McDonald's Owners Offer Tuition, Childcare to Lure Burger Flippers
McDonald's Corp. owners are adding emergency child care and other benefits, as many U.S. restaurants are struggling to hire enough workers to run their businesses.
U.S. franchisees of the burger giant aim to boost hourly pay, give workers paid time off and help cover tuition costs to draw enough workers and improve the Golden Arches' image as an employer. McDonald's corporate parent said it is making a multimillion-dollar investment to back the franchisee efforts. Franchisees own 95% of the chain's roughly 13,450 U.S. stores.
Weber Trumpets Market Share, Repeatable Business Ahead of IPO -- Market Talk
12:34 ET - Grilling company Weber starts the week by filing paperwork for an upcoming IPO on the New York Stock Exchange. In laying out its value proposition to investors, Weber emphasizes its market share, citing its status as the No. 1 outdoor-cooking brand on Amazon. Of outdoor-cooking products sold online overall in the US last year, Weber represented 29%, management estimates. Revenue comes not only from grill purchases but also from additional items such as grilling fuel and cleaning products, the company says. Such sales are about 26% of Weber's total revenue, which was $1.53B in FY20. (firstname.lastname@example.org; @mattgrossman)
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Weber Plant in Poland to Expand Local Production Model -- Market Talk
12:43 ET - Weber, in its IPO filing today, says about 35% of its revenue comes from Europe, the Middle East and Africa. As growth in that region continues, the company is planning to open a manufacturing and distribution facility in Zabrze, Poland before the end of 2021. The plan furthers a regional-production model that reduces labor and transportation costs, Weber says. In the US, the company has a more than 600,000-square-foot production plant in Huntley, Ill., making Weber the only major grill company with a significant US manufacturing presence, the company says. (email@example.com; @mattgrossman)
MTY Cost Control, Free Cash Helped 2Q Results Beat Expectations -- Market Talk
13:57 ET - MTY Food benefited from cost-control and maximizing free cash, pushing results in 2Q beyond expectations, according to Raymond James. The Canadian franchiser and operator of casual dining, fast-casual and quick-service restaurants' 2Q system sales were C$891.5M, beating Raymond James's forecast of C$780.1M. "Throughout the pandemic, MTY has taken the actions necessary to control costs and maximize free-cash, and results have been consistently ahead of our forecast over more recent quarters," Raymond James says, upgrading its target price to C$64 from C$55. Shares jump 8% to C$68.63. (firstname.lastname@example.org)
Hong Kong Stocks End Higher as Restaurant Operators Soar -- Market Talk
0832 GMT - Hong Kong stocks ended higher, extending their recovery from an eight-session losing streak earlier this month. The benchmark Hang Seng Index rose 0.6% to settle at 27515.24 after hitting a year-to-date low last week. Restaurant operators led the upturn, rebounding from their earlier weakness. Haidilao jumped 8.8% and Xiabuxiabu was up 3.2%. Auto makers lent further support, with BYD rising 7.8% and Geely adding 2.1%. (email@example.com)
Hog Futures Charge Higher on Lower Production Outlook -- Market Talk
1448 ET - A drop in projected US pork production supported lean hog futures on the CME -- with the most-active contract up 2.5% to $1.04075 per pound. The uptick comes after the USDA cut its projection for US pork production by 40 million pounds in its WASDE report released this afternoon. "Pork production is reduced on lower expected second-half commercial hog slaughter," says the USDA. Meanwhile, the USDA opted to keep its production forecast for beef unchanged. Live cattle futures closed trading Monday up 0.5% to $1.19825 per pound. (firstname.lastname@example.org; @kirkmaltais)
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