McDonald's US comparable sales rise 1.7%

McDonald's shares were up 2.4% in pre-market trading

McDonald's Corp reported a better-than-expected increase in quarterly sales at established US restaurants, boosted by the expansion of all-day breakfast, and Big Mac and beverage value promotions.

The world's largest fast-food chain said on Tuesday that same-restaurant sales at McDonald's rose 1.7 per cent in the three months ended March 31.

Analysts were expecting a 1.3 per cent increase, according to research firm Consensus Metrix.

Net income jumped 8 per cent to $1.21 billion, or $1.47 per share, handily beating analysts' average estimate of $1.33, according to Thomson Reuters I/B/E/S.

McDonald's shares were up 2.4 per cent in premarket trading.

"There's a sense of urgency across the business as we take actions to retain existing customers, regain lapsed customers and convert casual customers to committed customers," CEO Steve Easterbrook said.

Easterbrook has vowed to transform McDonald's into a "modern, progressive burger company". He has introduced the all-day breakfast, banned the use of medically important antibiotics in US. chicken.

Revenue fell 3.9 per cent to $5.68 billion - the eleventh straight quarter of declines - mainly due to the sale of restaurants to franchisees as part of Easterbrook's turnaround plan.