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McDonald's MCD Purchase Obligation

Purchase Obligation at other companies

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$22.2M-24.5%

Other financials

Income statement

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Revenue$6.5B+9.4%
Gross profit$5.8B+9.5%
Operating income$3.0B+11.5%
Net income$2.0B+6.2%
EPS (diluted)$2.78+6.9%

Balance sheet

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Cash & equivalents$1.2B-5.5%
Total debt$54.9B+4.0%
Total equity-$1.3B+62.8%
Total assets$60.0B+6.6%

Cash flow

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Operating cash flow$2.4B-0.7%
CapEx$682.0M+23.8%
Free cash flow$1.7B-7.8%

Valuation

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Market cap$197.95B-0.8%
Enterprise value$251.67B+0.1%
P/E22.8×-1.6×
P/S7.2×-0.6×

Profitability

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Gross margin86.6%
Operating margin46.3%+1.0pp
Net margin31.6%-0.1pp

Returns & leverage

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Return on equity45.4%
Debt / equity6.5×
Current ratio1.1×0.0×

Where this comes from

Reported directly by McDonald's in its filing.

Tagged under the XBRL concept us-gaap:ContractualObligation.

The official record: McDonald's’s 10-K, filed February 24, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is McDonald's's purchase obligation?
McDonald's (MCD) reported purchase obligation of $20.63B in Q4 2025.
What is the long-term trend for McDonald's's purchase obligation?
Over 2 years (2023 to 2025), McDonald's's purchase obligation has grown at a 1.9% compound annual growth rate (CAGR), from $19.88B to $20.63B.
What does purchase obligation mean?
The total value of binding agreements to buy goods or services in the future.
How do you interpret purchase obligation?
High purchase obligations ensure supply security but reduce flexibility; low obligations may increase exposure to market price volatility.
How does purchase obligation compare across companies?
Standard disclosure in the contractual obligations section of annual reports for large enterprises.