In the second quarter of 2025, McDonald's achieved growth in global system sales and comparable sales, especially in international operating markets and franchised markets. The company effectively increased customer traffic through measures such as optimizing value and affordability platforms, innovating menus, strengthening marketing strategies, and accelerating the development of new restaurants. In the US market, despite a decrease in visits from low-income consumers, McDonald's maintained good performance by continuously optimizing value meals and introducing new items such as snack wraps. In the future, the company will work closely with franchisees to further consolidate its leadership in value and affordability.

McDonald's is accelerating its "Golden Arches" strategy through digital means, including collaborating with Google to develop edge computing to improve restaurant operational efficiency; launching Ready on Arrival technology to reduce waiting time for food pickup; and expanding loyalty programs to attract over 18.5 million active users in 90 days. These measures aim to optimize customer experience, enhance brand loyalty, and utilize data and technology to improve operations.

McDonald's second quarter global same-store sales increased by 3.8%, with improvements seen in all markets, especially in France and the UK after the launch of new products such as the Big Arch. The company has been consistently adjusting its strategies to enhance product attractiveness and customer satisfaction, while also promoting its best hamburger products globally in order to further drive performance growth.

The conversation discussed McDonald's expansion plans in over 80 markets, as well as performance growth strategies in markets such as China and Australia. It highlighted the success of innovative products and marketing strategies such as Hot Honey Chicken, Wings, and the Minecraft marketing campaign, emphasizing the goal of driving global market share growth through optimizing the menu, enhancing value positioning, and strengthening marketing partnerships.

McDonald's achieved strong restaurant profit margins in the first half of the year, benefiting from franchise performance, despite facing pressure from consumer spending and cost challenges. The company expects the full-year adjusted operating profit margin to remain in the mid to high 40% range, while also planning to open approximately 2200 new restaurants globally. McDonald's is committed to advancing digital transformation and strategic growth priorities to achieve long-term profit growth and create shareholder value.

As one of the most culturally relevant brands in the world, McDonald's has maintained its brand influence through continuous value, affordable pricing strategies, world-class marketing, and menu innovation. Recent activities such as the Minecraft movie event and being named the most valuable restaurant brand by Cantor highlight McDonald's brand trust and global consistency. The company is focusing on controllable factors and execution through global leadership planning to lead the industry's future through scale advantages and global influence.

Discussed McDonald's value and affordability perception among different consumer groups in the United States, especially the performance of loyal members and m-value program users, pointing out the effectiveness of loyalty programs and m-value programs and their positive impact on consumption frequency, while analyzing the perception differences between different markets and comparison with competitors.

Discussed the menu pricing issue of McDonald's in the international market, pointing out that the current pricing is too high, affecting consumer perception of value, and needs to be adjusted to enhance market competitiveness. The international operations market has gained an advantage in terms of value perception through reasonable pricing strategies and effective promotional activities. Emphasizing the importance of menu prices on consumer perception, plans to collaborate with franchisees to optimize pricing strategies, especially in the American market, to improve consumer awareness of the brand's value.

Discussed the positive sales momentum in the US market in the third quarter, especially the good market feedback for Snap Wraps products. Looking ahead, analyzed the sales trends and dynamics in the US market under the backdrop of launching attractive value menus and marketing strategies. At the same time, mentioned the challenges of foot traffic facing the industry and expressed optimism towards future development.

Discussed the challenges facing the catering industry, including declining traffic volume in QSR and consumer environment differentiation, with pressure on low- and middle-income consumers and continued growth in high-income consumers. Companies expect these trends to continue, but are confident in their marketing and menu activities for the year. Reviewed sales trends from the beginning of the year until now, emphasizing optimistic expectations for the second half of the year, especially in Q3, while also mentioning strategies to address value and affordability adjustments.

Discussed the reasons for the strong performance of the International Operations Market (IOM) in the recent quarter, emphasizing the establishment of a foundation of value and affordability, including the implementation of daily discount platforms and entry-level product lines. In addition, the successful execution of menu and marketing activities, such as Minecraft activation, promotion of Chicken Big Mac in Germany, launching of Big Arch in France and the UK, as well as the introduction of Hot Honey Chicken and MC Wings in Australia, all played a key role in improving performance. These strategies reflect the three core elements of the Accelerate Arches strategy, namely value menu innovation, marketing, and market adaptability, indicating that this growth trend may be sustainable and structural.

Discussed the European beef prices rising by 20% due to supply issues, but the fast food industry has maintained its market competitiveness through low unit pricing strategy. At the same time, the company continues to improve operational efficiency and customer satisfaction. Although technological innovation is still in its early stages, it is expected to bring cost savings and sales growth, and its effectiveness is being evaluated.

Discussed the benefits of McDonald's technological upgrades on consumer, restaurant and company platforms, including increasing customer frequency, improving service speed, enhancing employee experience, lowering costs, and improving operational efficiency. Emphasized the importance of loyalty programs in increasing customer frequency, and looked forward to the potential for further optimizing restaurant experiences and reducing costs through automation, IoT, and AI technologies in the coming years.

Discussed whether the downward trend in consumption among middle- and low-income consumers is continuing, and the reasons why the increase in loyalty program participation from 10.5 times to 26 times has not led to an increase in transaction volume. Analyze the potential impact of expanding the loyalty program on consumption trends.

The dialogue discussed the improvement of middle-income in the second quarter, as well as the issue of the small scale of the current loyalty program. It pointed out the significant decline in low-income consumer groups and the industry's excessive reliance on these consumers. Emphasis was placed on the importance of increasing the number of active members to increase consumption frequency. Currently, loyalty programs in the American market cover about one-fourth of consumers, while in the Chinese market, it is close to 90%, showing a higher potential for benefits. At this stage, overall revenue has not yet fully manifested, but this is the goal for future development.

Discussed the issues of actual income decline and anxiety faced by low-income consumers, as well as the decrease in visits to the fast-food industry. Analyzed the reasons why consumers may turn to home-cooked meals or choose more economical dining options. Meanwhile, from an international perspective, pointed out the performance of family pressure and value consciousness in different markets, emphasizing the importance of brands continuously optimizing value and affordability strategies to attract all types of consumers.

The conversation discussed the potential growth trend of Gna's expenses in the second half of the year relative to system sales, and clarified the related situation. In addition, it was mentioned that the beverage market is seen as a major opportunity, with a lot of testing and investment being conducted to explore its commercial potential.

Discussed the huge potential of the beverage market and its higher profitability compared to food, emphasizing the investment focus of the second half of the year, especially in the fourth quarter. Through previous tests, it was found that consumers prefer slight adjustments to existing recipes rather than complete customization, so the current test has introduced a wider range of beverage options to explore market reaction, while also mentioning the investment cycle characteristics of technology and digital transformation projects.

The conversation discussed the positioning of beverages on the value menu, emphasizing that coffee and other beverages serve as a means to attract customers, while also pointing out the market opportunity for high-profit beverages. Mentioning pricing strategies with competitors, it was indicated that not all beverages need to be placed on the value menu, but instead using pricing advantages to attract customers and maximize profits.

Discussed the difficulty of achieving a nationwide uniform price point under cost differences and inflation pressures. Emphasized the importance of a nationwide uniform price point for the brand, while also pointing out the need to respect wage differences in different regions. It was suggested to find solutions through communication and cooperation with franchisees, such as introducing measures like snack vouchers with uniform prices.

The discussion focused on the key factors that may influence the development pipeline beyond 2026 in the coming years, including changes in profit margins and the economic conditions of stores, and how these changes will affect the willingness and ability of franchisees to open new stores.

The conversation revolved around the acceleration of the restaurant development plan, emphasizing the confidence in opening 200 new stores and the focus on long-term return on investment. It mentioned monitoring the performance of new stores in the first year and expectations for long-term profits, while showcasing a good plan for development pipeline in the coming years.

The conversation revolved around the upcoming exclusive beverage testing exhibition, focusing on consumer reactions and product purchase rates, as well as the synergistic effects with other parts of the menu. The operational elements of the test were discussed, expressing confidence in expanding to over 500 restaurants after a successful test, emphasizing a gradual expansion plan from testing to full market potential.

The dialogue discussed the current situation of breakfast as an economically sensitive period, pointing out that consumers tend to consume at home or skip breakfast due to economic pressure, leading to overall industry performance weakness. In order to address this challenge, companies are using methods such as restarting national breakfast advertisements, optimizing value projects, and exploring new beverage series to attract consumers back and enhance competitiveness.

The cooperation relationship between McDonald's and its global franchisees was discussed. Facing challenges such as rising costs and lack of consumer confidence, McDonald's emphasized attracting customers and driving cash flow growth through value innovation and menu adjustments. In terms of unit development, the company pointed out that expansion plans are being advanced in regions with low penetration rates, and there are currently no difficulties in recruiting franchisees, indicating that franchisees are confident in McDonald's expansion plans.