strength of the U.S. currency had a dampening effect on the total figure.
U.S. sales increased by 6.1% as consumers sought value-focused meals in the face of the sharpest domestic inflation in at least
four decades, while worldwide same-store sales increased by 9.5%, far above Wall Street projections of 5.8%.
McDonald's was able to pass on price rises, including an expected 4.5% increase for its Big Mac, that helped offset the increase in underlying input prices.
"Our worldwide comparative sales for the third quarter of 2022 climbed by about 10%, showcasing the broad-based business momentum we've been experiencing.
As our global teams continue to perform at a high level, I have faith in our Accelerating the Arches plan "the CEO remarked.
We are in a very strong competitive position notwithstanding the ongoing shifts in the macroeconomic environment and the lingering concerns.
In early Thursday trade following the earnings release, McDonald's shares were marked 3.44% higher to $265.56 per share, which would reduce the stock's year-to-date fall to roughly 1.1%.