1st Quarter Gains for McDonald's

The Golden Arches has announced an increase in dough this quarter, and they're not talkin' about quarter-pounder buns.

Still, it's great news for food ingredient manufacturers and distributors.

In the face of the current recession, McDonald's leavened a 3.5% increase in profits for the first quarter of 2009. According to data published in Reuter's, first-quarter income rose to $979.5 million ($0.87 per share) versus $946.1 million ($0.81 per share) last year.

On top of that (and they're not talkin' ketchup, pickles and onions), the world's largest hamburger chain claims that sales trends this month are proving to be as strong or better.

Despite the increase, share prices haven't changed much, holding steady in the mid-50's.

To further digest how the recession affects the fast food industry, Reuter's also states,

McDonald's and some other fast-food restaurants have benefited as a global economic downturn has sent customers to lower-priced fare, including the company's Dollar Menu items.

Seems like the Dollar Menu was a good call.

Even though the dough increase won't leave you wondering 'where the beef is', sugar, salt, and other ingredients remain in demand by McDonald's.