McDonald’s is on-track to open 14 new restaurants in the UK this year, and open those restaurants for longer, the BBC reports.
The company has already hired 1,500 of the proposed 2,500 jobs that it’s targeting in this country during 2013. It comes as McDonald’s reports a “solid performance” in the UK in the second quarter ending in June, which along with strong trading in Russia nearly offset negative results in France and Germany. Overall sales in Europe declined 0.1%.
“We know it’s still tough out there for everyone and that’s why I’m determined to maintain momentum by continuing to invest in the long-term growth of our business - our restaurants, our people and quality ingredients that are responsibly sourced - to ensure our customers enjoy a great experience at great value every time they visit,” said Jill McDonald, McDonald’s UK chief executive, quoted in the BBC.
On the outlet for Europe, the company said: “Europe remains focused on reigniting momentum with enhanced premium beverage and menu items and everyday affordability options across all day parts delivered through an enhanced restaurant experience. While Europe’s top-line results continue to be impacted by the challenging consumer environment, second quarter operating income increased 5% (up 5% in constant currency) and drove the majority of the Company’s operating income growth for the period.”
Global sales grew 1%, with revenues up 2% and operating income also up 2%.
In the US, sales rose 1% while operating income was “relatively flat”. “During the quarter, new product introductions across the four key growth categories of chicken, beef, breakfast and beverages, ongoing support for the Dollar Menu and greater accessibility to McDonald’s classic core favourites supported the segment’s sales performance.”
In Asia/Pacific, Middle East and Africa, sales declined 0.3% primarily due to negative results in China, Australia and Japan nearly offset by positive performance in many other markets, the company said.
McDonald’s president and chief executive Don Thompson said: “McDonald’s results for the quarter reflect our efforts to strengthen our business momentum for the long-term. We remain strategically focused on the global growth priorities that help us better serve our customers. While the informal eating out market remains challenging and economic uncertainty is pressuring consumer spending, we’re continuing to differentiate the McDonald’s experience by uniting consumer insights, innovation and execution.
“While our consolidated results this quarter were positive, global comparable sales for July are expected to be relatively flat. Based on recent sales trends, our results for the remainder of the year are expected to remain challenged. Throughout McDonald’s history, we have succeeded in a variety of operating and economic environments. I am confident that our system, global infrastructure and the unique and evolving McDonald’s brand experience will enable us to deliver sustained profitable growth for the long-term.”
