McDonald's Delivers Strong Quarterly Results, Promises to Increase Dividend by 10 Percent

Investors were positively surprised with McDonald's (MCD) Q3 2023 financial results, with the company doing well on both top and bottom lines thanks to global sales growth. Systemwide revenue increased 11% YoY. In the United States alone, the figure was 8.1% higher. Sales were approximately $7 billion, up 14% from the third quarter of 2022.

In Q3, franchise restaurant sales were approximately $4 billion. In the third quarter of 2022, this value was approximately $3.7 billion. Sales at company-operated restaurants were approximately $2.6 billion, a half-billion higher than $2.1 billion in the same period last year. Global same-store sales — or sales at locations open at least a year — rose 8.8% over the reporting period. That was ahead of Wall Street's forecast of an 8% increase.

In the U.S., same-store sales rose 8.1%. Price increases have weighed on customers. The fast-food giant raised its dividend 10% to $1.67 per share on strong results.

MCD shares are trading up about 2.7% in today’s late premarket trading, because investors more and more view this stock as defensive given mounting uncertainties over financials and high-tech sectors.