McDonald’s sales drop as diners cut back on visits

McDonald’s reported a 3.6% drop in US same-store sales in the first quarter, its sharpest decline since COVID-19 lockdowns. 

CEO Chris Kempczinski said both low- and middle-income consumers are cutting back on fast-food visits, citing broader economic pressures. Restaurant traffic also dropped across major US markets. 

Despite this, higher-income consumers maintained spending, highlighting a split in the economy. 

McDonald’s shares fell 2% Thursday but remain up 10% this year. 

Other fast-food chains like Domino’s, Starbucks, and KFC have also reported sales slowdowns. 

To revive traffic, McDonald’s is launching new items and $5 McValue meals. Kempczinski expects improvement ahead, with promotions like a Minecraft Happy Meal already boosting sales this quarter.