Yahoo Finance McDonald’s Corporation (NYSE:MCD) Q1 2024 Earnings Call Transcript
McDonald's Corporation (NYSE:MCD) Q1 2024 Earnings Call Transcript April 30, 2024
McDonald's Corporation isn’t one of the 30 most popular stocks among hedge funds at the end of the third quarter (see the details here).
Operator: Hello, and welcome to McDonald's First Quarter 2024 Investor Conference Call. At the request of McDonald's Corporation, this conference is being recorded. Following today's presentation there will be a question-and-answer session for investors. [Operator Instructions]. I would now like to turn the conference over to Mr. Mike Cieplak, Investor Relations Officer for McDonald's Corporation. Mr. Cieplak, you may begin.
Mike Cieplak: Good morning, everyone, and thank you for joining us. With me on the call today are President and Chief Executive Officer, Chris Kempczinski; and Chief Financial Officer, Ian Borden. As a reminder, the forward-looking statements in our earnings release and 8-K filing also apply to our comments on the call today. Both of those documents are available on our website, as are reconciliations of any non-GAAP financial measures mentioned on today's call along with their corresponding GAAP measures. Following prepared remarks this morning, we will take your questions. Please limit yourself to one question and then re-enter the queue for any additional questions. Today's conference call is being webcast and is also being recorded for replay via our website. And now, I turn it over to Chris.
Chris Kempczinski: Thanks Mike and good morning everyone. I join you today inspired from our recent worldwide convention, a time when McDonald’s comes together to celebrate the success of our system. The relevance of our brand, power of our Accelerating the Arches strategy and the collective strength of our system, we are on full display as we welcomed our global McDonald’s franchisees, restaurant teams, suppliers, and company employees to Barcelona. For the first time in our nearly 70-year history, we held this biannual reunion outside of North America, a testament to the global power of our brand. And we are joined by more than 15,000 attendees from nearly 100 markets to discuss how we are reimagining the future across our three-legged stool.
It is clear that McDonald’s continues to operate from a position of strength across nearly all areas of the business as we focus on executing the day to day at a high level and establishing strong platforms for long-term sustained growth. The first quarter of 2024 marks our 13th consecutive quarter of positive comparable sales growth with 30% growth over the last four years. This success was built by establishing a strong foundation with a strategic plan basing consumer insights and focused on creating relevant marketing campaigns with our brand connected to culture. At the same time, we are maximizing the strength of our core menu equities and building an industry leading royalty base. Combined with our modernized restaurant estate, strong franchisee alignment, engage restaurant employees, and strong restaurant level unit economics, McDonald’s is well positioned.
This winning formula continues to drive results and our customers visiting our restaurants today can easily see our commitment to providing them with a great experience evident through our strong customer satisfaction scores. As I reflect on the first quarter of the year it is clear that broad based consumer pressures persist around the world. Consumers continue to be even more discriminating with every dollar that they spend as they faced elevated prices in their day to day spending which is putting pressure on the QSR industry. It is worth noting the in Q1 industry traffic was flat to declining in the U.S., Australia, Canada, Germany, Japan, and the UK. And across almost all major markets industry traffic is slowing. In the context of a difficult macro environment for the industry, we know our customers are looking for reliable everyday value now more than ever.
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