McDonald’s has reported flat global same-store sales for July, its worst performance in more than nine years as the fast-food chain posted declining sales across all three of its regions.
In Europe, same-store sales declined 0.6%, below forecasts for a 2.4% climb. McDonald’s said strong results in the UK and Russia were more than offset by weaker performance in Germany and several Southern European markets amidst an increasingly difficult environment.
The group said that it plans boost customer traffic in Europe by featuring everyday value items.
Same-store sales in the US edged down 0.1%, missing the 2.2% growth estimate, as the promotional activity didn’t offset the effects of the sluggish economy.
The group’s Asia/Pacific, Middle East and Africa region posted a 1.5% decrease, against a projected 1.4% rise. A positive performance in Australia was outweighed by ongoing weakness in Japan, major flooding in China and a shift in the timing of Ramadan.
Chief executive Don Thompson said: “We are committed to driving the business over the long-term by executing our proven Plan to Win strategy, despite softer global comparable sales in July.”
