The CFO of McDonald's, Ian Borden, acknowledged on Wednesday that the company's international sales will gradually decline in the current quarter due to the conflict in the Middle East and weak demand in China, which led to a two percent drop in the company's shares.

Borden confirmed at the UBS Global Consumer and Retail Conference that same-store sales for the first quarter in McDonald's licensed international developmental markets sector will be slightly lower than the previous three-month period.

The company broadly missed Wall Street estimates for fourth-quarter sales in this sector in February, partly due to protests and boycott campaigns against many Western brands because of their pro-Israel stance in the conflict between Israel and Hamas.

Not just the Middle East

According to Sky News quoting Reuters, Borden said: "We continue to deal with the effects of the war in the Middle East. But we are also witnessing what I can call a slow start in China this year."

Global companies like McDonald's are facing weak demand in China, where employment problems, the worsening real estate crisis, and economic uncertainties have dampened consumer sentiment.

$25 billion and 42 thousand branches

McDonald's is one of the largest global companies in the fast-food sector, with 42 thousand branches. As for its total financial revenues, they reached $25 billion in 2023, that is before the crises it is currently facing. The company has assets exceeding $56 billion in value, and more than 150 thousand workers and employees operate worldwide.