April 21 (Bloomberg) -- McDonald’s Corp., the world’s largest restaurant company, said first-quarter profit climbed 11 percent as comparable-store sales rose in the U.S. and Europe.
Net income advanced to $1.09 billion, or $1 a share, from $979.5 million, or 87 cents, a year earlier, the Oak Brook, Illinois-based company said today in a statement. Analysts estimated 96 cents, on average, according to data compiled by Bloomberg. Revenue increased 10 percent to $5.61 billion.
The breakfast dollar menu, introduced in January, drew more U.S. customers, the company said. Global comparable-store sales growth accelerated to 5.2 percent in March. That’s a sign that McDonald’s is winning customers from competitors such as Burger King Holdings Inc. and Wendy’s/Arby’s Group Inc., said Tom Forte, a restaurant analyst for Telsey Advisory Group.
“I have a high degree of confidence that McDonald’s continues to take market share,” New York-based Forte said in a telephone interview. Comparable-store sales also suggest that fast-food sales are recovering across the industry, he said.
Earnings per share include a 3-cent charge related to restaurant closings in Japan.
McDonald’s gained 11 cents to $70.45 at 10:12 a.m. in New York Stock Exchange composite trading. Through yesterday, the shares had risen 13 percent this year.
France, Russia and the U.K. drove sales in Europe amid restaurant renovations and themed food events, McDonald’s said.
In the quarter, sales at stores open at least 13 months rose 4.2 percent globally, 1.5 percent in the U.S. and 5.2 percent in Europe.
Comparable-store sales rose 4.2 percent in the U.S. in March, according to a company filing.
(McDonald’s executives will discuss financial results at 12 p.m. New York time. To listen, visit LIVE <GO>.)
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