Healthy Options at McDonald’s Boosts Sales

When I think of McDonalds, the first thing that comes to my mind is a Big Mac Meal or a McChicken sandwich meal. However, their focus on new healthier options such as the fruit and maple oatmeal breakfast and the mango pineapple smoothie, seem to be paying off as McDonald’s has reported a 9% jump in profits in the third quarter.

During the quarter, the fast food giant focused heavily on its advertising on their healthier options.

McDonald’s has exceeded expectations by two cents as on Friday, as the corporation said earnings were $1.45 per share. Revenue it said, has increased by 14% to $7.17 billion.

Compared to the traditional strawberry milkshake which has 570 calories with 17g of total fat, the mango smoothie has 220 calories and 1g of total fat.

On the McDonald’s breakfast menu, the sausage and egg McMuffin has 450 calories and 27g in total fat whereas the fruit and maple oatmeal has 290 calories with 4.5g in total fat. Although to me, the sausage and egg McMuffin sounds more appealing!
Shares increased nearly 3% but despite the positive figures, McDonald’s CEO Jim Skinner sounded a note of caution.
Skinner said commodity costs have risen ahead of expectations this year and more price increases are possible in the near term. He said, “The environment out there is still fragile.

“Economists say we’re off out of the recession, but it hardly feels that way.”

Skinner explained in a conference call with analysts, that unemployment is still above 9% in the U.S. and the stock market recently had its worst quarter in 2 years, the Chicago Tribune reports.

He said, “Consumers everywhere continue to be cautious and hesitant to spend.

“We remain in market share battle with every victory continuing to be hard won.”

In March, prices at McDonalds went up by 1.4% and 1% in May, after the increased costs of supplies, restaurant insurance quotes, competitors, supermarkets and the cost of hiring staff at their fast food restaurants.

Pete Bensen, McDonald’s CFO, said that customers have so far responded well to the price rises, adding that prices are rising faster at supermarkets and grocery stores.

Increasing more food products to their dollar menu has also helped in taking market share from competitors and rivals.

McDonald’s is also modernising their restaurants in the U.S and Europe, which is making operations more efficient and boosting sales.

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