McDonald's Q4 earnings dented by one-time US tax hit

1 February, 2018 12:00 AM printer

NEW YORK: McDonald's reported higher comparable sales in the final three months of the year in the US, China and other key markets, but earnings were dented by a one-time hit from US tax reform.

Net income was $698.7 billion in the fourth quarter, down 41 percent from the year-ago period, hit by $700 million due to taxes on repatriated earnings following the US tax reform passed in December, reports AFP.

Revenues fell 11 percent to $5.3 billion following the sale of company-owned restaurants to franchisers.

McDonald's cited a "strong consumer response" to its new "Buttermilk Crispy Tenders" chicken dish and its promotional "McPick 2" offering as factors in a 4.5 percent rise in US comparable sales.