The nation’s largest burger chain is slipping.
McDonald’s U.S. sales dropped 0.2 percent from July to September, marking the first such decline since early 2025, according to an earnings report released Wednesday.
CEO Chris Kempczinski said the company’s U.S. stores showed improvement as the quarter went on but still have room to grow.
“In the U.S., we’re encouraged by improvement as the quarter progressed following our intervention on value,” Kempczinski said. "We’re focused on building from here, strengthening the business today and investing in the next chapter of growth.”
The company said traffic at its U.S. restaurants fell during the third quarter as customers struggled with higher gas prices and the uncomfortably high cost of living.
The company has focused on finding the right mix of affordable meal options as customers cut back on dining out to save money.
In April, McDonald’s debuted an under-$3 value menu with various breakfast, lunch and dinner items to appeal to thrifty customers. The company also launched a limited time $8 value meal with fries, a drink and quarter-pounder with cheese Monday.
The burger chain’s quarter-pounder deal comes just a few weeks after competitor Wendy’s launched a $7.99 value meal with fries, drink and a quarter-pound Dave’s Single hamburger.
McDonald’s U.S. sales decline was not as steep as Wall Street had feared; analysts had braced for a 0.5 percent drop.
The company restored in-app deals and focused its marketing on value during the quarter, which helped push same-store sales into positive territory in September. But the fast food giant’s shift in focus shows how challenging the economic environment has become for U.S. fast food companies.
Third-quarter foot traffic fell 2.6 percent across the entire fast food sector in the U.S., according to Revenue Management Solutions, a restaurant industry consultant.
“This is the environment that we’re in right now. You have to be on your game and deliver that value,” said McDonald’s Chairman and CEO Chris Kempczinski during an investor presentation last month. “The pressure around cost of living isn’t going away.”
Globally, same-store sales rose 1.3 percent in the same period that U.S. sales fell.
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