McDonald's Corp reported a lower-than-expected rise in world-wide August sales at established restaurants on a steep drop in Japan and a lull in new product launches in the United States. The world's largest hamburger chain, whose shares fell 4.4 percent on Friday, said sales at restaurants open at least 13 months rose 3.5 percent globally. Analysts polled by Thomson Reuters were looking for an increase of 4.3 percent.
Same-restaurant sales rose 3.9 percent in the United States, just shy of analysts' 4.0 percent expectation. In Europe - McDonald's largest market - the company reported an increase of 2.7 percent, missing analysts' estimate of a 4.7 percent increase. To help increase sales, McDonald's has relied on new products like breakfast oatmeal and a beverage overhaul that has included the introduction of fruit smoothies and other drinks.
In August 2010, demand for smoothies helped drive up US same-restaurant sales by 4.6 percent. McDonald's reported a 0.3 percent decline in Asia/Pacific, Middle East and Africa, while Wall Street had forecast a rise of 3.5 percent. Oak Brook, Illinois-based McDonald's shares were down 4.4 percent at $84.71 in New York Stock Exchange trading.
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