McDonald's Corporation reported unaudited consolidated earnings results for the fourth quarter full year ended December 31, 2017. For the quarter, total revenues were $5,340.2 million against $6,028.9 million a year ago. Operating income was $2,144.2 million against $1,969.0 million a year ago, increased nearly $60 million for the quarter, primarily due to the onetime reversal of the valuation allowance in Japan that mentioned earlier. Income before provision for income taxes was $1,885.1 million against $1,734.9 million a year ago. Net income $698.7 million against $1,193.4 million a year ago. Earnings per share-diluted was $0.87 against $1.44 a year ago.

For the year, total revenues were $22,820.4 million against $24,621.9 million a year ago. Operating income was $9,552.7 million against $7,744.5 million a year ago. Income before provision for income taxes was $8,573.5 million against $6,866.0 million a year ago. Net income was $5,192.3 million against $4,686.5 million a year ago. Earnings per share-diluted was $6.37 million against $5.44 million a year ago.

For the full year of 2018, the company expects interest expense to increase about 5% to 7% compared with 2017 due primarily to higher average debt balances. A significant part of the company's operating income is generated outside the U.S., and about 40% of its total debt is denominated in foreign currencies. Accordingly, earnings are affected by changes in foreign currency exchange rates, particularly the Euro, British Pound, Australian Dollar and Canadian Dollar. Collectively, these currencies represent approximately 70% of the Company's operating income outside the U.S. If all four of these currencies moved by 10% in the same direction, the company's annual diluted earnings per share would change by about 30 cents. The company expects the effective income tax rate for the full-year 2018 to be in the 25% to 27% range, down from company historical range of 31% to 33%., with volatility between the quarters. Certain aspects of the Tax Act are expected to be clarified, and as such, could impact the company's tax rate. The company expects capital expenditures for 2018 to be approximately $2.4 billion. About $1.5 billion will be dedicated to U.S. business, primarily focused on accelerating the pace of EOTF.

The company expects an incremental cash flow benefit of $400 million to $500 million annually as a result of the Tax Act, prior to any reinvestment. The company expects to return about $24 billion to shareholders over the three-year period ending 2019. Operating margin in the mid 40% range; Earnings per share growth in the high-single digits; and Return on incremental invested capital in the mid-20% range.

The company expects to complete nearly 4,000 additional restaurants in 2018, resulting in about half of the total restaurants modernized by the end of 2018. Of the remaining capital, about half will be dedicated to new restaurant openings and the remainder will be allocated to reinvestment in continued expansion of EOTF around the world. The company's capital will contribute towards about 250 restaurant openings, while 10 developmental licensees and affiliates will contribute capital towards the opening of approximately 750 restaurants, for a total of about 1,000 expected restaurant openings in 2018. The Company expects net additions of about 600 restaurants.