New Frappes Whip Up Sales for McDonald's

May sales rise 4.8% on new beverages, including frappes.

June 10, 2010

OAKBROOK, IL - McDonald??s Corp.??s global sales beat analysts?? projections last month as consumers gulped new beverages such as frappes, Bloomberg reports.

For restaurants open at least 13 months, sales increased 4.8 percent in May, more than six percent higher than analysts?? 4.5 percent projection. The company??s McCafe coffee beverages and new frappes were credited with much of the boost.

"Beverages will likely drive traffic in the United States from Memorial Day to Labor Day," said Tom Forte, an analyst at New York-based Telsey Advisory Group. "The beauty of smoothies is, they may be able to boost afternoon traffic."

Broken down by region, sales increased in the United States by 3.4 percent, followed by 5.7 percent in Europe and 3.8 percent in Asia, the Middle East, and Africa.

Advertisement
Advertisement
Advertisement