McDonald's racks up 17th quarter of growth

Fast-food giant McDonald's has seen its 17th straight quarter of sales growth in the UK, despite the impact of the World Cup on footfall.

The group, which was one of the official sponsors of football'sWorld Cupin South Africa, said that sales suffered a "low single-digit" percentage impact on England match days, although this was limited by the team's early exit at the end of last month.

Its UK operation saw sales growth on the previous quarter and year on year, helping drive comparable European revenues up 5.2 per cent in the three months to the end of June. Earnings lifted by 9 per cent, or 14 per cent with currency effects stripped out.

On a global basis, McDonald's posted earnings up 10 per cent to $1.85 billion (1.2bn) and like-for-like sales ahead 4.8 per cent. Jill McDonald, senior vice-president at McDonald's UK, said: "We are seeing growth right across the menu in the 'saver' option, but also across the premium end as people look to treat themselves."

She added that consumer confidence had fallen and remains "unsettled", but expects McDonald's to weather the storm.

The group - headquartered in Illinois - is in the middle of a major cafe-style refit for its UK stores, having spent 95 million on its refurbishment programme last year.

The focus for the next six months will be on revamping its drive-through outlets.