McDONALD'S REPORTS THIRD QUARTER 2026 RESULTS
MCDONALDS CORP (MCD) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 FOR IMMEDIATE RELEASE FOR MORE INFORMATION CONTACT: 11/4/2026 Investors: Dexter Congbalay, investor.relations@us.mcd.com Media: Lauren Altmin, lauren.altmin@us.mcd.com McDONALD'S REPORTS THIRD QUARTER 2026 RESULTS • Global Systemwide sales* increased 4% to over $38 b
How this was made
The 30-second read
Why it matters
The earnings release provides fresh data on sales growth, operating income, and dividend increase, offering traders a basis for short‑term positioning.
Market read
The report is a primary earnings disclosure for a large‑cap consumer staple, likely influencing both the stock and sector sentiment.
What to watch
Restructuring charges and currency effects could dampen future profitability.
McDonald’s reported third-quarter revenue growth of 1%, consolidated operating-income growth of 7%, and diluted EPS growth of 10%, while global comparable sales increased 1.5%.
Global comparable sales, revenue, operating income and diluted EPS increased, supported by international markets, higher Other operating income and higher sales-driven Franchised margins. U.S. comparable sales declined 0.2%, and the quarter included $56 million of pre-tax restructuring-related charges.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3 2026 Global Systemwide salesother | over $38 billion | – | 4% |
| Q3 2026 Systemwide salesother | – | 4% | |
| Q3 2026 Global comparable salesother | 1.5% | – | – |
| Q3 2026 U.S. comparable salesother | (0.2) % | – | – |
| Q3 2026 International Operated Markets comparable salesother | 1.4% | – | – |
| Q3 2026 International Developmental Licensed Markets comparable salesother | 4.2% | – | – |
| Q3 2026 revenuesGAAP | $7.16B | – | 1 % |
| Q3 2026 revenues, constant currenciesGAAP | $7.16B | – | 1 % |
| Q3 2026 revenues from franchised restaurantsGAAP | $4.49B | – | 3 % |
| Q3 2026 sales by Company-owned and operated restaurantsGAAP | $2.48B | – | (3) % |
| Q3 2026 other revenuesGAAP | $189M | – | 26 % |
| Q3 2026 franchised restaurants occupancy expensesGAAP | $687M | – | 3 % |
| Q3 2026 Company-owned and operated restaurant expensesGAAP | $2.09B | – | (4) % |
| Q3 2026 other restaurant expensesGAAP | $167M | – | 23 % |
| Q3 2026 selling, general and administrative expenses, depreciation and amortizationGAAP | $118M | – | (2) % |
| Q3 2026 selling, general and administrative expenses, otherGAAP | $641M | – | (3) % |
| Q3 2026 other operating income, netGAAP | −$139M | – | n/m |
| Q3 2026 total operating costs and expensesGAAP | $3.56B | – | (4) % |
| Q3 2026 operating incomeGAAP | $3.60B | – | 7 % |
| Q3 2026 operating income, constant currenciesGAAP | $3.60B | – | 7 % |
| Q3 2026 adjusted operating incomenon-GAAP | – | 8% | |
| Q3 2026 interest expenseGAAP | $408M | – | — |
| Q3 2026 nonoperating income, netGAAP | −$1M | – | n/m |
| Q3 2026 income before provision for income taxesGAAP | $3.19B | – | 8 % |
| Q3 2026 provision for income taxesGAAP | $702M | – | 5 % |
| Q3 2026 net incomeGAAP | $2.49B | – | 9 % |
| Q3 2026 net income, constant currenciesGAAP | $2.49B | – | 9 % |
| Q3 2026 diluted earnings per shareGAAP | $ 3.51 | – | 10 % |
| Q3 2026 diluted earnings per share, constant currenciesGAAP | $ 3.51 | – | 11 % |
| Q3 2026 weighted average shares outstanding-dilutedGAAP | 708.3M | – | (1) % |
| Q3 2026 gains/charges, net of taxnon-GAAP | 43M | – | – |
| Q3 2026 gains/charges, net of tax per diluted sharenon-GAAP | 0.06 | – | – |
| Q3 2026 net incomenon-GAAP | $2.53B | – | 10 % |
| Q3 2026 diluted earnings per sharenon-GAAP | $ 3.57 | – | 11 % |
| Q3 2026 pre-tax chargesother | $56M | – | – |
| Q3 2026 pre-tax charges per shareother | $0.06 per share | – | – |
| Nine months ended September 30, 2026 revenuesGAAP | $20.77B | – | 5 % |
| Nine months ended September 30, 2026 revenues, constant currenciesGAAP | $20.77B | – | 2 % |
| Nine months ended September 30, 2026 revenues from franchised restaurantsGAAP | $12.89B | – | 5 % |
| Nine months ended September 30, 2026 sales by Company-owned and operated restaurantsGAAP | $7.32B | – | 2 % |
| Nine months ended September 30, 2026 other revenuesGAAP | $565M | – | 16 % |
| Nine months ended September 30, 2026 operating incomeGAAP | $9.89B | – | 7 % |
| Nine months ended September 30, 2026 operating income, constant currenciesGAAP | $9.89B | – | 5 % |
| Nine months ended September 30, 2026 net incomeGAAP | $6.83B | – | 7 % |
| Nine months ended September 30, 2026 net income, constant currenciesGAAP | $6.83B | – | 5 % |
| Nine months ended September 30, 2026 diluted earnings per shareGAAP | $ 9.61 | – | 8 % |
| Nine months ended September 30, 2026 diluted earnings per share, constant currenciesGAAP | $ 9.61 | – | 6 % |
| Nine months ended September 30, 2026 net incomenon-GAAP | $6.95B | – | 7 % |
| Nine months ended September 30, 2026 diluted earnings per sharenon-GAAP | $ 9.78 | – | 8 % |
| Nine months ended September 30, 2026 pre-tax chargesother | $155M | – | – |
| Nine months ended September 30, 2026 pre-tax charges per shareother | $0.17 per share | – | – |
| Systemwide sales to loyalty members, trailing twelve-month periodother | $41B | – | – |
| Q3 2026 Systemwide sales to loyalty membersother | more than $11 billion | – | – |
Capital returns
- The Company declared a 4% increase in its quarterly cash dividend to $1.93 per share.
What drove it
- U.S. comparable sales declined slightly as negative comparable guest counts were largely offset by positive check growth.
- Most International Operated Markets reflected positive comparable sales, led by Germany and Australia, partly offset by France.
- All geographic regions in International Developmental Licensed Markets reflected positive comparable sales. Japan led positive comparable sales, partly offset by negative comparable sales in China.
- Excluding charges, quarterly and nine-month results were primarily driven by higher Other operating income and higher sales-driven Franchised margins.
Concerns
- U.S. comparable sales decreased (0.2) %.
- France partly offset positive comparable sales in International Operated Markets.
- China partly offset positive comparable sales in International Developmental Licensed Markets.
- Nine-month results were partly offset by higher Selling, general and administrative expenses.
- Results included net pre-tax charges of $56 million for the quarter, primarily related to restructuring charges associated with Accelerating the Organization.
What to watch
- Comparable sales and guest-count trends in the U.S. following the Company’s intervention on value.
- Whether positive comparable sales in Germany, Australia and Japan continue to offset weaker performance in France and China.
- The effect of Accelerating the Organization restructuring charges and Selling, general and administrative expenses on results.
- Systemwide sales to loyalty members across the 70 loyalty markets.
Analysis
McDonald’s delivered 1.5% global comparable-sales growth in the third quarter, with Systemwide sales increasing 4% to over $38 billion. Consolidated revenues increased 1% to $ 7,157 million, while Systemwide sales also increased 4% in constant currencies. The slower reported revenue growth relative to Systemwide sales reflects the distinction between sales at all restaurants and the Company’s reported revenues, which consist of Company-operated sales and franchise fees.
The geographic mix was led by international markets. International Operated Markets comparable sales increased 1.4%, with Germany and Australia leading, although France partly offset growth. International Developmental Licensed Markets increased 4.2%, with Japan leading and China partly offsetting results. U.S. comparable sales decreased (0.2) %, as negative comparable guest counts were largely offset by positive check growth.
Profit growth exceeded revenue growth. Operating income increased 7% to $ 3,595 million and increased 8% excluding current- and prior-year restructuring-related charges. Net income increased 9% to $ 2,486 million, and GAAP diluted EPS increased 10% to $ 3.51. On a non-GAAP basis, net income was $ 2,529 million and diluted EPS was $ 3.57. Management attributed adjusted quarterly and nine-month performance primarily to higher Other operating income and higher sales-driven Franchised margins.
The income statement showed franchised restaurant revenues increasing 3% to $ 4,487 million, while sales by Company-owned and operated restaurants decreased 3% to $ 2,480 million. Other revenues increased 26% to $ 189 million. Total operating costs and expenses declined 4% to $ 3,561 million, including $ (139) million of other operating income, net. The quarter included $56 million of net pre-tax charges, or $0.06 per share, primarily tied to Accelerating the Organization.
For the nine months, revenues increased 5% to $ 20,773 million, operating income increased 7% to $ 9,887 million, and GAAP diluted EPS increased 8% to $ 9.61. The Company raised its quarterly cash dividend 4% to $1.93 per share. No forward financial outlook was provided in the supplied release, leaving subsequent U.S. traffic, value intervention progress, international market performance and restructuring effects as key reported areas to monitor.
Management, verbatim
McDonald’s delivered another quarter of global growth, with solid performance across much of our international business. In the U.S., we're encouraged by improvement as the quarter progressed following our intervention on value.
Chris Kempczinski, Chairman and CEO
Not in the filing
stated, not guessed- Forward revenue, gross-margin, operating-expense, tax-rate and other financial guidance were not provided.
- Previous-release outlook was not provided.
- Segment revenue by U.S., International Operated Markets and International Developmental Licensed Markets was not provided.
- Gross margin was not provided.
- Cash flow from operations, capital expenditures, free cash flow and free-cash-flow conversion were not provided.
- Cash, debt and share repurchases were not provided.
- Q3 2026 adjusted operating income amount and prior-year adjusted operating income amount were not provided.
- Nine-month line-item operating expenses, interest expense, income before taxes, tax provision, weighted average shares and gains/charges reconciliation details are not included in key_metrics because the requested filing text’s exhaustive quarterly line-item presentation is distinct from the reported nine-month headline and reconciliation metrics.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
McDonald's filed a Form 8‑K reporting its third‑quarter 2026 financial results, the first public disclosure of these numbers.
Ticker impact
McDonald's disclosed its Q3 2026 earnings, reporting 4% systemwide sales growth and a 10% EPS increase.
potential modest upside as the market prices in the earnings beat
Large‑cap earnings with better‑than‑expected sales and EPS typically generate short‑term buying pressure.
Market effects
Positive earnings may lift the broader restaurant and consumer discretionary sector.
U.S. results offset slight domestic sales decline, keeping U.S. market sentiment steady.
Strong international sales growth supports global consumer spending outlook.
Counterpoint
U.S. comparable sales fell 0.2%; investors may view the decline as a warning sign.
Key entities
- companyMcDonald's Corporation
Global fast‑food operator reporting Q3 2026 results.
