McDonald's Takes Good News to Go

Company's strong results can't offset cost of Latin American sale
By Wesley Oliver,  Newser Staff
Posted Jul 24, 2007 2:12 PM CDT

(Newser) – Despite strong global sales, McDonald’s reported a second-quarter loss today, which it attributed to its sale of Latin American franchises. The company lost $711.7 million, or 60 cents a share, but said its new offerings and value menu drew consumers, CNNMoney reports. Excluding the Latin American charge, earnings were 71 cents per share, beating expectations.

Revenue jumped 12% to $6 billion, blunting the impact of the company's second quarterly loss ever. SEC filings cited the breakfast menu, Snack Wrap, and premium roast coffee as robust performers. US same-store sales, a key industry indicator of strength, rose 7%. Despite the loss, one analyst said, “We are as bullish as ever.”