The profit of the Spanish subsidiary increased by 15%, to 53 million
McDonald’s faced the Covid-19 health crisis after closing 2019 with record sales and its highest profit in five years. During that year, the restaurant company reached 1,165 million euros in sales between the restaurants it manages directly and the franchisees, which make up the bulk of its network. A figure that represented a growth of 5.3% compared to 2018 and which is the highest registered to date, as recorded in the annual accounts recently deposited in the Mercantile Registry.
In 2019, the McDonald’s restaurant network continued to grow to 527 units, 12 more than the previous year, after undertaking 19 openings and 7 closings. Of that amount, around fifty are managed directly by the company.
These, together with the amounts that McDonald’s charges its franchisees in terms of rentals, sales and royalties for the restaurants they operate, generated a turnover of 352 million to McDonald’s Restaurants, the company under which the US company operates in Spain. A figure 1% higher than the previous year, but with different trends from one business to another. The amount generated by collections from franchisees grew by 11% to 175 million, while the sale of food in those fifty restaurants was 177.4 million, 8% less.
McDonald’s Restaurants net profit jumped 15% to 53 million, the highest in the last five years.
A good position with which he faced the pandemic that, as he acknowledges in his accounts, has had a significant impact on the business, although he does not quantify to what extent. It does point out that “it can be concluded that it will negatively impact the business and our outlook for financial results.” The company had to undertake an ERTE due to the forced closures of its restaurants that affected 2,726 workers, and at the date of the formulation of the accounts, June 12, it had 77% of them open.
McDonald’s notes that its home delivery, McAuto and restaurant pick-up services were active “critical during the de-escalation.”
On the other hand, McDonald’s accounts reveal how the Spanish subsidiary executed on February 3, 2020, the payment of a certificate drawn up by the Tax Agency for various taxes corresponding to the years 2007 to 2019, for 622,400 euros, and which was confirmed by the National Court. An amount that you already had provisioned in your 2019 accounts.
