McDonald's reported third-quarter net income of $2.49 billion, or $3.51 per share, up from $2.28 billion, or $3.18 per share, a year earlier. Excluding restructuring charges and other items, the company earned $3.57 per share, according to the report.
U.S. same-store sales fell 0.2% at restaurants open at least 13 months. That decline was smaller than the 0.5% drop analysts expected, based on a StreetAccount survey. Company-wide same-store sales rose 1.5%, above the 1.3% increase analysts projected.
CEO Chris Kempczinski said the company is "encouraged by improvement as the quarter progressed following our intervention on value." CFO Ian Borden said U.S. same-store sales returned to growth in September after falling in July and August. He later clarified that he did not say U.S. sales would improve in the fourth quarter.
International results were mixed. McDonald's international developmental licensed markets, including Japan and China, reported same-store sales growth of 4.2%, beating the 2.1% forecast. The international operated division, which includes Australia and Germany, grew 1.4%, below the 2.1% analysts expected. The company said France was a weak spot, citing a softer economy and short-term disruptions from student protests. Franchisees in France recently voted on a strategy to turn the business around.
To reverse U.S. declines, McDonald's focused marketing on its Extra Value Meals and restarted regional and national promotions on its mobile app. The company is also testing two new value menus, one with mix-and-match bundles and one with set combinations. Executives said the option that resonates most with customers and franchisees will roll out across the U.S. in early 2027.
Shares closed more than 6% higher on Wednesday.