McDonald's last night said third-quarter earnings rose 12 per cent to beat expectations as new products such as meal-sized salads helped reverse a slowdown in US sales and offset overseas weakness.
Improvement in the United States, the biggest McDonald's market, has come from a push toward unconventional fast-food menu offerings including McGriddles breakfast sandwiches and the new salads aimed at women.
In September McDonald's began "I'm Lovin' It," its first-ever global advertising campaign, to attract more young adults.
The restaurant company has also extended its hours of operation and standardized levels of cleanliness and serving speed to offset flagging service at US stores. Sales at US restaurants open more than a year rose 9.5 per cent in the quarter.
But Wall Street remains cautious about international regions such as Europe, McDonald's second-biggest market, where the company has tried to boost business by discounting and broadening its menu.
European same-store sales fell 0.1 per cent in the quarter, but the results were the best in the year as expansion in France and strong results in Russia offset weakness in Britain and Germany, McDonald's said.
In Britain, McDonald's is testing entrée-sized salads similar to those sold in the United States and may introduce them in other parts of Europe next year, executives said.