McDonald's CEO expects high inflation and flat traffic to persist in restaurant industry
McDonald's CEO Chris Kempczinski stated on Wednesday that the company does not anticipate a change in these conditions, viewing them as the new operating environment. He noted that in the most recent quarter, U.S. same-store sales growth was only 0.8%, with a decline in traffic to its domestic restaurants. Kempczinski highlighted that beef prices have nearly doubled over the past five years in the company's largest markets, and other costs like labor and construction have also risen, pressuring margins. Facing these challenges, McDonald's plans to focus on gaining market share from competitors.
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