Starbucks (SBUX) must feel like someone is walking over its grave. McDonald’s (MCD) same-store sales rose 6.5% in July. The company said the the improvement in the US was due to the appeal of McDonald’s popular breakfast menu, new food offerings, value and convenient late night hours. McDonald’s is also beginning to open most of its stores at 5 AM to get the coffee and breakfast crowd.
Overseas activity was particularly strong. Comparable sales were up 9.9% in Asia/Pacific, Middle East and Africa, driven by ongoing sales strength in Japan, Australia and China. Breakfast and extended hours contributed to the segment’s July performance.
Douglas A. McIntyre