UK among key drivers for McDonald's international growth in Q2
The "international lead" segment saw a 4.9% increase in like-for-like sales growth.
UK and France were identified as the primary drivers of McDonald's international segment growth for the second quarter of the year, a significant piece in the fast food giant's 4% increase in global comparable sales.
According to their results, comparable sales from the “international lead” segment saw 4.9% like-for-like sales growth. The segment's operating income increased 15% (9% in constant currencies), and were fueled by sales-driven improvements in franchised margin dollars across all markets.
“We’re pleased with the results of our international business and the progress we’re making in the U.S. on executing on our Velocity Growth Plan priorities. We’ve now marked 12 consecutive quarters of positive comparable sales, and we are confident that we're executing the right strategy to achieve long-term, profitable growth,” McDonald's President and Chief Executive Officer Steve Easterbrook said.
On the other hand, McDonald's also cited U.K.'s decision to leave the European Union as a potential "risk factor."
"It is possible that there will be increased regulatory complexities, as well as potential referenda in the U.K. and/or other European countries, that could cause uncertainty in European or worldwide economic conditions," an excerpt of the report read.
Trialling barista-made coffee
McDonald's UK currently employs 122,000 people and plans to 1,000 new managers from within their ranks over the next months despite a backdrop of consumer confidence and high street footfall decline.
Looking to further improve their customer experience, the brand has started to trial barista made coffee in some of their London restaurants as coffee has reportedly been a key driver of sales and guest count growth.
"Our barista coffee will remain true to the values of McCafé – great tasting, served quickly, simply and at an affordable price. Barista coffee is outperforming projections, so we will soon be expanding our trial to restaurants in the East Midlands," Paul Pomroy, Chief Executive Officer for McDonald’s UK and Ireland said.
