Locator: 44488BE.
Wow, wow, wow, wow! From April 25, 2023 -- just yesterday:
McDonald's
- recurrent theme on the blog: inflation doesn't matter (don't take that out of context)
- headline: McDonald's revamp is paying off; net income rises 63% in 1Q23; link here;
- taking customers (and money) away from competitors
- MCD (stock) has traded at record highs this month (April, 2023)
- broad restructuring and laying off "hundreds" of workers
- reducing "some" employees' compensation packages
- I had a Big Mac meal on Saturday this past weekend
- that was the first time I've been to McDonald's in a year (?) -- that I can recall -- it's possible it's been longer
- I was surprised how costly the meal was; I did not "up-size" it -- kept it at "medium-size" -- was just under $9
- my expectation: a $5-handle, and significantly less than $6
- I guess I've been under the Geico rock
Now this, link here. Exactly my thoughts as I posted above, yesterday:
I really, really that Big Mac meal yesterday, the first McDonald's visit in a very, very long time, but when a McDonald's meal trends toward $12, that pretty much means the end of my visits except once in a blue moon.
From the linked article:
McDonald's had a juicy first quarter, but fat sales and profits aren't guaranteed this year as consumers begin to push back on higher prices for things like Big Macs and fries.
"We are seeing in some places resistance to pricing, more resistance than we saw at the outset," McDonald's CEO Chris Kempczinski warned on the company's Tuesday earnings call. McDonald's said it's seeing "pressure" on its key units per transaction measure.
That means the typical cost-conscious McDonald's customer is balking at higher menu prices.
As a result, they may be buying a hamburger — but not getting a side of fries. Or those with a little more cash in their pockets could be buying more premium McDonald's dinner items — but leaving out a dessert.
But then, most Americans could afford a few less fries.
By the way, did someone say once in a blue moon?
Quick, who brews Blue Moon?
One of my favorite beers. Link here.
I haven't had a beer in ages. Until this past week: yesterday I had an IPA at the Lazy Dog restaurant next door to our apartment complex. It was awesome. I was going to have a Sunspanked Red (link here) until I realized it was not an IPA.
I also searched out and found bottled Bitburger Pils.
The only two beers I drink are IPAs and Bitburger Pils. And, an occasional Blue Moon though I don't think I've had a Blue Moon in a month of blue moons. Oh, yes, also, my favorite pre-pandemic beer was Shock Top, but only from the tap. Both Blue Moon and Shock Top are Belgian whites.
