McDonald’s Profits up Again

By Richard Gibson
Oct 21 2010

This morning McDonald’s Corporation announced that their third quarter profits rose by 10% and those profits will continue through the fourth quarter as momentum has been gained in the market.

Analysts have said that the increase in profits for McDonald’s is not surprising. With the slow economy and jobless rates, consumers have turned to the lower cost restaurants for their dining pleasure.

McDonald’s announced a plan to increase the quarterly dividend paid to shareholders to .61 cents per share. This will be an increase of 11% over the last projection that was issued by the corporation.

Since the financial crisis hit, McDonald’s has steadily changed the way that their restaurants do business. They have increased menu selections in nearly every market and lowered prices on certain items to entice customers. The company announced that their $1 drink special increased profits in most regions.

Total revenue for the McDonald’s Corporation rose to $6.3 billion this year, an increase of 6% from the same period recorded last year. The company has issued a statement that more stores will be opening in the coming fiscal year as well.

The push to the international market has helped the bottom line for the company as well. Their India locations are doing well despite having to move past certain cultural and religious hurdles that stopped the company from opening locations in the area in the past. Other international locations are being considered at this time.