McDonald's Global Growth Plan Includes Delivery Testing, Digital Enhancements

McDonald's Corp. unveiled a global growth plan at its investor day event on Wednesday that includes delivery and digital enhancements. The company is testing delivery methods, including third-party partnerships for ordering and fulfillment around the world. McDonald's said nearly 75% of the population in its top five markets - U.S., France, the U.K., Germany and Canada - live within three miles of a McDonald's. The fast-food giant is also accelerating its "Experience of the Future" restaurant upgrades, which include kiosks to place orders, mobile ordering and table service. McDonald's will launch mobile order-and-pay in 20,000 restaurants in some of their largest markets, including the U.S. by the end of 2017. McDonald's is on the path to refranchise 4,000 restaurants by the end of 2017, a year ahead of schedule. And the board has approved a new three-year cash return target of $22 billion to $24 billion. McDonald's sees systemwide sales growth of 3% to 5% on an average annual constant-currency basis beginning in 2019, and earnings per share growth in the high-single digits. McDonald's shares are up 1.4% in Wednesday trading after resuming trade, and are up 8.8% for the past year. The Dow Jones Industrial Average is up 23.4% for the last 12 months.