In the latest quarter, McDonald's reported a 14% increase in revenue, citing "strategic menu price increases" as the driving force behind the surge. The fast-food giant brought in $6.69 billion in revenue for the three months ending September 30, surpassing analyst expectations.
While specific price increases weren't disclosed, some McDonald's locations have reportedly implemented significant price hikes on menu items. According to The New York Post, the company's net income also rose from the same period the previous year, and same-store sales in the US increased by 8.1%, primarily attributed to these price increases.
One branch in Darien, Conn., charged as much as $18 for a Big Mac combo meal, which includes medium fries and a medium soft drink. McDonald's plans to raise menu item prices just over 10% for the full year, marking the second consecutive annual 10% price hike. However, some consumers have expressed concerns about the rising costs of fast food, with many considering it no longer worth the expense.
McDonald's franchisees opening new outlets in 2024 will also face an increased royalty fee, the first such increase in nearly three decades, raising it from 4% to 5%.
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