McDonald’s revenue falls 30% despite progress at U.S. restaurants

Earnings

Customers sit at McDonald’s outdoor seating in Union Square as the city moves into Phase 3 of re-opening following restrictions imposed to curb the coronavirus pandemic on July 7, 2020 in New York City.

Alexi Rosenfeld | Getty Images

McDonald’s is expected to report its second-quarter results before the bell on Tuesday.

Here’s what Wall Street is expecting, based on a survey of analysts by Refinitiv:

  • Earnings per share: 74 cents expected
  • Revenue: $3.68 billion expected

During the first two months of the quarter, the company said its U.S. same-store sales shrank 12% and global same-store sales plunged 29.8%, according to a June regulatory filing. McDonald’s calculations for same-store sales include locations that were temporarily shuttered due to the coronavirus pandemic

Fast-food chains like McDonald’s have been recovering faster than the overall restaurant industry, thanks to their convenient drive-thru lanes and cheap deals. 

McDonald’s announced on Friday that it will require face coverings at all of its U.S. restaurants and would continue its pause on reopening dining rooms for another month. About 2,200 of its U.S. dining rooms had reopened as of July 1.

Shares of McDonald’s, which has a market value of $155 billion, have risen 1.8% so far this year.

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