'Big Mac' still on track

McDonalds, the world's number largest fast-food company, released Q4 results indicating total revenue increases of 17%, with systemwide sales up by 16% and comparable sales up 7.4%.

McDonalds has around 30,000 restaurants in 120 countries with about 30% of its locations company-owned, the remainder are run by franchisees.

Company operated restaurant margins increased by 170 basis points to 14.8% and franchised restaurant margins were up 110 basis points to 78.6%, a significant improvement on previous years.

For the full year 2003, the fast food giant also saw a record high for revenues, increasing by 11% and systemwide sales also up- by 11%.

Comparable sales were up 2.4%, which was a significant improvement on 2002's 2.1% decline.

The company repurchased $430m (€623m) of its common stock during the year and increased the annual dividend by 70% to more than $500m (€724m).

Chairman and Chief Executive Jim Cantalupo said: "While much hard work remains, our improving performance clearly indicates that our Plan to Win is delivering."

He also said that the company's aggressive (marketing) actions were paying off with the first ever global brand direction - "I'm lovin' it".

Meanwhile, Fred Turner, Senior Chairman of the group retired after 48 years service.

Commenting, Cantalupo described Turner as the "heart and soul" of McDonalds.