(Reuters) – McDonald’s Corp (MCD.N: Quote, Profile, Research, Stock Buzz) reported weaker-than-expected quarterly sales at established restaurants on Thursday as fewer diners frequented the fast-food chain, and warned that sales would again fall short of analysts’ expectations in January.
The world’s biggest restaurant chain by revenue has reported disappointing sales for five straight quarters, hurt by self-inflicted operational stumbles, weak demand and intense competition from rivals such as Wendy’s Co (WEN.O: Quote, Profile, Research, Stock Buzz) and Burger King Worldwide Inc (BKW.N: Quote, Profile, Research, Stock Buzz).
(Reuters) – Mondelez International Inc (MDLZ.O: Quote, Profile, Research, Stock Buzz), maker of Cadbury chocolate and Oreo cookies, on Tuesday added activist investor Nelson Peltz to its board in a compromise agreement that ends his campaign to have PepsiCo Inc (PEP.N: Quote, Profile, Research, Stock Buzz) take over the company.
Analysts now expect the influential investor to separately lobby each company to improve their results.
Jan 21 (Reuters) – Starboard Value has urged Darden
Restaurants Inc to delay the spinoff of its struggling
Red Lobster chain, becoming the second activist investor in as
many weeks to call on the company to rethink its strategy for
The calls for change from two investors holding almost 8
percent of Darden shares has put intense pressure on Chairman
and Chief Executive Clarence Otis.
(Reuters) – Darden Restaurants Inc (DRI.N: Quote, Profile, Research, Stock Buzz) said it would spin off or sell its struggling Red Lobster chain, bowing to pressure from hedge fund Barington Capital Group, and warned that earnings would fall more than expected this year due to weak demand.
Barington had been pushing for Darden to split into two companies – one that operates its mature Olive Garden and Red Lobster chains and another for its growing brands such as LongHorn Steakhouse and Seasons 52.
(Reuters) – McDonald’s Corp (MCD.N: Quote, Profile, Research, Stock Buzz) on Monday reported another sluggish month of sales at established restaurants, results that suggest the famed hamburger chain is losing U.S. market share to rivals.
The fast-food chain, the world’s largest by revenue, has struggled for more than a year to significantly increase those monthly sales, hindered by slack demand and intense competition for the business of budget-conscious diners.
NEW YORK/SHANGHAI, Dec 4 (Reuters) – Yum Brands Inc’s
KFC website in China trumpets the slogan “Trust in every
That message is part of the company’s new “I Commit”
campaign intended to reassure customers in its largest market,
who have cut back on visits since Chinese media reports a year
ago about excessive antibiotic use by a few KFC suppliers.
(Reuters) – Yum Brands Inc (YUM.N: Quote, Profile, Research, Stock Buzz) said November sales at established KFC restaurants in China, its top market, failed to grow despite a successful half-priced chicken promotion, and it forecast a return to earnings per share growth in 2014.
China accounts for more than half of Yum’s operating profit. Its shares have risen 14 percent since the start of November on expectations that China’s KFC restaurant sales are poised for a rebound.
Nov 28 (Reuters) – Some early U.S. shoppers headed to stores
on Thanksgiving Day in search of discounted holiday gifts on a
day long reserved for American families to bond over turkey and
Kmart, Old Navy and Lord & Taylor were some of the stores
that opened their doors on Thursday morning, as each company did
last year. Macy’s Inc and a slew of other stores are
opening later on Thanksgiving for the first time ever in a
bare-knuckle brawl for a bigger slice of holiday sales.
(Reuters) – Macy’s Inc (M.N: Quote, Profile, Research, Stock Buzz) and a slew of other U.S. retailers are opening on Thanksgiving for the first time ever in a bare-knuckled brawl for a bigger slice of overall holiday sales.
But it might not be so easy to lure most Americans from their turkey and football – particularly if the weather is foul.
(Reuters) – Shoppers like stay-at-home mom Susan Sterling are American retailers’ worst nightmare this holiday season.
The 52-year-old from Mountain Home, Idaho expects to spend only about $200 (£124.02) on holiday gifts, $100 less than last year, and plans to buy only what’s on sale or clearance.