The “padlock” in its stores in Russia will cost McDonald’s about $ 50 million a month, according to estimates by the fast food giant himself.
The U.S. multinational announced yesterday that it was temporarily closing its stores in Russia in “response” to the ongoing Russian military offensive in Ukraine, with McDonald’s having about 850 stores in Russia, most of which it operates with only a few method of franchise.
The example of McDonald’s was followed by other fast food chains such as Starbucks, Yum Brands and Papa John’s, as well as other business giants such as Coca-Cola, with the list of companies leaving or ceasing operations in Russia constantly growing.
It is noted that until yesterday, when it announced the temporary closure of its stores, the giant of fast food received strong criticism for its attitude towards the Russian invasion.
McDonald’s chief financial officer Kevin Ozan told the UBS Global Consumer and Retail Conference on Wednesday that the company was still calculating the cost of the move in financial terms. However, the company currently estimates the cost will be around $ 50 million a month, or about 5-6 cents per share.
For the fourth quarter of last year, McDonald’s announced a net profit of $ 1.64 billion and earnings per share of $ 2.18.
Source: Capital
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