McDonald's US sales disappoint as value deals fail to draw enough diners

McDonald's has spent the past year leaning heavily on affordability and promotions to defend market share against intensifying competition from fast-food rivals, convenience stores and at-home meal consumption.

Its efforts included a revamped McValue platform, an under-$3 menu, discounted breakfast offers and a broader push into specialty beverages such as refreshers and crafted sodas.

Those initiatives were offset by muted demand and difficult year-ago comparisons, as the company lapped the successful Minecraft-themed meal and Snack Wrap promotions that boosted customer visits.

Globally, comparable sales rose 1.3%, slowing from a 3.8% jump a year ago. Sales in McDonald's international operated markets segment, which includes major countries in Europe, rose 1.5%, down from 4% a year earlier.

Analysts had expected softer demand in the region as higher energy costs and heatwave conditions curbed spending on dining out.

Sales in its business segment, where restaurants are operated by local partners, slowed to 1.9% from 5.6% a year ago.