McDonald’s 2nd loss ever
McDonald’s has just posted its second-ever loss, the other which happened 5 years ago in 2002 because of a drawn-out sales slump. This time the loss cost $711.7 million, or 60 cents per share. The loss was due to a hefty one-time charge.
The company does not seem to be concerned about this though. Instead they commented that they are continuing to increase their relevance to busy consumers by delivering choice, variety and convenience, especially when it comes to their breakfast menu. As such they truly believe that their business throughout the world is strong and that the energy, alignment and commitment behind McDonald’s has never been better. This can especially be seen in those stores that have been open for at least a year. With all of this in mind analysts believe that McDonald’s stock will soon rise to 71 cents per share with its revenue climbing to $5.9 billion. As part of this growth plan McDonald’s let go of 1,600 restaurants in 18 Latin American and Caribbean countries, which will net McDonald’s about $700 million in cash. So, this company is definitely a work in progress, even after all of these years.