McDonald's May sales rise 2.6 percent; shares up
(Reuters) - McDonald's Corp (MCD.N) said sales at its established restaurants around the world rose 2.6 percent in May as it expanded offerings for late-night breakfasts, tweaked other menus and benefited from advertising value-priced meals.
Analysts polled by Consensus Metrix had expected a 1.9 percent rise in global sales at restaurants open at least 13 months.
McDonald's shares rose 2 percent to $100.50 in premarket trading on Monday.
Sales at restaurants open at least 13 months rose 2.4 percent in the United States, while they rose 2 percent in Europe and 0.9 percent in the Asia/Pacific, Middle East and Africa (APMEA) region.
Analysts polled by Consensus Metrix expected comparable-restaurant sales to increase 2.1 percent in the United States, 1.2 percent in Europe and 1.5 percent in APMEA.
The overall global result was better compared with April, when same-restaurant sales slipped 0.6 percent.
During that month, an unexpected 0.7 percent gain in the United States was offset by a 2.4 percent fall in Europe and a 2.9 percent drop in the APMEA region.
Resurgent rivals like Burger King Worldwide (BKW.N) and Wendy's Co (WEN.O) have chipped away at McDonald's lead by rolling out a broad variety of special menus and value deals.
They have also copied its successful business strategies, ranging from restaurant renovations to extended hours.
McDonald's has countered by introducing new products such as chicken McWraps and egg white McMuffins. It is also expanding its test of a late-night breakfast menu and eliminating some items, including Angus burgers and its fruit & walnut salad.
McDonald's shares, which have risen 9 percent this year, closed at $98.28 on the New York Stock Exchange on Friday.
(Reporting by Lisa Baertlein in Los Angeles and Siddharth Cavale in Bangalore; Editing by Saumyadeb Chakrabarty)
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