McDonald’s Corporation (NYSE: MCD) announced its financial results for the fourth quarter of fiscal 2017 on Tuesday. Both revenue and earnings beat estimates, however, shares of the company dropped 2.26% today. The reason for the decline might be that investors may expect some dividend from the company.
“2017 was a strong year for McDonald's as customers responded to the many ways we are making their experience more convenient and enjoyable,” Steve Easterbrook, McDonald's President and Chief Executive Officer, said in the statement on Tuesday.
Revenue for the fourth quarter dropped from $6 billion for the same quarter last year to $5.3 billion, beating analysts’ estimates of $5.2 billion. Besides, global comparable store sales increased 5.5% in the fourth quarter, surpassing estimate of rising 4.9%. Motivated by the strong core menu performance for the McPick 2 platform and beverage value options, U.S. comparable sales were up 4.5%. Consumer also response positively to the new Buttermilk Crispy Tenders and delivery, according to the company.
Additionally, earnings for the fourth quarter was $1.71 per share, which beat analysts’ expectation of 1.59 per share.
“We served more customers more often, achieved our best comparable sales performance in six years, gained share in markets around the world and made tremendous progress with growth platforms such as delivery, mobile order and pay and Experience of the Future,” Steve added.
“For 2018, we plan to invest about $2.4 billion of capital, the majority of which will be dedicated to reinvesting in our existing locations through accelerated deployment of Experience of the Future in the U.S.,” Kevin Ozan, McDonald's Chief Financial Officer, said on Tuesday.