Fast food giant McDonald's has said third-quarter earnings will be better than analysts expected as the company posted a 7.7 per cent increase in September sales at hamburger restaurants open at least 13 months.
The news lifted shares of the world's largest restaurant company 2.5 per cent in early electronic trading.
McDonald's said preliminary third-quarter earnings are expected to be 68 cents per share, including 1 cent a share for impairment and other charges, primarily in the company's Asia/Pacific, Middle East and Africa unit.
Wall Street analysts had been expecting earnings of 63 cents a share for the quarter and a same-store sales increase of between 3.1 per cent and 4.5 per cent for September.
In the United States, McDonald's flagship business, same-store sales rose 7.1 per cent, helped by breakfast sales and the company's new chicken snack wrap.
In Europe, the company's No. 2 region, same-store sales climbed 9 per cent, helped by gains in Germany, France, the United Kingdom and other markets.
Same-store sales rose 6.6 per cent in the Asia/Pacific, Middle East and Africa unit, Oak Brook, Illinois-based McDonald's said.
McDonald's is expected to report earnings next Thursday. The company's shares rose to $42.30 from a Wednesday close of $41.25 on the New York Stock Exchange.