Pricing, Promotions Push McD’s Growth

October 21, 2016

A rich mix of ingredients—higher menu prices, lower commodity costs, continued customer enthusiasm for All Day Breakfast and McPick 2—combined to produce Q3 results for McDonald’s Corp. that exceeded the predictions of The Street and the brand’s doubters.

For the quarter ended Sept. 30, 2016, global comparable sales increased 3.5%, with U.S. same-store sales up 1.3%. The company pointed to All Day Breakfast—introduced in Q4 2015 and lapping it expected to present an impediment to solid growth this year—the McPick 2 value platform and introduction of new Chicken McNuggets free of preservatives (which brought a 10% jump initially in McNugget