Overview
- Global comparable sales rose 3.6% in the quarter, edging past the roughly 3.55% estimate, driven by value-led promotions.
- Adjusted earnings were $3.22 per share on $7.08 billion in revenue, roughly flat year over year and short of the $3.33 EPS that analysts expected.
- U.S. comparable sales increased 2.4%, while international markets grew 4.3% and the partner-operated segment rose 4.7% led by Japan.
- Foot traffic fell 3.5% from a year earlier, outpacing the 2.3% decline across the quick-service category, indicating higher spend per visit rather than broad visit growth.
- Promotions including the $2.99 Snack Wraps, a year-long $5 meal deal, and reintroduced Extra Value Meals boosted demand in July before momentum cooled, raising concerns about franchisee margins as corporate support for discounts wanes.