MCD Q1 2020 Earnings Report — McDonald's Corporation Revenue & Financial Results | Market Cap Arena

McDonald's CorporationMCD

Q1 2020 Earnings

Reported May 7, 2020

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	Q1 2020	Q4 2019	Q1 2019	QoQ Change	YoY Change
Revenue	$4.7B	$5.3B	$5.0B	-11.9%	-6.2%
Op. Income	$1.7B	$2.3B	$2.1B	-26.1%	-19.1%
Gross Margin	49.7%	53.2%	50.8%	-3.5pp	-1.1pp
Net Margin	23.5%	29.4%	26.4%	-5.9pp	-3.0pp
EPS (Diluted)	$1.47	$2.08	$1.72	-29.3%	-14.5%
Free Cash Flow	$1.1B	$1.2B	$1.5B	-8.1%	-29.3%

Revenue Flow

Item	Amount
REVENUE	$4.7B
Cost of Revenue	$2.4B
GROSS PROFIT	$2.3B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$516M
Other Expenses	$132M
Operating Expenses	$648M
Cost & Expenses	$3.0B
OPERATING INCOME	$1.7B
Interest Income	$5M
Interest Expense	$280M
Other Income/Expenses	-$249M
INCOME BEFORE TAX	$1.4B
Income Tax Expense	$338M
Net Income from Continuing Ops	$1.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$1.1B
D&A	$421M
EBIT	$1.7B
EBITDA	$2.1B
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$4.7B
Cost of Revenue	$2.4B
GROSS PROFIT	$2.3B
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$516M
Other Expenses	$132M
Operating Expenses	$648M
Cost & Expenses	$3.0B
OPERATING INCOME	$1.7B
Interest Income	$5M
Interest Expense	$280M
Other Income/Expenses	-$249M
INCOME BEFORE TAX	$1.4B
Income Tax Expense	$338M
Net Income from Continuing Ops	$1.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$1.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$1.1B
D&A	$421M
EBIT	$1.7B
EBITDA	$2.1B
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$1.1B
Depreciation & Amortization	$421M
Stock-Based Compensation	$26M
Deferred Income Tax	$276M
Other Non-Cash Items	-$88M
Change in Working Capital	-$197M
OPERATING CASH FLOW	$1.5B
Capital Expenditure	-$483M
Acquisitions (Net)	$6M
Purchases of Investments	$0
Sales/Maturities of Investments	$0
Other Investing Activities	-$42M
NET CASH FROM INVESTING	-$518M
Net Debt Issuance	$5.4B
Common Stock Repurchased	-$903M
Common Dividends Paid	-$931M
Other Financing Activities	-$22M
NET CASH FROM FINANCING	$3.5B
FREE CASH FLOW	$1.1B
Net Change in Cash	$4.5B

Balance Sheet

Item	Amount
Cash & Equivalents	$5.4B
Short-Term Investments	$0
Net Receivables	$1.7B
Inventory	$39M
Other Current Assets	$0
TOTAL CURRENT ASSETS	$7.6B
PP&E (Net)	$36.6B
Goodwill	$2.6B
Intangible Assets	$0
Long-Term Investments	$1.3B
Tax Assets	$0
Other Non-Current Assets	$2.5B
TOTAL NON-CURRENT ASSETS	$43.0B
TOTAL ASSETS	$50.6B
Account Payables	$672M
Short-Term Debt	$1.1B
Deferred Revenue	$0
Other Current Liabilities	$0
TOTAL CURRENT LIABILITIES	$4.0B
Long-Term Debt	$38.0B
Deferred Revenue NC	$655M
Deferred Tax Liabilities	$1.6B
Other Non-Current Liabilities	$3.1B
TOTAL NON-CURRENT LIABILITIES	$55.9B
TOTAL LIABILITIES	$59.9B
Common Stock	$17M
Additional Paid-In Capital	$7.7B
Retained Earnings	$53.1B
Treasury Stock	-$67.1B
Accum. Other Comp. Income	-$3.0B
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	-$9.3B
Minority Interest	$0
TOTAL EQUITY	-$9.3B
TOTAL LIABILITIES & EQUITY	$50.6B
Total Debt	$52.3B
Net Debt	$46.9B