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McDonald's Guides Higher

Third-quarter earnings should top estimates.


(MCD) - Get Report

said its third-quarter earnings should exceed analysts' estimates as sales grew across its regions and the weak dollar provided a bit of a boost.

Profits for the quarter will likely be 89 cents a share, including 83 cents from continuing operations and an after-tax gain of 6 cents from the sale of Boston Market. Analysts were looking for earnings of 77 cents before the gain.

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Shares of McDonald's were up 1.6% to $57.13 in premarket trading Friday.

Currency translation benefited earnings from continuing operations by 3 cents a share, and growth in other operating income contributed earnings of 2 cents, the hamburger seller said.

Global comparable sales rose 5.9% in September and 6.9% in the third quarter 2007. Systemwide sales for McDonald's restaurants around the world increased 11.5% for the month, or 7.2% in constant currencies, and 11.8% for the quarter.

U.S. same-store sales grew 3.5% in September. Comps in Europe were up 5.7% last month, as nearly all markets, led by France, the U.K. and Russia, posted a strong performance.

McDonald's Asia-Pacific, Middle East and Africa restaurants saw comparable sales jump 12% in September and to a 10-year high of 11.4% for the quarter.