
McDonald's Corp
NYSE:MCD

Operating Margin
McDonald's Corp
Operating Margin represents how efficiently a company is able to generate profit through its core operations.
Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.
Operating Margin Across Competitors
Country | Company | Market Cap |
Operating Margin |
||
---|---|---|---|---|---|
US |
![]() |
McDonald's Corp
NYSE:MCD
|
228.7B USD |
46%
|
|
JP |
![]() |
KFC Holdings Japan Ltd
TSE:9873
|
71.2T JPY |
5%
|
|
US |
![]() |
Starbucks Corp
NASDAQ:SBUX
|
97.2B USD |
12%
|
|
US |
![]() |
Chipotle Mexican Grill Inc
NYSE:CMG
|
69.5B USD |
17%
|
|
UK |
![]() |
Compass Group PLC
LSE:CPG
|
45.3B GBP |
7%
|
|
US |
![]() |
Yum! Brands Inc
NYSE:YUM
|
41.6B USD |
33%
|
|
CA |
![]() |
Restaurant Brands International Inc
NYSE:QSR
|
32.2B USD |
26%
|
|
CN |
M
|
MIXUE Group
HKEX:2097
|
203B HKD |
23%
|
|
US |
![]() |
Darden Restaurants Inc
NYSE:DRI
|
24.3B USD |
12%
|
|
IN |
![]() |
Eternal Ltd
NSE:ETERNAL
|
2.1T INR |
-1%
|
|
US |
![]() |
Domino's Pizza Inc
NYSE:DPZ
|
16.9B USD |
19%
|
McDonald's Corp
Glance View
In the bustling world of global fast food, McDonald's Corporation stands as a towering testament to business acumen and operational consistency. Founded in 1940 by Richard and Maurice McDonald as a single restaurant in San Bernardino, California, the company has metamorphosed into a globally recognized giant, with thousands of outlets scattered across six continents. Ray Kroc, a visionary businessman, joined the company in 1955 and played a pivotal role in shaping McDonald's into a franchise model powerhouse. This model allowed for rapid, scalable growth, creating a symbiotic relationship between the corporation and independent franchisees, who run most of the McDonald’s restaurants around the world. McDonald’s derives a substantial portion of its revenue from franchisees through rent, royalties, and fees, all structured to encourage operational excellence and uniformity across stores, maintaining the brand's cohesive identity. The global reach of McDonald’s is not just a story of hamburgers and fries, but also of clever adaptation and shrewd market targeting. Its success is rooted in the standardization of its menu while introducing local flavors to cater to regional tastes, thereby broadening its appeal. Operational efficiency lies at the heart of its profitability, often embracing innovation in areas such as supply chain management and restaurant technology. McDonald's constantly refines its offerings and practices through a robust feedback loop that involves monitoring customer preferences and constantly adapting to health trends and consumer demand for convenience. The company’s revenue streams are diversified, benefiting not just from food sales but also through real estate investment, where McDonald's owns the land and buildings of its restaurants, leasing them to franchisees and garnering steady income. McDonald's has created an ecosystem that ensures customer loyalty and economic resilience, making it a formidable entity in the global restaurant industry.

See Also
Operating Margin represents how efficiently a company is able to generate profit through its core operations.
Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.
Based on McDonald's Corp's most recent financial statements, the company has Operating Margin of 45.9%.