McDonald's Q4 Earnings & Revenues Beat Estimates, Rise Y/Y

McDonald's Corporation MCD reported fourth-quarter 2025 results, with earnings and revenues beating the Zacks Consensus Estimate. The top and bottom lines increased on a year-over-year basis.

McDonald’s results reflected solid systemwide momentum, supported by comparable-sales growth, accelerated restaurant expansion and strong engagement across markets. Management emphasized that value leadership, impactful marketing and menu innovation remained central to performance, with initiatives like McValue, global campaigns and new product launches driving customer engagement.

MCD’s Q4 Earnings & Revenue Discussion

In fourth-quarter 2025, McDonald's reported adjusted earnings per share (EPS) of $3.12, beating the Zacks Consensus Estimate of $3.05. It reported an adjusted EPS of $2.83 in the prior-year quarter.

Quarterly net revenues of $7 billion beat the consensus mark of $6.85 billion. Additionally, the top line rose 10% year over year.

McDonald's Corporation Price, Consensus and EPS Surprise

McDonald's Corporation price-consensus-eps-surprise-chart | McDonald's Corporation Quote

At company-operated restaurants, sales were $2.54 billion, up 10% year over year. Sales at franchise-operated restaurants amounted to $4.31 billion, which increased 9% year over year. Moreover, Other revenues rose 35% year over year to $162 million. Our model predicted sales by company-operated restaurants to rise 10.5%, while franchise-operated restaurants were expected to increase 3.4% from the prior-year levels.

McDonald's Comps Details

In the quarter under discussion, global comps rose 5.7% compared with the 0.4% rise reported in the prior-year quarter. Our estimate was a 3.7% increase year over year.

Comps Across MCD’s Segments

The United States: In the fourth quarter, segmental comps rose 6.8% against a 1.4% decline registered in the prior-year quarter. The company's comparable sales for the quarter were aided by positive check growth. Our model estimated the U.S. comps to increase 2.9%.

International Operated Markets: Segmental comps jumped 5.2% compared with the 0.1% increase reported in the year-ago quarter. The rise was driven by positive comparable sales across the U.K., Germany and Australia. We anticipated an increase of 4.7% from the year-ago levels.

International Developmental Licensed Segment: Segmental comparable sales registered a 4.5% increase compared with a 4.1% increase reported in the prior-year quarter. Japan led the growth in positive comparable sales, with all geographic regions also reporting increases.

Operating Highlights & Expenses of McDonald's

In the fourth quarter, McDonald’s total operating costs and expenses were $3.85 billion, up 9% year over year.

Operating income rose 10% year over year to $3.15 billion. Net income totaled $2.16 billion, up 7% year over year.

MCD’s 2025 Highlights

Total revenues in 2025 amounted to $26.9 billion compared with $25.9 billion in 2024.

Net income in 2025 came in at $8.6 billion compared with $8.2 billion reported in 2024.

In 2025, diluted EPS came in at $12.20 compared with $11.72 reported in the previous year.

MCD’s Zacks Rank & Recent Retail-Wholesale Releases

McDonald’s currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

YUM! Brands, Inc. YUM reported fourth-quarter 2025 results, with earnings missing the Zacks Consensus Estimate but revenues beating the same. However, both metrics increased year over year.

Yum! Brands capped off another strong year, led by impressive performances at KFC and Taco Bell. Taco Bell continued to outperform the market, posting exceptional same-store sales gains, while KFC achieved a new milestone in restaurant expansion, marking its best year ever for unit growth. Turner noted that YUM heads into 2026 with sharpened priorities centered on its long-term “Raise the Bar” strategy, aimed at sustaining growth.

Chipotle Mexican Grill, Inc. CMG reported fourth-quarter 2025 results, with earnings and revenues beating the Zacks Consensus Estimate. The top line increased from the prior-year quarter’s figure, while the bottom line remained flat.

Chipotle's fourth-quarter results were affected by various headwinds, including near-term margin pressure due to elevated labor, marketing and operating costs. Negative investor sentiment was observed for CMG as management highlighted declining comparable sales amid a dynamic and uncertain consumer backdrop.

Starbucks Corporation SBUX reported mixed first-quarter fiscal 2026 results, with earnings missing the Zacks Consensus Estimate and net revenues beating the same. The top line increased, but the bottom line declined from the prior-year quarter’s figure.

Starbucks’ management said first-quarter fiscal 2026 results show the “Back to Starbucks” strategy is gaining traction sooner than expected, with sales improving as more customers return and visit often. SBUX is confident this momentum will translate into sustainable earnings growth and support long-term profitability.

5 Stocks Set to Double

Each was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They include

Stock #1: A Disruptive Force with Notable Growth and Resilience

Stock #2: Bullish Signs Signaling to Buy the Dip

Stock #3: One of the Most Compelling Investments in the Market

Stock #4: Leader In a Red-Hot Industry Poised for Growth

Stock #5: Modern Omni-Channel Platform Coiled to Spring

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

Source Zacks-com