McDonald's (MCD) 10-Q 4 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information	6 Months Ended
	Jun. 30, 2016shares
Document Documentand Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Trading Symbol	MCD
Entity Registrant Name	MCDONALDS CORP
Entity Central Index Key	63,908
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding	853,361,988

Condensed Consolidated Balance

Condensed Consolidated Balance Sheet - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Current assets
Cash and equivalents	$ 3,128	$ 7,685.5
Accounts and notes receivable	1,267.1	1,298.7
Inventories, at cost, not in excess of market	87.4	100.1
Prepaid expenses and other current assets	564.1	558.7
Total current assets	5,046.6	9,643
Other assets
Investments in and advances to affiliates	852.1	792.7
Goodwill	2,498.6	2,516.3
Miscellaneous	1,899.3	1,869.1
Total other assets	5,250	5,178.1
Property and equipment
Property and equipment, at cost	37,814.4	37,692.4
Accumulated depreciation and amortization	(14,964.5)	(14,574.8)
Net property and equipment	22,849.9	23,117.6
Total assets	33,146.5	37,938.7
Current liabilities
Accounts payable	574.6	874.7
Income taxes	219.3	154.8
Other taxes	302.1	309
Accrued interest	212.7	233.1
Accrued payroll and other liabilities	1,358.5	1,378.8
Total current liabilities	2,667.2	2,950.4
Long-term debt	26,010	24,122.1
Other long-term liabilities	2,208	2,074
Deferred income taxes	1,621.3	1,704.3
Shareholders' equity
Preferred stock, no par value; authorized—165.0 million shares; issued—none	0	0
Common stock, $.01 par value; authorized—3.5 billion shares; issued—1,660.6 million shares	16.6	16.6
Additional paid-in capital	6,137.5	6,533.4
Retained earnings	45,272.5	44,594.5
Accumulated other comprehensive income	(2,674.8)	(2,879.8)
Common stock in treasury, at cost; 807.3 and 753.8 million shares	(48,111.8)	(41,176.8)
Total shareholders' equity	640	7,087.9
Total liabilities and shareholders' equity	$ 33,146.5	$ 37,938.7

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheet (Parenthetical) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
Preferred stock, par value	$ 0	$ 0
Preferred stock, authorized	165,000,000	165,000,000
Preferred stock, issued	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, authorized	3,500,000,000	3,500,000,000
Common stock, issued	1,660,600,000	1,660,600,000
Common stock in treasury, shares	807,300,000	753,800,000

Condensed Consolidated Statemen

Condensed Consolidated Statement of Income - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenues
Sales by Company-operated restaurants	$ 3,916.6	$ 4,261.1	$ 7,670.1	$ 8,175.2
Revenues from franchised restaurants	2,348.4	2,236.6	4,498.8	4,281.4
Total revenues	6,265	6,497.7	12,168.9	12,456.6
Operating costs and expenses
Company-operated restaurant expenses	3,248.1	3,596.3	6,423.4	6,950.6
Franchised restaurants-occupancy expenses	430.9	411	846	814.6
Selling, general & administrative expenses	596.1	592.4	1,174.1	1,175.2
Other operating (income) expense, net	132	48.7	87.2	281.4
Total operating costs and expenses	4,407.1	4,648.4	8,530.7	9,221.8
Operating income	1,857.9	1,849.3	3,638.2	3,234.8
Interest expense	223.9	149.2	442.2	296.5
Nonoperating (income) expense, net	(16.2)	(12.3)	(30.6)	(28.2)
Income before provision for income taxes	1,650.2	1,712.4	3,226.6	2,966.5
Provision for income taxes	557.3	510	1,008.9	952.6
Net income	$ 1,092.9	$ 1,202.4	$ 2,217.7	$ 2,013.9
Earnings per common share-basic	$ 1.27	$ 1.26	$ 2.53	$ 2.10
Earnings per common share-diluted	1.25	1.26	2.51	2.09
Dividends declared per common share	$ 0.89	$ 0.85	$ 1.78	$ 1.70
Weighted average shares outstanding-basic	864	953.2	876.4	956.9
Weighted average shares outstanding-diluted	871.2	957.6	883.8	961.7

Consolidated Statement of Compr

Consolidated Statement of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Net income	$ 1,092.9	$ 1,202.4	$ 2,217.7	$ 2,013.9
Foreign currency translation adjustments:
Gain (loss) recognized in accumulated other comprehensive income (AOCI), including net investment hedges	(275.5)	389.2	204.3	(590.5)
Reclassification of (gain) loss to net income	0	0.2	18.3	0.2
Foreign currency translation adjustments-net of tax benefit (expense) of $(168.2), $67.0 and $(97.3), $(92.9)	(275.5)	389.4	222.6	(590.3)
Cash flow hedges:
Gain (loss) recognized in AOCI	2.9	(10.2)	(7.1)	12
Reclassification of (gain) loss to net income	(1.2)	(9.4)	(12)	(14.7)
Cash flow hedges-net of tax benefit (expense) of $(1.1), $11.0 and $10.7, $1.5	1.7	(19.6)	(19.1)	(2.7)
Defined benefit pension plans:
Gain (loss) recognized in AOCI	0.1	0	(0.8)	(1.4)
Reclassification of (gain) loss to net income	1.5	2.2	2.3	4.1
Defined benefit pension plans-net of tax benefit (expense) $0.0, $0.0 and $0.0, $0.6	1.6	2.2	1.5	2.7
Total other comprehensive income (loss), net of tax	(272.2)	372	205	(590.3)
Comprehensive income (loss)	$ 820.7	$ 1,574.4	$ 2,422.7	$ 1,423.6

Consolidated Statement of Comp6

Consolidated Statement of Comprehensive Income (parentheticals) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Other comprehensive income (loss), foreign currency translation adjustment, tax	$ (168.2)	$ 67	$ (97.3)	$ (92.9)
Other comprehensive income (loss), derivatives qualifying as hedges, tax	(1.1)	11	10.7	1.5
Other comprehensive income (loss), pension and other postretirement benefit plans, tax	$ 0	$ 0	$ 0	$ 0.6

Condensed Consolidated Stateme7

Condensed Consolidated Statement of Cash Flows - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Operating activities
Net income	$ 1,092.9	$ 1,202.4	$ 2,217.7	$ 2,013.9
Charges and credits:
Depreciation and amortization	383.3	392.2	767	778.3
Deferred income taxes	(190.3)	2.8	(158.7)	15.3
Share-based compensation	27.3	27.7	67.8	47.7
Other	238.7	19.2	186.2	262.1
Changes in working capital items	(303.5)	(130.8)	(86.4)	95.7
Cash provided by operations	1,248.4	1,513.5	2,993.6	3,213
Investing activities
Capital expenditures	(352.5)	(415.9)	(744.3)	(808.5)
Purchases of restaurant businesses	(11.6)	(32.8)	(37)	(55.7)
Sales of restaurant businesses and property	181.3	83.8	354.4	154.3
Other	(20.9)	18.4	(32.7)	14.2
Cash used for investing activities	(203.7)	(346.5)	(459.6)	(695.7)
Financing activities
Net short-term borrowings	146.7	(293.8)	(662.9)	(38.8)
Long-term financing issuances	3,371.4	4,227.3	3,372.1	4,227.8
Long-term financing repayments	(600.4)	(501.4)	(813.9)	(1,046.7)
Treasury stock purchases	(3,380.7)	(1,555.4)	(7,692.4)	(2,161.8)
Common stock dividends	(759.3)	(811)	(1,540.1)	(1,627.3)
Proceeds from stock option exercises	82.5	36.6	213.8	135.2
Excess tax benefit on share-based compensation	0	6	0	25.4
Other	3	(20.7)	7.9	(19.5)
Cash (used for) provided by financing activities	(1,136.8)	1,087.6	(7,115.5)	(505.7)
Effect of exchange rates on cash and cash equivalents	(90)	109.1	24	(91)
Cash and equivalents increase (decrease)	(182.1)	2,363.7	(4,557.5)	1,920.6
Cash and equivalents at beginning of period	3,310.1	1,634.8	7,685.5	2,077.9
Cash and equivalents at end of period	$ 3,128	$ 3,998.5	$ 3,128	$ 3,998.5

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying condensed consolidated financial statements should be read in conjunction with the consolidated financial statements contained in the Company’s December 31, 2015 Annual Report on Form 10-K. In the opinion of management, all adjustments (consisting of normal recurring accruals) necessary for a fair presentation have been included. The results for the quarter and six months ended June 30, 2016 do not necessarily indicate the results that may be expected for the full year.

Restaurant Information

Restaurant Information	6 Months Ended
	Jun. 30, 2016
Disclosure Restaurant Information By Ownership Type [Abstract]
Restaurant Information	Restaurant Information The following table presents restaurant information by ownership type: Restaurants at June 30, 2016 2015 Conventional franchised 21,329 20,903 Developmental licensed 5,674 5,293 Foreign affiliated 3,364 3,516 Total Franchised 30,367 29,712 Company-operated 6,137 6,656 Systemwide restaurants 36,504 36,368 The results of operations of restaurant businesses purchased and sold in transactions with franchisees were not material either individually or in the aggregate to the condensed consolidated financial statements for the periods prior to purchase and sale.

Per Common Share Information

Per Common Share Information	6 Months Ended
	Jun. 30, 2016
Earnings Per Share [Abstract]
Per Common Share Information	Per Common Share Information Diluted earnings per common share is calculated using net income divided by diluted weighted-average shares. Diluted weighted-average shares include weighted-average shares outstanding plus the dilutive effect of share-based compensation, calculated using the treasury stock method, of 7.2 million shares and 4.4 million shares for the quarters 2016 and 2015 , respectively, and 7.4 million shares and 4.8 million shares for the six months 2016 and 2015, respectively. Stock options that would have been antidilutive, and therefore were not included in the calculation of diluted weighted-average shares, totaled 4.2 million shares and 9.5 million shares for the quarters 2016 and 2015 , respectively, and 3.4 million shares and 10.0 million shares for the six months 2016 and 2015, respectively. In the first quarter 2016, the Company entered into an Accelerated Share Repurchase agreement (“ASR”) to purchase up to $2.7 billion of the Company's common stock and received an initial delivery of 18.5 million shares, which represented 80% of the total shares the Company expected to receive based on the market price at the time of initial delivery. In May 2016, the purchase period for this ASR ended, and an additional 3.4 million shares were delivered and retired. In the second quarter 2016, the Company paid $2.6 billion under a new ASR and received an initial delivery of 16.2 million shares, which represented 80% of the total shares the Company expected to receive based on the market price at the time of initial delivery. The final number of shares delivered upon settlement of the agreement, which was expected to be between July 1, 2016 and August 11, 2016, was set to be determined with reference to the volume weighted-average price per share of the Company's common stock over the term of the agreement, less a negotiated discount. The transaction is accounted for as an equity transaction and is included in Treasury stock when the shares are received, at which time there is an immediate reduction in the weighted-average common shares calculation for basic and diluted earnings per share. The purchase period for this ASR ended in July 2016. Refer to the Subsequent Events footnote for more information.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements The Company measures certain financial assets and liabilities at fair value. Fair value disclosures are reflected in a three-level hierarchy, maximizing the use of observable inputs and minimizing the use of unobservable inputs. The Company did not have any significant changes to the valuation techniques used to measure fair value as described in the Company's December 31, 2015 Annual Report on Form 10-K. At June 30, 2016 , the fair value of the Company’s debt obligations was estimated at $28.6 billion , compared to a carrying amount of $26.0 billion . The fair value was based upon quoted market prices, Level 2 within the valuation hierarchy. The carrying amounts of cash and equivalents, short-term investments and notes receivable approximate fair value.

Financial Instruments and Hedgi

Financial Instruments and Hedging Activities	6 Months Ended
	Jun. 30, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Financial Instruments and Hedging Activities	Financial Instruments and Hedging Activities The Company is exposed to global market risks, including the effect of changes in interest rates and foreign currency fluctuations. The Company uses foreign currency denominated debt and derivative instruments to mitigate the impact of these changes. The Company does not hold or issue derivatives for trading purposes. The following table presents the fair values of derivative instruments included on the condensed consolidated balance sheet: Derivative Assets Derivative Liabilities In millions June 30, December 31, June 30, December 31, Total derivatives designated as hedging instruments $ 21.3 $ 60.9 $ (10.5 ) $ (38.9 ) Total derivatives not designated as hedging instruments 136.4 144.4 (8.1 ) (5.5 ) Total derivatives $ 157.7 $ 205.3 $ (18.6 ) $ (44.4 ) The following table presents the pretax amounts affecting income and other comprehensive income (“OCI”) for the six months ended June 30, 2016 and 2015 , respectively: Gain (Loss) Recognized in Accumulated OCI Gain (Loss) Reclassified into Income from Accumulated OCI Gain (Loss) Recognized in Income on Derivative (1) In millions 2016 2015 2016 2015 2016 2015 Cash Flow Hedges $ (11.5 ) $ 19.3 $ 18.3 $ 23.4 — $ 20.3 Net Investment Hedges $ 19.8 $ 491.2 $ (18.3 ) $ (0.2 ) Undesignated derivatives $ 3.1 $ 0.5 (1) Includes amounts excluded from effectiveness testing, ineffectiveness, and undesignated gains (losses). • Fair Value Hedges The Company enters into fair value hedges that convert a portion of its fixed-rate debt into floating-rate debt by use of interest rate swaps. At June 30, 2016 , $2.2 billion of the Company's outstanding fixed-rate debt was effectively converted. For the six months ended June 30, 2016 , the Company recognized an $8.4 million gain on fair value interest rate swaps, which was exactly offset by a corresponding loss in the fair value of the hedged debt instruments. • Cash Flow Hedges The Company enters into cash flow hedges to reduce the exposure to variability in certain expected future cash flows. To protect against the reduction in value of forecasted foreign currency cash flows (such as royalties denominated in foreign currencies), the Company uses foreign currency forwards and foreign currency options to hedge a portion of anticipated exposures. The hedges cover the next 14 months for certain exposures and are denominated in various currencies. As of June 30, 2016 , the Company had derivatives outstanding with an equivalent notional amount of $440.7 million that hedged a portion of forecasted foreign currency denominated royalties. Based on market conditions at June 30, 2016 , the $0.9 million in cumulative cash flow hedging gains , after tax, is not expected to have a significant effect on earnings over the next 12 months. • Net Investment Hedges The Company primarily uses foreign currency denominated debt (third party and intercompany) to hedge its investments in certain foreign subsidiaries and affiliates. Realized and unrealized translation adjustments from these hedges are included in shareholders' equity in the foreign currency translation component of OCI and offset translation adjustments on the underlying net assets of foreign subsidiaries and affiliates, which also are recorded in OCI. As of June 30, 2016 , $7.1 billion of the Company's third party foreign currency denominated debt, $3.2 billion of intercompany foreign currency denominated debt and $627.5 million of derivatives were designated to hedge investments in certain foreign subsidiaries and affiliates. • Credit Risk The Company is exposed to credit-related losses in the event of non-performance by its derivative counterparties. The Company did not have significant exposure to any individual counterparty at June 30, 2016 and has master agreements that contain netting arrangements. For financial reporting purposes, the Company presents gross derivative balances in the financial statements and supplementary data, including for counterparties subject to netting arrangements. Some of these agreements also require each party to post collateral if credit ratings fall below, or aggregate exposures exceed, certain contractual limits. At June 30, 2016 , the Company was required to post an immaterial amount of collateral due to certain derivatives having negative positions. The Company's counterparties were not required to post collateral on any derivative position, other than on hedges of certain of the Company’s supplemental benefit plan liabilities where the counterparties were required to post collateral on their liability positions.

Segment Information

Segment Information	6 Months Ended
	Jun. 30, 2016
Segment Reporting [Abstract]
Segment Information	Segment Information The Company franchises and operates McDonald’s restaurants in the global restaurant industry. In September 2015, the Company issued segment summary financial information and segment historical data in accordance with its new reporting structure, effective July 1, 2015, for the previously reported years ended 2010 through 2014 and quarters ended March 31, 2014 through June 30, 2015. The segment information included herein is presented in accordance with the change in reporting structure for all periods presented. The following table presents the Company’s revenues and operating income by segment. Quarters Ended Six Months Ended June 30, June 30, In millions 2016 2015 2016 2015 Revenues U.S. $ 2,122.8 $ 2,174.2 $ 4,142.7 $ 4,152.3 International Lead Markets 1,842.8 1,936.9 3,571.3 3,727.7 High Growth Markets 1,550.6 1,612.9 2,992.8 3,069.2 Foundational Markets & Corporate 748.8 773.7 1,462.1 1,507.4 Total revenues $ 6,265.0 $ 6,497.7 $ 12,168.9 $ 12,456.6 Operating Income U.S. $ 1,018.9 $ 925.8 $ 1,859.1 $ 1,657.6 International Lead Markets 718.9 688.6 1,373.1 1,272.1 High Growth Markets 273.7 218.9 494.6 342.0 Foundational Markets & Corporate (153.6 ) 16.0 (88.6 ) (36.9 ) Total operating income $ 1,857.9 $ 1,849.3 $ 3,638.2 $ 3,234.8

Recently Issued Accounting Stan

Recently Issued Accounting Standards	6 Months Ended
	Jun. 30, 2016
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]
Recently Issued Accounting Standards	Recently Issued Accounting Standards Employee Share-Based Payment Accounting In March 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-09, “Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” The goal of this update is to simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. This update is effective beginning January 1, 2017 with early adoption permitted. The Company elected to early adopt ASU 2016-09 in the second quarter 2016, which requires reflection of any adjustments as of January 1, 2016. The primary impact of adoption was the recognition of excess tax benefits as a reduction to the provision for income taxes of $17.6 million and $43.8 million for the three and six months ended June 30, 2016, respectively, and a benefit to previously reported quarterly earnings per common share - basic and diluted for March 31, 2016 of $0.03 and $0.02 , respectively. Excess tax benefits of $26.1 million previously reported in financing activities in the consolidated statement of cash flows for the three months ended March 31, 2016 have been reclassified to operating activities in the consolidated statement of cash flows for the six months ended June 30, 2016. Additional amendments to ASU 2016-09 related to income taxes and minimum statutory withholding tax requirements had no impact to retained earnings, where the cumulative effect of these changes are required to be recorded. The Company also elected to continue estimating forfeitures when determining the amount of compensation costs to be recognized in each period. The presentation requirements for cash flows related to excess tax benefits will be applied prospectively; as such, prior years have not been restated. The presentation requirements for cash flows related to employee taxes paid for withheld shares had no impact to any of the periods presented in the consolidated statement of cash flows, since such cash flows have historically been presented in financing activities. Lease Accounting In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842),” to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early adoption permitted. The Company anticipates ASU 2016-02 to have a material impact on the consolidated balance sheet. The impact on the Company’s consolidated statement of income is currently being evaluated. The impact of ASU 2016-02 is non-cash in nature, as such, it will not affect the Company’s cash position. Revenue Recognition In May 2014, the FASB issued guidance codified in ASC 606, “Revenue Recognition - Revenue from Contracts with Customers,” which amends the guidance in former ASC 605, “Revenue Recognition.” In July 2015, the FASB made a decision to defer by one year the effective date of its new standard to January 1, 2018, although early adoption is permitted as of January 1, 2017. The Company is currently evaluating the impact of ASC 606.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2016
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events The Company evaluated subsequent events through the date the financial statements were issued and filed with the Securities and Exchange Commission. In the second quarter 2016, the Company entered into a new ASR to purchase up to $2.6 billion of the Company's common stock and received an initial delivery of 16.2 million shares, which represented 80% of the total shares the Company expected to receive based on the market price at the time of initial delivery. In July 2016, the purchase period for this ASR ended, and an additional 5.1 million shares were delivered and retired. There were no other subsequent events that required recognition or disclosure.

Restaurant Information (Tables)

Restaurant Information (Tables)	6 Months Ended
	Jun. 30, 2016
Disclosure Restaurant Information By Ownership Type [Abstract]
Restaurant Information by Ownership Type	The following table presents restaurant information by ownership type: Restaurants at June 30, 2016 2015 Conventional franchised 21,329 20,903 Developmental licensed 5,674 5,293 Foreign affiliated 3,364 3,516 Total Franchised 30,367 29,712 Company-operated 6,137 6,656 Systemwide restaurants 36,504 36,368

Financial Instruments and Hed17

Financial Instruments and Hedging Activities (Tables)	6 Months Ended
	Jun. 30, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Fair Values of Derivative Instruments Included on Consolidated Balance Sheet	The following table presents the fair values of derivative instruments included on the condensed consolidated balance sheet: Derivative Assets Derivative Liabilities In millions June 30, December 31, June 30, December 31, Total derivatives designated as hedging instruments $ 21.3 $ 60.9 $ (10.5 ) $ (38.9 ) Total derivatives not designated as hedging instruments 136.4 144.4 (8.1 ) (5.5 ) Total derivatives $ 157.7 $ 205.3 $ (18.6 ) $ (44.4 )
Derivatives Pretax Amounts Affecting Income and Other Comprehensive Income	he following table presents the pretax amounts affecting income and other comprehensive income (“OCI”) for the six months ended June 30, 2016 and 2015 , respectively: Gain (Loss) Recognized in Accumulated OCI Gain (Loss) Reclassified into Income from Accumulated OCI Gain (Loss) Recognized in Income on Derivative (1) In millions 2016 2015 2016 2015 2016 2015 Cash Flow Hedges $ (11.5 ) $ 19.3 $ 18.3 $ 23.4 — $ 20.3 Net Investment Hedges $ 19.8 $ 491.2 $ (18.3 ) $ (0.2 ) Undesignated derivatives $ 3.1 $ 0.5 (1) Includes amounts excluded from effectiveness testing, ineffectiveness, and undesignated gains (losses).

Segment Information (Tables)

Segment Information (Tables)	6 Months Ended
	Jun. 30, 2016
Segment Reporting [Abstract]
Revenues and Operating Income by Geographic Segment	The following table presents the Company’s revenues and operating income by segment. Quarters Ended Six Months Ended June 30, June 30, In millions 2016 2015 2016 2015 Revenues U.S. $ 2,122.8 $ 2,174.2 $ 4,142.7 $ 4,152.3 International Lead Markets 1,842.8 1,936.9 3,571.3 3,727.7 High Growth Markets 1,550.6 1,612.9 2,992.8 3,069.2 Foundational Markets & Corporate 748.8 773.7 1,462.1 1,507.4 Total revenues $ 6,265.0 $ 6,497.7 $ 12,168.9 $ 12,456.6 Operating Income U.S. $ 1,018.9 $ 925.8 $ 1,859.1 $ 1,657.6 International Lead Markets 718.9 688.6 1,373.1 1,272.1 High Growth Markets 273.7 218.9 494.6 342.0 Foundational Markets & Corporate (153.6 ) 16.0 (88.6 ) (36.9 ) Total operating income $ 1,857.9 $ 1,849.3 $ 3,638.2 $ 3,234.8

Restaurant Information by Owner

Restaurant Information by Ownership Type (Detail) - Restaurant	Jun. 30, 2016	Jun. 30, 2015
Segment Reporting Information [Line Items]
Number of Restaurants	36,504	36,368
Franchised
Segment Reporting Information [Line Items]
Number of Restaurants	30,367	29,712
Franchised | Conventional franchised
Segment Reporting Information [Line Items]
Number of Restaurants	21,329	20,903
Franchised | Developmental licensed
Segment Reporting Information [Line Items]
Number of Restaurants	5,674	5,293
Franchised | Affiliated
Segment Reporting Information [Line Items]
Number of Restaurants	3,364	3,516
Company-operated
Segment Reporting Information [Line Items]
Number of Restaurants	6,137	6,656

Per Common Share Information (A

Per Common Share Information (Additional Information) (Detail) - USD ($) shares in Millions, $ in Billions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	May 18, 2016	May 16, 2016	Feb. 12, 2016
Earnings Per Share [Abstract]
Dilutive effect of share-based compensation	7.2	4.4	7.4	4.8
Stock options that were not included in diluted weighted-average shares	4.2	9.5	3.4	10
Accelerated Share Repurchases, Settlement (Payment) or Receipt						$ 2.6	$ 2.7
Treasury Stock Shares Acquired Through Accelerated Share Repurchase					3.4	16.2	18.5
Percent of total shares expected to receive at time of initial delivery						80.00%	80.00%

Fair Value Measurements (Additi

Fair Value Measurements (Additional Information) (Detail) $ in Billions	Jun. 30, 2016USD ($)
Fair Value Measurements [Line Items]
Debt obligations, carrying amount	$ 26
Level 2
Fair Value Measurements [Line Items]
Debt obligations, fair value	$ 28.6

Financial Instruments and Hed22

Financial Instruments and Hedging Activities (Fair Values of Derivative Instruments Included on Consolidated Balance Sheet) (Detail) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Derivatives, Fair Value [Line Items]
Asset Derivatives Fair Value	$ 157.7	$ 205.3
Liability Derivatives Fair Value	(18.6)	(44.4)
Designated as Hedging Instrument
Derivatives, Fair Value [Line Items]
Asset Derivatives Fair Value	21.3	60.9
Liability Derivatives Fair Value	(10.5)	(38.9)
Derivatives Not Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Asset Derivatives Fair Value	136.4	144.4
Liability Derivatives Fair Value	$ (8.1)	$ (5.5)

(Derivatives Pretax Amounts Aff

(Derivatives Pretax Amounts Affecting Income and Other Comprehensive Income) (Detail) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Derivatives in Cash Flow Hedging Relationships
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Reclassified into Income from Accumulated OCI (Effective Portion)	$ 18.3	$ 23.4
Gain (Loss) Recognized in Accumulated OCI (Effective Portion)	(11.5)	19.3
Gain (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing and Ineffective Portion)	0	20.3
Net Investment Hedging Relationships
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Reclassified into Income from Accumulated OCI (Effective Portion)	(18.3)	(0.2)
Gain (Loss) Recognized in Accumulated OCI (Effective Portion)	19.8	491.2
Derivatives Not Designated as Hedging Instruments
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing and Ineffective Portion)	$ 3.1	$ 0.5

(Financial Instruments and Hedg

(Financial Instruments and Hedging Activities - Additional Information) (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2016USD ($)
Derivative Instruments and Hedging Activities Disclosure [Line Items]
Cumulative deferred hedging gain (loss), after tax, included in accumulated other comprehensive income	$ (0.9)
Foreign currency denominated royalties
Derivative Instruments and Hedging Activities Disclosure [Line Items]
Period covered by hedge	14 months
Derivative, notional amount	$ 440.7
Net Investment Hedging [Member]
Derivative Instruments and Hedging Activities Disclosure [Line Items]
Derivative, notional amount	627.5
Interest Rate Swap
Derivative Instruments and Hedging Activities Disclosure [Line Items]
Derivative, notional amount	2,200
Intercompany Debt [Member]
Derivative Instruments and Hedging Activities Disclosure [Line Items]
Foreign currency denominated debt designated to hedge investments in certain foreign subsidiaries and affiliates	3,200
Debt [Member]
Derivative Instruments and Hedging Activities Disclosure [Line Items]
Foreign currency denominated debt designated to hedge investments in certain foreign subsidiaries and affiliates	7,100
Interest Rate Risk [Member] | Fair Value Hedging [Member]
Derivative Instruments and Hedging Activities Disclosure [Line Items]
Derivative instruments, gain (loss) recognized in income, net	$ (8.4)

Segment Information (Segment an

Segment Information (Segment and Geographic Information) (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenue, Major Customer [Line Items]
Total revenues	$ 6,265	$ 6,497.7	$ 12,168.9	$ 12,456.6
Operating Income	1,857.9	1,849.3	3,638.2	3,234.8
U.S.
Revenue, Major Customer [Line Items]
Total revenues	2,122.8	2,174.2	4,142.7	4,152.3
Operating Income	1,018.9	925.8	1,859.1	1,657.6
International Lead Markets
Revenue, Major Customer [Line Items]
Total revenues	1,842.8	1,936.9	3,571.3	3,727.7
Operating Income	718.9	688.6	1,373.1	1,272.1
High Growth Markets
Revenue, Major Customer [Line Items]
Total revenues	1,550.6	1,612.9	2,992.8	3,069.2
Operating Income	273.7	218.9	494.6	342
Foundational Markets and Corporate
Revenue, Major Customer [Line Items]
Total revenues	748.8	773.7	1,462.1	1,507.4
Operating Income	$ (153.6)	$ 16	$ (88.6)	$ (36.9)

Recently Issued Accounting St26

Recently Issued Accounting Standards Adjustments for New Accounting Pronouncement (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended			6 Months Ended
	Jun. 30, 2016	Mar. 31, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reduction to provision for income taxes	$ (557.3)		$ (510)	$ (1,008.9)	$ (952.6)
Earnings per common share-basic	$ 1.27		$ 1.26	$ 2.53	$ 2.10
Earnings per common share-diluted	$ 1.25		$ 1.26	$ 2.51	$ 2.09
Excess tax benefits reported in financing activities in the consolidated statement of cash flow	$ 0		$ 6	$ 0	$ 25.4
New Accounting Pronouncement, Early Adoption, Effect | Accounting Standards Update 2016-09
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Reduction to provision for income taxes	$ 17.6			43.8
Earnings per common share-basic		$ 0.03
Earnings per common share-diluted		$ 0.02
Excess tax benefits reported in operating activities in the consolidated statement of cash flow				26.1
Excess tax benefits reported in financing activities in the consolidated statement of cash flow				$ (26.1)

Subsequent Events Accelerated S

Subsequent Events Accelerated Share Repurchases (Details) - USD ($) shares in Millions, $ in Billions	Jul. 29, 2016	May 18, 2016	May 16, 2016	Feb. 12, 2016
Subsequent Event [Line Items]
Accelerated Share Repurchases, Settlement (Payment) or Receipt			$ 2.6	$ 2.7
Treasury Stock Shares Acquired Through Accelerated Share Repurchase		3.4	16.2	18.5
Percent of total shares expected to receive at time of initial delivery			80.00%	80.00%
Subsequent Event
Subsequent Event [Line Items]
Treasury Stock Shares Acquired Through Accelerated Share Repurchase	5.1