McDonald's Australian sales to hit $5b
Fast-food giant McDonald’s says its 955 Australian restaurants are set to generate $5 billion in sales this year, despite tough competition, as the local division is singled out for praise by its US parent.
The US-listed burger chain recently reported a 3.5 per cent rise in global same-store sales for the third quarter, compared with 1.3 per cent growth in same-store sales in its home market.
2015 calendar-year accounts for McDonald’s Australia Holdings, which covers the 13 per cent of stores that are company owned rather than franchised, show revenue and other income of $1.66 billion and receipts from customers of just under $1 billion. Photo: Dhiraj Singh
Chief executive and president Steve Easterbrook told analysts, “We expected performance through 2016 to be uneven and it has been.
“Markets such as the UK, Australia and Canada continue to grow sales and guest counts, while markets including the US, France and Germany work to overcome challenges of varying degrees.”
A spokesman for McDonald’s Australia said, “We’ve been pleased with the steady growth we have seen in both guest counts and sales over the past two years. And we are on track for around $5 billion in sales in 2016.”
McDonald’s does not release its Australian figures separately. But 2015 calendar-year accounts for McDonald’s Australia Holdings, which covers the 13 per cent of stores that are company owned rather than franchised, show revenue and other income of $1.66 billion and receipts from customers of just under $1 billion.
Australians spent just under $3.6 billion on takeaway food and in cafes and restaurants in August, the latest Bureau of Statistics figures show.
Spending on takeaway food grew 1.5 per cent, seasonally adjusted, compared with 1 per cent growth on spending in cafes, restaurants and catering.
McDonald’s has long been seen as the king of Australia’s $15.6 billion-plus fast-food market but pizza giant Domino’s has said it wants to steal market share from burger sellers.
QSR Holdings, which owns fast-food businesses Red Rooster and Oporto, is also looking for a sharemarket float or sale.
And the ASX-listed Collins Food, the largest franchisee of KFC restaurants in Australia, recently described economic conditions as “challenging”.
McDonald’s recently came under pressure for more than halving its Australian tax bill by routing payments through Singapore.
A Fairfax Media also found that McDonald’s was underpaying its Australian workers tens of millions of dollars a year under a cosy deal struck with Labor’s largest union affiliate that excludes weekend penalty rates.