• Data source: McDonald's SEC Filing, https://www.sec.gov/Archives/edgar/data/63908/000006390823000005/exhibit991-123122.htm
• Tool I used to create the diagram: SankeyArt (I am the developer of the tool)

Is teh software free?

It's teh freemium. Diagram creation and diagram download are free.
Saving on the server and removing the little watermark at the bottom requires a subscription.

That's good, I will download to use it.

I like analysing stocks this way even more.

Happy to hear that - no need to download the software though. It's a web app (a link is in my profile, I don't want to post it here to self-promote too much).

Damn. Look how much lower the operating margin is on the operated restaurants vs on the franchises. It makes sense, but cool to see it like this

Will it support automatic diagram creation from filings in the future? Like you only have to type in the company name and it fills out the cells

Looks like a 15% margin on McDonald's Corporation-operated restaurants but an 84% margin on franchises. Astonishing. Didn't realize that when I created the diagram.

Yes, that's on the feature list. I already played around with the official SEC API a bit but ran into issues.

In the meantime, I just create them manually :D
I currently only show links to 10 of them on the website. I need to adapt the UI to make all of them easy to discover...

This diagram looks like the cables in my pc

Is your PC profitable?

One critique. It’s EBITDA, not income before taxes also u need to add depreciation they didn’t pay 4% in taxes.

>https://www.sec.gov/Archives/edgar/data/63908/000006390823000005/exhibit991-123122.htm

Thanks! But I think my terms are right.

I structured the visualization similarly to the structure of McDonald's income statement: https://www.sec.gov/Archives/edgar/data/63908/000006390823000005/exhibit991-123122.htm
Only difference is that I abbreviated their reported "income before provision for income taxes" as "income before taxes".

Depreciation is reported as part of their operating expenses.

Is it because of the new AI assisted operation we see now in the states?

Nah, it's because the franchisees pay for every cost. McDonalds leases the land for them and collects the franchise fees, royalties. It's essentially free money for the company.

When they operate the restaurants there is costs of buying the ingredients, paying the employees etc. And the revenue comes from the burger sales.

On the franchise part the revenue is from the fees, so of course there's not much cost to that. I don't think the burger sales from the franchises even show up on the income statement, that's the franchisees revenue, not the company's

Of course, that's not the same as the actual profit margin of the restaurant - that's just what McDonald's corporate makes from the franchise vs the costs of what they provide to the franchise.

Those are overhyped. They haven't automated the actual cooking - just replaced the cashier with a touchscreen. Fully automated restaurants remain a dream.

A bit weird, isn’t it? It’s like showing how much GM makes by showing what the dealerships make instead of what they make from producing cars.