false--12-31Q320182018-09-300000063908Large Accelerated FilerMCDONALDS CORPMCD0.010.0135000000003500000000166060000016606000003100000235000001200000130000001040000003764000001900000090600000050000008000000016500000016500000000866500000889700000
0000063908
2018-01-01
2018-09-30
0000063908
2018-09-30
0000063908
2017-12-31
0000063908
2018-07-01
2018-09-30
0000063908
2017-01-01
2017-09-30
0000063908
2017-07-01
2017-09-30
0000063908
2017-09-30
0000063908
2018-06-30
0000063908
2017-06-30
0000063908
2016-12-31
0000063908
us-gaap:AccumulatedTranslationAdjustmentMember
2018-01-01
2018-09-30
0000063908
us-gaap:TreasuryStockMember
2018-01-01
2018-09-30
0000063908
us-gaap:TreasuryStockMember
2018-09-30
0000063908
us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember
2018-09-30
0000063908
us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember
2018-09-30
0000063908
us-gaap:CommonStockMember
2017-12-31
0000063908
us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember
2018-01-01
2018-09-30
0000063908
us-gaap:CommonStockMember
2018-09-30
0000063908
us-gaap:AdditionalPaidInCapitalMember
2018-09-30
0000063908
us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember
2017-12-31
0000063908
us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember
2017-12-31
0000063908
us-gaap:AdditionalPaidInCapitalMember
2018-01-01
2018-09-30
0000063908
us-gaap:RetainedEarningsMember
2017-12-31
0000063908
us-gaap:RetainedEarningsMember
2018-01-01
2018-09-30
0000063908
us-gaap:AccumulatedTranslationAdjustmentMember
2018-09-30
0000063908
us-gaap:RetainedEarningsMember
2018-09-30
0000063908
us-gaap:AccumulatedTranslationAdjustmentMember
2017-12-31
0000063908
us-gaap:TreasuryStockMember
2017-12-31
0000063908
us-gaap:AdditionalPaidInCapitalMember
2017-12-31
0000063908
us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember
2018-01-01
2018-09-30
0000063908
us-gaap:FranchisedUnitsMember
mcd:DevelopmentalLicenseesMember
2018-09-30
0000063908
us-gaap:FranchisedUnitsMember
us-gaap:AffiliatedEntityMember
2018-09-30
0000063908
us-gaap:EntityOperatedUnitsMember
2018-09-30
0000063908
us-gaap:EntityOperatedUnitsMember
2017-09-30
0000063908
us-gaap:FranchisedUnitsMember
mcd:ConventionalFranchisesMember
2018-09-30
0000063908
us-gaap:FranchisedUnitsMember
us-gaap:AffiliatedEntityMember
2017-09-30
0000063908
us-gaap:FranchisedUnitsMember
2018-09-30
0000063908
us-gaap:FranchisedUnitsMember
mcd:ConventionalFranchisesMember
2017-09-30
0000063908
us-gaap:FranchisedUnitsMember
2017-09-30
0000063908
us-gaap:FranchisedUnitsMember
mcd:DevelopmentalLicenseesMember
2017-09-30
0000063908
us-gaap:NewAccountingPronouncementMember
2017-01-01
2017-12-31
0000063908
us-gaap:NewAccountingPronouncementMember
2018-01-01
2018-09-30
0000063908
us-gaap:AccountingStandardsUpdate201606Member
2018-01-01
0000063908
us-gaap:NewAccountingPronouncementMember
2018-07-01
2018-09-30
0000063908
us-gaap:AccountingStandardsUpdate201409Member
us-gaap:ScenarioForecastMember
2018-01-01
2018-12-31
0000063908
us-gaap:AccountingStandardsUpdate201409Member
2018-01-01
0000063908
us-gaap:AccountingStandardsUpdate201409Member
2018-07-01
2018-09-30
0000063908
us-gaap:AccountingStandardsUpdate201409Member
2018-01-01
2018-09-30
0000063908
country:US
2017-01-01
2017-09-30
0000063908
mcd:FoundationalMarketsandCorporateMember
2018-07-01
2018-09-30
0000063908
mcd:InternationalLeadMarketsMember
2018-01-01
2018-09-30
0000063908
mcd:FoundationalMarketsandCorporateMember
2017-07-01
2017-09-30
0000063908
mcd:InternationalLeadMarketsMember
2018-07-01
2018-09-30
0000063908
mcd:HighGrowthMarketsMember
2017-07-01
2017-09-30
0000063908
mcd:FoundationalMarketsandCorporateMember
2017-01-01
2017-09-30
0000063908
country:US
2017-07-01
2017-09-30
0000063908
mcd:InternationalLeadMarketsMember
2017-07-01
2017-09-30
0000063908
mcd:HighGrowthMarketsMember
2018-07-01
2018-09-30
0000063908
mcd:HighGrowthMarketsMember
2018-01-01
2018-09-30
0000063908
mcd:FoundationalMarketsandCorporateMember
2018-01-01
2018-09-30
0000063908
country:US
2018-07-01
2018-09-30
0000063908
mcd:InternationalLeadMarketsMember
2017-01-01
2017-09-30
0000063908
country:US
2018-01-01
2018-09-30
0000063908
mcd:HighGrowthMarketsMember
2017-01-01
2017-09-30
0000063908
us-gaap:FairValueInputsLevel2Member
2018-09-30
0000063908
us-gaap:PrepaidExpensesAndOtherCurrentAssetsMember
us-gaap:ForeignExchangeMember
us-gaap:DesignatedAsHedgingInstrumentMember
2017-12-31
0000063908
us-gaap:DesignatedAsHedgingInstrumentMember
2018-09-30
0000063908
mcd:AccruedExpensesAndOtherCurrentLiabilitiesMember
us-gaap:InterestRateContractMember
us-gaap:DesignatedAsHedgingInstrumentMember
2017-12-31
0000063908
us-gaap:OtherAssetsMember
us-gaap:ForeignExchangeMember
us-gaap:DesignatedAsHedgingInstrumentMember
2017-12-31
0000063908
us-gaap:PrepaidExpensesAndOtherCurrentAssetsMember
us-gaap:ForeignExchangeMember
us-gaap:NondesignatedMember
2017-12-31
0000063908
us-gaap:NondesignatedMember
2018-09-30
0000063908
mcd:AccruedExpensesAndOtherCurrentLiabilitiesMember
us-gaap:ForeignExchangeMember
us-gaap:NondesignatedMember
2017-12-31
0000063908
us-gaap:OtherLiabilitiesMember
us-gaap:InterestRateContractMember
us-gaap:DesignatedAsHedgingInstrumentMember
2018-09-30
0000063908
us-gaap:OtherAssetsMember
us-gaap:EquityMember
us-gaap:NondesignatedMember
2018-09-30
0000063908
mcd:AccruedExpensesAndOtherCurrentLiabilitiesMember
us-gaap:EquityMember
us-gaap:NondesignatedMember
2017-12-31
0000063908
us-gaap:PrepaidExpensesAndOtherCurrentAssetsMember
us-gaap:ForeignExchangeMember
us-gaap:NondesignatedMember
2018-09-30
0000063908
us-gaap:DesignatedAsHedgingInstrumentMember
2017-12-31
0000063908
us-gaap:PrepaidExpensesAndOtherCurrentAssetsMember
us-gaap:EquityMember
us-gaap:NondesignatedMember
2018-09-30
0000063908
us-gaap:PrepaidExpensesAndOtherCurrentAssetsMember
us-gaap:ForeignExchangeMember
us-gaap:DesignatedAsHedgingInstrumentMember
2018-09-30
0000063908
us-gaap:OtherAssetsMember
us-gaap:ForeignExchangeMember
us-gaap:DesignatedAsHedgingInstrumentMember
2018-09-30
0000063908
mcd:AccruedExpensesAndOtherCurrentLiabilitiesMember
us-gaap:ForeignExchangeMember
us-gaap:DesignatedAsHedgingInstrumentMember
2017-12-31
0000063908
mcd:AccruedExpensesAndOtherCurrentLiabilitiesMember
us-gaap:EquityMember
us-gaap:NondesignatedMember
2018-09-30
0000063908
mcd:AccruedExpensesAndOtherCurrentLiabilitiesMember
us-gaap:ForeignExchangeMember
us-gaap:NondesignatedMember
2018-09-30
0000063908
us-gaap:OtherAssetsMember
us-gaap:InterestRateContractMember
us-gaap:DesignatedAsHedgingInstrumentMember
2018-09-30
0000063908
us-gaap:OtherLiabilitiesMember
us-gaap:ForeignExchangeMember
us-gaap:DesignatedAsHedgingInstrumentMember
2017-12-31
0000063908
us-gaap:PrepaidExpensesAndOtherCurrentAssetsMember
us-gaap:EquityMember
us-gaap:NondesignatedMember
2017-12-31
0000063908
us-gaap:OtherAssetsMember
us-gaap:InterestRateContractMember
us-gaap:DesignatedAsHedgingInstrumentMember
2017-12-31
0000063908
mcd:AccruedExpensesAndOtherCurrentLiabilitiesMember
us-gaap:ForeignExchangeMember
us-gaap:DesignatedAsHedgingInstrumentMember
2018-09-30
0000063908
us-gaap:OtherLiabilitiesMember
us-gaap:ForeignExchangeMember
us-gaap:DesignatedAsHedgingInstrumentMember
2018-09-30
0000063908
us-gaap:OtherAssetsMember
us-gaap:EquityMember
us-gaap:NondesignatedMember
2017-12-31
0000063908
us-gaap:NondesignatedMember
2017-12-31
0000063908
us-gaap:OtherLiabilitiesMember
us-gaap:InterestRateContractMember
us-gaap:DesignatedAsHedgingInstrumentMember
2017-12-31
0000063908
mcd:AccruedExpensesAndOtherCurrentLiabilitiesMember
us-gaap:InterestRateContractMember
us-gaap:DesignatedAsHedgingInstrumentMember
2018-09-30
0000063908
us-gaap:InterestRateSwapMember
2018-09-30
0000063908
us-gaap:RoyaltyArrangementMember
2018-09-30
0000063908
us-gaap:RoyaltyArrangementMember
2018-01-01
2018-09-30
0000063908
us-gaap:InterestRateRiskMember
us-gaap:FairValueHedgingMember
2018-01-01
2018-09-30
0000063908
mcd:IntercompanyDebtMember
2018-01-01
2018-09-30
0000063908
us-gaap:DebtMember
2018-01-01
2018-09-30
0000063908
us-gaap:NetInvestmentHedgingMember
2018-01-01
2018-09-30
0000063908
us-gaap:CashFlowHedgingMember
2017-01-01
2017-09-30
0000063908
us-gaap:NondesignatedMember
2017-01-01
2017-09-30
0000063908
us-gaap:EquityMember
us-gaap:NondesignatedMember
us-gaap:SellingGeneralAndAdministrativeExpensesMember
2018-01-01
2018-09-30
0000063908
us-gaap:ForeignExchangeForwardMember
us-gaap:NetInvestmentHedgingMember
2018-01-01
2018-09-30
0000063908
us-gaap:ForeignExchangeMember
us-gaap:NondesignatedMember
us-gaap:NonoperatingIncomeExpenseMember
2018-01-01
2018-09-30
0000063908
us-gaap:EquityMember
us-gaap:NondesignatedMember
us-gaap:SellingGeneralAndAdministrativeExpensesMember
2017-01-01
2017-09-30
0000063908
us-gaap:InterestRateContractMember
us-gaap:CashFlowHedgingMember
2018-01-01
2018-09-30
0000063908
us-gaap:ForeignExchangeMember
us-gaap:CashFlowHedgingMember
2017-01-01
2017-09-30
0000063908
us-gaap:NetInvestmentHedgingMember
2017-01-01
2017-09-30
0000063908
us-gaap:ForeignExchangeForwardMember
us-gaap:NetInvestmentHedgingMember
2017-01-01
2017-09-30
0000063908
mcd:OtherForeignCurrencyDenominatedDebtMember
us-gaap:NetInvestmentHedgingMember
2018-01-01
2018-09-30
0000063908
us-gaap:CashFlowHedgingMember
2018-01-01
2018-09-30
0000063908
us-gaap:InterestRateContractMember
us-gaap:CashFlowHedgingMember
2017-01-01
2017-09-30
0000063908
us-gaap:NondesignatedMember
2018-01-01
2018-09-30
0000063908
us-gaap:ForeignExchangeMember
us-gaap:NondesignatedMember
us-gaap:NonoperatingIncomeExpenseMember
2017-01-01
2017-09-30
0000063908
mcd:OtherForeignCurrencyDenominatedDebtMember
us-gaap:NetInvestmentHedgingMember
2017-01-01
2017-09-30
0000063908
us-gaap:CrossCurrencyInterestRateContractMember
us-gaap:NetInvestmentHedgingMember
2018-01-01
2018-09-30
0000063908
us-gaap:CrossCurrencyInterestRateContractMember
us-gaap:NetInvestmentHedgingMember
2017-01-01
2017-09-30
0000063908
us-gaap:ForeignExchangeMember
us-gaap:CashFlowHedgingMember
2018-01-01
2018-09-30
xbrli:shares
iso4217:USD
xbrli:shares
mcd:Restaurant
iso4217:USD
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-Q
|
| |
x | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
| For the quarterly period ended September 30, 2018 |
OR
|
| |
¨ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
| For the transition period from to |
Commission File Number 1-5231
McDONALD’S CORPORATION
(Exact Name of Registrant as Specified in Its Charter)
|
| | |
Delaware | | 36-2361282 |
(State or Other Jurisdiction of Incorporation or Organization) | | (I.R.S. Employer Identification No.) |
| |
110 North Carpenter Street Chicago, Illinois | | 60607 |
(Address of Principal Executive Offices) | | (Zip Code) |
(630) 623-3000
(Registrant’s Telephone Number, Including Area Code)
Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No ¨
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes x No ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.
|
| | | |
| Large accelerated filer x | | Accelerated filer ¨ |
| | |
| Non-accelerated filer ¨ | | Smaller reporting company ¨ |
| | | |
| Emerging growth company ¨ | | |
| | | |
| If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
|
|
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨ No x
770,910,250
(Number of shares of common stock
outstanding as of September 30, 2018)
McDONALD’S CORPORATION
___________________________
INDEX
_______
All trademarks used herein are the property of their respective owners and are used with permission.
PART I – FINANCIAL INFORMATION
Item 1. Financial Statements
|
| | | | | | | | | |
CONDENSED CONSOLIDATED BALANCE SHEET |
| | | | | |
| | (unaudited) | | | |
In millions, except per share data | | September 30, 2018 | | | December 31, 2017 |
Assets | | | | | |
Current assets | | | | | |
Cash and equivalents | | $ | 2,574.5 |
| | | $ | 2,463.8 |
|
Accounts and notes receivable | | 2,266.8 |
| | | 1,976.2 |
|
Inventories, at cost, not in excess of market | | 41.9 |
| | | 58.8 |
|
Prepaid expenses and other current assets | | 669.9 |
| | | 828.4 |
|
Total current assets | | 5,553.1 |
| | | 5,327.2 |
|
Other assets | | | | | |
Investments in and advances to affiliates | | 1,135.5 |
| | | 1,085.7 |
|
Goodwill | | 2,345.0 |
| | | 2,379.7 |
|
Miscellaneous | | 2,406.5 |
| | | 2,562.8 |
|
Total other assets | | 5,887.0 |
| | | 6,028.2 |
|
Property and equipment | | | | | |
Property and equipment, at cost | | 36,946.4 |
| | | 36,626.4 |
|
Accumulated depreciation and amortization | | (14,332.8 | ) | | | (14,178.1 | ) |
Net property and equipment | | 22,613.6 |
| | | 22,448.3 |
|
Total assets | | $ | 34,053.7 |
| | | $ | 33,803.7 |
|
Liabilities and shareholders’ equity | | | | | |
Current liabilities | | | | | |
Accounts payable | | $ | 932.8 |
| | | $ | 924.8 |
|
Dividends payable | | 888.0 |
| | | — |
|
Income taxes | | 160.0 |
| | | 265.8 |
|
Other taxes | | 256.4 |
| | | 275.4 |
|
Accrued interest | | 314.7 |
| | | 278.4 |
|
Accrued payroll and other liabilities | | 1,074.8 |
| | | 1,146.2 |
|
Total current liabilities | | 3,626.7 |
| | | 2,890.6 |
|
Long-term debt | | 31,895.2 |
| | | 29,536.4 |
|
Long-term income taxes | | 2,376.4 |
| | | 2,370.9 |
|
Deferred revenues - initial franchise fees | | 617.0 |
| | | — |
|
Other long-term liabilities | | 1,129.2 |
| | | 1,154.4 |
|
Deferred income taxes | | 1,201.8 |
| | | 1,119.4 |
|
Shareholders’ equity (deficit) | | | | | |
Preferred stock, no par value; authorized – 165.0 million shares; issued – none | | — |
| | | — |
|
Common stock, $.01 par value; authorized – 3.5 billion shares; issued – 1,660.6 million shares | | 16.6 |
| | | 16.6 |
|
Additional paid-in capital | | 7,257.2 |
| | | 7,072.4 |
|
Retained earnings | | 49,076.2 |
| | | 48,325.8 |
|
Accumulated other comprehensive income (loss) | | (2,508.3 | ) | | | (2,178.4 | ) |
Common stock in treasury, at cost; 889.7 and 866.5 million shares | | (60,634.3 | ) | | | (56,504.4 | ) |
Total shareholders’ equity (deficit) | | (6,792.6 | ) | | | (3,268.0 | ) |
Total liabilities and shareholders’ equity (deficit) | | $ | 34,053.7 |
| | | $ | 33,803.7 |
|
See Notes to condensed consolidated financial statements.
|
| | | | | | | | | | | | | | | | | | | |
CONDENSED CONSOLIDATED STATEMENT OF INCOME (UNAUDITED) | | | | | | |
| | | | | | | | | | | |
| | Quarters Ended | | | Nine Months Ended |
| | September 30, | | | September 30, |
In millions, except per share data | | 2018 | | | 2017 | | | 2018 | | | 2017 |
Revenues | | | | | | | | | | | |
Sales by Company-operated restaurants | | $ | 2,511.0 |
| | | $ | 3,064.3 |
| | | $ | 7,641.5 |
| | | $ | 10,045.8 |
|
Revenues from franchised restaurants | | 2,858.4 |
| | | 2,690.3 |
| | | 8,220.7 |
| | | 7,434.4 |
|
Total revenues | | 5,369.4 |
| | | 5,754.6 |
| | | 15,862.2 |
| | | 17,480.2 |
|
Operating costs and expenses | | | | | | | | | | | |
Company-operated restaurant expenses | | 2,047.9 |
| | | 2,479.8 |
| | | 6,309.3 |
| | | 8,199.5 |
|
Franchised restaurants-occupancy expenses | | 499.4 |
| | | 457.3 |
| | | 1,463.6 |
| | | 1,325.4 |
|
Selling, general & administrative expenses | | 515.2 |
| | | 567.0 |
| | | 1,590.4 |
| | | 1,613.7 |
|
Other operating (income) expense, net | | (110.8 | ) | | | (828.9 | ) | | | (324.2 | ) | | | (1,066.9 | ) |
Total operating costs and expenses | | 2,951.7 |
| | | 2,675.2 |
| | | 9,039.1 |
| | | 10,071.7 |
|
Operating income | | 2,417.7 |
| | | 3,079.4 |
| | | 6,823.1 |
| | | 7,408.5 |
|
Interest expense | | 250.1 |
| | | 236.7 |
| | | 727.1 |
| | | 686.2 |
|
Nonoperating (income) expense, net | | 8.9 |
| | | 23.2 |
| | | 31.3 |
| | | 33.9 |
|
Income before provision for income taxes | | 2,158.7 |
| | | 2,819.5 |
| | | 6,064.7 |
| | | 6,688.4 |
|
Provision for income taxes | | 521.4 |
| | | 935.8 |
| | | 1,555.7 |
| | | 2,194.8 |
|
Net income | | $ | 1,637.3 |
| | | $ | 1,883.7 |
| | | $ | 4,509.0 |
| | | $ | 4,493.6 |
|
Earnings per common share-basic | | $ | 2.12 |
| | | $ | 2.34 |
| | | $ | 5.77 |
| | | $ | 5.54 |
|
Earnings per common share-diluted | | $ | 2.10 |
| | | $ | 2.32 |
| | | $ | 5.72 |
| | | $ | 5.48 |
|
Dividends declared per common share | | $ | 2.17 |
| | | $ | 1.95 |
| | | $ | 4.19 |
| | | $ | 3.83 |
|
Weighted-average shares outstanding-basic | | 772.8 |
| | | 805.3 |
| | | 781.2 |
| | | 811.8 |
|
Weighted-average shares outstanding-diluted | | 779.6 |
| | | 813.5 |
| | | 788.5 |
| | | 819.4 |
|
See Notes to condensed consolidated financial statements.
|
| | | | | | | | | | | | | | | | | | | |
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED) | | | | | | |
| | | | | | | | | | | |
| | Quarters Ended | | | Nine Months Ended |
| | September 30, | | | September 30, |
In millions | | 2018 | | | 2017 | | | 2018 | | | 2017 |
Net income | | $ | 1,637.3 |
| | | $ | 1,883.7 |
| | | $ | 4,509.0 |
| | | $ | 4,493.6 |
|
Other comprehensive income (loss), net of tax | | | | | | | | | | | |
Foreign currency translation adjustments: | | | | | | | | | | | |
Gain (loss) recognized in accumulated other comprehensive income ("AOCI"), including net investment hedges | (78.8 | ) | | | 247.3 |
| | | (379.5 | ) | | | 780.6 |
|
Reclassification of (gain) loss to net income | — |
| | | 4.9 |
| | | — |
| | | 109.3 |
|
Foreign currency translation adjustments-net of tax benefit (expense) of $(19.0), $104.0, $(90.6) and $376.4 | (78.8 | ) | | | 252.2 |
| | | (379.5 | ) | | | 889.9 |
|
Cash flow hedges: | | | | | | | | | | | |
Gain (loss) recognized in AOCI | 8.6 |
| | | (14.5 | ) | | | 33.2 |
| | | (44.8 | ) |
Reclassification of (gain) loss to net income | (5.2 | ) | | | 9.1 |
| | | 10.4 |
| | | 3.2 |
|
Cash flow hedges-net of tax benefit (expense) of $(1.2), $3.1, $(13.0) and $23.5 | 3.4 |
| | | (5.4 | ) | | | 43.6 |
| | | (41.6 | ) |
Defined benefit pension plans: | | | | | | | | | | | |
Gain (loss) recognized in AOCI | — |
| | | — |
| | | (1.1 | ) | | | (0.3 | ) |
Reclassification of (gain) loss to net income | 2.1 |
| | | 2.9 |
| | | 7.1 |
| | | 8.2 |
|
Defined benefit pension plans-net of tax benefit (expense) of $0.0, $0.0, $(0.8) and $(0.5) | 2.1 |
| | | 2.9 |
| | | 6.0 |
| | | 7.9 |
|
Total other comprehensive income (loss), net of tax | (73.3 | ) | | | 249.7 |
| | | (329.9 | ) | | | 856.2 |
|
Comprehensive income (loss) | | $ | 1,564.0 |
| | | $ | 2,133.4 |
| | | $ | 4,179.1 |
| | | $ | 5,349.8 |
|
See Notes to condensed consolidated financial statements.
|
| | | | | | | | | | | | | | | | | | | |
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED) | | | | | | |
| | | | | | |
| | Quarters Ended | | | Nine Months Ended |
| | September 30, | | | September 30, |
In millions | | 2018 | | | 2017 | | | 2018 | | | 2017 |
Operating activities | | | | | | | | | | | |
Net income | | $ | 1,637.3 |
| | | $ | 1,883.7 |
| | | $ | 4,509.0 |
| | | $ | 4,493.6 |
|
Adjustments to reconcile to cash provided by operations | | | | | | | | | | | |
Charges and credits: | | | | | | | | | | | |
Depreciation and amortization | | 375.1 |
| | | 355.8 |
| | | 1,103.0 |
| | | 1,020.6 |
|
Deferred income taxes | | 31.1 |
| | | 225.1 |
| | | 114.7 |
| | | 375.6 |
|
Share-based compensation | | 36.0 |
| | | 39.5 |
| | | 99.7 |
| | | 83.5 |
|
Net gain on sale of restaurant businesses | | (68.0 | ) | | | (902.0 | ) | | | (257.1 | ) | | | (1,065.2 | ) |
Other | | 15.3 |
| | | (42.3 | ) | | | 58.8 |
| | | (67.8 | ) |
Changes in working capital items | | 444.3 |
| | | 124.7 |
| | | (173.0 | ) | | | (398.4 | ) |
Cash provided by operations | | 2,471.1 |
| | | 1,684.5 |
| | | 5,455.1 |
| | | 4,441.9 |
|
Investing activities | | | | | | | | | | | |
Capital expenditures | | (703.8 | ) | | | (416.9 | ) | | | (1,867.9 | ) | | | (1,213.3 | ) |
Purchases of restaurant businesses | | (40.2 | ) | | | (20.8 | ) | | | (75.5 | ) | | | (38.9 | ) |
Sales of restaurant businesses | | 109.5 |
| | | 1.9 |
| | | 439.4 |
| | | 851.8 |
|
Proceeds from sale of businesses in China and Hong Kong | | — |
| | | 1,597.0 |
| | | — |
| | | 1,597.0 |
|
Sales of property | | 11.3 |
| | | 59.2 |
| | | 135.8 |
| | | 153.3 |
|
Other | | (98.1 | ) | | | (45.7 | ) | | | (203.0 | ) | | | (183.9 | ) |
Cash provided by (used for) investing activities | | (721.3 | ) | | | 1,174.7 |
| | | (1,571.2 | ) | | | 1,166.0 |
|
Financing activities | | | | | | | | | | | |
Net short-term borrowings | | (801.4 | ) | | | (55.8 | ) | | | (5.7 | ) | | | (834.3 | ) |
Long-term financing issuances | | 1,791.9 |
| | | 0.4 |
| | | 3,792.1 |
| | | 2,530.5 |
|
Long-term financing repayments | | (1.9 | ) | | | (3.6 | ) | | | (1,004.7 | ) | | | (407.1 | ) |
Treasury stock purchases | | (1,040.7 | ) | | | (2,081.7 | ) | | | (4,280.8 | ) | | | (3,937.4 | ) |
Common stock dividends | | (779.8 | ) | | | (755.3 | ) | | | (2,363.4 | ) | | | (2,287.4 | ) |
Proceeds from stock option exercises | | 69.2 |
| | | 82.5 |
| | | 236.2 |
| | | 373.1 |
|
Other | | (5.3 | ) | | | 3.5 |
| | | (12.1 | ) | | | (1.1 | ) |
Cash used for financing activities | | (768.0 | ) | | | (2,810.0 | ) | | | (3,638.4 | ) | | | (4,563.7 | ) |
Effect of exchange rates on cash and cash equivalents | | (30.8 | ) | | | 76.2 |
| | | (134.8 | ) | | | 229.6 |
|
Cash and equivalents increase | | 951.0 |
| | | 125.4 |
| | | 110.7 |
| | | 1,273.8 |
|
Change in cash balances of businesses held for sale | | — |
| | | 153.4 |
| | | — |
| | | 174.0 |
|
Cash and equivalents at beginning of period | | 1,623.5 |
| | | 2,392.4 |
| | | 2,463.8 |
| | | 1,223.4 |
|
Cash and equivalents at end of period | | $ | 2,574.5 |
| | | $ | 2,671.2 |
| | | $ | 2,574.5 |
| | | $ | 2,671.2 |
|
See Notes to condensed consolidated financial statements.
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
CONDENSED CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (UNAUDITED) |
| | | | | | | | | | |
| Common stock issued | | | | | | | Accumulated other comprehensive income (loss) | | | Common stock in treasury | | Total shareholders’ equity | |
Additional paid-in capital | | | Retained earnings |
| Pensions | | Cash flow hedges | | Foreign currency translation | | |
In millions, except per share data | Shares |
| Amount | | Shares |
| | Amount |
|
Balance at December 31, 2017 | 1,660.6 |
| | $ | 16.6 |
| | $ | 7,072.4 |
| | $ | 48,325.8 |
| | $ | (190.2 | ) | | $ | (16.5 | ) | | $ | (1,971.7 | ) | | (866.5 | ) | | $ | (56,504.4 | ) | | $ | (3,268.0 | ) |
Net income | | | | | | | 4,509.0 |
| | | | | | | | | | | | 4,509.0 |
|
Other comprehensive income (loss), net of tax | | | | | | | |
| | 6.0 |
| | 43.6 |
| | (379.5 | ) | | | | | | (329.9 | ) |
Comprehensive income | | | | | | | | | | | | | | | | | | | 4,179.1 |
|
Adoption of ASC 606 (1) | | | | | | | (450.2 | ) | | | | | | | | | | | | (450.2 | ) |
Adoption of ASU 2016-16 (2) | | | | | | | (57.0 | ) | | | | | | | | | | | | (57.0 | ) |
Common stock cash dividends ($4.19 per share) | | | | | | | (3,251.4 | ) | | | | | | | | | | | | (3,251.4 | ) |
Treasury stock purchases | | | | | | | | | | | | | | | (26.7 | ) | | (4,280.8 | ) | | (4,280.8 | ) |
Share-based compensation | | | | | 99.7 |
| | | | | | | | | | | | | | 99.7 |
|
Stock option exercises and other | | | | | 85.1 |
| | | | | | | | | | 3.5 |
| | 150.9 |
| | 236.0 |
|
Balance at September 30, 2018 | 1,660.6 |
| | 16.6 |
| | 7,257.2 |
| | 49,076.2 |
| | (184.2 | ) | | 27.1 |
| | (2,351.2 | ) | | (889.7 | ) | | (60,634.3 | ) | | (6,792.6 | ) |
(1) Accounting Standards Codification ("ASC") 606, "Revenue Recognition - Revenue from Contracts with Customers." Refer to the Recent Accounting Pronouncements footnote on page 9 for further details.
(2) Accounting Standards Update ("ASU") 2016-16, "Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory." Refer to the Recent Accounting Pronouncements footnote on page 9 for further details.
See Notes to condensed consolidated financial statements.
|
|
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) |
Basis of Presentation
The accompanying condensed consolidated financial statements should be read in conjunction with the consolidated financial statements contained in the Company’s December 31, 2017 Annual Report on Form 10-K. In the opinion of management, all adjustments (consisting of normal recurring accruals) necessary for a fair presentation have been included. The results for the quarter and nine months ended September 30, 2018, do not necessarily indicate the results that may be expected for the full year.
Restaurant Information
The following table presents restaurant information by ownership type:
|
| | | | | |
Restaurants at September 30, | 2018 | | 2017 |
Conventional franchised | 21,586 |
| | 21,214 |
|
Developmental licensed | 7,103 |
| | 6,824 |
|
Foreign affiliated | 6,056 |
| | 5,708 |
|
Total Franchised | 34,745 |
| | 33,746 |
|
Company-operated | 2,812 |
| | 3,230 |
|
Systemwide restaurants | 37,557 |
| | 36,976 |
|
The results of operations of restaurant businesses purchased and sold in transactions with franchisees were not material either individually or in the aggregate to the condensed consolidated financial statements for the periods prior to purchase and sale.
Per Common Share Information
Diluted earnings per common share is calculated using net income divided by diluted weighted-average shares. Diluted weighted-average shares include weighted-average shares outstanding plus the dilutive effect of share-based compensation, calculated using the treasury stock method, of 6.8 million shares and 8.2 million shares for the quarters 2018 and 2017, respectively, and 7.3 million shares and 7.6 million shares for the nine months 2018 and 2017, respectively. Stock options that would have been antidilutive, and therefore were not included in the calculation of diluted weighted-average shares, totaled 2.5 million shares and 0.1 million shares for the quarters 2018 and 2017, respectively, and 2.5 million shares and 0.7 million shares for the nine months 2018 and 2017, respectively.
In September 2018, McDonald's Board of Directors declared a fourth quarter dividend of $1.16 per share of common stock, resulting in $888.0 million of dividends payable in December 2018.
Recent Accounting Pronouncements
Recently Issued Accounting Standards
Measurement Period - Tax Cuts and Jobs Act of 2017
In December 2017, the Securities and Exchange Commission published Staff Accounting Bulletin No. 118 ("SAB 118"), which provides guidance on reporting for accounting impacts of the Tax Cuts and Jobs Act of 2017 (“Tax Act”). SAB 118 allowed the Company to provide reasonable estimates in its 2017 consolidated financial statements for the income tax effects of the Tax Act and to report those effects as provisional amounts in its financial statements through a limited measurement period. Under SAB 118, the measurement period may not extend beyond one year from the enactment of the Tax Act.
The Company has not completed the accounting for the tax effects of the enactment of the Tax Act, although it has made reasonable estimates of the effects on existing deferred tax balances and on the one-time transition tax on earnings of certain foreign subsidiaries. Certain aspects of the Tax Act are expected to be clarified, and as such, could impact these estimates. The Company will complete the accounting for the tax effects in the fourth quarter 2018. A net provisional tax cost of approximately $700 million was originally recognized in the Company's 2017 consolidated financial statements, and the Company subsequently recorded an additional $47 million in the third quarter 2018, resulting in a total increase of $99 million for the nine months 2018.
Lease Accounting
In February 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-02, “Leases (Topic 842),” to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. Most prominent among the amendments is the recognition of assets and liabilities by lessees for those leases classified as operating leases under current U.S. GAAP. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The Company will adopt the new standard effective January 1, 2019.
At transition, the Company will recognize and measure leases using the required modified retrospective approach. The Company anticipates ASU 2016-02 will have a material impact on the consolidated balance sheet due to the significance of the Company’s operating lease portfolio. The Company will elect an optional practical expedient to retain the classification of existing leases, and, therefore, anticipates a minimal initial impact on the consolidated statement of income. The impact of ASU 2016-02 is non-cash in nature; therefore, it will not affect the Company’s cash flows.
Recently Adopted Accounting Standards
Derivatives and Hedging
In August 2017, the FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities.” ASU 2017-12 expanded components of fair value hedging, specifies the recognition and presentation of the effects of hedging instruments, and eliminates the separate measurement and presentation of hedge ineffectiveness. The Company elected to early adopt the new standard in the first quarter of 2018 and applied the presentation and disclosure guidance on a prospective basis. The adoption of the standard did not have a material impact on the Company's condensed consolidated financial statements.
Income Taxes
In October 2016, the FASB issued ASU 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory.” The goal of this update was to improve the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. The Company adopted this standard on January 1, 2018 using a modified retrospective method, resulting in a cumulative catch up adjustment of $57 million, the majority of which was recorded within miscellaneous other assets on the condensed consolidated balance sheet. The adoption of this standard did not have a material impact on the condensed consolidated statements of income and cash flows.
Revenue Recognition
In May 2014, the FASB issued guidance codified in ASC 606, “Revenue Recognition - Revenue from Contracts with Customers,” which amended the guidance in former ASC 605, "Revenue Recognition." The core principle of the standard is to recognize revenue when control of the promised goods or services is transferred to customers in an amount that reflects the consideration expected to be received for those goods or services. The standard also requires additional disclosures around the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers.
On January 1, 2018, the Company adopted ASC 606 using the modified retrospective method. Refer to the Revenues footnote below for further details.
Revenues
The Company’s revenues consist of sales by Company-operated restaurants and fees from franchised restaurants operated by conventional franchisees, developmental licensees and foreign affiliates. Revenues from conventional franchised restaurants include rent and royalties based on a percent of sales with minimum rent payments, and initial fees. Revenues from restaurants licensed to foreign affiliates and developmental licensees include a royalty based on a percent of sales, and may include initial fees.
ASC 606 provides that revenues are to be recognized when control of promised goods or services is transferred to a customer in an amount that reflects the consideration expected to be received for those goods or services. This standard does not impact the Company's recognition of revenue from Company-operated restaurants as those sales are recognized on a cash basis at the time of the underlying sale and are presented net of sales tax and other sales-related taxes. The standard also does not change the recognition of royalties from restaurants operated by franchisees or licensed to affiliates and developmental licensees, which are based on a percent of sales and recognized at the time the underlying sales occur. Rental income from restaurants operated by conventional franchisees is also not impacted by this standard as those revenues are subject to the guidance in ASC 840, "Leases." The standard does change the timing in which the Company recognizes initial fees from franchisees for new restaurant openings and new franchise terms. The Company's accounting policy through December 31, 2017, was to recognize initial franchise fees when received, upon a new restaurant opening and at the start of a new franchise term. Beginning in January 2018, initial franchise fees are being recognized as the Company satisfies the performance obligation over the franchise term, which is generally 20 years.
The Company adopted ASC 606 as of January 1, 2018, using the modified retrospective method. This method allows the standard to be applied retrospectively through a cumulative catch up adjustment recognized upon adoption. As such, comparative information in the Company’s financial statements has not been restated and continues to be reported under the accounting standards in effect for those periods. The cumulative adjustment recorded upon adoption of ASC 606 consisted of deferred revenue of approximately $600 million within long-term liabilities and approximately $150 million of associated adjustments to the deferred tax balances which are recorded in Deferred income taxes and Miscellaneous other assets on the condensed consolidated balance sheet.
The following table presents revenue disaggregated by revenue source (in millions):
|
| | | | | | | | | | | | | | | | |
| | Quarters Ended | | Nine Months Ended |
| | September 30, | | September 30, |
| | 2018 |
| | 2017 |
| | 2018 | | 2017 |
|
Company-operated sales | |
|
| |
|
| |
|
| | |
U.S. | | $ | 637.3 |
| | $ | 798.7 |
| | $ | 2,042.8 |
| | $ | 2,483.8 |
|
International Lead Markets | | 992.3 |
| | 1,076.3 |
| | 3,022.1 |
| | 3,038.9 |
|
High Growth Markets | | 737.8 |
| | 1,054.9 |
| | 2,170.7 |
| | 3,859.5 |
|
Foundational Markets & Corporate | | 143.6 |
| | 134.4 |
| | 405.9 |
| | 663.6 |
|
Total | | $ | 2,511.0 |
| | $ | 3,064.3 |
| | $ | 7,641.5 |
| | $ | 10,045.8 |
|
Franchised revenues | |
|
| |
|
| | | | |
U.S. | | $ | 1,292.7 |
| | $ | 1,224.6 |
| | $ | 3,715.6 |
| | $ | 3,516.9 |
|
International Lead Markets | | 948.2 |
| | 894.2 |
| | 2,726.8 |
| | 2,388.3 |
|
High Growth Markets | | 302.4 |
| | 267.2 |
| | 855.7 |
| | 679.0 |
|
Foundational Markets & Corporate | | 315.1 |
| | 304.3 |
| | 922.6 |
| | 850.2 |
|
Total* | | $ | 2,858.4 |
| | $ | 2,690.3 |
| | $ | 8,220.7 |
| | $ | 7,434.4 |
|
Total revenues | |
|
| |
|
| | | | |
U.S. | | $ | 1,930.0 |
| | $ | 2,023.3 |
| | $ | 5,758.4 |
| | $ | 6,000.7 |
|
International Lead Markets | | 1,940.5 |
| | 1,970.5 |
| | 5,748.9 |
| | 5,427.2 |
|
High Growth Markets | | 1,040.2 |
| | 1,322.1 |
| | 3,026.4 |
| | 4,538.5 |
|
Foundational Markets & Corporate | | 458.7 |
| | 438.7 |
| | 1,328.5 |
| | 1,513.8 |
|
Total | | $ | 5,369.4 |
| | $ | 5,754.6 |
| | $ | 15,862.2 |
| | $ | 17,480.2 |
|
| |
* | The Company expects the application of ASC 606 to negatively impact 2018 annual franchised revenues by approximately $50 million. Results for the quarter and nine months ended September 30, 2018, reflected an impact of approximately $10 million and $25 million, respectively, due to the timing of new restaurant openings and new franchise terms. |
Fair Value Measurements
The Company measures certain financial assets and liabilities at fair value. Fair value disclosures are reflected in a three-level hierarchy, maximizing the use of observable inputs and minimizing the use of unobservable inputs. The Company did not have any significant changes to the valuation techniques used to measure fair value as described in the Company's December 31, 2017 Annual Report on Form 10-K.
At September 30, 2018, the fair value of the Company’s debt obligations was estimated at $32.8 billion, compared to a carrying amount of $31.9 billion. The fair value was based upon quoted market prices, Level 2 within the valuation hierarchy. The carrying amounts of cash and equivalents, short-term investments and notes receivable approximate fair value.
Financial Instruments and Hedging Activities
The Company is exposed to global market risks, including the effect of changes in interest rates and foreign currency fluctuations. The Company uses foreign currency denominated debt and derivative instruments to mitigate the impact of these changes. The Company does not hold or issue derivatives for trading purposes.
The following table presents the fair values of derivative instruments included on the condensed consolidated balance sheet:
|
| | | | | | | | | | | | | | | | | | | |
| Derivative Assets | | Derivative Liabilities |
In millions | Balance Sheet Classification | | September 30, 2018 | | December 31, 2017 | | Balance Sheet Classification | | September 30, 2018 | | December 31, 2017 |
Derivatives designated as hedging instruments | | | | | | | | |
Foreign currency | Prepaid expenses and other current assets | | $ | 24.7 |
| | $ | 0.5 |
| | Accrued payroll and other liabilities | | $ | (1.7 | ) | | $ | (31.0 | ) |
Interest rate | | | | | | | Accrued payroll and other liabilities | | (0.6 | ) | | (0.3 | ) |
Foreign currency | Miscellaneous other assets | | 6.5 |
| | 0.1 |
| | Other long-term liabilities | | (0.3 | ) | | (1.4 | ) |
Interest rate | Miscellaneous other assets
| | 3.0 |
| | — |
| | Other long-term liabilities | | (27.7 | ) | | (5.9 | ) |
Total derivatives designated as hedging instruments | | $ | 34.2 |
| | $ | 0.6 |
| | | | $ | (30.3 | ) | | $ | (38.6 | ) |
Derivatives not designated as hedging instruments | | | | | | | | |
Equity | Prepaid expenses and other current assets
| | $ | 166.4 |
| | $ | — |
| | Accrued payroll and other liabilities | | $ | (0.2 | ) | | $ | (1.3 | ) |
Foreign currency | Prepaid expenses and other current assets
| | 12.1 |
| | — |
| | Accrued payroll and other liabilities | | — |
| | (5.5 | ) |
Equity | Miscellaneous other assets | | — |
| | 167.3 |
| | | | | | |
Total derivatives not designated as hedging instruments | | $ | 178.5 |
| | $ | 167.3 |
| | | | $ | (0.2 | ) | | $ | (6.8 | ) |
Total derivatives | | $ | 212.7 |
| | $ | 167.9 |
| | | | $ | (30.5 | ) | | $ | (45.4 | ) |
The following table presents the pre-tax amounts from derivative instruments affecting income and other comprehensive income (“OCI”) for the nine months ended September 30, 2018 and 2017, respectively:
|
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Location of Gain or Loss Recognized in Income on Derivative | | Gain (Loss) Recognized in Accumulated OCI | | Gain (Loss) Reclassified into Income from Accumulated OCI | | Gain (Loss) Recognized in Income on Derivative |
| | | |
| | | |
In millions | | | 2018 | | 2017 | | 2018 | | 2017 | | 2018 | | 2017 |
Foreign currency | Nonoperating income/expense | | $ | 42.9 |
| | $ | (70.1 | ) | | $ | (12.9 | ) | | $ | (4.6 | ) | | | | |
Interest rate | Interest expense | | — |
| | — |
| | (0.8 | ) | | (0.4 | ) | | | | |
Cash flow hedges | | $ | 42.9 |
| | $ | (70.1 | ) | | $ | (13.7 | ) | | $ | (5.0 | ) | | | | |
| | | | | | | | | | | | | |
Foreign currency denominated debt | Nonoperating income/expense | | $ | 501.6 |
| | $ | (1,376.1 | ) | | $ | — |
| | $ | — |
| | | | |
Foreign currency derivatives | Nonoperating income/expense | | 4.2 |
| | (17.4 | ) | | — |
| | 8.6 |
| | | | |
Foreign currency derivatives(1) | Interest expense | | | | | | | | | | $ | 1.6 |
| | $ | — |
|
Net investment hedges | | $ | 505.8 |
| | $ | (1,393.5 | ) | | $ | — |
| | $ | 8.6 |
| | $ | 1.6 |
| | $ | — |
|
| | | | | | | | | | | | | |
Foreign currency | Nonoperating income/expense | | | | | | | | | | $ | 17.4 |
| | $ | (23.7 | ) |
Equity | Selling, general & administrative expenses | | | | | | | | | | 17.3 |
| | 64.0 |
|
Undesignated derivatives | | | | | | | | | | $ | 34.7 |
| | $ | 40.3 |
|
(1)The amount of gain (loss) recognized in income related to components excluded from effectiveness testing. |
Fair Value Hedges
The Company enters into fair value hedges to reduce the exposure to changes in fair values of certain liabilities. The Company enters into fair value hedges that convert a portion of its fixed rate debt into floating rate debt by use of interest rate swaps. At September 30, 2018, the carrying amount of fixed-rate debt that was effectively converted was $724.7 million, which included a decrease of $25.3 million of cumulative hedging adjustments. For the nine months ended September 30, 2018, the Company recognized a $19.1 million loss on the fair value of interest rate swaps, and a corresponding gain on the fair value of the related hedged debt instrument to Interest expense.
Cash Flow Hedges
The Company enters into cash flow hedges to reduce the exposure to variability in certain expected future cash flows. To protect against the reduction in value of forecasted foreign currency cash flows (such as royalties denominated in foreign currencies), the Company uses foreign currency forwards to hedge a portion of anticipated exposures. The hedges cover the next 18 months for certain exposures and are denominated in various currencies. As of September 30, 2018, the Company had derivatives outstanding with an equivalent notional amount of $746.0 million that hedged a portion of forecasted foreign currency denominated cash flows.
Based on market conditions at September 30, 2018, the $27.1 million in cumulative cash flow hedging gains, after tax, is not expected to have a significant effect on earnings over the next 12 months.
Net Investment Hedges
The Company primarily uses foreign currency denominated debt (third party and intercompany) to hedge its investments in certain foreign subsidiaries and affiliates. Realized and unrealized translation adjustments from these hedges are included in shareholders' equity in the foreign currency translation component of OCI and offset translation adjustments on the underlying net assets of foreign subsidiaries and affiliates, which also are recorded in OCI. As of September 30, 2018, $11.7 billion of the Company's third party foreign currency denominated debt and $4.1 billion of intercompany foreign currency denominated debt were designated to hedge investments in certain foreign subsidiaries and affiliates.
Undesignated Derivatives
The Company enters into certain derivatives that are not designated for hedge accounting, therefore the changes in the fair value of these derivatives are recognized immediately in earnings together with the gain or loss from the hedged balance sheet position. As an example, the Company enters into equity derivative contracts, including total return swaps, to hedge market-driven changes in certain of its supplemental benefit plan liabilities. Changes in the fair value of these derivatives are recorded in selling, general & administrative expenses together with the changes in the supplemental benefit plan liabilities. In addition, the Company uses foreign currency forwards to mitigate the change in fair value of certain foreign currency denominated assets and liabilities. The changes in the fair value of these derivatives are recognized in Nonoperating (income) expense, net, along with the currency gain or loss from the hedged balance sheet position.
Credit Risk
The Company is exposed to credit-related losses in the event of non-performance by its derivative counterparties. The Company did not have significant exposure to any individual counterparty at September 30, 2018 and has master agreements that contain netting arrangements. For financial reporting purposes, the Company presents gross derivative balances in the financial statements and supplementary data, including for counterparties subject to netting arrangements. Some of these agreements also require each party to post collateral if credit ratings fall below, or aggregate exposures exceed, certain contractual limits. At September 30, 2018, the Company was required to post an immaterial amount of collateral due to the negative fair value of certain derivative positions. The Company's counterparties were not required to post collateral on any derivative position, other than on certain hedges of the Company’s supplemental benefit plan liabilities where the counterparties were required to post collateral on their liability positions.
Segment Information
The Company franchises and operates McDonald’s restaurants in the global restaurant industry. The following reporting segments reflect how management reviews and evaluates operating performance.
| |
• | U.S. - the Company's largest segment |
| |
• | International Lead Markets - established markets including Australia, Canada, France, Germany, the U.K. and related markets |
| |
• | High Growth Markets - markets the Company believes have relatively higher restaurant expansion and franchising potential including China, Italy, South Korea, Poland, Russia, Spain, Switzerland, the Netherlands and related markets |
| |
• | Foundational Markets & Corporate - the remaining markets in the McDonald's system, most of which operate under a largely franchised model. Corporate activities are also reported within this segment. |
The following table presents the Company’s revenues and operating income by segment:
|
| | | | | | | | | | | | | | | |
| Quarters Ended | | Nine Months Ended |
| September 30, | | September 30, |
In millions | 2018 | | 2017 | | 2018 | | 2017 |
Revenues | | | | | | | |
U.S. | $ | 1,930.0 |
| | $ | 2,023.3 |
| | $ | 5,758.4 |
| | $ | 6,000.7 |
|
International Lead Markets | 1,940.5 |
| | 1,970.5 |
| | 5,748.9 |
| | 5,427.2 |
|
High Growth Markets | 1,040.2 |
| | 1,322.1 |
| | 3,026.4 |
| | 4,538.5 |
|
Foundational Markets & Corporate | 458.7 |
| | 438.7 |
| | 1,328.5 |
| | 1,513.8 |
|
Total revenues | $ | 5,369.4 |
| | $ | 5,754.6 |
| | $ | 15,862.2 |
| | $ | 17,480.2 |
|
Operating Income | | | | | | | |
U.S. | $ | 1,061.8 |
| | $ | 1,034.6 |
| | $ | 3,059.0 |
| | $ | 3,055.4 |
|
International Lead Markets | 913.9 |
| | 913.6 |
| | 2,613.5 |
| | 2,356.2 |
|
High Growth Markets | 330.1 |
| | 1,073.8 |
| | 847.1 |
| | 1,724.0 |
|
Foundational Markets & Corporate | 111.9 |
| | 57.4 |
| | 303.5 |
| | 272.9 |
|
Total operating income | $ | 2,417.7 |
| | $ | 3,079.4 |
| | $ | 6,823.1 |
| | $ | 7,408.5 |
|
Subsequent Events
The Company evaluated subsequent events through the date the financial statements were issued and filed with the Securities and Exchange Commission. There were no subsequent events that required recognition or disclosure.
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
Overview
The Company franchises and operates McDonald’s restaurants. Of the 37,557 restaurants in 120 countries at September 30, 2018, 34,745 were licensed to franchisees (comprised of 21,586 franchised to conventional franchisees, 7,103 licensed to developmental licensees and 6,056 licensed to foreign affiliates (“affiliates”) – primarily in Japan and China) and 2,812 were operated by the Company.
Under McDonald's conventional franchise arrangement, franchisees provide a portion of the capital required by initially investing in the equipment, signs, seating and décor of their restaurant business, and by reinvesting in the business over time. The Company generally owns the land and building or secures long-term leases for both Company-operated and conventional franchised restaurant sites. This maintains long-term occupancy rights, helps control related costs and assists in alignment with franchisees enabling restaurant performance levels that are among the highest in the industry. In certain circumstances, the Company participates in the reinvestment for conventional franchised restaurants in an effort to accelerate implementation of certain initiatives.
Under McDonald's developmental license arrangement, licensees provide capital for the entire business, including the real estate interest, and the Company generally has no capital invested. In addition, the Company has an equity investment in a limited number of affiliates that invest in real estate and operate or franchise restaurants within a market.
McDonald's is primarily a franchisor and believes franchising is paramount to delivering great-tasting food, locally-relevant customer experiences and driving profitability. Franchising enables an individual to be his or her own employer and maintain control over all employment-related matters, marketing and pricing decisions, while also benefiting from the financial strength and global experience of McDonald's. However, directly operating restaurants is important to being a credible franchisor and provides Company personnel with restaurant operations experience. In Company-operated restaurants, and in collaboration with franchisees, McDonald's further develops and refines operating standards, marketing concepts and product and pricing strategies, so that only those that the Company believes are most beneficial are introduced in the restaurants. McDonald's continually reviews its mix of Company-operated and franchised restaurants to help optimize overall performance, with a goal to be approximately 95% franchised over the long term.
The strength of the alignment among the Company, its franchisees and suppliers (collectively referred to as the "System") is key to McDonald's long-term success. By leveraging the System, McDonald’s is able to identify, implement and scale ideas that meet customers' changing needs and preferences. McDonald's continually builds on its competitive advantages of System alignment and geographic diversification to deliver consistent, yet locally-relevant restaurant experiences to customers as an integral part of their communities.
The Company’s revenues consist of sales by Company-operated restaurants and fees from restaurants operated by franchisees. Revenues from conventional franchised restaurants include rent and royalties based on a percent of sales with minimum rent payments, and initial fees. Revenues from restaurants licensed to affiliates and developmental licensees include a royalty based on a percent of sales, and generally include initial fees. Fees vary by type of site, amount of Company investment, if any, and local business conditions. These fees, along with occupancy and operating rights, are stipulated in franchise/license agreements that generally have 20-year terms.
The business is structured into segments that combine markets with similar characteristics and opportunities for growth, and reflect how management reviews and evaluates operating performance. Significant reportable segments include the United States ("U.S."), International Lead Markets and High Growth Markets. In addition, throughout this report we present the Foundational Markets & Corporate segment which includes markets in over 80 countries, as well as Corporate activities. For the nine months ended September 30, 2018, the U.S., the International Lead Markets and the High Growth Markets accounted for 36%, 36% and 19% of total revenues, respectively.
Strategic Direction
The Company is focused on delivering long-term growth through systemwide execution of its customer-centric growth strategy - the Velocity Growth Plan. The plan is designed to drive sustainable guest count growth, a reliable long-term measure of the Company's strength that is vital to growing sales and shareholder value.
The Company continues to focus on restaurant execution and elevating the overall customer experience, including convenience, value and food offerings. These actions will enable the Company to deliver on the plan’s key pillars of retaining existing customers, regaining lost customers and converting casual customers to committed customers. In each of these pillars, McDonald’s has established platforms that enable each market to engage with franchisees to execute the plan, and markets remain focused on acting with speed, efficiency and impact.
With the evolution of the Company’s business model to a more heavily franchised structure, the Company recently announced changes it will make to its global operating structure in January 2019. The Company believes this structure further enables the right level of support that contributes to the success of our franchisees and developmental licensees, as well as the sharing of best solutions across international markets.
Additionally, the Company continues to scale the following growth accelerators:
•Experience of the Future ("EOTF"). Focuses on restaurant modernization and technology, in order to transform the restaurant service experience and enhance the brand in the eyes of the customer. The modernization efforts are designed to drive incremental customer visits and higher average check. McDonald’s currently has EOTF deployed in over 40% of the restaurants globally, with over half of the U.S. restaurants expected to be deployed by the end of 2018.
•Digital. Emphasizes improving the Company's existing service model (i.e., eat in, take out, or drive-thru) and strengthens relationships with customers through technology. By evolving the technology platform, the Company is expanding choices for how customers order, pay and are served through additional functionality on its global mobile app, self-order kiosks and technology driven models that enable table service and curb-side pick-up.
•Delivery. Offers a platform of added convenience, bringing McDonald's food to customers on their terms. Delivery is now available from over 15,000 McDonald's restaurants in over 65 markets. In addition to added convenience, delivery transactions tend to realize a higher average check and a high customer satisfaction rating. The Company remains focused on expanding the number of restaurants offering delivery as well as raising awareness and demand in the areas where delivery is already offered.
The Company continues to execute on this aggressive and holistic growth strategy making substantial progress modernizing restaurants and enhancing hospitality. Management is encouraged by the success of restaurants that have already implemented the growth accelerators, and remains confident that the Velocity Growth Plan will drive long-term sustainable growth.
Financial Performance
Management reviews and analyzes business results excluding the effect of foreign currency translation, impairment and other strategic charges and gains, as well as adjustments to the provisional amounts recorded in December 2017 under the Tax Act, and generally bases incentive compensation plans on these results, because the Company believes this better represents underlying business trends.
Global comparable sales increased 4.2% for the quarter and 4.5% for the nine months. The refranchising strategy has been a key part of transforming McDonald's into a more stable and more efficient organization focused on continuing to grow top-line sales.
U.S. comparable sales increased 2.4% for the quarter and 2.6% for the nine months, driven by growth in average check resulting from both product mix shifts and menu price increases.
International Lead segment comparable sales increased 5.4% for the quarter and 6.0% for the nine months, reflecting positive results across all markets, primarily driven by the U.K.
High Growth segment comparable sales increased 4.6% for the quarter and 3.9% for the nine months, led by strong performance in Italy and positive results across most of the segment.
Results for the quarter and nine months 2017 reflected a pre-tax gain of approximately $850 million on the sale of the Company's businesses in China and Hong Kong, partly offset by $111 million of unrelated impairment charges, for a net benefit of $0.56 and $0.52 per share, respectively. Results for the nine months 2018 included pre-tax strategic restructuring charges of $94 million, or $0.09 per share (of which $85 million relates to the restructuring of the U.S. business).
Excluding the above items, net income for the quarter increased 14% (17% in constant currencies) and diluted earnings per share increased 19% (22% in constant currencies), and for the nine months net income increased 13% (11% in constant currencies) and diluted earnings per share increased 17% (15% in constant currencies). Results for the quarter and nine months reflected an increase in sales-driven franchised margin dollars and a lower effective tax rate, partly offset by lower Company-operated margin dollars due to the impact of refranchising.
Third Quarter and Nine Months 2018 Highlights:
| |
• | Global comparable sales increased 4.2% for the quarter and 4.5% for the nine months, reflecting positive comparable sales in all segments. |
| |
• | Due to the impact of the Company's strategic refranchising initiative, consolidated revenues decreased 7% (5% in constant currencies) for the quarter and 9% (11% in constant currencies) for the nine months. |
| |
• | Systemwide sales increased 5% in constant currencies for the quarter and 6% in constant currencies for the nine months. |
| |
• | Consolidated operating income decreased 21% (20% in constant currencies) for the quarter and 8% (10% in constant currencies) for the nine months. Diluted earnings per share of $2.10 decreased 9% (7% in constant currencies) for the quarter and $5.72 for the nine months increased 4% (3% in constant currencies). |
| |
◦ | Results for the quarter and nine months 2017 reflected a pre-tax gain of approximately $850 million on the sale of the Company's businesses in China and Hong Kong, partly offset by $111 million of unrelated impairment charges. |
| |
◦ | Results for the nine months 2018 included pre-tax strategic restructuring charges of $94 million (of which $85 million relates to the restructuring of the U.S. business). |
| |
◦ | Excluding these current year and prior year items: |
| |
▪ | Consolidated operating income increased 2% (4% in constant currencies) for the quarter and 3% (1% in constant currencies) for the nine months. |
| |
▪ | Diluted earnings per share for the quarter increased 19% (22% in constant currencies) and 17% (15% in constant currencies) for the nine months. |
| |
• | Returned $1.7 billion to shareholders through share repurchases and dividends for the quarter. This brings the nine months return to shareholders to $6.6 billion. |
Outlook
While the Company does not provide specific guidance on earnings per share, the following information is provided to assist in forecasting the Company’s future results.
| |
• | Changes in Systemwide sales are driven by comparable sales, net restaurant unit expansion, and the potential impacts of hyper-inflation. The Company expects net restaurant additions to add approximately 1 percentage point to 2018 Systemwide sales growth (in constant currencies). |
| |
• | The Company does not generally provide specific guidance on changes in comparable sales. However, as a perspective, assuming no change in cost structure, a 1 percentage point change in comparable sales for either the U.S. or the International Lead segment would change annual diluted earnings per share by about 5 to 6 cents. |
| |
• | Effective January 1, 2018, the Company adopted the guidance issued in Accounting Standards Codification 606, "Revenue Recognition - Revenue from Contracts with Customers." This standard changed the way initial fees from franchisees for new restaurant openings and new franchise terms are recognized. Under the new guidance, initial franchise fees will be recognized evenly over the franchise term. The Company expects the adoption of this guidance to negatively impact 2018 Consolidated franchised revenues and franchised margins by approximately $50 million. |
| |
• | With about 75% of McDonald's grocery bill comprised of 10 different commodities, a basket of goods approach is the most comprehensive way to look at the Company's commodity costs. For the full-year 2018, costs for the total basket of goods are expected to increase about 2% in the U.S. and International Lead segments. |
| |
• | The Company expects full-year 2018 selling, general and administrative expenses to decrease about 1% to 2% in constant currencies. |
| |
• | Based on current interest and foreign currency exchange rates, the Company expects interest expense for the full-year 2018 to increase about 6% to 7% due primarily to higher average debt balances. |
| |
• | A significant part of the Company's operating income is generated outside the U.S., and about 40% of its total debt is denominated in foreign currencies. Accordingly, earnings are affected by changes in foreign currency exchange rates, particularly the Euro, British Pound, Australian Dollar and Canadian Dollar. Collectively, these currencies represent approximately 70% of the Company's operating income outside the U.S. If all four of these currencies moved by 10% in the same direction, the Company's annual diluted earnings per share would change by about 30 cents. |
| |
• | While the Company expects the effective income tax rate for the full-year 2018 to be in the 24% to 26% range, during the fourth quarter the Company will finalize the provisional amounts recorded in December 2017 under the Tax Act, which may cause the final full-year tax rate to be below this range. |
| |
• | The Company expects capital expenditures for 2018 to be approximately $2.5 billion. About $1.6 billion will be dedicated to our U.S. business, primarily focused on accelerating the pace of EOTF. We expect to complete EOTF in about 4,000 additional U.S. restaurants in 2018, and, as a result, about half of the total U.S. restaurants will have EOTF by the end of 2018. Of the remaining capital, about half will be dedicated to new restaurant openings and the remainder will be primarily allocated to reinvestment in continued expansion of EOTF around the world. The Company will contribute capital towards about 250 restaurant openings, while developmental licensees and affiliates will contribute capital towards the opening of approximately 750 restaurants, for a total of about 1,000 expected restaurant openings in 2018. The Company expects net additions of about 600 restaurants in 2018. |
Long-Term Outlook
| |
• | As detailed in the Company's Form 8-K filed with the Securities and Exchange Commission on September 21, 2018, the Company increased its return to shareholder target to about $25 billion for the 3-year period ending 2019. |
| |
• | The Company has other long-term targets that are detailed in its Form 10-K for the year ended December 31, 2017. |
The Following Definitions Apply to these Terms as Used Throughout this Form 10-Q:
| |
• | Information in constant currency is calculated by translating current year results at prior year average exchange rates. Management reviews and analyzes business results excluding the effect of foreign currency translation, impairment and other |
strategic charges and gains, as well as adjustments to the provisional amounts recorded in December 2017 under the Tax Act, and bases incentive compensation plans on these results, because the Company believes this better represents underlying business trends.
| |
• | Systemwide sales include sales at all restaurants, whether operated by the Company or by franchisees. While franchised sales are not recorded as revenues by the Company, management believes the information is important in understanding the Company's financial performance, because these sales are the basis on which the Company calculates and records franchised revenues and are indicative of the financial health of the franchisee base. |
| |
• | Comparable sales represent sales at all restaurants and comparable guest counts represent the number of transactions at all restaurants, whether operated by the Company or by franchisees, in operation at least thirteen months including those temporarily closed. Some of the reasons restaurants may be temporarily closed include reimaging or remodeling, rebuilding, road construction and natural disasters. Comparable sales exclude the impact of currency translation and sales from hyper-inflationary markets (currently only Venezuela). Management generally identifies hyper-inflationary markets as those markets whose cumulative inflation rate over a three-year period exceeds 100%. Management believes that these exclusions more accurately reflect the underlying business trends. Comparable sales are driven by changes in guest counts and average check, which is affected by changes in pricing and product mix. Typically, pricing has a greater impact on average check than product mix. Management reviews the increase or decrease in comparable sales and comparable guest counts compared with the same period in the prior year to assess business trends. |
|
| | | | | | | | | | | | | | | |
CONSOLIDATED OPERATING RESULTS | | | | | |
| | | | | | | | | |
| Quarter Ended | | Nine Months Ended |
Dollars in millions, except per share data | September 30, 2018 | | September 30, 2018 |
| Amount | | | Increase/ (Decrease) |
| | Amount | | | Increase/ (Decrease) |
|
Revenues | | | | | | | | | |
Sales by Company-operated restaurants | | $ | 2,511.0 |
| | (18 | )% | | | $ | 7,641.5 |
| | (24 | )% |
Revenues from franchised restaurants | | 2,858.4 |
| | 6 |
| | | 8,220.7 |
| | 11 |
|
Total revenues | | 5,369.4 |
| | (7 | ) | | | 15,862.2 |
| | (9 | ) |
Operating costs and expenses | | | | | | | | | |
Company-operated restaurant expenses | | 2,047.9 |
| | (17 | ) | | | 6,309.3 |
| | (23 | ) |
Franchised restaurants-occupancy expenses | | 499.4 |
| | 9 |
| | | 1,463.6 |
| | 10 |
|
Selling, general & administrative expenses | | 515.2 |
| | (9 | ) | | | 1,590.4 |
| | (1 | ) |
Other operating (income) expense, net | | (110.8 | ) | | 87 |
| | | (324.2 | ) | | 70 |
|
Total operating costs and expenses | | 2,951.7 |
| | 10 |
| | | 9,039.1 |
| | (10 | ) |
Operating income | | 2,417.7 |
| | (21 | ) | | | 6,823.1 |
| | (8 | ) |
Interest expense | | 250.1 |
| | 6 |
| | | 727.1 |
| | 6 |
|
Nonoperating (income) expense, net | | 8.9 |
| | (62 | ) | | | 31.3 |
| | (8 | ) |
Income before provision for income taxes | | 2,158.7 |
| | (23 | ) | | | 6,064.7 |
| | (9 | ) |
Provision for income taxes | | 521.4 |
| | (44 | ) | | | 1,555.7 |
| | (29 | ) |
Net income | | $ | 1,637.3 |
| | (13 | )% | | | $ | 4,509.0 |
| | 0 | % |
Earnings per common share-basic | | $ | 2.12 |
| | (9 | )% | | | $ | 5.77 |
| | 4 | % |
Earnings per common share-diluted | | $ | 2.10 |
| | (9 | )% | | | $ | 5.72 |
| | 4 | % |
Impact of Foreign Currency Translation
While changes in foreign currency exchange rates affect reported results, McDonald's mitigates exposures, where practical, by purchasing goods and services in local currencies, financing in local currencies and hedging certain foreign-denominated cash flows. Results excluding the effect of foreign currency translation (also referred to as constant currency) are calculated by translating current year results at prior year average exchange rates.
|
| | | | | | | | | | | | | | |
IMPACT OF FOREIGN CURRENCY TRANSLATION | | | | | | | | |
Dollars in millions, except per share data | | | | | | | | |
| | | | | | | Currency Translation Benefit/ (Cost) | |
Quarters Ended September 30, | | 2018 |
| | | 2017 |
| | | 2018 |
|
Revenues | | $ | 5,369.4 |
| | | $ | 5,754.6 |
| | | $ | (120.6 | ) |
Company-operated margins | | 463.1 |
| | | 584.5 |
| | | (16.2 | ) |
Franchised margins | | 2,359.0 |
| | | 2,233.0 |
| | | (41.8 | ) |
Selling, general & administrative expenses | | 515.2 |
| | | 567.0 |
| | | 4.3 |
|
Operating income | | 2,417.7 |
| | | 3,079.4 |
| | | (54.6 | ) |
Net income | | 1,637.3 |
| | | 1,883.7 |
| | | (36.8 | ) |
Earnings per share-diluted | | $ | 2.10 |
| | | $ | 2.32 |
| | | $ | (0.05 | ) |
| | | | | | | | |
| | | | | | | Currency Translation Benefit/ (Cost) | |
Nine Months Ended September 30, | | 2018 |
| | | 2017 |
| | | 2018 |
|
Revenues | | $ | 15,862.2 |
| | | $ | 17,480.2 |
| | | $ | 289.1 |
|
Company-operated margins | | 1,332.2 |
| | | 1,846.3 |
| | | 21.6 |
|
Franchised margins | | 6,757.1 |
| | | 6,109.0 |
| | | 114.4 |
|
Selling, general & administrative expenses | | 1,590.4 |
| | | 1,613.7 |
| | | (19.7 | ) |
Operating income | | 6,823.1 |
| | | 7,408.5 |
| | | 120.2 |
|
Net income | | 4,509.0 |
| | | 4,493.6 |
| | | 70.0 |
|
Earnings per share-diluted | | $ | 5.72 |
| | | $ | 5.48 |
| | | $ | 0.09 |
|
Foreign currency had a negative impact of $0.05 on diluted earnings per share for the quarter primarily due to the weakening of most major currencies. The nine months reflected a positive foreign currency impact of $0.09, primarily due to the stronger Euro and British Pound.
Net Income and Diluted Earnings per Common Share
For the quarter, net income decreased 13% (11% in constant currencies) to $1,637.3 million, and diluted earnings per share decreased 9% (7% in constant currencies) to $2.10. Foreign currency translation had a negative impact of $0.05 on diluted earnings per share.
For the nine months, net income was flat (decreased 1% in constant currencies) at $4,509 million, and diluted earnings per share increased 4% (3% in constant currencies) to $5.72. Foreign currency translation had a positive impact of $0.09 on diluted earnings per share.
Results for the quarter and nine months 2017 reflected a pre-tax gain of approximately $850 million on the sale of the Company's businesses in China and Hong Kong, partly offset by $111 million of unrelated impairment charges, for a net benefit of $0.56 and $0.52 per share, respectively. Results for the nine months 2018 included pre-tax strategic restructuring charges of $94 million, or $0.09 per share (of which $85 million relates to the restructuring of the U.S. business).
Excluding the above items, net income for the quarter increased 14% (17% in constant currencies) and diluted earnings per share increased 19% (22% in constant currencies), and for the nine months net income increased 13% (11% in constant currencies) and diluted earnings per share increased 17% (15% in constant currencies). Results for the quarter and nine months reflected an increase in sales-driven franchised margin dollars and a lower effective tax rate, partly offset by lower Company-operated margin dollars due to the impact of refranchising.
Diluted earnings per share for both periods benefited from a decrease in diluted weighted-average shares outstanding due to share repurchases. During the quarter, the Company repurchased 5.9 million shares of stock for $944.7 million, bringing total purchases for the nine months to 26.7 million shares or $4.3 billion. In addition, the Company paid a quarterly dividend of $1.01 per share, or $779.8 million, bringing total dividends paid for the nine months to $2.4 billion.
Revenues
Revenues consist of sales by Company-operated restaurants and fees from restaurants operated by franchisees. Revenues from conventional franchised restaurants include rent and royalties based on a percent of sales with minimum rent payments, and initial fees. Revenues from franchised restaurants that are licensed to affiliates and developmental licensees include a royalty based on a percent of sales and generally include initial fees.
Beginning in 2015, the Company accelerated the pace of refranchising to optimize its restaurant ownership mix, with a goal to be approximately 95% franchised over the long term. Although refranchising allows the Company to generate more stable and predictable revenue and cash flow streams while operating with a less resource-intensive structure, the shift to a greater percentage of franchised restaurants negatively impacts consolidated revenues as Company-operated sales are replaced by franchised revenues, where the Company receives rent and/or royalty revenue based on a percentage of sales.
Effective January 1, 2018, the Company adopted the guidance issued in Accounting Standards Codification 606, "Revenue Recognition - Revenue from Contracts with Customers." This standard changed the way initial fees from franchisees for new restaurant openings and new franchise terms are recognized. Under the new guidance, initial franchise fees are being recognized evenly over the franchise term rather than immediately upon receipt. The Company expects this change to negatively impact 2018 annual franchised revenues by approximately $50 million. Results for the quarter and nine months reflected an impact of approximately $10 million and $25 million, respectively, due to the timing of new restaurant openings and new franchise terms.
|
| | | | | | | | | | | | | | |
REVENUES | | | | | | | | |
Dollars in millions | | | | | | | | |
Quarters Ended September 30, | | 2018 |
| | 2017 |
| | Inc/ (Dec) |
| | Inc/ (Dec) Excluding Currency Translation |
|
Company-operated sales | | | | | | | | |
U.S. | | $ | 637.3 |
| | $ | 798.7 |
| | (20 | )% | | (20 | )% |
International Lead Markets | | 992.3 |
| | 1,076.3 |
| | (8 | ) | | (5 | ) |
High Growth Markets | | 737.8 |
| | 1,054.9 |
| | (30 | ) | | (26 | ) |
Foundational Markets & Corporate | | 143.6 |
| | 134.4 |
| | 7 |
| | 11 |
|
Total | | $ | 2,511.0 |
| | $ | 3,064.3 |
| | (18 | )% | | (16 | )% |
Franchised revenues | | | | | | | | |
U.S. | | $ | 1,292.7 |
| | $ | 1,224.6 |
| | 6 | % | | 6 | % |
International Lead Markets | | 948.2 |
| | 894.2 |
| | 6 |
| | 9 |
|
High Growth Markets | | 302.4 |
| | 267.2 |
| | 13 |
| | 15 |
|
Foundational Markets & Corporate | | 315.1 |
| | 304.3 |
| | 3 |
| | 9 |
|
Total | | $ | 2,858.4 |
| | $ | 2,690.3 |
| | 6 | % | | 8 | % |
Total revenues | | | | | | | | |
U.S. | | $ | 1,930.0 |
| | $ | 2,023.3 |
| | (5 | )% | | (5 | )% |
International Lead Markets | | 1,940.5 |
| | 1,970.5 |
| | (2 | ) | | 1 |
|
High Growth Markets | | 1,040.2 |
| | 1,322.1 |
| | (21 | ) | | (18 | ) |
Foundational Markets & Corporate | | 458.7 |
| | 438.7 |
| | 5 |
| | 10 |
|
Total | | $ | 5,369.4 |
| | $ | 5,754.6 |
| | (7 | )% | | (5 | )% |
| | | | | | | | |
Nine Months Ended September 30, | | 2018 |
| | 2017 |
| | Inc/ (Dec) |
| | Inc/ (Dec) Excluding Currency Translation |
|
Company-operated sales | | | | | | |
| | |
U.S. | | $ | 2,042.8 |
| | $ | 2,483.8 |
| | (18 | )% | | (18 | )% |
International Lead Markets | | 3,022.1 |
| | 3,038.9 |
| | (1 | ) | | (5 | ) |
High Growth Markets | | 2,170.7 |
| | 3,859.5 |
| | (44 | ) | | (44 | ) |
Foundational Markets & Corporate | | 405.9 |
| | 663.6 |
| | (39 | ) | | (40 | ) |
Total | | $ | 7,641.5 |
| | $ | 10,045.8 |
| | (24 | )% | | (25 | )% |
Franchised revenues | | | | | | | | |
U.S. | | $ | 3,715.6 |
| | $ | 3,516.9 |
| | 6 | % | | 6 | % |
International Lead Markets | | 2,726.8 |
| | 2,388.3 |
| | 14 |
| | 10 |
|
High Growth Markets | | 855.7 |
| | 679.0 |
| | 26 |
| | 20 |
|
Foundational Markets & Corporate | | 922.6 |
| | 850.2 |
| | 8 |
| | 8 |
|
Total | | $ | 8,220.7 |
| | $ | 7,434.4 |
| | 11 | % | | 9 | % |
Total revenues | | | | | | | | |
U.S. | | $ | 5,758.4 |
| | $ | 6,000.7 |
| | (4 | )% | | (4 | )% |
International Lead Markets | | 5,748.9 |
| | 5,427.2 |
| | 6 |
| | 2 |
|
High Growth Markets | | 3,026.4 |
| | 4,538.5 |
| | (33 | ) | | (34 | ) |
Foundational Markets & Corporate | | 1,328.5 |
| | 1,513.8 |
| | (12 | ) | | (13 | ) |
Total | | $ | 15,862.2 |
| | $ | 17,480.2 |
| | (9 | )% | | (11 | )% |
| |
• | Revenues: Revenues decreased 7% (5% in constant currencies) for the quarter and decreased 9% (11% in constant currencies) for the nine months due to the Company's strategic refranchising initiative. |
| |
• | U.S.: Revenues decreased for both periods as the benefit from positive comparable sales was more than offset by the impact of refranchising. |
| |
• | International Lead Markets: Revenues decreased for the quarter and increased for the nine months. In constant currencies, revenues increased for both periods as positive comparable sales across all markets were partly offset by the impact of refranchising. |
| |
• | High Growth Markets: Revenues decreased for both periods as positive comparable sales across most markets were more than offset by the impact of refranchising the Company's businesses in China and Hong Kong in third quarter 2017. |
Comparable Sales and Guest Counts
The following table presents the percent change in comparable sales for the quarters and nine months ended September 30, 2018 and 2017:
|
| | | | | | | | | | | |
COMPARABLE SALES | | | | | |
| Increase/ (Decrease) |
| Quarters Ended | | Nine Months Ended |
| September 30, | | September 30, |
| 2018 |
| | 2017 |
| | 2018 |
| | 2017 |
|
U.S. | 2.4 | % | | 4.1 | % | | 2.6 | % | | 3.3 | % |
International Lead Markets | 5.4 |
| | 5.7 |
| | 6.0 |
| | 5.0 |
|
High Growth Markets | 4.6 |
| | 6.2 |
| | 3.9 |
| | 5.7 |
|
Foundational Markets & Corporate | 6.0 |
| | 8.0 |
| | 7.1 |
| | 9.3 |
|
Total | 4.2 | % | | 5.6 | % | | 4.5 | % | | 5.2 | % |
On a consolidated basis, comparable guest counts (the number of transactions at all restaurants, whether operated by the Company or by franchisees, in operation at least thirteen months, including those temporarily closed) increased 0.1% and 2.1% for the nine months ended 2018 and 2017, respectively.
Systemwide Sales and Franchised Sales
The following table presents the percent change in Systemwide sales for the quarter and nine months ended September 30, 2018:
|
| | | | | | | | | | |
SYSTEMWIDE SALES* | | | | | | |
| Quarter Ended | | Nine Months Ended |
| September 30, 2018 | | September 30, 2018 |
| Inc/ (Dec) |
| | Inc/ (Dec) Excluding Currency Translation |
| | Inc/ (Dec) |
| Inc/ (Dec) Excluding Currency Translation |
|
U.S. | 2 | % | | 2 | % | | 2 | % | 2 | % |
International Lead Markets | 3 |
| | 6 |
| | 11 |
| 7 |
|
High Growth Markets | 6 |
| | 8 |
| | 11 |
| 8 |
|
Foundational Markets & Corporate | 2 |
| | 9 |
| | 9 |
| 10 |
|
Total | 3 | % | | 5 | % | | 7 | % | 6 | % |
| |
* | Unlike comparable sales, the Company has not excluded hyper-inflationary market results (currently only Venezuela) from Systemwide sales as these sales are the basis on which the Company calculates and records revenues. |
Franchised sales are not recorded as revenues by the Company, but are the basis on which the Company calculates and records franchised revenues and are indicative of the health of the franchisee base. The following table presents Franchised sales and the related increases/(decreases):
|
| | | | | | | | | | | | | | |
FRANCHISED SALES | | | | | | | | |
Dollars in millions | | | | | | | | |
Quarters Ended September 30, | | 2018 |
| | 2017 |
| | Inc/ (Dec) |
| | Inc/ (Dec) Excluding Currency Translation |
|
U.S. | | $ | 9,240.5 |
| | $ | 8,869.2 |
| | 4 | % | | 4 | % |
International Lead Markets | | 5,473.3 |
| | 5,175.7 |
| | 6 |
| | 9 |
|
High Growth Markets* | | 2,584.4 |
| | 2,083.6 |
| | 24 |
| | 26 |
|
Foundational Markets & Corporate | | 4,957.3 |
| | 4,876.1 |
| | 2 |
| | 9 |
|
Total | | $ | 22,255.5 |
| | $ | 21,004.6 |
| | 6 | % | | 8 | % |
| | | | | | | | |
Ownership type | | | | | | | | |
Conventional franchised | | $ | 16,366.0 |
| | $ | 15,611.2 |
| | 5 | % | | 6 | % |
Developmental licensed | | 3,463.5 |
| | 3,436.5 |
| | 1 |
| | 10 |
|
Foreign affiliated* | | 2,426.0 |
| | 1,956.9 |
| | 24 |
| | 25 |
|
Total | | $ | 22,255.5 |
| | $ | 21,004.6 |
| | 6 | % | | 8 | % |
| | | | | | | | |
Nine Months Ended September 30, | | 2018 |
| | 2017 |
| | Inc/ (Dec) |
| | Inc/ (Dec) Excluding Currency Translation |
|
U.S. | | $ | 26,699.8 |
| | $ | 25,574.8 |
| | 4 | % | | 4 | % |
International Lead Markets | | 15,720.7 |
| | 13,787.1 |
| | 14 |
| | 10 |
|
High Growth Markets* | | 7,379.1 |
| | 4,709.3 |
| | 57 |
| | 50 |
|
Foundational Markets & Corporate | | 14,674.9 |
| | 13,227.8 |
| | 11 |
| | 13 |
|
Total | | $ | 64,474.5 |
| | $ | 57,299.0 |
| | 13 | % | | 11 | % |
| | | | | | | | |
Ownership type | | | | | | | | |
Conventional franchised | | $ | 47,222.8 |
| | $ | 43,856.6 |
| | 8 | % | | 6 | % |
Developmental licensed | | 10,149.0 |
| | 9,111.2 |
| | 11 |
| | 15 |
|
Foreign affiliated* | | 7,102.7 |
| | 4,331.2 |
| | 64 |
| | 60 |
|
Total | | $ | 64,474.5 |
| | $ | 57,299.0 |
| | 13 | % | | 11 | % |
| |
* | Reflects the impact of refranchising the Company's businesses in China and Hong Kong in the third quarter of 2017. |
Restaurant Margins
|
| | | | | | | | | | | | | | | | | | | |
FRANCHISED AND COMPANY-OPERATED RESTAURANT MARGINS |
Dollars in millions |
| Percent | | Amount | | Inc/ (Dec) |
| | Inc/ (Dec) Excluding Currency Translation |
|
Quarters Ended September 30, | 2018 |
| | 2017 |
| | 2018 |
| | 2017 |
| | |
Franchised | | | | | | | | | | | |
U.S. | 81.5 | % | | 82.9 | % | | $ | 1,052.9 |
| | $ | 1,014.9 |
| | 4 | % | | 4 | % |
International Lead Markets | 82.0 |
| | 81.6 |
| | 777.8 |
| | 729.5 |
| | 7 |
| | 10 |
|
High Growth Markets | 77.3 |
| | 76.0 |
| | 233.9 |
| | 203.1 |
| | 15 |
| | 17 |
|
Foundational Markets & Corporate | 93.5 |
| | 93.8 |
| | 294.4 |
| | 285.5 |
| | 3 |
| | 9 |
|
Total | 82.5 | % | | 83.0 | % | | $ | 2,359.0 |
| | $ | 2,233.0 |
| | 6 | % | | 8 | % |
Company-operated | | | | | | | | | | | |
U.S. | 12.8 | % | | 15.5 | % | | $ | 81.3 |
| | $ | 124.2 |
| | (35 | )% | | (35 | )% |
International Lead Markets | 22.5 |
| | 21.9 |
| | 223.2 |
| | 235.5 |
| | (5 | ) | | (3 | ) |
High Growth Markets | 17.1 |
| | 18.5 |
| | 126.3 |
| | 195.5 |
| | (35 | ) | | (31 | ) |
Foundational Markets & Corporate | 22.5 |
| | 21.8 |
| | 32.3 |
| | 29.3 |
| | 10 |
| | 15 |
|
Total | 18.4 | % | | 19.1 | % | | $ | 463.1 |
| | $ | 584.5 |
| | (21 | )% | | (18 | )% |
| | | | | | | | | | | |
| Percent | | Amount | | Inc/ (Dec) |
| | Inc/ (Dec) Excluding Currency Translation |
|
Nine Months Ended September 30, | 2018 |
| | 2017 |
| | 2018 |
| | 2017 |
| | |
Franchised | | | | | | | | | | | |
U.S. | 81.6 | % | | 82.4 | % | | $ | 3,033.0 |
| | $ | 2,898.9 |
| | 5 | % | | 5 | % |
International Lead Markets | 81.1 |
| | 80.7 |
| | 2,211.4 |
| | 1,927.5 |
| | 15 |
| | 10 |
|
High Growth Markets | 76.1 |
| | 72.8 |
| | 651.4 |
| | 494.4 |
| | 32 |
| | 26 |
|
Foundational Markets & Corporate | 93.4 |
| | 92.7 |
| | 861.3 |
| | 788.2 |
| | 9 |
| | 10 |
|
Total | 82.2 | % | | 82.2 | % | | $ | 6,757.1 |
| | $ | 6,109.0 |
| | 11 | % | | 9 | % |
Company-operated | | | | | | | | | | | |
U.S. | 14.9 | % | | 15.8 | % | | $ | 304.6 |
| | $ | 392.3 |
| | (22 | )% | | (22 | )% |
International Lead Markets | 21.3 |
| | 21.2 |
| | 643.6 |
| | 643.2 |
| | 0 |
| | (4 | ) |
High Growth Markets | 13.9 |
| | 17.9 |
| | 302.6 |
| | 689.6 |
| | (56 | ) | | (55 | ) |
Foundational Markets & Corporate | 20.1 |
| | 18.3 |
| | 81.4 |
| | 121.2 |
| | (33 | ) | | (34 | ) |
Total | 17.4 | % | | 18.4 | % | | $ | 1,332.2 |
| | $ | 1,846.3 |
| | (28 | )% | | (29 | )% |
| |
• | Franchised: Franchised margin dollars increased $126.0 million or 6% (8% in constant currencies) for the quarter and increased $648.1 million or 11% (9% in constant currencies) for the nine months. Both periods benefited from expansion and the impact of refranchising, as well as positive comparable sales performance across all segments. |
| |
• | U.S.: The decrease in the franchised margin percent for the quarter and nine months was primarily due to higher depreciation costs related to investments in EOTF, partly offset by the benefit from positive comparable sales. |
| |
• | International Lead Markets: The increase in the franchised margin percent for the quarter and nine months primarily reflected the benefit from strong comparable sales performance. |
| |
• | High Growth Markets: The increase in the franchised margin percent for the quarter and nine months was primarily due to the impact of refranchising, largely related to the 2017 sale of the Company's businesses in China and Hong Kong, and positive comparable sales performance. |
| |
• | Company-operated: Company-operated margin dollars decreased $121.4 million or 21% (18% in constant currencies) for the quarter and decreased $514.1 million or 28% (29% in constant currencies) for the nine months, reflecting the impact of refranchising. |
| |
• | U.S.: The decrease in the Company-operated margin percent for the quarter and nine months reflected the impact of accelerated deployment of EOTF (including the related decrease in labor productivity and higher depreciation expense), and higher labor and commodity costs, which more than offset the benefit from positive comparable sales and refranchising. |
| |
• | International Lead Markets: The Company-operated margin percent increased for the quarter and nine months, reflecting strong comparable sales partly offset by higher labor, commodity and occupancy costs. |
| |
• | High Growth Markets: The decrease in the Company-operated margin percent for the quarter and nine months was primarily due to the impact of refranchising related to the 2017 sale of the Company's businesses in China and Hong Kong. |
The following table presents Company-operated restaurant margin components as a percent of sales:
|
| | | | | | | | | | | |
CONSOLIDATED COMPANY-OPERATED RESTAURANT EXPENSES AND MARGINS AS A PERCENT OF SALES |
| Quarters Ended | | Nine Months Ended |
| September 30, | | September 30, |
| 2018 |
| | 2017 |
| | 2018 |
| | 2017 |
|
Food & paper | 31.2 | % | | 31.4 | % | | 31.4 | % | | 31.7 | % |
Payroll & employee benefits | 28.8 |
| | 27.6 |
| | 29.4 |
| | 27.5 |
|
Occupancy & other operating expenses | 21.6 |
| | 21.9 |
| | 21.8 |
| | 22.4 |
|
Total expenses | 81.6 | % | | 80.9 | % | | 82.6 | % | | 81.6 | % |
Company-operated margins | 18.4 | % | | 19.1 | % | | 17.4 | % | | 18.4 | % |
Selling, General & Administrative Expenses
| |
• | Selling, general and administrative expenses decreased $51.8 million or 9% (8% in constant currencies) for the quarter and decreased $23.3 million or 1% (3% in constant currencies) for the nine months. Both periods reflected lower employee-related costs, partly offset by investment in restaurant technology. The nine months also reflected costs related to the 2018 Worldwide Owner/Operator Convention and sponsorship of the 2018 Winter Olympics. |
| |
• | For the nine months, selling, general and administrative expenses as a percent of Systemwide sales decreased to 2.2% for 2018 compared with 2.4% for 2017. |
Other Operating (Income) Expense, Net
|
| | | | | | | | | | | | | | | |
OTHER OPERATING (INCOME) EXPENSE, NET | | | | | | | |
Dollars in millions | | | | | | | |
| Quarters Ended | | Nine Months Ended |
| September 30, | | September 30, |
| 2018 |
| | 2017 |
| | 2018 |
| | 2017 |
|
Gains on sales of restaurant businesses | $ | (68.0 | ) | | $ | (63.1 | ) | | $ | (256.7 | ) | | $ | (230.9 | ) |
Equity in (earnings) losses of unconsolidated affiliates | (38.6 | ) | | (30.9 | ) | | (116.2 | ) | | (101.1 | ) |
Asset dispositions and other (income) expense, net | (4.7 | ) | | (29.0 | ) | | (45.1 | ) | | (47.1 | ) |
Impairment and other charges (gains), net | 0.5 |
| | (705.9 | ) | | 93.8 |
| | (687.8 | ) |
Total | $ | (110.8 | ) | | $ | (828.9 | ) | | $ | (324.2 | ) | | $ | (1,066.9 | ) |
| |
• | Gains on sales of restaurant businesses increased primarily due to activity within the U.K. for the quarter and within the U.S. for the nine months. |
| |
• | Equity in earnings of unconsolidated affiliates for the quarter and nine months reflected improved performance in Japan, partly offset by a higher effective tax rate in Japan in 2018 compared to 2017. Results in 2018 also reflected the retained 20% ownership in the entity that operates the Company's businesses in China and Hong Kong subsequent to the refranchising transaction that occurred in third quarter 2017. |
| |
• | Asset dispositions and other income, net for the quarter primarily reflected the comparison to a prior year gain on the strategic sale of property in Australia. |
| |
• | Impairment and other charges (gains), net for the quarter and nine months 2017 reflected a gain on the Company's sale of its businesses in China and Hong Kong of approximately $850 million, partly offset by $111 million of unrelated impairment charges. The nine months 2018 included the strategic restructuring charge in the U.S. of $85 million. |
Operating Income
|
| | | | | | | | | | | | | |
OPERATING INCOME |
Dollars in millions |
Quarters Ended September 30, | 2018 |
| | 2017 |
| | Inc/ (Dec) |
| | Increase Excluding Currency Translation |
|
U.S. | $ | 1,061.8 |
| | $ | 1,034.6 |
| | 3 | % | | 3 | % |
International Lead Markets | 913.9 |
| | 913.6 |
| | 0 |
| | 3 |
|
High Growth Markets | 330.1 |
| | 1,073.8 |
| | (69 | ) | | (68 | ) |
Foundational Markets & Corporate | 111.9 |
| | 57.4 |
| | 95 |
| | n/m |
|
Total | $ | 2,417.7 |
| | $ | 3,079.4 |
| | (21 | )% | | (20 | )% |
| | | | | | | |
Nine Months Ended September 30, | 2018 |
| | 2017 |
| | Inc/ (Dec) |
| | Increase Excluding Currency Translation |
|
U.S. | $ | 3,059.0 |
| | $ | 3,055.4 |
| | 0 | % | | 0 | % |
International Lead Markets | 2,613.5 |
| | 2,356.2 |
| | 11 |
| | 7 |
|
High Growth Markets | 847.1 |
| | 1,724.0 |
| | (51 | ) | | (52 | ) |
Foundational Markets & Corporate | 303.5 |
| | 272.9 |
| | 11 |
| | 12 |
|
Total | $ | 6,823.1 |
| | $ | 7,408.5 |
| | (8 | )% | | (10 | )% |
n/m Not meaningful
| |
• | Operating Income: Operating income decreased $661.7 million or 21% (20% in constant currencies) for the quarter and decreased $585.4 million or 8% (10% in constant currencies) for the nine months. Both the quarter and nine months 2017 reflected a gain of approximately $850 million on the sale of the Company's businesses in China and Hong Kong, partly offset by $111 million of unrelated impairment charges. Results for the nine months 2018 included strategic restructuring charges of $94 million (of which $85 million relates to the restructuring of the U.S. business). Excluding these current year and prior year items, operating income increased $44.2 million or 2% (4% in constant currencies) for the quarter and $196.2 million or 3% (1% in constant currencies) for the nine months. |
| |
• | U.S.: Results for both periods reflected higher franchised margin dollars and lower G&A costs, partly offset by lower Company-operated margin dollars. Results for the nine months also reflected higher gains on sales of restaurant businesses and the $85 million strategic restructuring charge. Excluding this charge, operating income for the nine months increased 3%. |
| |
• | International Lead Markets: The constant currency operating income increase for the quarter and nine months was primarily due to sales-driven improvements in franchised margin dollars across all markets, partly offset by the comparison to a prior year gain on the strategic sale of property in Australia. |
| |
• | High Growth Markets: Excluding the 2017 gain on the sale of the Company's businesses in China and Hong Kong, as well as unrelated impairment charges, operating income decreased 5% (1% in constant currencies) for the quarter and 15% (17% in constant currencies) for the nine months due to the impact of refranchising. |
| |
• | Foundational Markets & Corporate: The constant currency operating income increase for the quarter and nine months reflected higher sales-driven improvements in franchised margin dollars. |
| |
• | Operating Margin: Operating margin is defined as operating income as a percent of total revenues. Operating margin was 43.0% and 42.4% for the nine months ended 2018 and 2017, respectively. Excluding the previously described 2018 strategic restructuring charges and the 2017 gain and unrelated restructuring and impairment charges, operating margin was 43.6% and 38.4% for the nine months ended 2018 and 2017, respectively. |
Interest Expense
| |
• | Interest expense increased 6% (6% in constant currencies) for the quarter and increased 6% (5% in constant currencies) for the nine months, primarily reflecting higher average debt balances, partly offset by lower average interest rates. |
Nonoperating (Income) Expense, Net
|
| | | | | | | | | | | | | | | |
NONOPERATING (INCOME) EXPENSE, NET | | | | | | | |
Dollars in millions | | | | | | | |
| Quarters Ended | | Nine Months Ended |
| September 30, | | September 30, |
| 2018 |
| | 2017 |
| | 2018 |
| | 2017 |
|
Interest income | $ | 1.2 |
| | $ | (6.5 | ) | | $ | (4.4 | ) | | $ | (6.4 | ) |
Foreign currency and hedging activity | (2.9 | ) | | 15.4 |
| | 16.3 |
| | 11.1 |
|
Other (income) expense, net | 10.6 |
| | 14.3 |
| | 19.4 |
| | 29.2 |
|
Total | $ | 8.9 |
| | $ | 23.2 |
| | $ | 31.3 |
| | $ | 33.9 |
|
Income Taxes
| |
• | The effective income tax rate was 24.2% and 33.2% for the quarters ended 2018 and 2017, respectively, and 25.7% and 32.8% for the nine months ended 2018 and 2017, respectively. |
| |
• | The decrease in the tax rate for the quarter and nine months primarily reflected the lower enacted U.S. corporate tax rate. The tax rate for both periods also reflected a tax cost related to adjustments to the provisional amounts recorded in December 2017 under the Tax Act of $47 million for the quarter and $99 million for the nine months, as well as tax benefits resulting from continued refinement of estimates related to certain aspects of the Tax Act. |
Cash Flows and Financial Position
The Company generates significant cash from operations and has substantial credit capacity to fund operating and discretionary spending such as capital expenditures, debt repayments, dividends and share repurchases.
Cash provided by operations totaled $5.5 billion and exceeded capital expenditures by $3.6 billion for the nine months 2018. Cash provided by operations increased $1.0 billion compared with the nine months 2017, primarily due to lower tax payments and other working capital changes.
Cash used for investing activities totaled $1.6 billion for the nine months 2018, an increase of $2.7 billion compared with the nine months 2017. The increase was primarily due to lower proceeds from the sale of restaurant businesses in 2018, as well as higher capital expenditures. The lower proceeds from the sale of restaurant businesses was primarily due to the Company's 2017 sale of its businesses in China and Hong Kong, as well as the 2017 sale of its businesses in Denmark, Finland, Norway and Sweden (referred to as the "Nordics") and Taiwan to developmental licensees.
Cash used for financing activities totaled $3.6 billion for the nine months 2018, a decrease of $925.3 million compared with the nine months 2017, as higher net debt issuances were partly offset by higher treasury stock purchases.
Debt obligations at September 30, 2018 totaled $31.9 billion compared with $29.5 billion at December 31, 2017. The increase was primarily due to net debt issuances, partly offset by the impact of foreign currency translation.
Recent Accounting Pronouncements
Recent accounting pronouncements are discussed in Part I, Item 1, page 8 of this Form 10-Q.
Other Matters
In December 2015, the European Commission opened a formal investigation against the Luxembourg government to examine whether decisions by the tax authorities in Luxembourg with regard to the corporate income tax paid by certain of our subsidiaries comply with European Union rules on state aid. In September 2018, the European Commission concluded that Luxembourg’s tax treatment of these McDonald’s subsidiaries did not constitute state aid under the European Union rules. This decision resulted in no impact to the Company’s financial statements as of September 30, 2018.
Risk Factors and Cautionary Statement Regarding Forward-Looking Statements
The information in this report includes forward-looking statements about future events and circumstances and their effects upon revenues, expenses and business opportunities. Generally speaking, any statement in this report not based upon historical fact is a forward-looking statement. Forward-looking statements can also be identified by the use of forward-looking words, such as “may,” “will,” “expect,” “believe,” “anticipate” and “plan” or similar expressions. In particular, statements regarding our plans, strategies, prospects and expectations regarding our business and industry, including those under “Outlook,” are forward-looking statements. They reflect our expectations, are not guarantees of performance and speak only as of the date of this report. Except as required by law, we do not undertake to update them. Our expectations (or the underlying assumptions) may change or not be realized, and you should not rely unduly on forward-looking statements. Our business results are subject to a variety of risks, including those that are reflected in the following considerations and factors, as well as elsewhere in our filings with the SEC. If any of these considerations or risks materialize, our expectations may change and our performance may be adversely affected.
If we do not successfully evolve and execute against our business strategies, we may not be able to increase operating income.
To drive future results, our business strategies must be effective in delivering increased guest counts to drive operating income growth. Whether these strategies are successful depends mainly on our System’s ability to:
| |
• | Continue to innovate and differentiate the McDonald’s experience by preparing and serving our food in a way that balances value and convenience to our customers with profitability; |
| |
• | Capitalize on our global scale, iconic brand and local market presence to enhance our ability to retain, regain and convert key customer groups; |
| |
• | Utilize our new organizational structure to build on our progress and execute against our initiatives at an accelerated pace; |
| |
• | Strengthen customer appeal and augment our digital initiatives, including mobile ordering and delivery, along with Experience of the Future (“EOTF”), particularly in the U.S.; |
| |
• | Identify and develop restaurant sites consistent with our plans for net growth of Systemwide restaurants; and |
| |
• | Operate restaurants with high service levels and optimal capacity while managing the increasing complexity of our restaurant operations. |
If we are delayed or unsuccessful in executing our strategies, or if our strategies do not yield the desired results, our business, financial condition and results of operations may suffer.
Our investments to enhance the customer experience, including through technology, may not generate the expected returns.
We will continue to build upon our investments in EOTF, which focus on restaurant modernization and technology and digital engagement in order to transform the restaurant experience. As we accelerate our pace of converting restaurants to EOTF, we are placing renewed emphasis on improving our service model and strengthening relationships with customers, in part through digital channels and loyalty initiatives, as well as mobile ordering and payment systems. We also continue to build on delivery initiatives, which may not generate expected returns. We may not fully realize the intended benefits of these significant investments, or these initiatives may not be well executed, and therefore our business results may suffer.
If we do not anticipate and address evolving consumer preferences, our business could suffer.
Our continued success depends on our System’s ability to anticipate and respond effectively to continuously shifting consumer demographics, and trends in food sourcing, food preparation, food offerings and consumer preferences in the “informal eating out” (“IEO”) segment. In order to deliver a relevant experience for our customers amidst a highly competitive, value-driven operating environment, we must implement initiatives to adapt at an aggressive pace. There is no assurance that these initiatives will be successful and, if they are not, our financial results could be adversely impacted.
Activities relating to our refranchising and cost savings initiatives remain ongoing and entail various risks.
Our previously announced refranchising and cost saving initiatives remain ongoing. With a more heavily franchised structure, the existing risks we face in our business may be intensified. Our efforts to reduce costs and capital expenditures depend, in part, upon our refranchising efforts, which, in turn, depend upon our selection and integration of capable third parties. Our cost savings initiatives also depend upon a variety of factors, including our ability to achieve efficiencies through the consolidation of global, back-office functions and to direct resources to most effectively support McDonald's restaurants, particularly in the U.S. If these various initiatives are not successful, take longer to complete than initially projected, or are not well executed, or if our cost reduction efforts adversely impact our effectiveness, our business operations, financial results and results of operations could be adversely affected.
If pricing, promotional and marketing plans are not effective, our results may be negatively impacted.
Our results depend on the impact of pricing, promotional and marketing plans across the System, and the ability to adjust these plans to respond quickly and effectively to evolving customer preferences, as well as shifting economic and competitive conditions. Existing or future pricing strategies, and the value proposition they represent, are expected to continue to be important components of
our business strategy; however, they may not be successful and could negatively impact sales and margins. Further, the promotion of menu offerings may yield results below the desired levels.
Additionally, we operate in a complex and costly advertising environment. Our marketing and advertising programs may not be successful, and we may fail to attract and retain customers. Our success depends in part on whether the allocation of our advertising and marketing resources across different channels allows us to reach our customers effectively. If the advertising and marketing programs are not successful, or are not as successful as those of our competitors, our sales, guest counts and market share could decrease.
Failure to preserve the value and relevance of our brand could have an adverse impact on our financial results.
To be successful in the future, we believe we must preserve, enhance and leverage the value of our brand. Brand value is based in part on consumer perceptions. Those perceptions are affected by a variety of factors, including the nutritional content and preparation of our food, the ingredients we use, our business practices and the manner in which we source the commodities we use. Consumer acceptance of our offerings is subject to change for a variety of reasons, and some changes can occur rapidly. For example, nutritional, health and other scientific studies and conclusions, which constantly evolve and may have contradictory implications, drive popular opinion, litigation and regulation (including initiatives intended to drive consumer behavior) in ways that affect the IEO segment or perceptions of our brand generally or relative to available alternatives. Consumer perceptions may also be affected by third parties presenting or promoting adverse commentary or portrayals of the quick-service category of the IEO segment, our brand and/or our operations, our suppliers or our franchisees. If we are unsuccessful in addressing such adverse commentary or portrayals, our brand and our financial results may suffer.
Additionally, the ongoing relevance of our brand may depend on the success of our sustainability initiatives, which require System- wide coordination and alignment. If we are not effective in addressing social and environmental responsibility matters or achieving relevant sustainability goals, consumer trust in our brand may suffer. In particular, business incidents or practices that erode consumer trust or confidence, particularly if such incidents or practices receive considerable publicity or result in litigation, can significantly reduce brand value and have a negative impact on our financial results.
We face intense competition in our markets, which could hurt our business.
We compete primarily in the IEO segment, which is highly competitive. We also face sustained, intense competition from traditional, fast casual and other competitors, which may include many non-traditional market participants such as convenience stores, grocery stores and coffee shops. We expect our environment to continue to be highly competitive, and our results in any particular reporting period may be impacted by new or continuing actions of our competitors, which may have a short- or long-term impact on our results.
We compete on the basis of product choice, quality, affordability, service and location. In particular, we believe our ability to compete successfully in the current market environment depends on our ability to improve existing products, develop new products, price our products appropriately, deliver a relevant customer experience, manage the complexity of our restaurant operations and respond effectively to our competitors’ actions or disruptive actions from others which we do not foresee. Recognizing these dependencies, we have intensified our focus on strategies to achieve these goals. There can be no assurance these strategies will be effective, and some strategies may be effective at improving some metrics while adversely affecting other metrics.
Unfavorable general economic conditions could adversely affect our business and financial results.
Our results of operations are substantially affected by economic conditions, which can vary significantly by market and can impact consumer disposable income levels and spending habits. Economic conditions can also be impacted by a variety of factors including hostilities, epidemics and actions taken by governments to manage national and international economic matters, whether through austerity, stimulus measures or trade measures, and initiatives intended to control wages, unemployment, credit availability, inflation, taxation and other economic drivers. Continued adverse economic conditions or adverse changes in economic conditions in our markets could pressure our operating performance, and our business and financial results may suffer.
Our results of operations are also affected by fluctuations in currency exchange rates, which may adversely affect reported earnings.
Supply chain interruptions may increase costs or reduce revenues.
We depend on the effectiveness of our supply chain management to assure reliable and sufficient product supply, including on favorable terms. Although many of the products we sell are sourced from a wide variety of suppliers in countries around the world, certain products have limited suppliers, which may increase our reliance on those suppliers. Supply chain interruptions, including shortages and transportation issues, and price increases can adversely affect us as well as our suppliers and franchisees whose performance may have a significant impact on our results. Such shortages or disruptions could be caused by factors beyond the control of our suppliers, franchisees or us. If we experience interruptions in our System’s supply chain, our costs could increase and it could limit the availability of products critical to our System’s operations.
Food safety concerns may have an adverse effect on our business.
Our ability to increase sales and profits depends on our System’s ability to meet expectations for safe food and on our ability to manage the potential impact on McDonald’s of food-borne illnesses and food or product safety issues that may arise in the future. Food safety is a top priority, and we dedicate substantial resources to ensure that our customers enjoy safe food products, including as our menu and service model evolve. However, food safety events, including instances of food-borne illness, have occurred in the food industry in the past, and could occur in the future. Instances of food tampering, food contamination or food-borne illness, whether actual or perceived, could adversely affect our brand and reputation as well as our revenues and profits.
Our franchise business model presents a number of risks.
As the Company's business model has evolved to a more heavily franchised structure, our success increasingly relies on the financial success and cooperation of our franchisees, including our developmental licensees and affiliates. Our restaurant margins arise from two sources: fees from franchised restaurants (e.g., rent and royalties based on a percentage of sales) and, to a lesser degree, sales from Company-operated restaurants. Our franchisees and developmental licensees manage their businesses independently, and therefore are responsible for the day-to-day operation of their restaurants. The revenues we realize from franchised restaurants are largely dependent on the ability of our franchisees to grow their sales. If our franchisees do not experience sales growth, our revenues and margins could be negatively affected as a result. Also, if sales trends worsen for franchisees, their financial results may deteriorate, which could result in, among other things, restaurant closures, or delayed or reduced payments to us. Our refranchising efforts increase that dependence and the potential effect of those factors.
Our success also increasingly depends on the willingness and ability of our independent franchisees and affiliates to implement major initiatives, which may include financial investment, and to remain aligned with us on operating, promotional and capital-intensive reinvestment plans. Franchisees’ ability to contribute to the achievement of our plans is dependent in large part on the availability to them of funding at reasonable interest rates and may be negatively impacted by the financial markets in general, by the creditworthiness of our franchisees or the Company or by banks’ lending practices. Our operating performance could also be negatively affected if our franchisees experience food safety or other operational problems or project an image inconsistent with our brand and values, particularly if our contractual and other rights and remedies are limited, costly to exercise or subjected to litigation and potential delays. If franchisees do not successfully operate restaurants in a manner consistent with our required standards, our brand’s image and reputation could be harmed, which in turn could hurt our business and operating results.
Our ownership mix also affects our results and financial condition. The decision to own restaurants or to operate under franchise or license agreements is driven by many factors whose interrelationship is complex and changing. Our ability to achieve the benefits of our refranchising strategy, which involves a significant percentage of franchised restaurants, including an increased number of restaurants run by developmental licensees and affiliates, depends on various factors. Those factors include whether we have effectively selected franchisees, licensees and/or affiliates that meet our rigorous standards, and whether their performance and the resulting ownership mix supports our brand and financial objectives.
Challenges with respect to talent management could harm our business.
Effective succession planning is important to our long-term success. Failure to effectively identify, develop and retain key personnel, recruit high-quality candidates and ensure smooth management and personnel transitions could disrupt our business and adversely affect our results.
Challenges with respect to labor availability could impact our business and results of operations.
Our success depends in part on our System’s ability to recruit, motivate and retain a qualified workforce to work in our restaurants in an intensely competitive environment. Increased costs associated with recruiting, motivating and retaining qualified employees to work in our Company-operated restaurants could have a negative impact on our Company-operated margins. Similar concerns apply to our franchisees.
We are also impacted by the costs and other effects of compliance with U.S. and international regulations affecting our workforce, which includes our staff and employees working in our Company-operated restaurants. These regulations are increasingly focused on employment issues, including wage and hour, healthcare, immigration, retirement and other employee benefits and workplace practices. Our potential exposure to reputational and other harm regarding our workplace practices or conditions or those of our independent franchisees or suppliers (or perceptions thereof) could have a negative impact on consumer perceptions of us and our business. Additionally, economic action, such as boycotts, protests, work stoppages or campaigns by labor organizations, could adversely affect us (including our ability to recruit and retain talent) or the franchisees and suppliers that are also part of the McDonald's System and whose performance may have a material impact on our results.
Information technology system failures or interruptions, or breaches of network security, may impact our operations.
We are increasingly reliant on technological systems, such as point-of-sale and other systems or platforms, technologies supporting McDonald’s order, delivery and digital solutions, as well as technologies that facilitate communication and collaboration internally, with affiliated entities, customers, employees or independent third parties to conduct our business, including technology-enabled systems
provided to us by third parties. Any failure of these systems could significantly impact our operations and customer experience and perceptions.
Despite the implementation of security measures, those technology systems and solutions could become vulnerable to damage, disability or failures due to theft, fire, power loss, telecommunications failure or other catastrophic events. Our increasing reliance on third party systems also present the risks faced by the third party’s business, including the operational, security and credit risks of those parties. If those systems were to fail or otherwise be unavailable, and we were unable to recover in a timely way, we could experience an interruption in our operations.
Furthermore, security breaches have from time to time occurred and may in the future occur involving our systems, the systems of the parties we communicate or collaborate with (including franchisees), or those of third party providers. These may include such things as unauthorized access, denial of service, computer viruses, introduction of malware or ransomware and other disruptive problems caused by hackers. Our information technology systems contain personal, financial and other information that is entrusted to us by our customers, our employees and other third parties, as well as financial, proprietary and other confidential information related to our business. An actual or alleged security breach could result in disruptions, shutdowns, theft or unauthorized disclosure of personal, financial, proprietary or other confidential information. The occurrence of any of these incidents could result in reputational damage, adverse publicity, loss of consumer confidence, reduced sales and profits, complications in executing our growth initiatives and criminal penalties or civil liabilities.
The global scope of our business subjects us to risks that could negatively affect our business.
We encounter differing cultural, regulatory and economic environments within and among the more than 100 countries where McDonald’s restaurants operate, and our ability to achieve our business objectives depends on the System's success in these environments. Meeting customer expectations is complicated by the risks inherent in our global operating environment, and our global success is partially dependent on our System’s ability to leverage operating successes across markets. Planned initiatives may not have appeal across multiple markets with McDonald's customers and could drive unanticipated changes in customer perceptions and guest counts.
Disruptions in operations or price volatility in a market can also result from governmental actions, such as price, foreign exchange or changes in trade-related tariffs or controls, sanctions and counter sanctions, government-mandated closure of our, our franchisees' or our suppliers’ operations, and asset seizures. The cost and disruption of responding to governmental investigations or inquiries, whether or not they have merit, or the impact of these other measures, may impact our results and could cause reputational or other harm. Our international success depends in part on the effectiveness of our strategies and brand-building initiatives to reduce our exposure to such governmental investigations or inquiries.
Additionally, challenges and uncertainties are associated with operating in developing markets, which may entail a relatively higher risk of political instability, economic volatility, crime, corruption and social and ethnic unrest. Such challenges may be exacerbated in many cases by a lack of an independent and experienced judiciary and uncertainties in how local law is applied and enforced, including in areas most relevant to commercial transactions and foreign investment. An inability to manage effectively the risks associated with our international operations could have a material adverse effect on our business and financial condition.
We may also face challenges and uncertainties in developed markets. For example, as a result of the U.K.'s decision to leave the European Union through a negotiated exit over a period of time, including its recent formal commencement of exit proceedings, it is possible that there will be increased regulatory complexities, as well as potential referenda in the U.K. and/or other European countries, that could cause uncertainty in European or worldwide economic conditions. The decision created volatility in certain foreign currency exchange rates that may or may not continue. Any of these effects, and others we cannot anticipate, could adversely affect our business, results of operations, financial condition and cash flows.
Changes in tax laws and unanticipated tax liabilities could adversely affect the taxes we pay and our profitability.
We are subject to income and other taxes in the U.S. and foreign jurisdictions, and our operations, plans and results are affected by tax and other initiatives around the world. In particular, we are affected by the impact of changes to tax laws or policy or related authoritative interpretations, including changes and uncertainties resulting from proposals for comprehensive or corporate tax reforms in the U.S. or elsewhere. On December 22, 2017, the Tax Cuts and Jobs Act (“Tax Act”) was signed into law. While we have estimated the effects of the Tax Act, we continue to refine those estimates with the possibility they could change, and those changes could be material. We are also impacted by settlements of pending or any future adjustments proposed by taxing and governmental authorities inside and outside of the U.S. in connection with our tax audits, all of which will depend on their timing, nature and scope. Any significant increases in income tax rates, changes in income tax laws or unfavorable resolution of tax matters could have a material adverse impact on our financial results.
Changes in commodity and other operating costs could adversely affect our results of operations.
The profitability of our Company-operated restaurants depends in part on our ability to anticipate and react to changes in commodity costs, including food, paper, supplies, fuel, utilities and distribution, and other operating costs, including labor. Any volatility in certain commodity prices or fluctuation in labor costs could adversely affect our operating results by impacting restaurant profitability.
The commodity markets for some of the ingredients we use, such as beef and chicken, are particularly volatile due to factors such as seasonal shifts, climate conditions, industry demand, international commodity markets, food safety concerns, product recalls and government regulation, all of which are beyond our control and, in many instances, unpredictable. We can only partially address future price risk through hedging and other activities, and therefore increases in commodity costs could have an adverse impact on our profitability.
Increasing regulatory complexity may adversely affect restaurant operations and our financial results.
Our regulatory environment worldwide exposes us to complex compliance and similar risks that could affect our operations and results in material ways. In many of our markets, we are subject to increasing regulation, which has increased our cost of doing business. We are affected by the cost, compliance and other risks associated with the often conflicting and highly prescriptive regulations we face, including where inconsistent standards imposed by multiple governmental authorities can adversely affect our business and increase our exposure to litigation or governmental investigations or proceedings.
Our success depends in part on our ability to manage the impact of new, potential or changing regulations that can affect our business plans and operations. These regulations include product packaging, marketing, the nutritional content and safety of our food and other products, labeling and other disclosure practices. Compliance efforts with those regulations may be affected by ordinary variations in food preparation among our own restaurants and the need to rely on the accuracy and completeness of information from third-party suppliers (particularly given varying requirements and practices for testing and disclosure).
Additionally, we are working to manage the risks and costs to us, our franchisees and our supply chain of the effects of climate change, greenhouse gases, and diminishing energy and water resources. These risks include the increased public focus, including by governmental and nongovernmental organizations, on these and other environmental sustainability matters, such as packaging and waste, animal health and welfare, deforestation and land use. These risks also include the increased pressure to make commitments, set targets or establish additional goals and take actions to meet them. These risks could expose us to market, operational and execution costs or risks. If we are unable to effectively manage the risks associated with our complex regulatory environment, it could have a material adverse effect on our business and financial condition.
We are subject to increasing legal complexity and could be party to litigation that could adversely affect us.
Increasing legal complexity will continue to affect our operations and results in material ways. We could be subject to legal proceedings that may adversely affect our business, including class actions, administrative proceedings, government investigations, employment and personal injury claims, landlord/tenant disputes, disputes with current or former suppliers, claims by current or former franchisees and intellectual property claims (including claims that we infringed another party’s trademarks, copyrights or patents).
Inconsistent standards imposed by governmental authorities can adversely affect our business and increase our exposure to regulatory proceedings or litigation.
Litigation involving our relationship with franchisees and the legal distinction between our franchisees and us for employment law purposes, if determined adversely, could increase costs, negatively impact the business prospects of our franchisees and subject us to incremental liability for their actions. Similarly, although our commercial relationships with our suppliers remain independent, there may be attempts to challenge that independence, which, if determined adversely, could also increase costs, negatively impact the business prospects of our suppliers, and subject us to incremental liability for their actions. We are also subject to legal and compliance risks and associated liability, such as in the areas of privacy and data collection, protection and management, as it relates to information associated with our technology-related services and platforms made available to business partners, customers, employees or other third parties.
Our operating results could also be affected by the following:
| |
• | The relative level of our defense costs, which vary from period to period depending on the number, nature and procedural status of pending proceedings; |
| |
• | The cost and other effects of settlements, judgments or consent decrees, which may require us to make disclosures or take other actions that may affect perceptions of our brand and products; |
| |
• | Adverse results of pending or future litigation, including litigation challenging the composition and preparation of our products, or the appropriateness or accuracy of our marketing or other communication practices; and |
| |
• | The scope and terms of insurance or indemnification protections that we may have. |
A judgment significantly in excess of any applicable insurance coverage or third party indemnity could materially adversely affect our financial condition or results of operations. Further, adverse publicity resulting from these claims may hurt our business.
We may not be able to adequately protect our intellectual property or adequately ensure that we are not infringing the intellectual property of others, which could harm the value of the McDonald’s brand and our business.
The success of our business depends on our continued ability to use our existing trademarks and service marks in order to increase brand awareness and further develop our branded products in both domestic and international markets. We rely on a combination of
trademarks, copyrights, service marks, trade secrets, patents and other intellectual property rights to protect our brand and branded products.
We have registered certain trademarks and have other trademark registrations pending in the U.S. and certain foreign jurisdictions. The trademarks that we currently use have not been registered in all of the countries outside of the U.S. in which we do business or may do business in the future and may never be registered in all of these countries. The steps we have taken to protect our intellectual property in the U.S. and foreign countries may not be adequate. In addition, the steps we have taken may not adequately ensure that we do not infringe the intellectual property of others, and third parties may claim infringement by us in the future. In particular, we may be involved in intellectual property claims, including often aggressive or opportunistic attempts to enforce patents used in information technology systems, which might affect our operations and results. Any claim of infringement, whether or not it has merit, could be time-consuming, result in costly litigation and harm our business.
We cannot ensure that franchisees and other third parties who hold licenses to our intellectual property will not take actions that hurt the value of our intellectual property.
Changes in accounting standards or the recognition of impairment or other charges may adversely affect our future operations and results.
New accounting standards or changes in financial reporting requirements, accounting principles or practices, including with respect to our critical accounting estimates, could adversely affect our future results. We may also be affected by the nature and timing of decisions about underperforming markets or assets, including decisions that result in impairment or other charges that reduce our earnings. In assessing the recoverability of our long-lived assets, we consider changes in economic conditions and make assumptions regarding estimated future cash flows and other factors. These estimates are highly subjective and can be significantly impacted by many factors such as global and local business and economic conditions, operating costs, inflation, competition, consumer and demographic trends, and our restructuring activities. If our estimates or underlying assumptions change in the future, we may be required to record impairment charges. If we experience any such changes, they could have a significant adverse effect on our reported results for the affected periods.
A decrease in our credit ratings or an increase in our funding costs could adversely affect our profitability.
Our credit ratings may be negatively affected by our results of operations or changes in our debt levels. As a result, our interest expense, the availability of acceptable counterparties, our ability to obtain funding on favorable terms, collateral requirements and our operating or financial flexibility could all be negatively affected, especially if lenders impose new operating or financial covenants.
Our operations may also be impacted by regulations affecting capital flows, financial markets or financial institutions, which can limit our ability to manage and deploy our liquidity or increase our funding costs. If any of these events were to occur, they could have a material adverse effect on our business and financial condition.
Trading volatility and price of our common stock may be adversely affected by many factors.
Many factors affect the volatility and price of our common stock in addition to our operating results and prospects. The most important of these factors, some of which are outside our control, are the following:
| |
• | The unpredictable nature of global economic and market conditions; |
| |
• | Governmental action or inaction in light of key indicators of economic activity or events that can significantly influence financial markets, particularly in the U.S., which is the principal trading market for our common stock, and media reports and commentary about economic or other matters, even when the matter in question does not directly relate to our business; |
| |
• | Trading activity in our common stock or trading activity in derivative instruments with respect to our common stock or debt securities, which can be affected by market commentary (including commentary that may be unreliable or incomplete); unauthorized disclosures about our performance, plans or expectations about our business; our actual performance and creditworthiness; investor confidence, driven in part by expectations about our performance; actions by shareholders and others seeking to influence our business strategies; portfolio transactions in our stock by significant shareholders; or trading activity that results from the ordinary course rebalancing of stock indices in which McDonald’s may be included, such as the S&P 500 Index and the Dow Jones Industrial Average; |
| |
• | The impact of our stock repurchase program or dividend rate; and |
| |
• | The impact on our results of corporate actions and market and third-party perceptions and assessments of such actions, such as those we may take from time to time as we implement our strategies in light of changing business, legal and tax considerations and evolve our corporate structure. |
Events such as severe weather conditions, natural disasters, hostilities and social unrest, among others, can adversely affect our results and prospects.
Severe weather conditions, natural disasters, hostilities and social unrest, terrorist activities, health epidemics or pandemics (or expectations about them) can adversely affect consumer spending and confidence levels and supply availability and costs, as well as the
local operations in impacted markets, all of which can affect our results and prospects. Our receipt of proceeds under any insurance we maintain with respect to some of these risks may be delayed or the proceeds may be insufficient to cover our losses fully.
Item 3. Quantitative and Qualitative Disclosures About Market Risk
There were no material changes to the disclosure made in our Annual Report on Form 10-K for the year ended December 31, 2017 regarding this matter.
Item 4. Controls and Procedures
Disclosure Controls
An evaluation was conducted under the supervision and with the participation of the Company’s management, including the Chief Executive Officer (“CEO”) and Chief Financial Officer (“CFO”), of the effectiveness of the design and operation of the Company’s disclosure controls and procedures as of September 30, 2018. Based on that evaluation, the CEO and CFO concluded that the Company’s disclosure controls and procedures were effective as of such date to ensure that information required to be disclosed in the reports that it files or submits under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported within the time periods specified in Securities and Exchange Commission rules and forms.
Internal Control Over Financial Reporting
The Company’s management, including the CEO and CFO, confirm that there was no change in the Company’s internal control over financial reporting during the quarter ended September 30, 2018 that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.
PART II – OTHER INFORMATION
Item 1. Legal Proceedings
There were no material changes to the disclosure made in our Annual Report on Form 10-K for the year ended December 31, 2017 regarding these matters.
Item 1A. Risk Factors
For a discussion of risk factors affecting our business, refer to statements appearing under the caption “Risk Factors and Cautionary Statement Regarding Forward-Looking Statements” in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in this Form 10-Q.
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
Issuer Purchases of Equity Securities*
The following table presents information related to repurchases of common stock the Company made during the quarter ended September 30, 2018:
|
| | | | | | | | | | | | | | |
| Period | Total Number of Shares Purchased | | Average Price Paid per Share | | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (1) | | Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs (1) |
|
|
|
| July 1-31, 2018 | 2,681,648 |
| | $ | 157.88 |
| | 2,681,648 |
| | $ | 8,502,410,182 |
|
| August 1-31, 2018 | 1,674,088 |
| | 159.06 |
| | 1,674,088 |
| | 8,236,125,923 |
|
| September 1-30, 2018 | 1,578,929 |
| | 161.51 |
| | 1,578,929 |
| | 7,981,117,950 |
|
| Total | 5,934,665 |
| | $ | 159.18 |
| | 5,934,665 |
| | |
| |
* | Subject to applicable law, the Company may repurchase shares directly in the open market, in privately negotiated transactions, or pursuant to derivative instruments and plans complying with Rule 10b5-1, among other types of transactions and arrangements. |
| |
(1) | On July 27, 2017, the Company's Board of Directors approved a share repurchase program, effective July 28, 2017, that authorizes the purchase of up to $15 billion of the Company's outstanding common stock with no specified expiration date. |
|
| | | | | |
Item 6. Exhibits | |
| | | | | |
Exhibit Number | Description | |
| | | | |
| (3) | (a) | | |
| | | | | |
| | (b) | | |
| | | |
| (4) | Instruments defining the rights of security holders, including Indentures:* | |
| | | | | |
| | (a) | | |
| | (b) | | |
| | | | | |
| (10) | Material Contracts | |
| | | | | |
| | (a) | | |
| | | | | |
| | (b) | | |
| | | | | |
| | | (i) | | |
| | | | | |
| | (c) | | |
| | | | | |
| | | (i) | | |
| | | | | |
| | | (ii) | | |
| | | | | |
| | (d) | | |
| | | | | |
| | | (i) | | |
| | | | | |
| | | (ii) | | |
| | | | | |
| | (e) | | |
| | | | | |
| | (f) | | |
| | | | | |
| | (g) | | |
| | | | |
| | (h) | | |
| | | | | |
| | (i) | | |
| | | | | |
| | (j) | | |
| | | | | |
| | | (i) | | |
| | | | | |
| | | | | |
|
| | | | | |
| | | | | |
Exhibit Number | Description | |
| | | | | |
| | | (ii) | | |
| | | | | |
| | | (iii) | | |
| | | | | |
| | | (iv) | | |
| | | | | |
| | | (v) | | |
| | | | | |
| | (k) | | |
| | | | | |
| | (l) | | |
| | | | |
| | (m) | | |
| | | | | |
| | (n) | | |
| | | | | |
| | (o) | | |
| | | | | |
| | (p) | | |
| | | | | |
| | (q) | | |
| | | | | |
| (12) | | |
| | | | | |
| (31.1) | | |
| | | | | |
| (31.2) | | |
| | | | | |
| (32.1) | | |
| | | | | |
| (32.2) | | |
| | | | | |
| (101.INS) | XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | |
| | | | | |
| (101.SCH) | XBRL Taxonomy Extension Schema Document. | |
| | | | | |
| (101.CAL) | XBRL Taxonomy Extension Calculation Linkbase Document. | |
| | | | | |
| (101.DEF) | XBRL Taxonomy Extension Definition Linkbase Document. | |
| | | | | |
| (101.LAB) | XBRL Taxonomy Extension Label Linkbase Document. | |
| | | | | |
| (101.PRE) | XBRL Taxonomy Extension Presentation Linkbase Document. | |
| | | | | |
|
| |
* | Other instruments defining the rights of holders of long-term debt of the registrant, and all of its subsidiaries for which consolidated financial statements are required to be filed and which are not required to be registered with the Commission, are not included herein as the securities authorized under these instruments, individually, do not exceed 10% of the total assets of the registrant and its subsidiaries on a consolidated basis. An agreement to furnish a copy of any such instruments to the Commission upon request has been filed with the Commission. |
| |
** | Denotes compensatory plan. |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
|
| | | | |
| | McDONALD’S CORPORATION (Registrant) |
| | |
| | /s/ Kevin M. Ozan |
Date: | November 1, 2018 | Kevin M. Ozan |
| | Corporate Executive Vice President and Chief Financial Officer |
Exhibit 10(b)(i)
FIRST AMENDMENT TO THE
McDONALD’S DEFERRED COMPENSATION PLAN
The McDonald’s Deferred Compensation Plan, as most recently amended and restated effective January 1, 2017, is hereby further amended as set forth below, effective as of May 1, 2018.
I.
Section 4.1(a) is deleted in its entirety and replaced with the following:
(a) Annual Bonus Deferral Elections and Excess 401k Contributions Deferral Elections. All Deferral Elections made with respect to a Bonus Accrual Year or a Specified Year (“Annual Deferral Elections”) must be returned to the Officer Committee or its delegates no later than the date specified for such year by the Officer Committee (the “Election Due Date”). Except as provided otherwise in Sections 4.1(b), 4.l(c), and 5.1, the Election Due Date shall in no event be later than: (i) December 31 of the calendar year prior to the Specified Year for Excess 401k Contributions Deferral Elections and (ii) the date that is six months prior to the last day of the Bonus Accrual Year for Annual Bonus Deferral Elections.
II.
Except as herein amended, the Plan shall remain in full force and effect.
|
| | | | |
Executed this July 23, 2018 . | | | |
| | | | |
|
| | | | |
| | | | McDonald’s Corporation |
| | | | |
| | | | |
| | | | /s/ Karen Matusinec |
| | | | Karen Matusinec |
| | | | Corporate SVP, Treasurer |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | |
Computation of Ratios | | | | | | | | | | | Exhibit 12 | |
Ratio of Earnings to Fixed Charges |
Dollars in millions |
| | | | | | | | | | | | | |
| Nine Months | | | | | | | | | | |
| Ended September 30, | | Years Ended December 31, |
| 2018 | | 2017 | | 2017 | | 2016 | | 2015 | | 2014 | | 2013 |
Earnings available for fixed charges | | | | | | | | | | | | | |
- Income before provision for income taxes | $ | 6,064.7 |
| | $ | 6,688.4 |
| | $ | 8,573.5 |
| | $ | 6,866.0 |
| | $ | 6,555.7 |
| | $ | 7,372.0 |
| | $ | 8,204.5 |
|
- Noncontrolling interest expense in operating results of majority-owned subsidiaries less equity in undistributed operating results of less than 50%-owned affiliates | (23.0 | ) | | 9.7 |
| | 5.3 |
| | 12.5 |
| | 7.3 |
| | 6.3 |
| | 9.0 |
|
- Income tax provision (benefit) of 50%-owned affiliates included in income from continuing operations before provision for income taxes | 33.4 |
| | 13.9 |
| | (36.5 | ) | | 3.3 |
| | 3.7 |
| | (0.1 | ) | | 23.8 |
|
- Portion of rent charges (after reduction for rental income from subleased properties) considered to be representative of interest factors* | 121.0 |
| | 202.9 |
| | 244.8 |
| | 342.6 |
| | 365.1 |
| | 374.6 |
| | 374.6 |
|
- Interest expense, amortization of debt discount and issuance costs, and depreciation of capitalized interest* | 738.2 |
| | 698.7 |
| | 938.3 |
| | 904.8 |
| | 660.4 |
| | 596.1 |
| | 548.9 |
|
| $ | 6,934.3 |
| | $ | 7,613.6 |
| | $ | 9,725.4 |
| | $ | 8,129.2 |
| | $ | 7,592.2 |
| | $ | 8,348.9 |
| | $ | 9,160.8 |
|
Fixed charges | |
| | |
| | |
| | |
| | |
| | |
| | |
|
- Portion of rent charges (after reduction for rental income from subleased properties) considered to be representative of interest factors* | $ | 121.0 |
| | $ | 202.9 |
| | $ | 244.8 |
| | $ | 342.6 |
| | $ | 365.1 |
| | $ | 374.6 |
| | $ | 374.6 |
|
- Interest expense, amortization of debt discount and issuance costs* | 727.5 |
| | 688.0 |
| | 924.0 |
| | 888.2 |
| | 643.7 |
| | 579.8 |
| | 532.1 |
|
- Capitalized interest* | 4.0 |
| | 4.1 |
| | 5.3 |
| | 7.1 |
| | 9.4 |
| | 14.8 |
| | 15.6 |
|
| $ | 852.5 |
| | $ | 895.0 |
| | $ | 1,174.1 |
| | $ | 1,237.9 |
| | $ | 1,018.2 |
| | $ | 969.2 |
| | $ | 922.3 |
|
Ratio of earnings to fixed charges | 8.13 |
| | 8.51 |
| | 8.28 |
| | 6.57 |
| | 7.46 |
| | 8.61 |
| | 9.93 |
|
| |
* | Includes amounts of the Company and its majority-owned subsidiaries, and one-half of the amounts of 50%-owned affiliates. The Company records interest expense on unrecognized tax benefits in the provision for income taxes. This interest is not included in the computation of fixed charges. |
Exhibit 31.1
Rule 13a-14(a) Certification of Chief Executive Officer
I, Stephen J. Easterbrook, certify that:
| |
(1) | I have reviewed this quarterly report on Form 10-Q of McDonald’s Corporation; |
| |
(2) | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
| |
(3) | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
| |
(4) | The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
| |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
| |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
| |
(c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
| |
(d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
| |
(5) | The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
| |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
| |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Date: November 1, 2018
|
|
/s/ Stephen J. Easterbrook |
Stephen J. Easterbrook |
President and Chief Executive Officer |
Exhibit 31.2
Rule 13a-14(a) Certification of Chief Financial Officer
I, Kevin M. Ozan, certify that:
| |
(1) | I have reviewed this quarterly report on Form 10-Q of McDonald’s Corporation; |
| |
(2) | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
| |
(3) | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
| |
(4) | The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
| |
(a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
| |
(b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
| |
(c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
| |
(d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
| |
(5) | The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
| |
(a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
| |
(b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Date: November 1, 2018
|
|
/s/ Kevin M. Ozan |
Kevin M. Ozan |
Corporate Executive Vice President and Chief Financial Officer |
Exhibit 32.1
Certification pursuant to 18 U.S.C. Section 1350 by the Chief Executive Officer, as adopted pursuant to
Section 906 of the Sarbanes-Oxley Act of 2002
Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of Section 1350, Chapter 63 of Title 18, United States Code), the undersigned officer of McDonald’s Corporation (the “Company”), does hereby certify, to such officer’s knowledge, that the Quarterly Report on Form 10-Q for the quarter ended September 30, 2018 of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and information contained in the Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of the Company.
Date: November 1, 2018
|
|
/s/ Stephen J. Easterbrook |
Stephen J. Easterbrook |
President and Chief Executive Officer |
Exhibit 32.2
Certification pursuant to 18 U.S.C. Section 1350 by the Chief Financial Officer, as adopted pursuant to
Section 906 of the Sarbanes-Oxley Act of 2002
Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of Section 1350, Chapter 63 of Title 18, United States Code), the undersigned officer of McDonald’s Corporation (the “Company”), does hereby certify, to such officer’s knowledge, that the Quarterly Report on Form 10-Q for the quarter ended September 30, 2018 of the Company fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and information contained in the Form 10-Q fairly presents, in all material respects, the financial condition and results of operations of the Company.
Date: November 1, 2018
|
|
/s/ Kevin M. Ozan |
Kevin M. Ozan |
Corporate Executive Vice President and Chief Financial Officer |
v3.10.0.1
X |
- DefinitionIf the value is true, then the document is an amendment to previously-filed/accepted document.
+ References
+ Details
Name: |
dei_AmendmentFlag |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:booleanItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionEnd date of current fiscal year in the format --MM-DD.
+ References
+ Details
Name: |
dei_CurrentFiscalYearEndDate |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:gMonthDayItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThis is focus fiscal period of the document report. For a first quarter 2006 quarterly report, which may also provide financial information from prior periods, the first fiscal quarter should be given as the fiscal period focus. Values: FY, Q1, Q2, Q3, Q4, H1, H2, M9, T1, T2, T3, M8, CY.
+ References
+ Details
Name: |
dei_DocumentFiscalPeriodFocus |
Namespace Prefix: |
dei_ |
Data Type: |
dei:fiscalPeriodItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThis is focus fiscal year of the document report in CCYY format. For a 2006 annual report, which may also provide financial information from prior periods, fiscal 2006 should be given as the fiscal year focus. Example: 2006.
+ References
+ Details
Name: |
dei_DocumentFiscalYearFocus |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:gYearItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe end date of the period reflected on the cover page if a periodic report. For all other reports and registration statements containing historical data, it is the date up through which that historical data is presented. If there is no historical data in the report, use the filing date. The format of the date is CCYY-MM-DD.
+ References
+ Details
Name: |
dei_DocumentPeriodEndDate |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:dateItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe type of document being provided (such as 10-K, 10-Q, 485BPOS, etc). The document type is limited to the same value as the supporting SEC submission type, or the word "Other".
+ References
+ Details
Name: |
dei_DocumentType |
Namespace Prefix: |
dei_ |
Data Type: |
dei:submissionTypeItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionA unique 10-digit SEC-issued value to identify entities that have filed disclosures with the SEC. It is commonly abbreviated as CIK.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation 12B -Number 240 -Section 12b -Subsection 1
+ Details
Name: |
dei_EntityCentralIndexKey |
Namespace Prefix: |
dei_ |
Data Type: |
dei:centralIndexKeyItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionIndicate number of shares or other units outstanding of each of registrant's classes of capital or common stock or other ownership interests, if and as stated on cover of related periodic report. Where multiple classes or units exist define each class/interest by adding class of stock items such as Common Class A [Member], Common Class B [Member] or Partnership Interest [Member] onto the Instrument [Domain] of the Entity Listings, Instrument.
+ References
+ Details
Name: |
dei_EntityCommonStockSharesOutstanding |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionIndicate whether the registrant is one of the following: (1) Large Accelerated Filer, (2) Accelerated Filer, (3) Non-accelerated Filer, (4) Smaller Reporting Company (Non-accelerated) or (5) Smaller Reporting Accelerated Filer. Definitions of these categories are stated in Rule 12b-2 of the Exchange Act. This information should be based on the registrant's current or most recent filing containing the related disclosure.
+ References
+ Details
Name: |
dei_EntityFilerCategory |
Namespace Prefix: |
dei_ |
Data Type: |
dei:filerCategoryItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe exact name of the entity filing the report as specified in its charter, which is required by forms filed with the SEC.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation 12B -Number 240 -Section 12b -Subsection 1
+ Details
Name: |
dei_EntityRegistrantName |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:normalizedStringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionTrading symbol of an instrument as listed on an exchange.
+ References
+ Details
Name: |
dei_TradingSymbol |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:normalizedStringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Condensed Consolidated Balance Sheet - USD ($) $ in Millions |
Sep. 30, 2018 |
Dec. 31, 2017 |
Current assets |
|
|
Cash and equivalents |
$ 2,574.5
|
$ 2,463.8
|
Accounts and notes receivable |
2,266.8
|
1,976.2
|
Inventories, at cost, not in excess of market |
41.9
|
58.8
|
Prepaid expenses and other current assets |
669.9
|
828.4
|
Total current assets |
5,553.1
|
5,327.2
|
Other assets |
|
|
Investments in and advances to affiliates |
1,135.5
|
1,085.7
|
Goodwill |
2,345.0
|
2,379.7
|
Miscellaneous |
2,406.5
|
2,562.8
|
Total other assets |
5,887.0
|
6,028.2
|
Property and equipment |
|
|
Property and equipment, at cost |
36,946.4
|
36,626.4
|
Accumulated depreciation and amortization |
(14,332.8)
|
(14,178.1)
|
Net property and equipment |
22,613.6
|
22,448.3
|
Total assets |
34,053.7
|
33,803.7
|
Current liabilities |
|
|
Accounts payable |
932.8
|
924.8
|
Dividends payable |
888.0
|
0.0
|
Income taxes |
160.0
|
265.8
|
Other taxes |
256.4
|
275.4
|
Accrued interest |
314.7
|
278.4
|
Accrued payroll and other liabilities |
1,074.8
|
1,146.2
|
Total current liabilities |
3,626.7
|
2,890.6
|
Long-term debt |
31,895.2
|
29,536.4
|
Long-term income taxes |
2,376.4
|
2,370.9
|
Deferred revenues - initial franchise fees |
617.0
|
0.0
|
Other long-term liabilities |
1,129.2
|
1,154.4
|
Deferred income taxes |
1,201.8
|
1,119.4
|
Shareholders' equity (deficit) |
|
|
Preferred stock, no par value; authorized—165.0 million shares; issued—none |
0.0
|
0.0
|
Common stock, $.01 par value; authorized—3.5 billion shares; issued—1,660.6 million shares |
16.6
|
16.6
|
Additional paid-in capital |
7,257.2
|
7,072.4
|
Retained earnings |
49,076.2
|
48,325.8
|
Accumulated other comprehensive income (loss) |
(2,508.3)
|
(2,178.4)
|
Common stock in treasury, at cost; 889.7 and 866.5 million shares |
(60,634.3)
|
(56,504.4)
|
Total shareholders' equity (deficit) |
(6,792.6)
|
(3,268.0)
|
Total liabilities and shareholders' equity (deficit) |
$ 34,053.7
|
$ 33,803.7
|
X |
- DefinitionAccrued expenses and other current liabilities
+ References
+ Details
Name: |
mcd_AccruedExpensesAndOtherCurrentLiabilities |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionDeferred revenues - initial franchise fees
+ References
+ Details
Name: |
mcd_Deferredrevenuesinitialfranchisefees |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionThe aggregate of amounts due from customers or clients, within one year of the balance sheet date (or one operating cycle, if longer), for goods or services that have been delivered or sold in the normal course of business and an amount representing an agreement for an unconditional promise by the maker to pay the entity (holder) a definite sum of money at a future date within one year of the balance sheet, reduced to their estimated net realizable fair value by an allowance established by the entity of the amount it deems uncertain of collection and net of any write-downs taken for collection uncertainty on the part of the holder, respectively.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.3,4) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_AccountsNotesAndLoansReceivableNetCurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionCarrying value as of the balance sheet date of liabilities incurred (and for which invoices have typically been received) and payable to vendors for goods and services received that are used in an entity's business. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.19(a)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_AccountsPayableCurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionAmount of accumulated depreciation, depletion and amortization for physical assets used in the normal conduct of business to produce goods and services.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=6391035&loc=d3e2868-110229
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.14) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionAccumulated change in equity from transactions and other events and circumstances from non-owner sources, net of tax effect, at period end. Excludes Net Income (Loss), and accumulated changes in equity from transactions resulting from investments by owners and distributions to owners. Includes foreign currency translation items, certain pension adjustments, unrealized gains and losses on certain investments in debt and equity securities, other than temporary impairment (OTTI) losses related to factors other than credit losses on available-for-sale and held-to-maturity debt securities that an entity does not intend to sell and it is not more likely than not that the entity will be required to sell before recovery of the amortized cost basis, as well as changes in the fair value of derivatives related to the effective portion of a designated cash flow hedge.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e637-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 14 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e681-108580
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 14A -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669686-108580
+ Details
Name: |
us-gaap_AccumulatedOtherComprehensiveIncomeLossNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionExcess of issue price over par or stated value of the entity's capital stock and amounts received from other transactions involving the entity's stock or stockholders. Includes adjustments to additional paid in capital. Some examples of such adjustments include recording the issuance of debt with a beneficial conversion feature and certain tax consequences of equity instruments awarded to employees. Use this element for the aggregate amount of additional paid-in capital associated with common and preferred stock. For additional paid-in capital associated with only common stock, use the element additional paid in capital, common stock. For additional paid-in capital associated with only preferred stock, use the element additional paid in capital, preferred stock.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(30)(a)(1)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_AdditionalPaidInCapital |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionSum of the carrying amounts as of the balance sheet date of all assets that are recognized. Assets are probable future economic benefits obtained or controlled by an entity as a result of past transactions or events.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-03(a)(12)) -URI http://asc.fasb.org/extlink&oid=6879938&loc=d3e572229-122910
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-03(11)) -URI http://asc.fasb.org/extlink&oid=6876686&loc=d3e534808-122878
+ Details
Name: |
us-gaap_Assets |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionSum of the carrying amounts as of the balance sheet date of all assets that are expected to be realized in cash, sold, or consumed within one year (or the normal operating cycle, if longer). Assets are probable future economic benefits obtained or controlled by an entity as a result of past transactions or events.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.9) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e6801-107765
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e6676-107765
+ Details
Name: |
us-gaap_AssetsCurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- References
+ Details
Name: |
us-gaap_AssetsCurrentAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount of currency on hand as well as demand deposits with banks or financial institutions. Includes other kinds of accounts that have the general characteristics of demand deposits. Also includes short-term, highly liquid investments that are both readily convertible to known amounts of cash and so near their maturity that they present insignificant risk of changes in value because of changes in interest rates. Excludes cash and cash equivalents within disposal group and discontinued operation.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 1 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e6676-107765
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3044-108585
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.1) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_CashAndCashEquivalentsAtCarryingValue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionAggregate par or stated value of issued nonredeemable common stock (or common stock redeemable solely at the option of the issuer). This item includes treasury stock repurchased by the entity. Note: elements for number of nonredeemable common shares, par value and other disclosure concepts are in another section within stockholders' equity.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(29)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_CommonStockValue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionAmount, after deferred tax asset, of deferred tax liability attributable to taxable differences, with jurisdictional netting and classified as noncurrent.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 45 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=84176650&loc=d3e31931-109318
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 45 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=84176650&loc=d3e31958-109318
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 45 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=84176650&loc=d3e31917-109318
+ Details
Name: |
us-gaap_DeferredTaxLiabilitiesNoncurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionCarrying value as of the balance sheet date of dividends declared but unpaid on equity securities issued by the entity and outstanding. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e6935-107765
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.20) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_DividendsPayableCurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionAmount after accumulated impairment loss of an asset representing future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=35741047&loc=d3e13816-109267
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6388280&loc=d3e13770-109266
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 45 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=77989000&loc=SL49117168-202975
+ Details
Name: |
us-gaap_Goodwill |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionCarrying value as of the balance sheet date of [accrued] interest payable on all forms of debt, including trade payables, that has been incurred and is unpaid. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.20) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e7018-107765
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e6935-107765
+ Details
Name: |
us-gaap_InterestPayableCurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionAmount after valuation and LIFO reserves of inventory expected to be sold, or consumed within one year or operating cycle, if longer.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.6(a)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 330 -SubTopic 10 -Section 35 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=68049868&loc=d3e3927-108312
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 1 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e6676-107765
+ Details
Name: |
us-gaap_InventoryNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionTotal investments in (A) an entity in which the entity has significant influence, but does not have control, (B) subsidiaries that are not required to be consolidated and are accounted for using the equity and or cost method, and (C) an entity in which the reporting entity shares control of the entity with another party or group. Includes long-term advances receivable from a party that is affiliated with the reporting entity by means of direct or indirect ownership.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.12) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_InvestmentsInAffiliatesSubsidiariesAssociatesAndJointVentures |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionAmount of liabilities and equity items, including the portion of equity attributable to noncontrolling interests, if any.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-03(23)) -URI http://asc.fasb.org/extlink&oid=6876686&loc=d3e534808-122878
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-03(a)(25)) -URI http://asc.fasb.org/extlink&oid=6879938&loc=d3e572229-122910
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(32)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_LiabilitiesAndStockholdersEquity |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionTotal obligations incurred as part of normal operations that are expected to be paid during the following twelve months or within one business cycle, if longer.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.21) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_LiabilitiesCurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- References
+ Details
Name: |
us-gaap_LiabilitiesCurrentAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount after unamortized (discount) premium and debt issuance costs of long-term debt classified as noncurrent and excluding amounts to be repaid within one year or the normal operating cycle, if longer. Includes, but not limited to, notes payable, bonds payable, debentures, mortgage loans and commercial paper. Excludes capital lease obligations.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_LongTermDebtNoncurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- References
+ Details
Name: |
us-gaap_OtherAssetsAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount of noncurrent assets classified as other.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.17) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_OtherAssetsNoncurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionAmount of liabilities classified as other, due after one year or the normal operating cycle, if longer.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.24) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_OtherLiabilitiesNoncurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionAggregate par or stated value of issued nonredeemable preferred stock (or preferred stock redeemable solely at the option of the issuer). This item includes treasury stock repurchased by the entity. Note: elements for number of nonredeemable preferred shares, par value and other disclosure concepts are in another section within stockholders' equity.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(28)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_PreferredStockValue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionAmount of asset related to consideration paid in advance for costs that provide economic benefits in future periods, and amount of other assets that are expected to be realized or consumed within one year or the normal operating cycle, if longer.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(8)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(7)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e6676-107765
+ Details
Name: |
us-gaap_PrepaidExpenseAndOtherAssetsCurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionAmount before accumulated depreciation, depletion and amortization of physical assets used in the normal conduct of business and not intended for resale. Examples include, but are not limited to, land, buildings, machinery and equipment, office equipment, and furniture and fixtures.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=6391035&loc=d3e2868-110229
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.13) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_PropertyPlantAndEquipmentGross |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionAmount after accumulated depreciation, depletion and amortization of physical assets used in the normal conduct of business to produce goods and services and not intended for resale. Examples include, but are not limited to, land, buildings, machinery and equipment, office equipment, and furniture and fixtures.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(13)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(14)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-03(a)(8)) -URI http://asc.fasb.org/extlink&oid=6879938&loc=d3e572229-122910
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6391035&loc=d3e2868-110229
+ Details
Name: |
us-gaap_PropertyPlantAndEquipmentNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- References
+ Details
Name: |
us-gaap_PropertyPlantAndEquipmentNetAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe cumulative amount of the reporting entity's undistributed earnings or deficit.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-03(a)(23)(a)(4)) -URI http://asc.fasb.org/extlink&oid=6879938&loc=d3e572229-122910
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.3-04) -URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(30)(a)(3)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_RetainedEarningsAccumulatedDeficit |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionTotal of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(30)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 4.E) -URI http://asc.fasb.org/extlink&oid=27010918&loc=d3e74512-122707
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(31)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(29)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_StockholdersEquity |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- References
+ Details
Name: |
us-gaap_StockholdersEquityAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe amount allocated to treasury stock. Treasury stock is common and preferred shares of an entity that were issued, repurchased by the entity, and are held in its treasury.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 30 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6405813&loc=d3e23239-112655
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.29,30) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 30 -Section 50 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23315-112656
+ Details
Name: |
us-gaap_TreasuryStockValue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
v3.10.0.1
Condensed Consolidated Balance Sheet (Parenthetical) - $ / shares
|
Sep. 30, 2018 |
Dec. 31, 2017 |
Preferred stock, par value |
$ 0
|
$ 0
|
Preferred stock, authorized |
165,000,000
|
165,000,000
|
Preferred stock, issued |
0
|
0
|
Common stock, par value |
$ 0.01
|
$ 0.01
|
Common stock, authorized |
3,500,000,000
|
3,500,000,000
|
Common stock, issued |
1,660,600,000
|
1,660,600,000
|
Common stock in treasury, shares |
889,700,000
|
866,500,000
|
X |
- DefinitionFace amount or stated value per share of common stock.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(29)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_CommonStockParOrStatedValuePerShare |
Namespace Prefix: |
us-gaap_ |
Data Type: |
num:perShareItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionThe maximum number of common shares permitted to be issued by an entity's charter and bylaws.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(29)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_CommonStockSharesAuthorized |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionTotal number of common shares of an entity that have been sold or granted to shareholders (includes common shares that were issued, repurchased and remain in the treasury). These shares represent capital invested by the firm's shareholders and owners, and may be all or only a portion of the number of shares authorized. Shares issued include shares outstanding and shares held in the treasury.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(29)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_CommonStockSharesIssued |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionFace amount per share of no-par value preferred stock nonredeemable or redeemable solely at the option of the issuer.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(28)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_PreferredStockNoParValue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
num:perShareItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionThe maximum number of nonredeemable preferred shares (or preferred stock redeemable solely at the option of the issuer) permitted to be issued by an entity's charter and bylaws.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(28)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_PreferredStockSharesAuthorized |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionTotal number of nonredeemable preferred shares (or preferred stock redeemable solely at the option of the issuer) issued to shareholders (includes related preferred shares that were issued, repurchased, and remain in the treasury). May be all or portion of the number of preferred shares authorized. Excludes preferred shares that are classified as debt.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(28)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_PreferredStockSharesIssued |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionNumber of common and preferred shares that were previously issued and that were repurchased by the issuing entity and held in treasury on the financial statement date. This stock has no voting rights and receives no dividends.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.29,30) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 30 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6405813&loc=d3e23239-112655
+ Details
Name: |
us-gaap_TreasuryStockShares |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
instant |
|
v3.10.0.1
Condensed Consolidated Statement of Income - USD ($) shares in Millions, $ in Millions |
3 Months Ended |
9 Months Ended |
Sep. 30, 2018 |
Sep. 30, 2017 |
Sep. 30, 2018 |
Sep. 30, 2017 |
Revenues |
|
|
|
|
Sales by Company-operated restaurants |
$ 2,511.0
|
$ 3,064.3
|
$ 7,641.5
|
$ 10,045.8
|
Revenues from franchised restaurants |
2,858.4
|
2,690.3
|
8,220.7
|
7,434.4
|
Total revenues |
5,369.4
|
5,754.6
|
15,862.2
|
17,480.2
|
Operating costs and expenses |
|
|
|
|
Company-operated restaurant expenses |
2,047.9
|
2,479.8
|
6,309.3
|
8,199.5
|
Franchised restaurants-occupancy expenses |
499.4
|
457.3
|
1,463.6
|
1,325.4
|
Selling, general & administrative expenses |
515.2
|
567.0
|
1,590.4
|
1,613.7
|
Other operating (income) expense, net |
(110.8)
|
(828.9)
|
(324.2)
|
(1,066.9)
|
Total operating costs and expenses |
2,951.7
|
2,675.2
|
9,039.1
|
10,071.7
|
Operating income |
2,417.7
|
3,079.4
|
6,823.1
|
7,408.5
|
Interest expense |
250.1
|
236.7
|
727.1
|
686.2
|
Nonoperating (income) expense, net |
8.9
|
23.2
|
31.3
|
33.9
|
Income before provision for income taxes |
2,158.7
|
2,819.5
|
6,064.7
|
6,688.4
|
Provision for income taxes |
521.4
|
935.8
|
1,555.7
|
2,194.8
|
Net income |
$ 1,637.3
|
$ 1,883.7
|
$ 4,509.0
|
$ 4,493.6
|
Earnings per common share-basic |
$ 2.12
|
$ 2.34
|
$ 5.77
|
$ 5.54
|
Earnings per common share-diluted |
2.10
|
2.32
|
5.72
|
5.48
|
Dividends declared per common share |
$ 2.17
|
$ 1.95
|
$ 4.19
|
$ 3.83
|
Weighted average shares outstanding-basic |
772.8
|
805.3
|
781.2
|
811.8
|
Weighted average shares outstanding-diluted |
779.6
|
813.5
|
788.5
|
819.4
|
X |
- DefinitionCost of sales and controllable expenses associated with company-operated restaurants.
+ References
+ Details
Name: |
mcd_CompanyOperatedRestaurantExpenses |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAggregate dividends declared during the period for each share of common stock outstanding.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.3-04) -URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770
+ Details
Name: |
us-gaap_CommonStockDividendsPerShareDeclared |
Namespace Prefix: |
us-gaap_ |
Data Type: |
num:perShareItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionTotal costs of sales and operating expenses for the period.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_CostsAndExpenses |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionThe amount of net income (loss) for the period per each share of common stock or unit outstanding during the reporting period.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 55 -Paragraph 52 -URI http://asc.fasb.org/extlink&oid=96948231&loc=d3e4984-109258
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-04(19)) -URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=96947427&loc=d3e1252-109256
Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03(21)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-04(23)) -URI http://asc.fasb.org/extlink&oid=6879574&loc=d3e536633-122882
+ Details
Name: |
us-gaap_EarningsPerShareBasic |
Namespace Prefix: |
us-gaap_ |
Data Type: |
num:perShareItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe amount of net income (loss) for the period available to each share of common stock or common unit outstanding during the reporting period and to each share or unit that would have been outstanding assuming the issuance of common shares or units for all dilutive potential common shares or units outstanding during the reporting period.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-04(19)) -URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=96947427&loc=d3e1252-109256
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03(21)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-04(23)) -URI http://asc.fasb.org/extlink&oid=6879574&loc=d3e536633-122882
+ Details
Name: |
us-gaap_EarningsPerShareDiluted |
Namespace Prefix: |
us-gaap_ |
Data Type: |
num:perShareItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionCosts incurred and are directly related to generating franchise revenues.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.2(e)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_FranchiseCosts |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionRevenue earned during the period from consideration (often a percentage of the franchisee's sales) received for the right to operate a business using the entity's name, merchandise, services, methodologies, promotional support, marketing, and supplies.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1(e)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 952 -SubTopic 605 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=68058139&loc=d3e68564-108043
+ Details
Name: |
us-gaap_FranchiseRevenue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of the cost of borrowed funds accounted for as interest expense.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6450988&loc=d3e26243-108391
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 45 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28555-108399
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-04.9) -URI http://asc.fasb.org/extlink&oid=6879574&loc=d3e536633-122882
+ Details
Name: |
us-gaap_InterestExpense |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionThe portion of profit or loss for the period, net of income taxes, which is attributable to the parent.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 28 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3602-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-04(22)) -URI http://asc.fasb.org/extlink&oid=6879574&loc=d3e536633-122882
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-04(18)) -URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913
Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03(20)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_NetIncomeLoss |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe aggregate amount of income or expense from ancillary business-related activities (that is to say, excluding major activities considered part of the normal operations of the business).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.7) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_NonoperatingIncomeExpense |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_OperatingCostsAndExpensesAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe net result for the period of deducting operating expenses from operating revenues.
+ References
+ Details
Name: |
us-gaap_OperatingIncomeLoss |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe net amount of other operating income and expenses, the components of which are not separately disclosed on the income statement, from items that are associated with the entity's normal revenue producing operations.
+ References
+ Details
Name: |
us-gaap_OtherOperatingIncomeExpenseNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of revenue recognized from goods sold, services rendered, insurance premiums, or other activities that constitute an earning process. Includes, but is not limited to, investment and interest income before deduction of interest expense when recognized as a component of revenue, and sales and trading gain (loss).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_Revenues |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_RevenuesAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAggregate revenue during the period from the sale of goods in the normal course of business, after deducting returns, allowances and discounts.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1(a)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_SalesRevenueGoodsNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe aggregate total costs related to selling a firm's product and services, as well as all other general and administrative expenses. Direct selling expenses (for example, credit, warranty, and advertising) are expenses that can be directly linked to the sale of specific products. Indirect selling expenses are expenses that cannot be directly linked to the sale of specific products, for example telephone expenses, Internet, and postal charges. General and administrative expenses include salaries of non-sales personnel, rent, utilities, communication, etc.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.4) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 330 -SubTopic 10 -Section 30 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=68048583&loc=d3e3636-108311
+ Details
Name: |
us-gaap_SellingGeneralAndAdministrativeExpense |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionThe average number of shares or units issued and outstanding that are used in calculating diluted EPS or earnings per unit (EPU), determined based on the timing of issuance of shares or units in the period.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 45 -Paragraph 16 -URI http://asc.fasb.org/extlink&oid=96947427&loc=d3e1505-109256
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257
+ Details
Name: |
us-gaap_WeightedAverageNumberOfDilutedSharesOutstanding |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionNumber of [basic] shares or units, after adjustment for contingently issuable shares or units and other shares or units not deemed outstanding, determined by relating the portion of time within a reporting period that common shares or units have been outstanding to the total time in that period.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 45 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=96947427&loc=d3e1448-109256
+ Details
Name: |
us-gaap_WeightedAverageNumberOfSharesOutstandingBasic |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Condensed Consolidated Statement of Comprehensive Income - USD ($) $ in Millions |
3 Months Ended |
9 Months Ended |
Sep. 30, 2018 |
Sep. 30, 2017 |
Sep. 30, 2018 |
Sep. 30, 2017 |
Net income |
$ 1,637.3
|
$ 1,883.7
|
$ 4,509.0
|
$ 4,493.6
|
Foreign currency translation adjustments: |
|
|
|
|
Gain (loss) recognized in accumulated other comprehensive income (AOCI), including net investment hedges |
(78.8)
|
247.3
|
(379.5)
|
780.6
|
Reclassification of (gain) loss to net income |
0.0
|
4.9
|
0.0
|
109.3
|
Foreign currency translation adjustments-net of tax benefit (expense) of $(19.0), $104.0, $(90.6) and $376.4 |
(78.8)
|
252.2
|
(379.5)
|
889.9
|
Cash flow hedges: |
|
|
|
|
Gain (loss) recognized in AOCI |
8.6
|
(14.5)
|
33.2
|
(44.8)
|
Reclassification of (gain) loss to net income |
(5.2)
|
9.1
|
10.4
|
3.2
|
Cash flow hedges-net of tax benefit (expense) of $(1.2), $3.1, $(13.0) and $23.5 |
3.4
|
(5.4)
|
43.6
|
(41.6)
|
Defined benefit pension plans: |
|
|
|
|
Gain (loss) recognized in AOCI |
0.0
|
0.0
|
(1.1)
|
(0.3)
|
Reclassification of (gain) loss to net income |
2.1
|
2.9
|
7.1
|
8.2
|
Defined benefit pension plans-net of tax benefit (expense) of $0.0, $0.0, $(0.8) and $(0.5) |
2.1
|
2.9
|
6.0
|
7.9
|
Total other comprehensive income (loss), net of tax |
(73.3)
|
249.7
|
(329.9)
|
856.2
|
Comprehensive income (loss) |
$ 1,564.0
|
$ 2,133.4
|
$ 4,179.1
|
$ 5,349.8
|
X |
- DefinitionAmount after tax of increase (decrease) in equity from transactions and other events and circumstances from net income and other comprehensive income, attributable to parent entity. Excludes changes in equity resulting from investments by owners and distributions to owners.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e557-108580
+ Details
Name: |
us-gaap_ComprehensiveIncomeNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe portion of profit or loss for the period, net of income taxes, which is attributable to the parent.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 28 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3602-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-04(22)) -URI http://asc.fasb.org/extlink&oid=6879574&loc=d3e536633-122882
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-04(18)) -URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913
Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03(20)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_NetIncomeLoss |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeDerivativesQualifyingAsHedgesNetOfTaxPeriodIncreaseDecreaseAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount after tax, before reclassification adjustments of gain (loss) on foreign currency translation adjustments, foreign currency transactions designated and effective as economic hedges of a net investment in a foreign entity and intra-entity foreign currency transactions that are of a long-term-investment nature.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 830 -SubTopic 30 -Section 45 -Paragraph 20 -URI http://asc.fasb.org/extlink&oid=64808268&loc=d3e32211-110900
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (a-c) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 830 -SubTopic 30 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6450520&loc=d3e32583-110901
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e637-108580
Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 830 -SubTopic 30 -Section 45 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=64808268&loc=d3e32022-110900
Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 830 -SubTopic 30 -Section 45 -Paragraph 18 -URI http://asc.fasb.org/extlink&oid=64808268&loc=d3e32157-110900
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeForeignCurrencyTransactionAndTranslationGainLossArisingDuringPeriodNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount after tax and reclassification adjustments, of increase (decrease) in accumulated gain (loss) from derivative instruments designated and qualifying as the effective portion of cash flow hedges and an entity's share of an equity investee's increase (decrease) in deferred hedging gain (loss).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossDerivativesQualifyingAsHedgesNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount after tax and reclassification adjustments of gain (loss) on foreign currency translation adjustments, foreign currency transactions designated and effective as economic hedges of a net investment in a foreign entity and intra-entity foreign currency transactions that are of a long-term-investment nature.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 830 -SubTopic 30 -Section 45 -Paragraph 20 -Subparagraph (b,c) -URI http://asc.fasb.org/extlink&oid=64808268&loc=d3e32211-110900
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount after tax of reclassification adjustment from accumulated other comprehensive income for translation gain (loss) realized upon the sale or liquidation of an investment in a foreign entity and foreign currency hedges that are designated and qualified as hedging instruments for hedges of the foreign currency exposure of a net investment in a foreign operation.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e689-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 830 -SubTopic 30 -Section 45 -Paragraph 20 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=64808268&loc=d3e32211-110900
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 16 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e709-108580
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e637-108580
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationReclassificationAdjustmentFromAOCIRealizedUponSaleOrLiquidationNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAmount after tax and reclassification adjustments of other comprehensive income (loss).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21463-112644
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 1A -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669619-108580
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 1B -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669625-108580
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 55 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=84158357&loc=d3e1436-108581
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossNetOfTaxPeriodIncreaseDecreaseAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount, after tax, before reclassification adjustment, of (increase) decrease in accumulated other comprehensive income of defined benefit plan, that has not been recognized in net periodic benefit cost (credit).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e637-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (i-k) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossPensionAndOtherPostretirementBenefitPlansAdjustmentBeforeReclassificationAdjustmentsNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossPensionAndOtherPostretirementBenefitPlansAdjustmentBeforeReclassificationAdjustmentsNetOfTaxAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount, after tax and reclassification adjustment, of (increase) decrease in accumulated other comprehensive income for defined benefit plan.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e637-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (i-k) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossPensionAndOtherPostretirementBenefitPlansAdjustmentNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAmount after tax of reclassification adjustment from accumulated other comprehensive income of accumulated gain (loss) realized from derivative instruments designated and qualifying as the effective portion of cash flow hedges and an entity's share of an equity investee's deferred hedging gain (loss).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e689-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4 -Subparagraph c -URI http://asc.fasb.org/extlink&oid=84234895&loc=d3e41638-113959
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e637-108580
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossReclassificationAdjustmentFromAOCIOnDerivativesNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAmount, after tax, of reclassification adjustment from accumulated other comprehensive income (loss) for gain (loss) of defined benefit plan.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e689-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e637-108580
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 715 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (i) -URI http://asc.fasb.org/extlink&oid=82843861&loc=d3e1928-114920
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossReclassificationAdjustmentFromAOCIPensionAndOtherPostretirementBenefitPlansForNetGainLossNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAmount after tax of increase (decrease) in accumulated gain (loss) from derivative instruments designated and qualifying as the effective portion of cash flow hedges and an entity's share of an equity investee's increase (decrease) in deferred hedging gain (loss).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e637-108580
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 30 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6441202&loc=d3e80720-113993
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624171-113959
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeUnrealizedGainLossOnDerivativesArisingDuringPeriodNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
v3.10.0.1
Condensed Consolidated Statement of Comprehensive Income (Parenthetical) - USD ($) $ in Millions |
3 Months Ended |
9 Months Ended |
Sep. 30, 2018 |
Sep. 30, 2017 |
Sep. 30, 2018 |
Sep. 30, 2017 |
Other comprehensive income (loss), foreign currency translation adjustment, tax |
$ (19.0)
|
$ 104.0
|
$ (90.6)
|
$ 376.4
|
Other comprehensive income (loss), derivatives qualifying as hedges, tax |
(1.2)
|
3.1
|
(13.0)
|
23.5
|
Other comprehensive income (loss), pension and other postretirement benefit plans, tax |
$ 0.0
|
$ 0.0
|
$ (0.8)
|
$ (0.5)
|
X |
- DefinitionAmount of tax expense (benefit), after reclassification adjustments, of increase (decrease) in accumulated gain (loss) from derivative instruments designated and qualifying as the effective portion of cash flow hedges and an entity's share of an equity investee's increase (decrease) in deferred hedging gain (loss).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e640-108580
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossDerivativesQualifyingAsHedgesTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAmount of tax expense (benefit), after reclassification adjustments of gain (loss) on foreign currency translation adjustments, foreign currency transactions designated and effective as economic hedges of a net investment in a foreign entity and intra-entity foreign currency transactions that are of a long-term-investment nature.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e640-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossForeignCurrencyTranslationAdjustmentTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAmount, after reclassification adjustment, of tax (expense) benefit for (increase) decrease in accumulated other comprehensive income of defined benefit plan.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e640-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 810 -SubTopic 10 -Section 45 -Paragraph 19 -URI http://asc.fasb.org/extlink&oid=96868048&loc=SL4569616-111683
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (i-k) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossPensionAndOtherPostretirementBenefitPlansTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
v3.10.0.1
Condensed Consolidated Statement of Cash Flows - USD ($) $ in Millions |
3 Months Ended |
9 Months Ended |
Sep. 30, 2018 |
Sep. 30, 2017 |
Sep. 30, 2018 |
Sep. 30, 2017 |
Operating activities |
|
|
|
|
Net income |
$ 1,637.3
|
$ 1,883.7
|
$ 4,509.0
|
$ 4,493.6
|
Charges and credits: |
|
|
|
|
Depreciation and amortization |
375.1
|
355.8
|
1,103.0
|
1,020.6
|
Deferred income taxes |
31.1
|
225.1
|
114.7
|
375.6
|
Share-based compensation |
36.0
|
39.5
|
99.7
|
83.5
|
Net gain on sale of restaurant businesses |
(68.0)
|
(902.0)
|
(257.1)
|
(1,065.2)
|
Other |
15.3
|
(42.3)
|
58.8
|
(67.8)
|
Changes in working capital items |
444.3
|
124.7
|
(173.0)
|
(398.4)
|
Cash provided by operations |
2,471.1
|
1,684.5
|
5,455.1
|
4,441.9
|
Investing activities |
|
|
|
|
Capital expenditures |
(703.8)
|
(416.9)
|
(1,867.9)
|
(1,213.3)
|
Purchases of restaurant businesses |
(40.2)
|
(20.8)
|
(75.5)
|
(38.9)
|
Sales of restaurant businesses |
109.5
|
1.9
|
439.4
|
851.8
|
Proceeds from sale of businesses in China and Hong Kong |
0.0
|
1,597.0
|
0.0
|
1,597.0
|
Sales of property |
11.3
|
59.2
|
135.8
|
153.3
|
Other |
(98.1)
|
(45.7)
|
(203.0)
|
(183.9)
|
Cash provided by (used for) investing activities |
(721.3)
|
1,174.7
|
(1,571.2)
|
1,166.0
|
Financing activities |
|
|
|
|
Net short-term borrowings |
(801.4)
|
(55.8)
|
(5.7)
|
(834.3)
|
Long-term financing issuances |
1,791.9
|
0.4
|
3,792.1
|
2,530.5
|
Long-term financing repayments |
(1.9)
|
(3.6)
|
(1,004.7)
|
(407.1)
|
Treasury stock purchases |
(1,040.7)
|
(2,081.7)
|
(4,280.8)
|
(3,937.4)
|
Common stock dividends |
(779.8)
|
(755.3)
|
(2,363.4)
|
(2,287.4)
|
Proceeds from stock option exercises |
69.2
|
82.5
|
236.2
|
373.1
|
Other |
(5.3)
|
3.5
|
(12.1)
|
(1.1)
|
Cash used for financing activities |
(768.0)
|
(2,810.0)
|
(3,638.4)
|
(4,563.7)
|
Effect of exchange rates on cash and cash equivalents |
(30.8)
|
76.2
|
(134.8)
|
229.6
|
Cash and equivalents increase |
951.0
|
125.4
|
110.7
|
1,273.8
|
Change in cash balances of businesses held for sale |
0.0
|
153.4
|
0.0
|
174.0
|
Cash and equivalents at beginning of period |
1,623.5
|
2,392.4
|
2,463.8
|
1,223.4
|
Cash and equivalents at end of period |
$ 2,574.5
|
$ 2,671.2
|
$ 2,574.5
|
$ 2,671.2
|
X |
- DefinitionIncrease(Decrease) in cash balances of businesses held for sale
+ References
+ Details
Name: |
mcd_IncreaseDecreaseincashbalancesofbusinessesheldforsale |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionProceeds from sale of businesses in China and Hong Kong
+ References
+ Details
Name: |
mcd_ProceedsfromsaleofbusinessesinChinaandHongKong |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_AdjustmentsNoncashItemsToReconcileNetIncomeLossToCashProvidedByUsedInOperatingActivitiesAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount of currency on hand as well as demand deposits with banks or financial institutions. Includes other kinds of accounts that have the general characteristics of demand deposits. Also includes short-term, highly liquid investments that are both readily convertible to known amounts of cash and so near their maturity that they present insignificant risk of changes in value because of changes in interest rates. Excludes cash and cash equivalents within disposal group and discontinued operation.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 1 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e6676-107765
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3044-108585
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.1) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_CashAndCashEquivalentsAtCarryingValue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionAmount of increase (decrease) in cash and cash equivalents. Cash and cash equivalents are the amount of currency on hand as well as demand deposits with banks or financial institutions. Includes other kinds of accounts that have the general characteristics of demand deposits. Also includes short-term, highly liquid investments that are both readily convertible to known amounts of cash and so near their maturity that they present insignificant risk of changes in value because of changes in interest rates. Includes effect from exchange rate changes.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 24 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3521-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 830 -SubTopic 230 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=98513438&loc=d3e33268-110906
+ Details
Name: |
us-gaap_CashAndCashEquivalentsPeriodIncreaseDecrease |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionThe current period expense charged against earnings on long-lived, physical assets not used in production, and which are not intended for resale, to allocate or recognize the cost of such assets over their useful lives; or to record the reduction in book value of an intangible asset over the benefit period of such asset; or to reflect consumption during the period of an asset that is not used in production.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6391035&loc=d3e2868-110229
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 28 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3602-108585
+ Details
Name: |
us-gaap_DepreciationAndAmortization |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAmount of increase (decrease) from the effect of exchange rate changes on cash and cash equivalent balances held in foreign currencies.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 830 -SubTopic 230 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=98513438&loc=d3e33268-110906
+ Details
Name: |
us-gaap_EffectOfExchangeRateOnCashAndCashEquivalents |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionGain (loss) from sale or disposal of an organization or integrated set of activities (for example, but not limited to, a partnership or corporation) engaged in providing a product or service in a commercial, industrial, or professional environment.
+ References
+ Details
Name: |
us-gaap_GainLossOnSaleOfBusiness |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe increase (decrease) during the reporting period of all assets and liabilities used in operating activities.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 28 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3602-108585
+ Details
Name: |
us-gaap_IncreaseDecreaseInOperatingCapital |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of cash inflow (outflow) from financing activities, including discontinued operations. Financing activity cash flows include obtaining resources from owners and providing them with a return on, and a return of, their investment; borrowing money and repaying amounts borrowed, or settling the obligation; and obtaining and paying for other resources obtained from creditors on long-term credit.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 24 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3521-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3574-108585
+ Details
Name: |
us-gaap_NetCashProvidedByUsedInFinancingActivities |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_NetCashProvidedByUsedInFinancingActivitiesAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount of cash inflow (outflow) from investing activities, including discontinued operations. Investing activity cash flows include making and collecting loans and acquiring and disposing of debt or equity instruments and property, plant, and equipment and other productive assets.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 24 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3521-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3574-108585
+ Details
Name: |
us-gaap_NetCashProvidedByUsedInInvestingActivities |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_NetCashProvidedByUsedInInvestingActivitiesAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount of cash inflow (outflow) from operating activities, including discontinued operations. Operating activity cash flows include transactions, adjustments, and changes in value not defined as investing or financing activities.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 24 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3521-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 28 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3602-108585
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 25 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3536-108585
+ Details
Name: |
us-gaap_NetCashProvidedByUsedInOperatingActivities |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_NetCashProvidedByUsedInOperatingActivitiesAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe portion of profit or loss for the period, net of income taxes, which is attributable to the parent.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 28 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3602-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-04(22)) -URI http://asc.fasb.org/extlink&oid=6879574&loc=d3e536633-122882
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-04(18)) -URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913
Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03(20)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_NetIncomeLoss |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of income (expense) included in net income that results in no cash inflow (outflow), classified as other.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 28 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3602-108585
+ Details
Name: |
us-gaap_OtherNoncashIncomeExpense |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of cash (inflow) outflow from investing activities classified as other.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3098-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3095-108585
+ Details
Name: |
us-gaap_PaymentsForProceedsFromOtherInvestingActivities |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe cash outflow to reacquire common stock during the period.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 15 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3291-108585
+ Details
Name: |
us-gaap_PaymentsForRepurchaseOfCommonStock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of cash outflow in the form of ordinary dividends to common shareholders of the parent entity.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 15 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3291-108585
+ Details
Name: |
us-gaap_PaymentsOfDividendsCommonStock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe cash outflow for purchases of and capital improvements on property, plant and equipment (capital expenditures), software, and other intangible assets.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 13 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3213-108585
+ Details
Name: |
us-gaap_PaymentsToAcquireProductiveAssets |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe cash outflow associated with the acquisition of long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale; includes cash outflows to pay for construction of self-constructed assets.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 13 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3213-108585
+ Details
Name: |
us-gaap_PaymentsToAcquirePropertyPlantAndEquipment |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe cash inflow from a debt initially having maturity due after one year or beyond the operating cycle, if longer.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 14 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3255-108585
+ Details
Name: |
us-gaap_ProceedsFromIssuanceOfLongTermDebt |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAmount of cash inflow (outflow) from financing activities classified as other.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3095-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3098-108585
+ Details
Name: |
us-gaap_ProceedsFromPaymentsForOtherFinancingActivities |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionThe net cash inflow or outflow for borrowing having initial term of repayment within one year or the normal operating cycle, if longer.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 9 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3098-108585
+ Details
Name: |
us-gaap_ProceedsFromRepaymentsOfShortTermDebt |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionThe cash inflow from the sale of property, plant and equipment (capital expenditures), software, and other intangible assets.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 12 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3179-108585
+ Details
Name: |
us-gaap_ProceedsFromSaleOfProductiveAssets |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionThe cash inflow from the sale of long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 12 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3179-108585
+ Details
Name: |
us-gaap_ProceedsFromSaleOfPropertyPlantAndEquipment |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionAmount of cash inflow from exercise of stock options granted under share-based compensation arrangement.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 14 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3255-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2A -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=96867065&loc=SL79508275-113901
+ Details
Name: |
us-gaap_ProceedsFromStockOptionsExercised |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionThe cash outflow for debt initially having maturity due after one year or beyond the normal operating cycle, if longer.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 15 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3291-108585
+ Details
Name: |
us-gaap_RepaymentsOfLongTermDebt |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe aggregate amount of noncash, equity-based employee remuneration. This may include the value of stock or unit options, amortization of restricted stock or units, and adjustment for officers' compensation. As noncash, this element is an add back when calculating net cash generated by operating activities using the indirect method.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 28 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3602-108585
+ Details
Name: |
us-gaap_ShareBasedCompensation |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
v3.10.0.1
Condensed Consolidated Statement of Shareholders' Equity - 9 months ended Sep. 30, 2018 - USD ($) shares in Millions, $ in Millions |
Total |
Common stock issued |
Additional paid-in capital |
Retained earnings |
Pensions |
Cash flow hedges |
Foreign currency translation |
Common stock in treasury |
Beginning Balance (in shares) at Dec. 31, 2017 |
|
1,660.6
|
|
|
|
|
|
(866.5)
|
Beginning Balance at Dec. 31, 2017 |
$ (3,268.0)
|
$ 16.6
|
$ 7,072.4
|
$ 48,325.8
|
$ (190.2)
|
$ (16.5)
|
$ (1,971.7)
|
$ (56,504.4)
|
Net income |
4,509.0
|
|
|
4,509.0
|
|
|
|
|
Other comprehensive income (loss), net of tax |
(329.9)
|
|
|
|
6.0
|
43.6
|
(379.5)
|
|
Comprehensive income |
4,179.1
|
|
|
|
|
|
|
|
Adoption of ASC 606 |
(450.2)
|
|
|
(450.2)
|
|
|
|
|
Adoption of ASU 2016-16 |
(57.0)
|
|
|
(57.0)
|
|
|
|
|
Common stock cash dividends |
(3,251.4)
|
|
|
(3,251.4)
|
|
|
|
|
Treasury stock purchases (in shares) |
|
|
|
|
|
|
|
(26.7)
|
Treasury stock purchases |
(4,280.8)
|
|
|
|
|
|
|
$ (4,280.8)
|
Share-based compensation |
99.7
|
|
99.7
|
|
|
|
|
|
Stock option exercises and other (in shares) |
|
|
|
|
|
|
|
3.5
|
Stock option exercises and other |
236.0
|
|
85.1
|
|
|
|
|
$ 150.9
|
Ending Balance (in shares) at Sep. 30, 2018 |
|
1,660.6
|
|
|
|
|
|
(889.7)
|
Ending Balance at Sep. 30, 2018 |
$ (6,792.6)
|
$ 16.6
|
$ 7,257.2
|
$ 49,076.2
|
$ (184.2)
|
$ 27.1
|
$ (2,351.2)
|
$ (60,634.3)
|
X |
- DefinitionStock Option Exercises And Other, Shares
+ References
+ Details
Name: |
mcd_StockOptionExercisesAndOtherShares |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionValue of stock issued during the period as a result of the exercise of stock options as well as other activity.
+ References
+ Details
Name: |
mcd_StockOptionExercisesAndOtherValue |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of increase to additional paid-in capital (APIC) from recognition of equity-based compensation.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 35 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=79507207&loc=d3e4534-113899
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=96867065&loc=d3e5047-113901
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 20 -Section 55 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=96864182&loc=d3e11149-113907
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 20 -Section 55 -Paragraph 13 -URI http://asc.fasb.org/extlink&oid=96864182&loc=d3e11178-113907
+ Details
Name: |
us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount after tax of increase (decrease) in equity from transactions and other events and circumstances from net income and other comprehensive income, attributable to parent entity. Excludes changes in equity resulting from investments by owners and distributions to owners.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e557-108580
+ Details
Name: |
us-gaap_ComprehensiveIncomeNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of paid and unpaid cash dividends declared for classes of stock, for example, but not limited to, common and preferred.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.3-04) -URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 405 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6957935&loc=d3e64057-112817
+ Details
Name: |
us-gaap_DividendsCash |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
X |
- DefinitionThe portion of profit or loss for the period, net of income taxes, which is attributable to the parent.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 45 -Paragraph 28 -URI http://asc.fasb.org/extlink&oid=98514028&loc=d3e3602-108585
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-04(22)) -URI http://asc.fasb.org/extlink&oid=6879574&loc=d3e536633-122882
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 225 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-04(18)) -URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913
Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03(20)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_NetIncomeLoss |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount after tax and reclassification adjustments of other comprehensive income (loss).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21463-112644
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 1A -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669619-108580
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 1B -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669625-108580
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 55 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=84158357&loc=d3e1436-108581
+ Details
Name: |
us-gaap_OtherComprehensiveIncomeLossNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionNumber of shares of stock issued as of the balance sheet date, including shares that had been issued and were previously outstanding but which are now held in the treasury.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21463-112644
+ Details
Name: |
us-gaap_SharesIssued |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionTotal of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(30)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 4.E) -URI http://asc.fasb.org/extlink&oid=27010918&loc=d3e74512-122707
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(31)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(29)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_StockholdersEquity |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionNumber of shares that have been repurchased during the period and are being held in treasury.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.3-04) -URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(29)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21463-112644
+ Details
Name: |
us-gaap_TreasuryStockSharesAcquired |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionEquity impact of the cost of common and preferred stock that were repurchased during the period. Recorded using the cost method.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21463-112644
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 30 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6405813&loc=d3e23239-112655
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.3-04) -URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770
+ Details
Name: |
us-gaap_TreasuryStockValueAcquiredCostMethod |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
duration |
|
v3.10.0.1
Basis of Presentation
|
9 Months Ended |
Sep. 30, 2018 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
|
Basis of Presentation |
Basis of PresentationThe accompanying condensed consolidated financial statements should be read in conjunction with the consolidated financial statements contained in the Company’s December 31, 2017 Annual Report on Form 10-K. In the opinion of management, all adjustments (consisting of normal recurring accruals) necessary for a fair presentation have been included. The results for the quarter and nine months ended September 30, 2018, do not necessarily indicate the results that may be expected for the full year.
|
X |
- References
+ Details
Name: |
us-gaap_OrganizationConsolidationAndPresentationOfFinancialStatementsAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe entire disclosure for organization, consolidation and basis of presentation of financial statements disclosure.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -URI http://asc.fasb.org/topic&trid=2122149
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 810 -URI http://asc.fasb.org/topic&trid=2197479
+ Details
Name: |
us-gaap_OrganizationConsolidationAndPresentationOfFinancialStatementsDisclosureTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Restaurant Information
|
9 Months Ended |
Sep. 30, 2018 |
Disclosure Restaurant Information By Ownership Type [Abstract] |
|
Restaurant Information |
Restaurant Information The following table presents restaurant information by ownership type: | | | | | | | Restaurants at September 30, | 2018 | | 2017 | Conventional franchised | 21,586 |
| | 21,214 |
| Developmental licensed | 7,103 |
| | 6,824 |
| Foreign affiliated | 6,056 |
| | 5,708 |
| Total Franchised | 34,745 |
| | 33,746 |
| Company-operated | 2,812 |
| | 3,230 |
| Systemwide restaurants | 37,557 |
| | 36,976 |
|
The results of operations of restaurant businesses purchased and sold in transactions with franchisees were not material either individually or in the aggregate to the condensed consolidated financial statements for the periods prior to purchase and sale.
|
X |
- DefinitionThis element may be used to capture disclosure pertaining to number of restaurants and ownership type.
+ References
+ Details
Name: |
mcd_RestaurantOwnershipTextBlock |
Namespace Prefix: |
mcd_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Per Common Share Information
|
9 Months Ended |
Sep. 30, 2018 |
Earnings Per Share [Abstract] |
|
Per Common Share Information |
Per Common Share Information Diluted earnings per common share is calculated using net income divided by diluted weighted-average shares. Diluted weighted-average shares include weighted-average shares outstanding plus the dilutive effect of share-based compensation, calculated using the treasury stock method, of 6.8 million shares and 8.2 million shares for the quarters 2018 and 2017, respectively, and 7.3 million shares and 7.6 million shares for the nine months 2018 and 2017, respectively. Stock options that would have been antidilutive, and therefore were not included in the calculation of diluted weighted-average shares, totaled 2.5 million shares and 0.1 million shares for the quarters 2018 and 2017, respectively, and 2.5 million shares and 0.7 million shares for the nine months 2018 and 2017, respectively. In September 2018, McDonald's Board of Directors declared a fourth quarter dividend of $1.16 per share of common stock, resulting in $888.0 million of dividends payable in December 2018.
|
X |
- References
+ Details
Name: |
us-gaap_EarningsPerShareAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe entire disclosure for earnings per share.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -URI http://asc.fasb.org/topic&trid=2144383
+ Details
Name: |
us-gaap_EarningsPerShareTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Recent Accounting Pronouncements
|
9 Months Ended |
Sep. 30, 2018 |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] |
|
Recent Accounting Pronouncements |
Recently Issued Accounting Standards Measurement Period - Tax Cuts and Jobs Act of 2017 In December 2017, the Securities and Exchange Commission published Staff Accounting Bulletin No. 118 ("SAB 118"), which provides guidance on reporting for accounting impacts of the Tax Cuts and Jobs Act of 2017 (“Tax Act”). SAB 118 allowed the Company to provide reasonable estimates in its 2017 consolidated financial statements for the income tax effects of the Tax Act and to report those effects as provisional amounts in its financial statements through a limited measurement period. Under SAB 118, the measurement period may not extend beyond one year from the enactment of the Tax Act. The Company has not completed the accounting for the tax effects of the enactment of the Tax Act, although it has made reasonable estimates of the effects on existing deferred tax balances and on the one-time transition tax on earnings of certain foreign subsidiaries. Certain aspects of the Tax Act are expected to be clarified, and as such, could impact these estimates. The Company will complete the accounting for the tax effects in the fourth quarter 2018. A net provisional tax cost of approximately $700 million was originally recognized in the Company's 2017 consolidated financial statements, and the Company subsequently recorded an additional $47 million in the third quarter 2018, resulting in a total increase of $99 million for the nine months 2018. Lease Accounting In February 2016, the Financial Accounting Standards Board ("FASB") issued ASU 2016-02, “Leases (Topic 842),” to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. Most prominent among the amendments is the recognition of assets and liabilities by lessees for those leases classified as operating leases under current U.S. GAAP. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The Company will adopt the new standard effective January 1, 2019. At transition, the Company will recognize and measure leases using the required modified retrospective approach. The Company anticipates ASU 2016-02 will have a material impact on the consolidated balance sheet due to the significance of the Company’s operating lease portfolio. The Company will elect an optional practical expedient to retain the classification of existing leases, and, therefore, anticipates a minimal initial impact on the consolidated statement of income. The impact of ASU 2016-02 is non-cash in nature; therefore, it will not affect the Company’s cash flows.
Recently Adopted Accounting Standards Derivatives and Hedging In August 2017, the FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities.” ASU 2017-12 expanded components of fair value hedging, specifies the recognition and presentation of the effects of hedging instruments, and eliminates the separate measurement and presentation of hedge ineffectiveness. The Company elected to early adopt the new standard in the first quarter of 2018 and applied the presentation and disclosure guidance on a prospective basis. The adoption of the standard did not have a material impact on the Company's condensed consolidated financial statements. Income Taxes In October 2016, the FASB issued ASU 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory.” The goal of this update was to improve the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. The Company adopted this standard on January 1, 2018 using a modified retrospective method, resulting in a cumulative catch up adjustment of $57 million, the majority of which was recorded within miscellaneous other assets on the condensed consolidated balance sheet. The adoption of this standard did not have a material impact on the condensed consolidated statements of income and cash flows. Revenue Recognition In May 2014, the FASB issued guidance codified in ASC 606, “Revenue Recognition - Revenue from Contracts with Customers,” which amended the guidance in former ASC 605, "Revenue Recognition." The core principle of the standard is to recognize revenue when control of the promised goods or services is transferred to customers in an amount that reflects the consideration expected to be received for those goods or services. The standard also requires additional disclosures around the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. On January 1, 2018, the Company adopted ASC 606 using the modified retrospective method. Refer to the Revenues footnote below for further details.
|
X |
- DefinitionThe entire disclosure for a new accounting pronouncement that has been issued but not yet adopted.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 250 -URI http://asc.fasb.org/topic&trid=2122394
+ Details
Name: |
us-gaap_DescriptionOfNewAccountingPronouncementsNotYetAdopted |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_NewAccountingPronouncementsAndChangesInAccountingPrinciplesAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Revenues
|
9 Months Ended |
Sep. 30, 2018 |
Revenue from Contract with Customer [Abstract] |
|
Revenue from Contract with Customer [Text Block] |
Revenues The Company’s revenues consist of sales by Company-operated restaurants and fees from franchised restaurants operated by conventional franchisees, developmental licensees and foreign affiliates. Revenues from conventional franchised restaurants include rent and royalties based on a percent of sales with minimum rent payments, and initial fees. Revenues from restaurants licensed to foreign affiliates and developmental licensees include a royalty based on a percent of sales, and may include initial fees. ASC 606 provides that revenues are to be recognized when control of promised goods or services is transferred to a customer in an amount that reflects the consideration expected to be received for those goods or services. This standard does not impact the Company's recognition of revenue from Company-operated restaurants as those sales are recognized on a cash basis at the time of the underlying sale and are presented net of sales tax and other sales-related taxes. The standard also does not change the recognition of royalties from restaurants operated by franchisees or licensed to affiliates and developmental licensees, which are based on a percent of sales and recognized at the time the underlying sales occur. Rental income from restaurants operated by conventional franchisees is also not impacted by this standard as those revenues are subject to the guidance in ASC 840, "Leases." The standard does change the timing in which the Company recognizes initial fees from franchisees for new restaurant openings and new franchise terms. The Company's accounting policy through December 31, 2017, was to recognize initial franchise fees when received, upon a new restaurant opening and at the start of a new franchise term. Beginning in January 2018, initial franchise fees are being recognized as the Company satisfies the performance obligation over the franchise term, which is generally 20 years. The Company adopted ASC 606 as of January 1, 2018, using the modified retrospective method. This method allows the standard to be applied retrospectively through a cumulative catch up adjustment recognized upon adoption. As such, comparative information in the Company’s financial statements has not been restated and continues to be reported under the accounting standards in effect for those periods. The cumulative adjustment recorded upon adoption of ASC 606 consisted of deferred revenue of approximately $600 million within long-term liabilities and approximately $150 million of associated adjustments to the deferred tax balances which are recorded in Deferred income taxes and Miscellaneous other assets on the condensed consolidated balance sheet.
The following table presents revenue disaggregated by revenue source (in millions): | | | | | | | | | | | | | | | | | | | | Quarters Ended | | Nine Months Ended | | | September 30, | | September 30, | | | 2018 |
| | 2017 |
| | 2018 | | 2017 |
| Company-operated sales | |
|
| |
|
| |
|
| | | U.S. | | $ | 637.3 |
| | $ | 798.7 |
| | $ | 2,042.8 |
| | $ | 2,483.8 |
| International Lead Markets | | 992.3 |
| | 1,076.3 |
| | 3,022.1 |
| | 3,038.9 |
| High Growth Markets | | 737.8 |
| | 1,054.9 |
| | 2,170.7 |
| | 3,859.5 |
| Foundational Markets & Corporate | | 143.6 |
| | 134.4 |
| | 405.9 |
| | 663.6 |
| Total | | $ | 2,511.0 |
| | $ | 3,064.3 |
| | $ | 7,641.5 |
| | $ | 10,045.8 |
| Franchised revenues | |
|
| |
|
| | | | | U.S. | | $ | 1,292.7 |
| | $ | 1,224.6 |
| | $ | 3,715.6 |
| | $ | 3,516.9 |
| International Lead Markets | | 948.2 |
| | 894.2 |
| | 2,726.8 |
| | 2,388.3 |
| High Growth Markets | | 302.4 |
| | 267.2 |
| | 855.7 |
| | 679.0 |
| Foundational Markets & Corporate | | 315.1 |
| | 304.3 |
| | 922.6 |
| | 850.2 |
| Total* | | $ | 2,858.4 |
| | $ | 2,690.3 |
| | $ | 8,220.7 |
| | $ | 7,434.4 |
| Total revenues | |
|
| |
|
| | | | | U.S. | | $ | 1,930.0 |
| | $ | 2,023.3 |
| | $ | 5,758.4 |
| | $ | 6,000.7 |
| International Lead Markets | | 1,940.5 |
| | 1,970.5 |
| | 5,748.9 |
| | 5,427.2 |
| High Growth Markets | | 1,040.2 |
| | 1,322.1 |
| | 3,026.4 |
| | 4,538.5 |
| Foundational Markets & Corporate | | 458.7 |
| | 438.7 |
| | 1,328.5 |
| | 1,513.8 |
| Total | | $ | 5,369.4 |
| | $ | 5,754.6 |
| | $ | 15,862.2 |
| | $ | 17,480.2 |
|
* The Company expects the application of ASC 606 to negatively impact 2018 annual franchised revenues by approximately $50 million. Results for the quarter and nine months ended September 30, 2018, reflected an impact of approximately $10 million and $25 million, respectively, due to the timing of new restaurant openings and new franchise terms.
|
X |
- References
+ Details
Name: |
us-gaap_RevenueFromContractWithCustomerAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -URI http://asc.fasb.org/topic&trid=2122369
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -URI http://asc.fasb.org/topic&trid=49130388
+ Details
Name: |
us-gaap_RevenueFromContractWithCustomerTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Fair Value Measurements
|
9 Months Ended |
Sep. 30, 2018 |
Fair Value Disclosures [Abstract] |
|
Fair Value Measurements |
Fair Value Measurements The Company measures certain financial assets and liabilities at fair value. Fair value disclosures are reflected in a three-level hierarchy, maximizing the use of observable inputs and minimizing the use of unobservable inputs. The Company did not have any significant changes to the valuation techniques used to measure fair value as described in the Company's December 31, 2017 Annual Report on Form 10-K. At September 30, 2018, the fair value of the Company’s debt obligations was estimated at $32.8 billion, compared to a carrying amount of $31.9 billion. The fair value was based upon quoted market prices, Level 2 within the valuation hierarchy. The carrying amounts of cash and equivalents, short-term investments and notes receivable approximate fair value.
|
X |
- References
+ Details
Name: |
us-gaap_FairValueDisclosuresAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -URI http://asc.fasb.org/topic&trid=2155941
+ Details
Name: |
us-gaap_FairValueDisclosuresTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Financial Instruments and Hedging Activities
|
9 Months Ended |
Sep. 30, 2018 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
|
Financial Instruments and Hedging Activities |
Financial Instruments and Hedging Activities The Company is exposed to global market risks, including the effect of changes in interest rates and foreign currency fluctuations. The Company uses foreign currency denominated debt and derivative instruments to mitigate the impact of these changes. The Company does not hold or issue derivatives for trading purposes. The following table presents the fair values of derivative instruments included on the condensed consolidated balance sheet: | | | | | | | | | | | | | | | | | | | | | | Derivative Assets | | Derivative Liabilities | In millions | Balance Sheet Classification | | September 30, 2018 | | December 31, 2017 | | Balance Sheet Classification | | September 30, 2018 | | December 31, 2017 | Derivatives designated as hedging instruments | | | | | | | | | Foreign currency | Prepaid expenses and other current assets | | $ | 24.7 |
| | $ | 0.5 |
| | Accrued payroll and other liabilities | | $ | (1.7 | ) | | $ | (31.0 | ) | Interest rate | | | | | | | Accrued payroll and other liabilities | | (0.6 | ) | | (0.3 | ) | Foreign currency | Miscellaneous other assets | | 6.5 |
| | 0.1 |
| | Other long-term liabilities | | (0.3 | ) | | (1.4 | ) | Interest rate | Miscellaneous other assets
| | 3.0 |
| | — |
| | Other long-term liabilities | | (27.7 | ) | | (5.9 | ) | Total derivatives designated as hedging instruments | | $ | 34.2 |
| | $ | 0.6 |
| | | | $ | (30.3 | ) | | $ | (38.6 | ) | Derivatives not designated as hedging instruments | | | | | | | | | Equity | Prepaid expenses and other current assets
| | $ | 166.4 |
| | $ | — |
| | Accrued payroll and other liabilities | | $ | (0.2 | ) | | $ | (1.3 | ) | Foreign currency | Prepaid expenses and other current assets
| | 12.1 |
| | — |
| | Accrued payroll and other liabilities | | — |
| | (5.5 | ) | Equity | Miscellaneous other assets | | — |
| | 167.3 |
| | | | | | | Total derivatives not designated as hedging instruments | | $ | 178.5 |
| | $ | 167.3 |
| | | | $ | (0.2 | ) | | $ | (6.8 | ) | Total derivatives | | $ | 212.7 |
| | $ | 167.9 |
| | | | $ | (30.5 | ) | | $ | (45.4 | ) |
The following table presents the pre-tax amounts from derivative instruments affecting income and other comprehensive income (“OCI”) for the nine months ended September 30, 2018 and 2017, respectively: | | | | | | | | | | | | | | | | | | | | | | | | | | | | Location of Gain or Loss Recognized in Income on Derivative | | Gain (Loss) Recognized in Accumulated OCI | | Gain (Loss) Reclassified into Income from Accumulated OCI | | Gain (Loss) Recognized in Income on Derivative | | | | | | | | | In millions | | | 2018 | | 2017 | | 2018 | | 2017 | | 2018 | | 2017 | Foreign currency | Nonoperating income/expense | | $ | 42.9 |
| | $ | (70.1 | ) | | $ | (12.9 | ) | | $ | (4.6 | ) | | | | | Interest rate | Interest expense | | — |
| | — |
| | (0.8 | ) | | (0.4 | ) | | | | | Cash flow hedges | | $ | 42.9 |
| | $ | (70.1 | ) | | $ | (13.7 | ) | | $ | (5.0 | ) | | | | | | | | | | | | | | | | | | | Foreign currency denominated debt | Nonoperating income/expense | | $ | 501.6 |
| | $ | (1,376.1 | ) | | $ | — |
| | $ | — |
| | | | | Foreign currency derivatives | Nonoperating income/expense | | 4.2 |
| | (17.4 | ) | | — |
| | 8.6 |
| | | | | Foreign currency derivatives(1) | Interest expense | | | | | | | | | | $ | 1.6 |
| | $ | — |
| Net investment hedges | | $ | 505.8 |
| | $ | (1,393.5 | ) | | $ | — |
| | $ | 8.6 |
| | $ | 1.6 |
| | $ | — |
| | | | | | | | | | | | | | | Foreign currency | Nonoperating income/expense | | | | | | | | | | $ | 17.4 |
| | $ | (23.7 | ) | Equity | Selling, general & administrative expenses | | | | | | | | | | 17.3 |
| | 64.0 |
| Undesignated derivatives | | | | | | | | | | $ | 34.7 |
| | $ | 40.3 |
| (1)The amount of gain (loss) recognized in income related to components excluded from effectiveness testing. |
Fair Value Hedges The Company enters into fair value hedges to reduce the exposure to changes in fair values of certain liabilities. The Company enters into fair value hedges that convert a portion of its fixed rate debt into floating rate debt by use of interest rate swaps. At September 30, 2018, the carrying amount of fixed-rate debt that was effectively converted was $724.7 million, which included a decrease of $25.3 million of cumulative hedging adjustments. For the nine months ended September 30, 2018, the Company recognized a $19.1 million loss on the fair value of interest rate swaps, and a corresponding gain on the fair value of the related hedged debt instrument to Interest expense. Cash Flow Hedges The Company enters into cash flow hedges to reduce the exposure to variability in certain expected future cash flows. To protect against the reduction in value of forecasted foreign currency cash flows (such as royalties denominated in foreign currencies), the Company uses foreign currency forwards to hedge a portion of anticipated exposures. The hedges cover the next 18 months for certain exposures and are denominated in various currencies. As of September 30, 2018, the Company had derivatives outstanding with an equivalent notional amount of $746.0 million that hedged a portion of forecasted foreign currency denominated cash flows. Based on market conditions at September 30, 2018, the $27.1 million in cumulative cash flow hedging gains, after tax, is not expected to have a significant effect on earnings over the next 12 months. Net Investment Hedges The Company primarily uses foreign currency denominated debt (third party and intercompany) to hedge its investments in certain foreign subsidiaries and affiliates. Realized and unrealized translation adjustments from these hedges are included in shareholders' equity in the foreign currency translation component of OCI and offset translation adjustments on the underlying net assets of foreign subsidiaries and affiliates, which also are recorded in OCI. As of September 30, 2018, $11.7 billion of the Company's third party foreign currency denominated debt and $4.1 billion of intercompany foreign currency denominated debt were designated to hedge investments in certain foreign subsidiaries and affiliates. Undesignated Derivatives The Company enters into certain derivatives that are not designated for hedge accounting, therefore the changes in the fair value of these derivatives are recognized immediately in earnings together with the gain or loss from the hedged balance sheet position. As an example, the Company enters into equity derivative contracts, including total return swaps, to hedge market-driven changes in certain of its supplemental benefit plan liabilities. Changes in the fair value of these derivatives are recorded in selling, general & administrative expenses together with the changes in the supplemental benefit plan liabilities. In addition, the Company uses foreign currency forwards to mitigate the change in fair value of certain foreign currency denominated assets and liabilities. The changes in the fair value of these derivatives are recognized in Nonoperating (income) expense, net, along with the currency gain or loss from the hedged balance sheet position. Credit Risk The Company is exposed to credit-related losses in the event of non-performance by its derivative counterparties. The Company did not have significant exposure to any individual counterparty at September 30, 2018 and has master agreements that contain netting arrangements. For financial reporting purposes, the Company presents gross derivative balances in the financial statements and supplementary data, including for counterparties subject to netting arrangements. Some of these agreements also require each party to post collateral if credit ratings fall below, or aggregate exposures exceed, certain contractual limits. At September 30, 2018, the Company was required to post an immaterial amount of collateral due to the negative fair value of certain derivative positions. The Company's counterparties were not required to post collateral on any derivative position, other than on certain hedges of the Company’s supplemental benefit plan liabilities where the counterparties were required to post collateral on their liability positions.
|
X |
- References
+ Details
Name: |
us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -URI http://asc.fasb.org/topic&trid=2229140
+ Details
Name: |
us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Segment Information
|
9 Months Ended |
Sep. 30, 2018 |
Segment Reporting [Abstract] |
|
Segment Information |
Segment Information The Company franchises and operates McDonald’s restaurants in the global restaurant industry. The following reporting segments reflect how management reviews and evaluates operating performance. | | • | U.S. - the Company's largest segment |
| | • | International Lead Markets - established markets including Australia, Canada, France, Germany, the U.K. and related markets |
| | • | High Growth Markets - markets the Company believes have relatively higher restaurant expansion and franchising potential including China, Italy, South Korea, Poland, Russia, Spain, Switzerland, the Netherlands and related markets |
| | • | Foundational Markets & Corporate - the remaining markets in the McDonald's system, most of which operate under a largely franchised model. Corporate activities are also reported within this segment. |
The following table presents the Company’s revenues and operating income by segment: | | | | | | | | | | | | | | | | | | Quarters Ended | | Nine Months Ended | | September 30, | | September 30, | In millions | 2018 | | 2017 | | 2018 | | 2017 | Revenues | | | | | | | | U.S. | $ | 1,930.0 |
| | $ | 2,023.3 |
| | $ | 5,758.4 |
| | $ | 6,000.7 |
| International Lead Markets | 1,940.5 |
| | 1,970.5 |
| | 5,748.9 |
| | 5,427.2 |
| High Growth Markets | 1,040.2 |
| | 1,322.1 |
| | 3,026.4 |
| | 4,538.5 |
| Foundational Markets & Corporate | 458.7 |
| | 438.7 |
| | 1,328.5 |
| | 1,513.8 |
| Total revenues | $ | 5,369.4 |
| | $ | 5,754.6 |
| | $ | 15,862.2 |
| | $ | 17,480.2 |
| Operating Income | | | | | | | | U.S. | $ | 1,061.8 |
| | $ | 1,034.6 |
| | $ | 3,059.0 |
| | $ | 3,055.4 |
| International Lead Markets | 913.9 |
| | 913.6 |
| | 2,613.5 |
| | 2,356.2 |
| High Growth Markets | 330.1 |
| | 1,073.8 |
| | 847.1 |
| | 1,724.0 |
| Foundational Markets & Corporate | 111.9 |
| | 57.4 |
| | 303.5 |
| | 272.9 |
| Total operating income | $ | 2,417.7 |
| | $ | 3,079.4 |
| | $ | 6,823.1 |
| | $ | 7,408.5 |
|
|
X |
- References
+ Details
Name: |
us-gaap_SegmentReportingAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510
+ Details
Name: |
us-gaap_SegmentReportingDisclosureTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Subsequent Events
|
9 Months Ended |
Sep. 30, 2018 |
Subsequent Events [Abstract] |
|
Subsequent Events |
Subsequent EventsThe Company evaluated subsequent events through the date the financial statements were issued and filed with the Securities and Exchange Commission. There were no subsequent events that required recognition or disclosure.
|
X |
- References
+ Details
Name: |
us-gaap_SubsequentEventsAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe entire disclosure for significant events or transactions that occurred after the balance sheet date through the date the financial statements were issued or the date the financial statements were available to be issued. Examples include: the sale of a capital stock issue, purchase of a business, settlement of litigation, catastrophic loss, significant foreign exchange rate changes, loans to insiders or affiliates, and transactions not in the ordinary course of business.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 855 -URI http://asc.fasb.org/topic&trid=2122774
+ Details
Name: |
us-gaap_SubsequentEventsTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Restaurant Information (Tables)
|
9 Months Ended |
Sep. 30, 2018 |
Disclosure Restaurant Information By Ownership Type [Abstract] |
|
Restaurant Information by Ownership Type |
The following table presents restaurant information by ownership type: | | | | | | | Restaurants at September 30, | 2018 | | 2017 | Conventional franchised | 21,586 |
| | 21,214 |
| Developmental licensed | 7,103 |
| | 6,824 |
| Foreign affiliated | 6,056 |
| | 5,708 |
| Total Franchised | 34,745 |
| | 33,746 |
| Company-operated | 2,812 |
| | 3,230 |
| Systemwide restaurants | 37,557 |
| | 36,976 |
|
|
X |
- DefinitionRestaurant By Ownership Type, Table
+ References
+ Details
Name: |
mcd_RestaurantByOwnershipTypeTableTextBlock |
Namespace Prefix: |
mcd_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Revenues (Disaggregation of Revenues) (Tables)
|
9 Months Ended |
Sep. 30, 2018 |
Disaggregation of Revenue [Abstract] |
|
Disaggregation of Revenue [Table Text Block] |
The following table presents revenue disaggregated by revenue source (in millions): | | | | | | | | | | | | | | | | | | | | Quarters Ended | | Nine Months Ended | | | September 30, | | September 30, | | | 2018 |
| | 2017 |
| | 2018 | | 2017 |
| Company-operated sales | |
|
| |
|
| |
|
| | | U.S. | | $ | 637.3 |
| | $ | 798.7 |
| | $ | 2,042.8 |
| | $ | 2,483.8 |
| International Lead Markets | | 992.3 |
| | 1,076.3 |
| | 3,022.1 |
| | 3,038.9 |
| High Growth Markets | | 737.8 |
| | 1,054.9 |
| | 2,170.7 |
| | 3,859.5 |
| Foundational Markets & Corporate | | 143.6 |
| | 134.4 |
| | 405.9 |
| | 663.6 |
| Total | | $ | 2,511.0 |
| | $ | 3,064.3 |
| | $ | 7,641.5 |
| | $ | 10,045.8 |
| Franchised revenues | |
|
| |
|
| | | | | U.S. | | $ | 1,292.7 |
| | $ | 1,224.6 |
| | $ | 3,715.6 |
| | $ | 3,516.9 |
| International Lead Markets | | 948.2 |
| | 894.2 |
| | 2,726.8 |
| | 2,388.3 |
| High Growth Markets | | 302.4 |
| | 267.2 |
| | 855.7 |
| | 679.0 |
| Foundational Markets & Corporate | | 315.1 |
| | 304.3 |
| | 922.6 |
| | 850.2 |
| Total* | | $ | 2,858.4 |
| | $ | 2,690.3 |
| | $ | 8,220.7 |
| | $ | 7,434.4 |
| Total revenues | |
|
| |
|
| | | | | U.S. | | $ | 1,930.0 |
| | $ | 2,023.3 |
| | $ | 5,758.4 |
| | $ | 6,000.7 |
| International Lead Markets | | 1,940.5 |
| | 1,970.5 |
| | 5,748.9 |
| | 5,427.2 |
| High Growth Markets | | 1,040.2 |
| | 1,322.1 |
| | 3,026.4 |
| | 4,538.5 |
| Foundational Markets & Corporate | | 458.7 |
| | 438.7 |
| | 1,328.5 |
| | 1,513.8 |
| Total | | $ | 5,369.4 |
| | $ | 5,754.6 |
| | $ | 15,862.2 |
| | $ | 17,480.2 |
|
* The Company expects the application of ASC 606 to negatively impact 2018 annual franchised revenues by approximately $50 million. Results for the quarter and nine months ended September 30, 2018, reflected an impact of approximately $10 million and $25 million, respectively, due to the timing of new restaurant openings and new franchise terms.
|
X |
- References
+ Details
Name: |
us-gaap_DisaggregationOfRevenueAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionTabular disclosure of disaggregation of revenue into categories depicting how nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factor.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=82913847&loc=SL49130545-203045
+ Details
Name: |
us-gaap_DisaggregationOfRevenueTableTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Financial Instruments and Hedging Activities (Tables)
|
9 Months Ended |
Sep. 30, 2018 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
|
Fair Values of Derivative Instruments Included on Consolidated Balance Sheet |
The following table presents the fair values of derivative instruments included on the condensed consolidated balance sheet: | | | | | | | | | | | | | | | | | | | | | | Derivative Assets | | Derivative Liabilities | In millions | Balance Sheet Classification | | September 30, 2018 | | December 31, 2017 | | Balance Sheet Classification | | September 30, 2018 | | December 31, 2017 | Derivatives designated as hedging instruments | | | | | | | | | Foreign currency | Prepaid expenses and other current assets | | $ | 24.7 |
| | $ | 0.5 |
| | Accrued payroll and other liabilities | | $ | (1.7 | ) | | $ | (31.0 | ) | Interest rate | | | | | | | Accrued payroll and other liabilities | | (0.6 | ) | | (0.3 | ) | Foreign currency | Miscellaneous other assets | | 6.5 |
| | 0.1 |
| | Other long-term liabilities | | (0.3 | ) | | (1.4 | ) | Interest rate | Miscellaneous other assets
| | 3.0 |
| | — |
| | Other long-term liabilities | | (27.7 | ) | | (5.9 | ) | Total derivatives designated as hedging instruments | | $ | 34.2 |
| | $ | 0.6 |
| | | | $ | (30.3 | ) | | $ | (38.6 | ) | Derivatives not designated as hedging instruments | | | | | | | | | Equity | Prepaid expenses and other current assets
| | $ | 166.4 |
| | $ | — |
| | Accrued payroll and other liabilities | | $ | (0.2 | ) | | $ | (1.3 | ) | Foreign currency | Prepaid expenses and other current assets
| | 12.1 |
| | — |
| | Accrued payroll and other liabilities | | — |
| | (5.5 | ) | Equity | Miscellaneous other assets | | — |
| | 167.3 |
| | | | | | | Total derivatives not designated as hedging instruments | | $ | 178.5 |
| | $ | 167.3 |
| | | | $ | (0.2 | ) | | $ | (6.8 | ) | Total derivatives | | $ | 212.7 |
| | $ | 167.9 |
| | | | $ | (30.5 | ) | | $ | (45.4 | ) |
|
Derivatives Pretax Amounts Affecting Income and Other Comprehensive Income |
The following table presents the pre-tax amounts from derivative instruments affecting income and other comprehensive income (“OCI”) for the nine months ended September 30, 2018 and 2017, respectively: | | | | | | | | | | | | | | | | | | | | | | | | | | | | Location of Gain or Loss Recognized in Income on Derivative | | Gain (Loss) Recognized in Accumulated OCI | | Gain (Loss) Reclassified into Income from Accumulated OCI | | Gain (Loss) Recognized in Income on Derivative | | | | | | | | | In millions | | | 2018 | | 2017 | | 2018 | | 2017 | | 2018 | | 2017 | Foreign currency | Nonoperating income/expense | | $ | 42.9 |
| | $ | (70.1 | ) | | $ | (12.9 | ) | | $ | (4.6 | ) | | | | | Interest rate | Interest expense | | — |
| | — |
| | (0.8 | ) | | (0.4 | ) | | | | | Cash flow hedges | | $ | 42.9 |
| | $ | (70.1 | ) | | $ | (13.7 | ) | | $ | (5.0 | ) | | | | | | | | | | | | | | | | | | | Foreign currency denominated debt | Nonoperating income/expense | | $ | 501.6 |
| | $ | (1,376.1 | ) | | $ | — |
| | $ | — |
| | | | | Foreign currency derivatives | Nonoperating income/expense | | 4.2 |
| | (17.4 | ) | | — |
| | 8.6 |
| | | | | Foreign currency derivatives(1) | Interest expense | | | | | | | | | | $ | 1.6 |
| | $ | — |
| Net investment hedges | | $ | 505.8 |
| | $ | (1,393.5 | ) | | $ | — |
| | $ | 8.6 |
| | $ | 1.6 |
| | $ | — |
| | | | | | | | | | | | | | | Foreign currency | Nonoperating income/expense | | | | | | | | | | $ | 17.4 |
| | $ | (23.7 | ) | Equity | Selling, general & administrative expenses | | | | | | | | | | 17.3 |
| | 64.0 |
| Undesignated derivatives | | | | | | | | | | $ | 34.7 |
| | $ | 40.3 |
| (1)The amount of gain (loss) recognized in income related to components excluded from effectiveness testing. |
|
X |
- References
+ Details
Name: |
us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionTabular disclosure of the location and amount of derivative instruments and nonderivative instruments designated as hedging instruments reported before netting adjustments, and the amount of gain (loss) on derivative instruments and nonderivative instruments designated and qualified as hedging instruments.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624171-113959
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4A -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5618551-113959
+ Details
Name: |
us-gaap_ScheduleOfDerivativeInstrumentsGainLossInStatementOfFinancialPerformanceTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionTabular disclosure of the location and fair value amounts of derivative instruments (and nonderivative instruments that are designated and qualify as hedging instruments) reported in the statement of financial position.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4B -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624163-113959
+ Details
Name: |
us-gaap_ScheduleOfDerivativeInstrumentsInStatementOfFinancialPositionFairValueTextBlock |
Namespace Prefix: |
us-gaap_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Segment Information (Tables)
|
9 Months Ended |
Sep. 30, 2018 |
Segment Reporting [Abstract] |
|
Revenues and Operating Income by Geographic Segment |
The following table presents the Company’s revenues and operating income by segment: | | | | | | | | | | | | | | | | | | Quarters Ended | | Nine Months Ended | | September 30, | | September 30, | In millions | 2018 | | 2017 | | 2018 | | 2017 | Revenues | | | | | | | | U.S. | $ | 1,930.0 |
| | $ | 2,023.3 |
| | $ | 5,758.4 |
| | $ | 6,000.7 |
| International Lead Markets | 1,940.5 |
| | 1,970.5 |
| | 5,748.9 |
| | 5,427.2 |
| High Growth Markets | 1,040.2 |
| | 1,322.1 |
| | 3,026.4 |
| | 4,538.5 |
| Foundational Markets & Corporate | 458.7 |
| | 438.7 |
| | 1,328.5 |
| | 1,513.8 |
| Total revenues | $ | 5,369.4 |
| | $ | 5,754.6 |
| | $ | 15,862.2 |
| | $ | 17,480.2 |
| Operating Income | | | | | | | | U.S. | $ | 1,061.8 |
| | $ | 1,034.6 |
| | $ | 3,059.0 |
| | $ | 3,055.4 |
| International Lead Markets | 913.9 |
| | 913.6 |
| | 2,613.5 |
| | 2,356.2 |
| High Growth Markets | 330.1 |
| | 1,073.8 |
| | 847.1 |
| | 1,724.0 |
| Foundational Markets & Corporate | 111.9 |
| | 57.4 |
| | 303.5 |
| | 272.9 |
| Total operating income | $ | 2,417.7 |
| | $ | 3,079.4 |
| | $ | 6,823.1 |
| | $ | 7,408.5 |
|
|
X |
- DefinitionReconciliation of Revenue and Operating Income from Segments to Consolidated
+ References
+ Details
Name: |
mcd_ReconciliationOfRevenueAndOperatingIncomeFromSegmentsToConsolidatedTextBlock |
Namespace Prefix: |
mcd_ |
Data Type: |
nonnum:textBlockItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- References
+ Details
Name: |
us-gaap_SegmentReportingAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
Restaurant Information by Ownership Type (Details) - Restaurant
|
Sep. 30, 2018 |
Sep. 30, 2017 |
Segment Reporting Information [Line Items] |
|
|
Number of Restaurants |
37,557
|
36,976
|
Franchised |
|
|
Segment Reporting Information [Line Items] |
|
|
Number of Restaurants |
34,745
|
33,746
|
Franchised | Conventional franchised |
|
|
Segment Reporting Information [Line Items] |
|
|
Number of Restaurants |
21,586
|
21,214
|
Franchised | Developmental licensed |
|
|
Segment Reporting Information [Line Items] |
|
|
Number of Restaurants |
7,103
|
6,824
|
Franchised | Affiliated |
|
|
Segment Reporting Information [Line Items] |
|
|
Number of Restaurants |
6,056
|
5,708
|
Company-operated |
|
|
Segment Reporting Information [Line Items] |
|
|
Number of Restaurants |
2,812
|
3,230
|
X |
- DefinitionRepresents the number of restaurants.
+ References
+ Details
Name: |
us-gaap_NumberOfRestaurants |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:integerItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- Details
Name: |
mcd_RestaurantOwnershipTypeAxis=us-gaap_FranchisedUnitsMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
mcd_RestaurantOwnershipTypeAxis=us-gaap_EntityOperatedUnitsMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
v3.10.0.1
X |
- DefinitionThis is focus fiscal year of the document report in CCYY format. For a 2006 annual report, which may also provide financial information from prior periods, fiscal 2006 should be given as the fiscal year focus. Example: 2006.
+ References
+ Details
Name: |
dei_DocumentFiscalYearFocus |
Namespace Prefix: |
dei_ |
Data Type: |
xbrli:gYearItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionSecurities (including those issuable pursuant to contingent stock agreements) that could potentially dilute basic earnings per share (EPS) or earnings per unit (EPU) in the future that were not included in the computation of diluted EPS or EPU because to do so would increase EPS or EPU amounts or decrease loss per share or unit amounts for the period presented.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257
+ Details
Name: |
us-gaap_AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe per share amount of a dividend declared, but not paid, as of the financial reporting date.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 230 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=98513485&loc=d3e4304-108586
+ Details
Name: |
us-gaap_DividendsPayableAmountPerShare |
Namespace Prefix: |
us-gaap_ |
Data Type: |
num:perShareItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionCarrying value as of the balance sheet date of dividends declared but unpaid on equity securities issued by the entity and outstanding. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 45 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=82887183&loc=d3e6935-107765
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.20) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_DividendsPayableCurrent |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- References
+ Details
Name: |
us-gaap_EarningsPerShareAbstract |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAdditional shares included in the calculation of diluted EPS as a result of the potentially dilutive effect of share based payment arrangements using the treasury stock method.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 45 -Paragraph 28A -URI http://asc.fasb.org/extlink&oid=96947427&loc=d3e1500-109256
+ Details
Name: |
us-gaap_IncrementalCommonSharesAttributableToShareBasedPaymentArrangements |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:sharesItemType |
Balance Type: |
na |
Period Type: |
duration |
|
v3.10.0.1
X |
- DefinitionLine items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.
+ References
+ Details
Name: |
us-gaap_NewAccountingPronouncementsOrChangeInAccountingPrincipleLineItems |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- Details
Name: |
us-gaap_AdjustmentsForNewAccountingPronouncementsAxis=us-gaap_NewAccountingPronouncementMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
v3.10.0.1
X |
- DefinitionLine items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.
+ References
+ Details
Name: |
us-gaap_NewAccountingPronouncementsOrChangeInAccountingPrincipleLineItems |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe cumulative amount of the reporting entity's undistributed earnings or deficit.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-03(a)(23)(a)(4)) -URI http://asc.fasb.org/extlink&oid=6879938&loc=d3e572229-122910
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.3-04) -URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(30)(a)(3)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
+ Details
Name: |
us-gaap_RetainedEarningsAccumulatedDeficit |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- Details
Name: |
us-gaap_AdjustmentsForNewAccountingPronouncementsAxis=us-gaap_NewAccountingPronouncementMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_AdjustmentsForNewAccountingPronouncementsAxis=us-gaap_AccountingStandardsUpdate201606Member |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
v3.10.0.1
Revenues (Disaggregation of Revenues) (Details) - USD ($) $ in Millions |
3 Months Ended |
9 Months Ended |
Sep. 30, 2018 |
Sep. 30, 2017 |
Sep. 30, 2018 |
Sep. 30, 2017 |
Disaggregation of Revenue [Line Items] |
|
|
|
|
Sales by Company-operated restaurants |
$ 2,511.0
|
$ 3,064.3
|
$ 7,641.5
|
$ 10,045.8
|
Revenues from franchised restaurants |
2,858.4
|
2,690.3
|
8,220.7
|
7,434.4
|
Total revenues |
5,369.4
|
5,754.6
|
15,862.2
|
17,480.2
|
United States |
|
|
|
|
Disaggregation of Revenue [Line Items] |
|
|
|
|
Sales by Company-operated restaurants |
637.3
|
798.7
|
2,042.8
|
2,483.8
|
Revenues from franchised restaurants |
1,292.7
|
1,224.6
|
3,715.6
|
3,516.9
|
Total revenues |
1,930.0
|
2,023.3
|
5,758.4
|
6,000.7
|
International Lead Markets |
|
|
|
|
Disaggregation of Revenue [Line Items] |
|
|
|
|
Sales by Company-operated restaurants |
992.3
|
1,076.3
|
3,022.1
|
3,038.9
|
Revenues from franchised restaurants |
948.2
|
894.2
|
2,726.8
|
2,388.3
|
Total revenues |
1,940.5
|
1,970.5
|
5,748.9
|
5,427.2
|
High Growth Markets |
|
|
|
|
Disaggregation of Revenue [Line Items] |
|
|
|
|
Sales by Company-operated restaurants |
737.8
|
1,054.9
|
2,170.7
|
3,859.5
|
Revenues from franchised restaurants |
302.4
|
267.2
|
855.7
|
679.0
|
Total revenues |
1,040.2
|
1,322.1
|
3,026.4
|
4,538.5
|
Foundational Markets and Corporate |
|
|
|
|
Disaggregation of Revenue [Line Items] |
|
|
|
|
Sales by Company-operated restaurants |
143.6
|
134.4
|
405.9
|
663.6
|
Revenues from franchised restaurants |
315.1
|
304.3
|
922.6
|
850.2
|
Total revenues |
$ 458.7
|
$ 438.7
|
$ 1,328.5
|
$ 1,513.8
|
X |
- DefinitionLine items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.
+ References
+ Details
Name: |
us-gaap_DisaggregationOfRevenueLineItems |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionRevenue earned during the period from consideration (often a percentage of the franchisee's sales) received for the right to operate a business using the entity's name, merchandise, services, methodologies, promotional support, marketing, and supplies.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1(e)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 952 -SubTopic 605 -Section 45 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=68058139&loc=d3e68564-108043
+ Details
Name: |
us-gaap_FranchiseRevenue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of revenue recognized from goods sold, services rendered, insurance premiums, or other activities that constitute an earning process. Includes, but is not limited to, investment and interest income before deduction of interest expense when recognized as a component of revenue, and sales and trading gain (loss).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_Revenues |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAggregate revenue during the period from the sale of goods in the normal course of business, after deducting returns, allowances and discounts.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1(a)) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_SalesRevenueGoodsNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- Details
Name: |
us-gaap_StatementBusinessSegmentsAxis=country_US |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_StatementBusinessSegmentsAxis=mcd_InternationalLeadMarketsMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_StatementBusinessSegmentsAxis=mcd_HighGrowthMarketsMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_StatementBusinessSegmentsAxis=mcd_FoundationalMarketsandCorporateMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
v3.10.0.1
X |
- DefinitionDeferred Tax Assets, Other.
+ References
+ Details
Name: |
mcd_DeferredTaxAssetsOtherAssets |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionExpected 2018 annual impact to franchised revenues due to the application of ASC 606
+ References
+ Details
Name: |
mcd_Expected2018annualimpacttofranchisedrevenuesduetotheapplicationofASC606 |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionImpact to franchised revenues due to application of ASC 606
+ References
+ Details
Name: |
mcd_ImpacttofranchisedrevenuesduetoapplicationofASC606 |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of deferred revenue as of balance sheet date. Deferred revenue represents collections of cash or other assets related to a revenue producing activity for which revenue has not yet been recognized. Generally, an entity records deferred revenue when it receives consideration from a customer before achieving certain criteria that must be met for revenue to be recognized in conformity with GAAP.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 605 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB Topic 13.A.3) -URI http://asc.fasb.org/extlink&oid=65893310&loc=d3e214044-122780
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 605 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB Topic 13.A.4(a).Q1) -URI http://asc.fasb.org/extlink&oid=65893310&loc=d3e214044-122780
+ Details
Name: |
us-gaap_DeferredRevenue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionLine items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.
+ References
+ Details
Name: |
us-gaap_RevenueInitialApplicationPeriodCumulativeEffectTransitionLineItems |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- Details
Name: |
us-gaap_AdjustmentsForNewAccountingPronouncementsAxis=us-gaap_AccountingStandardsUpdate201409Member |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_StatementScenarioAxis=us-gaap_ScenarioForecastMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
v3.10.0.1
X |
- DefinitionFair Value Measurements [Line Items]
+ References
+ Details
Name: |
mcd_FairValueMeasurementsLineItems |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAmount, before unamortized (discount) premium and debt issuance costs, of long-term debt. Includes, but is not limited to, notes payable, bonds payable, commercial loans, mortgage loans, convertible debt, subordinated debt and other types of debt.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(22)) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-03(16)) -URI http://asc.fasb.org/extlink&oid=6879938&loc=d3e572229-122910
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.9-03(16)) -URI http://asc.fasb.org/extlink&oid=6876686&loc=d3e534808-122878
+ Details
Name: |
us-gaap_DebtInstrumentCarryingAmount |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionThe fair value amount of long-term debt whether such amount is presented as a separate caption or as a parenthetical disclosure. Additionally, this element may be used in connection with the fair value disclosures required in the footnote disclosures to the financial statements. The element may be used in both the balance sheet and disclosure in the same submission.
+ References
+ Details
Name: |
us-gaap_LongTermDebtFairValue |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
v3.10.0.1
Financial Instruments and Hedging Activities (Fair Values of Derivative Instruments Included on Consolidated Balance Sheet) (Details) - USD ($) $ in Millions |
Sep. 30, 2018 |
Dec. 31, 2017 |
Derivatives, Fair Value [Line Items] |
|
|
Asset Derivatives Fair Value |
$ 212.7
|
$ 167.9
|
Liability Derivatives Fair Value |
30.5
|
45.4
|
Designated as Hedging Instrument |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Asset Derivatives Fair Value |
34.2
|
0.6
|
Liability Derivatives Fair Value |
30.3
|
38.6
|
Derivatives Not Designated as Hedging Instruments |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Asset Derivatives Fair Value |
178.5
|
167.3
|
Liability Derivatives Fair Value |
0.2
|
6.8
|
Interest Rate Contract [Member] | Accrued Expenses And Other Current Liabilities [Member] | Designated as Hedging Instrument |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Liability Derivatives Fair Value |
0.6
|
0.3
|
Interest Rate Contract [Member] | Other Liabilities [Member] | Designated as Hedging Instrument |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Liability Derivatives Fair Value |
27.7
|
5.9
|
Interest Rate Contract [Member] | Other Assets [Member] | Designated as Hedging Instrument |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Asset Derivatives Fair Value |
3.0
|
0.0
|
Equity [Member] | Accrued Expenses And Other Current Liabilities [Member] | Derivatives Not Designated as Hedging Instruments |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Liability Derivatives Fair Value |
0.2
|
1.3
|
Equity [Member] | Prepaid Expenses and Other Current Assets [Member] | Derivatives Not Designated as Hedging Instruments |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Asset Derivatives Fair Value |
166.4
|
0.0
|
Equity [Member] | Other Assets [Member] | Derivatives Not Designated as Hedging Instruments |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Asset Derivatives Fair Value |
0.0
|
167.3
|
Foreign Exchange [Member] | Accrued Expenses And Other Current Liabilities [Member] | Designated as Hedging Instrument |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Liability Derivatives Fair Value |
1.7
|
31.0
|
Foreign Exchange [Member] | Accrued Expenses And Other Current Liabilities [Member] | Derivatives Not Designated as Hedging Instruments |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Liability Derivatives Fair Value |
0.0
|
5.5
|
Foreign Exchange [Member] | Prepaid Expenses and Other Current Assets [Member] | Designated as Hedging Instrument |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Asset Derivatives Fair Value |
24.7
|
0.5
|
Foreign Exchange [Member] | Prepaid Expenses and Other Current Assets [Member] | Derivatives Not Designated as Hedging Instruments |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Asset Derivatives Fair Value |
12.1
|
0.0
|
Foreign Exchange [Member] | Other Liabilities [Member] | Designated as Hedging Instrument |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Liability Derivatives Fair Value |
0.3
|
1.4
|
Foreign Exchange [Member] | Other Assets [Member] | Designated as Hedging Instrument |
|
|
Derivatives, Fair Value [Line Items] |
|
|
Asset Derivatives Fair Value |
$ 6.5
|
$ 0.1
|
X |
- DefinitionFair value, before effects of master netting arrangements, of a financial asset or other contract with one or more underlyings, notional amount or payment provision or both, and the contract can be net settled by means outside the contract or delivery of an asset. Includes assets elected not to be offset. Excludes assets not subject to a master netting arrangement.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 20 -Section 50 -Paragraph 3 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=51824906&loc=SL20225862-175312
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4B -Subparagraph (a),(c) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624163-113959
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 20 -Section 55 -Paragraph 7 -URI http://asc.fasb.org/extlink&oid=82849420&loc=SL20226000-175313
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 860 -SubTopic 20 -Section 50 -Paragraph 4D -Subparagraph (c)(2) -URI http://asc.fasb.org/extlink&oid=82924980&loc=SL51823488-111719
+ Details
Name: |
us-gaap_DerivativeFairValueOfDerivativeAsset |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
debit |
Period Type: |
instant |
|
X |
- DefinitionFair value, before effects of master netting arrangements, of a financial liability or contract with one or more underlyings, notional amount or payment provision or both, and the contract can be net settled by means outside the contract or delivery of an asset. Includes liabilities elected not to be offset. Excludes liabilities not subject to a master netting arrangement.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 860 -SubTopic 20 -Section 50 -Paragraph 4D -Subparagraph (c)(2) -URI http://asc.fasb.org/extlink&oid=82924980&loc=SL51823488-111719
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 20 -Section 50 -Paragraph 3 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=51824906&loc=SL20225862-175312
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4B -Subparagraph (a),(c) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624163-113959
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 20 -Section 55 -Paragraph 7 -URI http://asc.fasb.org/extlink&oid=82849420&loc=SL20226000-175313
+ Details
Name: |
us-gaap_DerivativeFairValueOfDerivativeLiability |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionLine items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.
+ References
+ Details
Name: |
us-gaap_DerivativesFairValueLineItems |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- Details
Name: |
us-gaap_HedgingDesignationAxis=us-gaap_DesignatedAsHedgingInstrumentMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_HedgingDesignationAxis=us-gaap_NondesignatedMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_InterestRateContractMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_BalanceSheetLocationAxis=mcd_AccruedExpensesAndOtherCurrentLiabilitiesMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_BalanceSheetLocationAxis=us-gaap_OtherLiabilitiesMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_BalanceSheetLocationAxis=us-gaap_OtherAssetsMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_EquityMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_BalanceSheetLocationAxis=us-gaap_PrepaidExpensesAndOtherCurrentAssetsMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_ForeignExchangeMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
v3.10.0.1
(Derivatives Pretax Amounts Affecting Income and Other Comprehensive Income) (Details) - USD ($) $ in Millions |
9 Months Ended |
Sep. 30, 2018 |
Sep. 30, 2017 |
Derivatives in Cash Flow Hedging Relationships |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Gain (Loss) Reclassified into Income from Accumulated OCI (Effective Portion) |
$ (13.7)
|
$ (5.0)
|
Gain (Loss) Recognized in Accumulated OCI (Effective Portion) |
42.9
|
(70.1)
|
Net Investment Hedging Relationships |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Gain (Loss) Reclassified into Income from Accumulated OCI (Effective Portion) |
0.0
|
8.6
|
Gain (Loss) Recognized in Accumulated OCI (Effective Portion) |
505.8
|
(1,393.5)
|
Gain (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing and Ineffective Portion) |
1.6
|
0.0
|
Derivatives Not Designated as Hedging Instruments |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Gain (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing and Ineffective Portion) |
34.7
|
40.3
|
Foreign Exchange [Member] | Derivatives in Cash Flow Hedging Relationships |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Gain (Loss) Reclassified into Income from Accumulated OCI (Effective Portion) |
(12.9)
|
(4.6)
|
Gain (Loss) Recognized in Accumulated OCI (Effective Portion) |
42.9
|
(70.1)
|
Foreign Exchange Forward [Member] | Net Investment Hedging Relationships |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Gain (Loss) Reclassified into Income from Accumulated OCI (Effective Portion) |
0.0
|
8.6
|
Gain (Loss) Recognized in Accumulated OCI (Effective Portion) |
4.2
|
(17.4)
|
Cross Currency Interest Rate Contract [Member] | Net Investment Hedging Relationships |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Gain (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing and Ineffective Portion) |
1.6
|
0.0
|
Interest Rate Contract [Member] | Derivatives in Cash Flow Hedging Relationships |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Gain (Loss) Reclassified into Income from Accumulated OCI (Effective Portion) |
(0.8)
|
(0.4)
|
Gain (Loss) Recognized in Accumulated OCI (Effective Portion) |
0.0
|
0.0
|
Other Foreign Currency Denominated Debt [Member] | Net Investment Hedging Relationships |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Gain (Loss) Reclassified into Income from Accumulated OCI (Effective Portion) |
0.0
|
0.0
|
Gain (Loss) Recognized in Accumulated OCI (Effective Portion) |
501.6
|
(1,376.1)
|
Nonoperating Income (Expense) [Member] | Foreign Exchange [Member] | Derivatives Not Designated as Hedging Instruments |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Derivative instruments, gain (loss) recognized in income, net |
17.4
|
(23.7)
|
Selling, General and Administrative Expenses [Member] | Equity [Member] | Derivatives Not Designated as Hedging Instruments |
|
|
Derivative Instruments, Gain (Loss) [Line Items] |
|
|
Derivative instruments, gain (loss) recognized in income, net |
$ 17.3
|
$ 64.0
|
X |
- DefinitionAmount of increase (decrease) in the fair value of derivatives recognized in the income statement.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4A -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5618551-113959
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (a),(c),(d),(e) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624171-113959
+ Details
Name: |
us-gaap_DerivativeGainLossOnDerivativeNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionLine items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.
+ References
+ Details
Name: |
us-gaap_DerivativeInstrumentsGainLossLineItems |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionThe effective portion of net gain (loss) reclassified from accumulated other comprehensive income into income on derivative instruments designated and qualifying as hedging instruments.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624171-113959
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4D -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624177-113959
+ Details
Name: |
us-gaap_DerivativeInstrumentsGainLossReclassifiedFromAccumulatedOCIIntoIncomeEffectivePortionNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe portion of gains and losses (net) on derivative instruments designated and qualifying as hedging instruments representing (a) the amount of the hedge ineffectiveness and (b) the amount, if any, excluded from the assessment of hedge effectiveness.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624171-113959
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 25 -Section 50 -Paragraph 1 -Subparagraph (a)(1),(2) -URI http://asc.fasb.org/extlink&oid=6886632&loc=d3e76258-113986
+ Details
Name: |
us-gaap_DerivativeInstrumentsGainLossRecognizedInIncomeIneffectivePortionAndAmountExcludedFromEffectivenessTestingNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionThe effective portion of gains and losses (net) on derivative instruments designated and qualifying as hedging instruments that was recognized in other comprehensive income during the current period.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624171-113959
+ Details
Name: |
us-gaap_DerivativeInstrumentsGainLossRecognizedInOtherComprehensiveIncomeEffectivePortionNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentsGainLossByHedgingRelationshipAxis=us-gaap_CashFlowHedgingMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentsGainLossByHedgingRelationshipAxis=us-gaap_NetInvestmentHedgingMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_HedgingDesignationAxis=us-gaap_NondesignatedMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_ForeignExchangeMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_ForeignExchangeForwardMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_CrossCurrencyInterestRateContractMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_InterestRateContractMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=mcd_OtherForeignCurrencyDenominatedDebtMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_IncomeStatementLocationAxis=us-gaap_NonoperatingIncomeExpenseMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_IncomeStatementLocationAxis=us-gaap_SellingGeneralAndAdministrativeExpensesMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_EquityMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
v3.10.0.1
X |
- DefinitionAggregate notional amount specified by the derivative(s). Expressed as an absolute value.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Article 12 -Section 13 -Sentence Column B
+ Details
Name: |
invest_DerivativeNotionalAmount |
Namespace Prefix: |
invest_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
na |
Period Type: |
instant |
|
X |
- DefinitionDerivative Instruments and Hedging Activities Disclosure [Line Items]
+ References
+ Details
Name: |
mcd_DerivativeInstrumentsAndHedgingActivitiesDisclosureLineItems |
Namespace Prefix: |
mcd_ |
Data Type: |
xbrli:stringItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionAccumulated change, net of tax, in accumulated gains and losses from derivative instruments designated and qualifying as the effective portion of cash flow hedges. Includes an entity's share of an equity investee's Increase or Decrease in deferred hedging gains or losses.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 10A -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669646-108580
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e637-108580
Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 14A -URI http://asc.fasb.org/extlink&oid=84228862&loc=SL7669686-108580
Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section 45 -Paragraph 14 -URI http://asc.fasb.org/extlink&oid=84228862&loc=d3e681-108580
Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 30 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=35736893&loc=d3e80784-113994
+ Details
Name: |
us-gaap_AccumulatedOtherComprehensiveIncomeLossCumulativeChangesInNetGainLossFromCashFlowHedgesEffectNetOfTax |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
instant |
|
X |
- DefinitionAmount of increase (decrease) in the fair value of derivatives recognized in the income statement.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4A -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5618551-113959
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (a),(c),(d),(e) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624171-113959
+ Details
Name: |
us-gaap_DerivativeGainLossOnDerivativeNet |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of unrealized gain (loss) related to the fair value of interest rate derivatives designated as fair value hedging instruments, as offset by the gain (loss) on the hedged item to the extent that the fair value hedge is determined to be effective.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4A -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5618551-113959
Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 10 -Section 50 -Paragraph 4C -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=84234895&loc=SL5624171-113959
+ Details
Name: |
us-gaap_IncreaseDecreaseInFairValueOfInterestRateFairValueHedgingInstruments1 |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionMaximum length of time over which the entity is hedging its exposure to the variability in future cash flows for forecasted transactions, excluding those forecasted transactions related to the payment of variable interest on existing financial instruments, in 'PnYnMnDTnHnMnS' format, for example, 'P1Y5M13D' represents the reported fact of one year, five months, and thirteen days.
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 815 -SubTopic 30 -Section 50 -Paragraph 1 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=35736893&loc=d3e80748-113994
+ Details
Name: |
us-gaap_MaximumLengthOfTimeHedgedInCashFlowHedge1 |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:durationItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- DefinitionNominal or face amount used to calculate payments on a nonderivative instrument.
+ References
+ Details
Name: |
us-gaap_NotionalAmountOfNonderivativeInstruments |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
na |
Period Type: |
duration |
|
X |
- Details
Name: |
us-gaap_InvestmentTypeAxis=us-gaap_InterestRateSwapMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DebtInstrumentAxis=mcd_IntercompanyDebtMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DebtInstrumentAxis=us-gaap_DebtMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_InterestRateRiskMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentsGainLossByHedgingRelationshipAxis=us-gaap_FairValueHedgingMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_DerivativeInstrumentRiskAxis=us-gaap_RoyaltyArrangementMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
v3.10.0.1
Segment Information (Segment and Geographic Information) (Details) - USD ($) $ in Millions |
3 Months Ended |
9 Months Ended |
Sep. 30, 2018 |
Sep. 30, 2017 |
Sep. 30, 2018 |
Sep. 30, 2017 |
Segment Reporting Information [Line Items] |
|
|
|
|
Total revenues |
$ 5,369.4
|
$ 5,754.6
|
$ 15,862.2
|
$ 17,480.2
|
Operating Income |
2,417.7
|
3,079.4
|
6,823.1
|
7,408.5
|
United States |
|
|
|
|
Segment Reporting Information [Line Items] |
|
|
|
|
Total revenues |
1,930.0
|
2,023.3
|
5,758.4
|
6,000.7
|
Operating Income |
1,061.8
|
1,034.6
|
3,059.0
|
3,055.4
|
International Lead Markets |
|
|
|
|
Segment Reporting Information [Line Items] |
|
|
|
|
Total revenues |
1,940.5
|
1,970.5
|
5,748.9
|
5,427.2
|
Operating Income |
913.9
|
913.6
|
2,613.5
|
2,356.2
|
High Growth Markets |
|
|
|
|
Segment Reporting Information [Line Items] |
|
|
|
|
Total revenues |
1,040.2
|
1,322.1
|
3,026.4
|
4,538.5
|
Operating Income |
330.1
|
1,073.8
|
847.1
|
1,724.0
|
Foundational Markets and Corporate |
|
|
|
|
Segment Reporting Information [Line Items] |
|
|
|
|
Total revenues |
458.7
|
438.7
|
1,328.5
|
1,513.8
|
Operating Income |
$ 111.9
|
$ 57.4
|
$ 303.5
|
$ 272.9
|
X |
- DefinitionThe net result for the period of deducting operating expenses from operating revenues.
+ References
+ Details
Name: |
us-gaap_OperatingIncomeLoss |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- DefinitionAmount of revenue recognized from goods sold, services rendered, insurance premiums, or other activities that constitute an earning process. Includes, but is not limited to, investment and interest income before deduction of interest expense when recognized as a component of revenue, and sales and trading gain (loss).
+ ReferencesReference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 225 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1) -URI http://asc.fasb.org/extlink&oid=63488584&loc=d3e20235-122688
+ Details
Name: |
us-gaap_Revenues |
Namespace Prefix: |
us-gaap_ |
Data Type: |
xbrli:monetaryItemType |
Balance Type: |
credit |
Period Type: |
duration |
|
X |
- Details
Name: |
us-gaap_StatementBusinessSegmentsAxis=country_US |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_StatementBusinessSegmentsAxis=mcd_InternationalLeadMarketsMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_StatementBusinessSegmentsAxis=mcd_HighGrowthMarketsMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
X |
- Details
Name: |
us-gaap_StatementBusinessSegmentsAxis=mcd_FoundationalMarketsandCorporateMember |
Namespace Prefix: |
|
Data Type: |
na |
Balance Type: |
|
Period Type: |
|
|
This regulatory filing also includes additional resources:
mcd-0930201810q.pdf
McDonalds (NYSE:MCD)
Historical Stock Chart
From Mar 2024 to Apr 2024
McDonalds (NYSE:MCD)
Historical Stock Chart
From Apr 2023 to Apr 2024