McDonald’s Q1 Earnings Meet Estimates, But US Same-Store Sales Record Worst Decline Since COVID-19

McDonald’s on Thursday reported in-line first-quarter earnings, but its U.S. same-store sales declined the most since the onset of COVID-19.

Revenue declined 3% year-over-year (YoY) to $5.96 billion, falling short of a Wall Street estimate of $6.13 billion.

Adjusted earnings per share (EPS) stood at $2.67, aligning with analyst estimates. However, net income declined 3% YoY to $1.87 billion.

The company clarified that results included pre-tax charges of $66 million, or $0.07 per share, for the three months ended March 31, 2025, and $35 million, or $0.04 per share, for the same quarter of the previous year. This was primarily related to restructuring charges associated with the company's internal effort to modernize ways of working.

U.S. same-store sales fell 3.6%, marking the second consecutive quarter of decline and the worst drop since the second quarter of 2020, when the metric dropped 8.7%, according to a CNBC report.

It added that analysts surveyed by StreetAccount were anticipating same-store sales declines of 1.7% for the first quarter.

Meanwhile, global comparable sales decreased by 1%, primarily due to the comparison with Leap Day in the prior year.

Comparable sales of International Operated Markets decreased 1%, primarily impacted by negative comparable sales in the U.K. International Developmental Licensed Markets saw comparable sales increase by 3.5%, mainly driven by the Middle East and Japan.

The company hasn’t provided any update on the potential impact of the Trump administration’s tariff policies in its press statement.

MCD shares declined 1% in Thursday’s pre-market session. The stock has gained by over 9%     in 2025 and 16% in the past 12 months.

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