McDonald's reports drop in Q2 profit
July 24 , 2012
McDonald's has reported lower-than-expected quarterly profits due to a weakening global economy and the impact of a stronger dollar.
Shares in the fast food giant fell $2.64, or 2.9 percent, to close at $88.94 on the New York Stock Exchange on Monday.
Global sales at restaurants open at least 13 months slowed during the month of June, increasing 4.4 percent compared to 7.7 percent a year earlier.
Meanwhile, net income fell 4.5 percent to $1.35 billion.
The impact of the stronger dollar shed 7 cents a share from earnings in the latest quarter.
Higher taxes and costs related to its Olympics sponsorship also hit profits.
Total revenue rose slightly to $6.92 billion, up from $6.91 billion a year earlier.