McDonald’s publications is the largest decrease in sales in the United States for nearly five years

By savyata mishra

(Reuters)-McDonald’s published a significant decrease in the quarterly sales in the United States on Monday, as the demand was a great success from the outbreak of E.Coli, while dinner has been monitoring their spending.

Similar sales in the United States, the largest market for McDonald, decreased by 1.4 % in the fourth quarter, its most severe decrease since the Covid-19 pandemic in nearly five years increased when restaurants restricted their delivery and delivery operations.

Analyst analysts estimated a 0.4 % decrease, according to the data collected by LSEG.

The shares of the company increased by 1.1 % before the bell.

Burger Giant has witnessed the customer visits weakened after the E.coli outbreak, which started on October 22 and forced McDonald’s to suspend Hamperger sales in a quarter of a hamburger in five American restaurants 14000.

On December 3, the American Centers for Disease Control ended the investigation of the accident, which fell ill and killed at least one person.

Similar to fast food competitors such as Yum Brands and Wendy’s, McDonald intensified their time limitations and meal deals throughout 2024 in an attempt to stimulate spending between customers who prefer to eat meals at home.

The company extended a 5 -dollar meal deal in June to December and entered Big Mac chicken in October, along with other special versions.

McDonald stated that the customer traffic has risen slightly in the quarter of last year, but this increase was compensated for a smaller amount that is spent for each customer for each visit.

Analysts have warned that the company’s excessive discounts, which now represents more than a third of sales, according to BTIG analyst, Peter Saul, can press future margins in the future.

“In our opinion, the challenge that McDonald’s faces in the months and the coming four is that customers lack these deep discounts.”

Similar sales in the international markets licensed for international development increased by 4.1 % in the quarter ending on December 31, overcoming 0.43 % decrease. The improvement led the Middle East and Japan markets.

Sales in international markets increased by 0.1 %, burdened with weakness in Britain.

Global store sales increased by 0.4 % in the quarter, a sudden increase compared to analysts’ expectations by 0.63 %.

McDonald’s recorded a 5 % decrease in net income to $ 2.04 billion on an amendment basis, compared to $ 2.07 billion.

(Participated in Savita Merena reports in Bengaluru and Wilon Knngham in New York; edited by Sam Holmes)