08:54 AM EST, 11/05/2025 (MT Newswires) -- McDonald's (MCD) third-quarter earnings unexpectedly declined year over year, although comparable sales topped market estimates amid broad-based growth across all segments.
The fast-food giant on Wednesday posted adjusted earnings of $3.22 a share for the September quarter, down from $3.23 the year before. The consensus on FactSet was for an increase in non-GAAP EPS to $3.33.
Revenue increased 3% to $7.08 billion, in line with the Street's view. Comparable sales rose 3.6%, rebounding from a 1.5% decline in the prior-year quarter, compared with the average analyst estimate for growth of 3.5%. The stock edged up 1.1% in the most recent premarket activity.
"We increased global system-wide sales by 6% and grew (comparable) sales across all segments, a testament to our ability to deliver sustainable growth even in a challenging environment," Chief Executive Chris Kempczinski said in a statement. "We're fueling momentum by delivering everyday value and affordability, menu innovation, and compelling marketing that continue to bring customers through our doors."
US same-store sales grew 2.4%, mainly buoyed by positive check growth, according to the company. Comparable sales advanced 4.3% in the international operated markets, led by Germany and Australia. In the international developmental licensed markets, same-store sales climbed 4.7%, led by Japan.
Total operating costs and expenses rose to $3.72 billion from $3.69 billion last year, according to McDonald's. The group incurred pretax charges of $39 million due to restructuring costs related to its efforts to modernize ways of working.
On Tuesday, KFC and Taco Bell owner Yum Brands (YUM) reported better-than-expected third-quarter adjusted earnings, while revenue fell short of Wall Street's projections. The company said it has begun exploring strategic options for its Pizza Hut brand, which continued to struggle in the third quarter.
Last week, Restaurant Brands International (QSR) reported third-quarter results ahead of market estimates, buoyed by same-store sales gains at Burger King and Tim Hortons.