McDonald’s had a nearly 4 percent jump in domestic sales in the last quarter. This sent the company’s stock value up by 5 percent to a new record high.
But that’s not the only good news. The fast-food behemoth’s stock has risen 30 percent so far this year, which makes it the third-best Dow stock, behind Boeing and Apple.
This after its Q4 2016 earnings report showed that U.S. sales dipped 1.3 percent at established franchises. In response, it sped up efforts to transform into what it called a “modern, progressive burger company,” adding different sizes of Big Macs and using fresh rather than frozen beef in some locations.
The company credits the 2017 sales increase to its efforts in this regard. It also launched a line of Signature Crafted sandwiches which use ingredients like Hass avocados and Applewood smoked bacon, and offering all-day breakfast and healthier salads.
“We’re building a better McDonald’s and more customers are noticing,” CEO Steve Easterbrook wrote in a statement.
Easterbrook took the helm at McDonald’s in March of 2015, where he had to deal with what was at that time a struggling brand. Between competition from fast-casual brands like Chipotle, shrinking sales, and food safety scares, it wasn’t clear to some if the brand would survive.
In addition to the menu changes, McDonald’s has added mobile ordering, self-service kiosks, and delivery through a partnership with UberEats.
Customers will begin seeing a new look as the company updates its dated restaurant design. This could also serve to bring more people through the doors.
McDonald’s isn’t the only fast food restaurant that has experienced growth this year. Shares of Restaurant Brands, Burger King’s parent company, have gone up 30 percent this year as the restaurant has brought in more customers with new offerings like chicken fries, a Lucky Charms milkshake, and Mac n’Cheetos. And Yum Brands, the parent of KFC, Taco Bell, and Pizza Hut, has seen its stocks rise 17 percent since January.
Easterbrook said that McDonald’s is encouraged, but not complacent, about its success, and will continue to build on its current momentum.
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