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McDonald’s profit hit by the strength of the dollar

in International Business

McDonald’s profit hit by the strength of the dollar

McDonald’s net income fell to USD 1.46bn in the third quarter, down from USD 1.51bn last year, after being by the strength of the dollar and increasing competition.

The stronger dollar means international sales are worth less when profits are repatriated.

In the US, sales grew by 1.2%, but operating income fell by 1%. In Europe, underlying sales were up 1.8%, and operating income fell 7%.

Sales remained solid in Chin and Australia.

Chief executive Don Thompson said that while sales would carry on experiencing pressure, the company saw “significant long-term opportunities” for its brand and remained “confident in the underlying strength of our business model”.


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