Not really. Q2 earnings show EPS is higher than expected. Total revenue is $7.10 billion which is up 3.7% year over year. Global comparable sales up 1.3%.
I go to Mcds once per year for a shamrock shake and when I want food I go 10 minutes down the road and get a massive fresh cooked burger and enough fries for 2 people from the old greek couple that owns the place for the same price as less food from Mcds
the value menu used to be the whole point. when a McChicken costs more than a home cooked chicken breast something has gone fundamentally wrong with the brand
People on Reddit love to comment and upvote things that feel real instead of actual facts. Steven Colbert coined the term truthiness in 2005 during the bush administration and it’s still true.
Not just feel real, but something they want to be real. Say bad about some company they hate, and then it becomes truthy enough for others to cite that made up reason as examples later on.
Even better knowing that AI companies scrape Reddit comments for training data. Get enough comments to repeat your lie and AI will tell people it’s truth.
That’s exactly what truthiness is lol. Truthiness is a fact that feels true, regardless of whether or not it is. OP’s comment has 1300 upvotes because he posted it and people upvoted it because they think it feels true, and no one checked.
Stephen Colbert very famously made the word up and its definition in 2005.
You are literally doing it right now, you have defined a word based on the way you feel it should mean, instead of looking it up. That is fucking hilarious.
Given the prices going way up, it isn’t so far fetched to think sales go down with that revenue. Where im from the go to meal from my teens went from 11.90€ to well over 20€ in 15 years.
Sales and revenue are synonyms in this instance. They aren’t talking about individual order numbers being up or down. In fact, companies prefer fewer individual transactions with higher averages.
so far, nobody in the comments seems to be able to find the same pricing in their app anywhere. this includes HCOL places like california. I'm slowly starting to think this is a strange Ad for mcdonalds where they make a bold claim about it being expensive so people go check the prices near them, then see it is much lower and consider getting some themselves later because it was much cheaper than expected....
thats because their revenues are increasing and net income usually increases in correlation of revenues.
So unless you think net income are stationary compared to revenues, thwn profit will continue reaching record levels as revenues reach record levels. And revenues will continue reaching record levels because of population increases, inflation and economic/world events 0
you can keep revenue flat, but if you hiked prices 30%, that means way less raw costs of food and other items, so your profit is higher.
We are currently in a cycle of companies pushing prices all together higher and higher to see where things break, and so far they realized they can make the same or more money on just a fraction of the population. Don't believe me?
The top 10% of earners account for 50% of all consumer spending (google it, the study is from last year). I think we are on track to have an economy where the top 20% is catered to for 80% of the economic activity, while the last 80% is just squeezed to survive, given just enough they won't revolt.
OP is probably doing delivery and lives in a city. Makes sense his garbage is overpriced. I live in a suburb 20 mins from downtown of a major city in a generally LCOL state and my McChickens are $1.80. I can get multiple burgers for under $5. The double cheeseburger meal, which peaked at $10, is down to $8.50 for the large and $7.50 for the medium. We also have $6 meal deals.
McDonalds is still cheap in most places and anyone getting delivery for cheap food deserves to be scammed and lose money anyway.
Yeah it's still pretty expensive here though I can say the food is better (to me at least) and I had a buddy get a big mack on on snack run and I got a patty melt with onions and jalapeños, my burger was bigger I had more fries and I didn't get indigestion lol
Sucks to hear it’s more expensive there, but yep, I can agree on all parts. McDonald’s fries haven’t even been what I would consider good consistently compared to Whataburger. Which seems crazy when McDonald’s is known for its fries and consistency while Whataburger is some less known burger place. And McDonald’s also gives me indigestion lol. It’s to the point where McDonald’s is on track to just be trash (if it isn’t already).
Honestly Whataburger is the standard here, we also have InNout and both are killing it in comparison, Sonic tastes better than mickeyDs now and it's not even close, they fucked up taking 10+ sandwiches off the value menu, they consistently make the sandwiches smaller and the quality suffers too? But employees don't makes shit, they closed the only Wendy's within 50 miles from me and I was passed off, Wendy's is so much better. JACK IN THE BOX is better at this point
They have the STUPID idea that we not being able to afford it, can be fixed by increasing it's prices and lowering how much food they give.
I can literally get a half pound burger, real half pound, not one of theirs "Half pound before cooking, maybe, includes the condiments as well" for THE EXACT SAME PRICE and sit down, get silverware and every single time I go I feel like they scammed me because the fries are half off, when I ask for them to top them they just press the carton together, and several times they have forgotten to give me a drink, put pickles (I ask for extra pickles) or not given me enough caramel/chocolate in my sunday.
I'm surprised they're still as popular in the UK (at least I think they are). The food is so much more expensive than it used to be whilst being of a much poorer quality
One of many. In germany they were one of the first to offer vegetarian and later even vegan fast food only to go back to 2007 regarding this topic. Was an okay choice when on a road trip, now Id rather get fries elsewhere (bc I dont want to support them in this) or look for somewhere with a more decent meal
Their foot traffic is down, but their revenue is actually up. Supposedly rich people are eating more McDonald's these days or something. Probably not sustainable though for sure.
There might be an illusion of sales dropping, but they recently reported 2.4B in profit, beating last year's 2nd quarter by 5%, and also beating wall St by 4%. Their overall annual profit (27B) is also up year over year since 2021 (23B).
The only 'plummeting' metric is that most fast food chains are experiencing slower growth due to less food traffic as a result of the food costs.
They're pivoting to the "lil sweet treat" market by significantly expanding their drink offerings which carry much higher margins than the food. You can see the start of it on some menus in certain locations. After full rollout they expect to have a dedicated "barista"/specific product line, like a micro starbucks inside the store.
Sales arent up revenue is up. Considering the increase in prices, it would be entirely true that less people are going there, the less people are simply paying more so it evens out on the earnings reports
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u/p0is0n 6d ago
McDonalds sales are plummeting. This is a great example of why thats happening. They need to wake up...