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McDonald's profits get tasty

Jan 24 2007 21:05

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Chicago - Fast food heavyweight McDonald's said on Wednesday that its fourth-quarter profit more than doubled, thanks in large part to the spinoff of a burrito chain and strong sales in Europe.

The US biggest fast-food chain earned $1.2bn, or $1 a share, in the quarter ending December 31, up from $608.5m, or 48c a share, during the year-ago period.

McDonald's revenue climbed 11% to $5.6bn, from $5.01bn during the year-ago period.

Even without the gain from the spinoff of the Mexican-style eatery Chipotle, McDonald's said its income from continuing operations climbed to $761.2m, up 26% from $604.8m last year.

The Oak Brook, Illinois-based company said the gain on the Chipotle spinoff added 39c per share to its results.

On average, analysts surveyed by Thomson Financial forecast quarterly income of 61c per share and revenue of $5.7bn. The estimates typically exclude one-time items.

For the year, McDonald's said it earned $3.5bn, or $2.83 per share, a 36% increase from last year. For 2006, the company had $21.6bn in revenue.

 
 
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