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Here are 1-3 brief analogies to describe McDonald's:

• The Coca-Cola of quick service food.
• The Walmart of fast food.
• The Marriott of restaurant franchising.

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• Burgers: Classic beef patties served in buns with various toppings.
• Chicken Products: Items like Chicken McNuggets and crispy chicken sandwiches.
• French Fries: Deep-fried potato sticks, a signature side dish.
• Breakfast Menu Items: A range of morning meals including McMuffins and pancakes.
• Beverages: A selection of soft drinks, coffees, milkshakes, and juices.
• Desserts: Sweet treats such as McFlurries, sundaes, and baked pies.
• Franchising Services: Provides business opportunities to individuals to operate McDonald's restaurants.

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McDonald's (MCD) Major Customers

McDonald's Corporation (MCD) primarily sells its products (food and beverages) directly to individual consumers through its vast network of company-owned and franchised restaurants worldwide.

Since McDonald's sells primarily to individuals, its customer base can be categorized as follows:

• Families (especially those with children): Many customers are families attracted by the convenience, child-friendly menu options (such as Happy Meals), and often the presence of play areas. They seek a quick, affordable, and accessible dining option suitable for all ages.
• Individuals seeking quick, convenient, and affordable meals: This broad category includes a diverse range of customers such as commuters, students, busy professionals, and those on a budget. They are drawn to McDonald's for its speed of service (especially drive-thru), widespread locations, consistent menu, and perceived value for money, whether for breakfast, lunch, dinner, or a snack.

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• Tyson Foods (TSN)
• Lamb Weston Holdings, Inc. (LW)
• The Coca-Cola Company (KO)
• Grupo Bimbo S.A.B. de C.V. (BIMBOA.MX)

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Chris Kempczinski, Chairman and Chief Executive Officer

Christopher Kempczinski is the President, Chairman, and Chief Executive Officer of McDonald's Corporation, a role he assumed in November 2019, and became Chairman of the Board in 2024. Prior to becoming CEO, he served as President of McDonald's USA from October 2016, overseeing the business operations of approximately 14,000 restaurants. Kempczinski joined McDonald's in 2015 as Executive Vice President, Strategy, Business Development and Innovation. Before his tenure at McDonald's, he accumulated over 25 years of experience in global consumer companies. He began his career in brand management at Procter & Gamble and held senior positions at PepsiCo. Most notably, he was Executive Vice President of Growth Initiatives and President of Kraft International at Kraft Foods before joining McDonald's.

Ian Borden, Executive Vice President, Global Chief Financial Officer

Ian Borden was appointed Executive Vice President and Chief Financial Officer of McDonald's, effective September 1, 2022. He leads the global finance organization, overseeing the financial strength of the company across its extensive international presence. Borden's career with McDonald's spans nearly 30 years, having joined the system in Canada in 1994. He has held progressive leadership and P&L roles across various global markets, including CFO for its Asia-Pacific, Middle East & Africa region, and CFO for Russia and Eastern Europe. Before his appointment as CFO, Borden served as President, International, where he oversaw McDonald's international business, which generated over 60% of the company's total revenue.

Jon Banner, Executive Vice President, Global Chief Impact Officer

Jon Banner joined McDonald's in August 2022 as Executive Vice President and Global Chief Impact Officer. In this role, he leads the Global Impact team, which integrates the company's Sustainability & ESG, Government Relations and Public Policy, Communications, and International Corporate Relations teams, along with Ronald McDonald House Charities. Prior to McDonald's, Banner spent a decade at PepsiCo, where he was Executive Vice President, Communications and President of the PepsiCo Foundation. At PepsiCo, he co-created the company's sustainability vision, PepsiCo Positive (pep+), and revitalized the PepsiCo Foundation's global strategy. Before his time at PepsiCo, Banner had over 20 years of experience in journalism, holding senior executive and editorial positions at ABC News, including Executive Producer of "World News Tonight," and is a recipient of 16 Emmy Awards.

Tiffanie Boyd, Executive Vice President, Global Chief People Officer

Tiffanie Boyd was promoted to Global Chief People Officer at McDonald's in October 2024. She previously served as Senior Vice President and U.S. Chief People Officer for McDonald's USA, a role she took on in January 2021. In her current capacity, Boyd is responsible for the company's worldwide human resources strategy across more than 100 countries. Before joining McDonald's, she spent 23 years at General Mills, where she held various pivotal human resources leadership roles. Her positions at General Mills included Vice President of Human Resources for North America Retail and Vice President of HR for General Mills Canada, where she focused on talent initiatives, organization design, culture change, and employee engagement.

Joe Erlinger, President, McDonald's USA

Joe Erlinger is the President of McDonald's USA, a position he has held since 2019. In this role, he oversees the business operations for all McDonald's restaurants across the United States. Erlinger has been with McDonald's for over 25 years, starting his career in a crew role and progressing through various leadership positions within the company. Before becoming President of McDonald's USA, he served as President of International Operated Markets. His background includes extensive experience across different facets of McDonald's global operations, including finance, strategy, and operations, and he has been instrumental in driving growth and innovation.

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The key business risks for McDonald's (MCD) include:

1. Inflation and Economic Volatility: McDonald's profitability is significantly impacted by inflationary pressures, including rising raw material and commodity costs, as well as increases in minimum wages, which can squeeze margins if not effectively managed. Furthermore, the global nature of McDonald's operations exposes it to currency fluctuations and economic instability in various countries, affecting financial outcomes and sustainability.
2. Evolving Consumer Preferences and Reputation Management: The company faces ongoing challenges in adapting to changing consumer perceptions regarding food quality and a growing demand for healthier options. Food safety issues, operational problems, or projecting an inconsistent brand image could also adversely affect the business by eroding consumer trust. Events such as boycotts or protests can also negatively impact consumer perception and sales.
3. Intensified Competition: McDonald's operates in a highly competitive global fast-food market. It faces pressure from both established rivals and new entrants offering innovative or healthier food choices. The company's ability to differentiate its offerings and maintain market share amidst this intense competition is crucial for its long-term success.

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The rapid growth of the plant-based and alternative protein market, driven by shifting consumer preferences towards healthier, more sustainable, and ethical food options. This trend is fueling the rise of dedicated plant-based fast-food chains and encouraging traditional competitors to aggressively expand their plant-based offerings, potentially challenging McDonald's long-standing reliance on conventional meat products and requiring significant menu transformation.

The proliferation of delivery-only "ghost kitchens" and virtual restaurant brands. These new business models operate with significantly lower overheads than traditional brick-and-mortar restaurants, allowing for greater agility, lower prices, and rapid experimentation with diverse menus. This creates a highly competitive landscape in the food delivery market, where McDonald's faces numerous virtual competitors that can offer specialized cuisine or lower costs without the burden of extensive physical restaurant infrastructure.

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For McDonald's (symbol: MCD), the addressable markets for their main products and services are significant across various regions.

Global Addressable Markets:

• Quick Service Restaurants (QSR) / Fast Food: The global quick service restaurant market is projected to be USD 1.07 trillion in 2025, and is expected to reach USD 1.60 trillion by 2030, growing at a CAGR of 8.38%.
• Hamburgers: The global hamburger market size is valued at USD 700.84 billion in 2025 and is expected to reach USD 1168.48 billion by 2035.
• Coffee Shops: The global coffee shop market size was valued at USD 220.41 billion in 2024 and is expected to grow to approximately USD 290.24 billion by 2032.
• Breakfast Takeout: The global breakfast takeout market is estimated to be USD 109.6 billion in 2025 and is projected to expand to USD 213.7 billion by 2035, demonstrating a CAGR of 6.9%.

U.S. Addressable Markets:

• Quick Service Restaurants (QSR) / Fast Food: The U.S. quick service restaurant market size is valued at approximately USD 447.2 billion in 2025 and is expected to reach USD 731.6 billion by 2030. Separately, the U.S. fast food market size is estimated at USD 412.7 billion in 2025.
• Burger Restaurants: The market size for Burger Restaurants in the United States is estimated at USD 173.6 billion in 2025. Within the U.S. fast food restaurants industry, the fast food burger market constitutes an estimated 40.1% of the revenue in 2025.
• Coffee Shops: The North American coffee shop market, with the U.S. being a major contributor, has a market size of USD 36 billion.
• Breakfast Restaurants & Diners: The market size of Breakfast Restaurants & Diners in the U.S. is projected to be USD 15.6 billion in 2025.

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McDonald's (MCD) is strategically focused on several key drivers to fuel its revenue growth over the next 2-3 years, as outlined in its "Accelerating the Arches" strategy and recent investor communications:

1. Aggressive Restaurant Expansion and Development: McDonald's plans its fastest period of growth in company history, targeting 50,000 restaurants globally by the end of 2027, up from over 40,000 currently. This expansion is expected to include a run rate of 1,000 gross openings across the U.S. and International Operated Markets in 2027.
2. Expansion of Digital, Delivery, and Drive-Thru Capabilities: The company is "doubling down" on its three D's (Digital, Delivery, Drive-Thru) to enhance customer experience and convenience. Key targets include increasing its active loyalty user base to 250 million members by 2027 and aiming for 30% of delivery orders to originate through its mobile app by the same year, leveraging a digital ecosystem that already contributes significantly to sales.
3. Commitment to Core Menu and Strategic Menu Innovation: McDonald's continues to focus on its popular core menu items like burgers, chicken, and coffee while also introducing new innovations. This includes plans to bring popular items such as the McCrispy Chicken Sandwich and "Best Burger" to nearly all markets by 2025 and 2026, respectively, to drive global market share, particularly in chicken.
4. Enhanced Value and Affordability Offerings: Amidst a challenging consumer environment and persistent inflation, McDonald's is prioritizing value and affordability. The company is re-engaging customers, especially lower-income consumers, through promotional deals and Extra Value Meals, with a commitment to maintaining its value leadership across markets.
5. Elevated Marketing and Brand Engagement: McDonald's aims to maximize its marketing efforts through culturally relevant campaigns and creative excellence to strengthen brand affinity and drive growth. The company seeks to scale successful marketing platforms across markets and connect with customers through personalized digital offers.

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Share Repurchases

• McDonald's resumed its share repurchase program in September 2021, having paused it from March 2020.
• The company engaged in significant share repurchases, with approximately $3.896 billion in 2022, $3.054 billion in 2023, and $2.824 billion in 2024.
• In 2024, McDonald's returned a total of $7.7 billion to shareholders through a combination of dividends and share repurchases.

Share Issuance

• McDonald's reported common stock issuances of approximately $285.7 million in 2021, $248 million in 2022, $260 million in 2023, and $328 million in 2024.
• The latest twelve-month issuance of common stock peaked in June 2025 at $395 million.
• The number of shares outstanding has experienced a gradual decline, from about 0.741 billion in 2021 to 0.722 billion in 2024, and approximately 0.718 billion as of June 30, 2025.

Capital Expenditures

• Capital expenditures have consistently increased, rising from $2.04 billion in 2021 to $2.775 billion in 2024.
• McDonald's anticipates capital expenditures to be between $3.0 and $3.2 billion for 2025.
• The primary focus of these capital expenditures is new restaurant unit expansion, with plans to open approximately 2,200 new restaurants globally in 2025 and achieve a total of 50,000 restaurants worldwide by the end of 2027, along with investments in digital technology and menu innovation.