Discontinued — last reported Q4 '25

Cost of Revenue

Franchised restaurant occupancy expenses

McDonald's Franchised restaurant occupancy expenses remained flat by 0.0% to $654.50M in Q4 2025 compared to the prior quarter. Year-over-year, this metric grew by 3.2%, from $634.00M to $654.50M. Over 4 years (FY 2021 to FY 2025), Franchised restaurant occupancy expenses shows an upward trend with a 2.9% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.

Analysis

StatementIncome Statement
SectionCost of Revenue
CategoryEfficiency
SignalLower is better
VolatilityStable
First reportedQ1 2013
Last reportedQ4 2025

How to read this metric

An increase may reflect rising real estate costs or expansion of the company's property portfolio.

Detailed definition

Costs incurred by the company related to the real estate and property used by franchised restaurants. This includes rent...

Peer comparison

Comparable to lease and occupancy costs in other real estate-heavy franchise businesses.

Metric ID: is_mcd_franchised_restaurant_occupancy_expenses

Historical Data

5 years
 FY'21FY'22FY'23FY'24FY'25
Value$2.34B$2.35B$2.47B$2.54B$2.62B
YoY Change+0.6%+5.3%+2.5%+3.2%
Range$2.34B$2.62B
CAGR+2.9%
Avg YoY Growth+2.9%
Median YoY Growth+2.9%
Current Streak4+ years growth

Business Segments

View all
SegmentQ1 '25Q2 '25Q3 '25Q4 '25Q1 '26
International Operated Markets$301.00M$353.00M
International Developmental Licensed Markets & Corporate$250.00K$250.00K$250.00K$250.00K
U.S.$323.25M$323.25M$323.25M$323.25M
Total$654.50M$654.50M$654.50M$654.50M

International Developmental Licensed Markets & Corporate, U.S. are derived from annual filings.

Frequently Asked Questions

What is McDonald's's franchised restaurant occupancy expenses?
McDonald's (MCD) reported franchised restaurant occupancy expenses of $654.50M in Q4 2025.
How has McDonald's's franchised restaurant occupancy expenses changed year-over-year?
McDonald's's franchised restaurant occupancy expenses increased by 3.2% year-over-year, from $634.00M to $654.50M.
What is the long-term trend for McDonald's's franchised restaurant occupancy expenses?
Over 4 years (2021 to 2025), McDonald's's franchised restaurant occupancy expenses has grown at a 2.9% compound annual growth rate (CAGR), from $2.34B to $2.62B.
What does franchised restaurant occupancy expenses mean?
Costs associated with owning or leasing properties occupied by franchisees.