NYSE$MCD

McDonald's · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

McDonald's performance was negatively impacted by COVID-19, resulting in declines in global comparable sales and consolidated revenues.

McDonald's Q1 2020 results were significantly affected by the COVID-19 pandemic, which led to restaurant closures, limited operations, and changes in consumer behavior. Global comparable sales and consolidated revenues decreased, and the company withdrew its 2020 Outlook due to the uncertainty related to the pandemic's impact.

  • Global comparable sales decreased by 3.4%.
  • Consolidated revenues decreased by 6% (5% in constant currencies).
  • Diluted earnings per share decreased by 15% to $1.47 (13% in constant currencies).
  • McDonald’s suspended its share repurchase program and increased its cash position with $6.5 billion in new debt financing.

Headline financials

Total Revenue

$4.71B

Previous: $4.96B-4.9%
EPS (adj)

$1.47

Previous: $1.78-17.4%
Capital Expenditures

-$483M

Previous: -$515M+6.4%
Free Cash Flow

$624M

Previous: $813M-23.2%
Net Income

$1.11B

Previous: $1.33B-16.7%
Operating Income

$1.69B

Previous: $2.09B-19.1%
Gross Profit

$4.16B

Previous: $4.96B-16.1%
Cash & Equivalents

$5.38B

Previous: $2.29B+135.0%
Total Assets

$50.6B

Previous: $46.5B+8.8%
Stock-Based Comp

$25.9M

Previous: $31.6M-18.0%

Revenue & EPS history

McDonald's · Revenue · Quarterly

$4.71B

Q1 2020-4.9%vs Q1 2019
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

McDonald's · $2.3B total across 1 segment · Q1 2022

  • Company-Owned Restaurants
    $2.3B

Forward guidance

McDonald's withdrew its 2020 Outlook and its Long-Term Outlook due to the uncertainty related to the impact of COVID-19 on global economic conditions and the Company’s business operations.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2020

Historical avgQ1 2020

+0.3%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+1.1%

Avg return

30 days after

53%

39 / 73 earnings

Positive

+9.8%

Q3 2015

Best reaction

-6.2%

Q2 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.0%-3.2%-1.5%
Q4 2025+2.7%+1.4%+1.0%
Q3 2025+2.3%-0.0%+4.0%
Q2 2025+3.0%+1.9%+5.2%
Q1 2025-1.9%-0.9%-1.8%
Q4 2024+4.8%+4.8%+1.7%
Q3 2024-1.8%-0.5%-0.6%
Q2 2024+5.7%+9.8%+13.9%
Q1 2024+0.3%-1.2%-7.9%
Q4 2023-4.2%-2.6%-1.4%
Q3 2023+2.5%+4.7%+9.6%
Q2 2023+0.8%-0.2%-2.5%
Q1 2023-1.2%+0.9%-2.6%
Q4 2022-1.7%-2.5%-1.2%
Q3 2022+7.0%+6.4%+7.2%
Q2 2022+3.4%+5.2%+4.9%
Q1 2022+0.8%-0.5%+1.9%
Q4 2021+2.5%+3.7%-0.2%
Q3 2021+3.8%+6.0%+5.7%
Q2 2021-0.9%-2.5%-3.6%
Q1 2021+1.6%+0.6%+0.6%
Q4 2020+0.4%+1.3%-0.4%
Q3 2020-1.5%-1.5%-3.6%
Q2 2020-2.5%-3.5%+5.4%
Q1 2020-2.7%-4.6%-0.8%
Q4 2019+2.8%+2.3%-7.7%
Q3 2019-5.1%-7.3%-8.3%
Q2 2019+0.3%-1.7%+0.1%
Q1 2019-1.5%+0.2%+1.1%
Q4 2018-1.9%-2.5%+1.6%
Q3 2018+6.4%+4.0%+9.7%
Q2 2018-0.9%-0.8%+0.3%
Q1 2018+3.2%+4.3%+2.2%
Q4 2017-3.7%-4.7%-12.4%
Q3 2017+0.1%+1.3%+3.5%
Q2 2017+3.1%+2.6%+4.3%
Q1 2017+4.9%+4.2%+11.6%
Q4 2016-1.0%+0.5%+4.6%
Q3 2016+2.7%+1.4%+8.5%
Q2 2016-6.2%-7.7%-9.4%
Q1 2016+1.3%
Q4 2015+1.7%
Q3 2015+9.8%
Q2 2015-1.5%
Q1 2015+2.2%
Q4 2014-0.2%
Q3 2014-0.7%
Q2 2014-2.3%
Q1 2014-0.5%
Q4 2013-0.5%
Q3 2013-0.1%
Q2 2013-3.5%
Q1 2013-2.5%
Q4 2012+0.4%
Q3 2012-4.7%
Q2 2012-3.8%
Q1 2012-0.1%
Q4 2011-0.4%
Q3 2011+1.7%
Q2 2011-2.6%
Q1 2011+0.2%
Q4 2010+0.6%
Q3 2010+0.2%
Q2 2010+1.5%
Q1 2009-3.8%
Q1 2010+0.5%
Q4 2007-0.6%
Q4 2009-0.6%
Q3 2008+2.4%
Q3 2009+2.4%
Q2 2009+0.2%
Q4 2008+0.2%
Q2 2008+0.2%

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