McDonald's Japan raises annual profit forecast as consumer appetite recovers (updated)
09/08/2017 07:53
* Upgrades FY op forecast to Y16.5 bln from Y15 bln
previously
* H1 profit Y9.4 bln vs Y47 mln year earlier
* 19 months of double digit same store sales growth
(Adds full year sales figures)
TOKYO, Aug 9 (Reuters) - McDonald's Holdings Co Japan Ltd
2702.T upgraded its full year profit outlook on Wednesday as
the fast-food chain sustained a recovery from a series of food
scandals that hit consumer appetites.
The company, an affiliate of U.S. fast-food giant McDonald's
Corp MCD.N , forecast full year operating profit to be 16.5
billion yen ($150.05 million) for the year ending December,
compared to an earlier forecast of 15 billion yen and up 138
percent on the previous year.
Operating profit in the six months through June was 9.4
billion yen. That compared with a 47 million yen operating
profit a year earlier.
Same store sales have grown in double digits for the last 19
straight months with consumers lured to stores by a revolving
array of time limited items including Hawaiian-themed loco moco
burgers, the chocolate banana flavoured Pikachu McFlurry and
Pokemon-themed Happy Meals.
The fast food chain was rocked by a series of safety
scandals dating back to July 2014, when a major Chinese supplier
of chicken was accused of food-safety violations.
The scandals saw the company slump to two years of operating
losses before returning to profit in the year ending last
December.
($1 = 109.9600 yen)
(Reporting by Sam Nussey; Editing by Muralikumar Anantharaman)
((sam.nussey@thomsonreuters.com; +81364411596; Reuters
Messaging: sam.nussey.thomsonreuters.com@reuters.net))
Keywords: MCDONALDS JAPAN RESULTS/