McDonald’s Hong Kong is reportedly planning to suspend operations at 38 outlets due to a Covid-19 pandemic surge in the region.
Currently, McDonald’s Hong Kong operates 245 branches across the city and plans to reduce the operational hours of 90 other restaurants, closing them early.
McDonald’s Hong Kong also said that it has temporarily closed all its dessert kiosks in Hong Kong Island, Kowloon and New Territories.
Through its social media post, the fast-food chain stated that its supplies and manpower are affected at this time, according to TimeOut.
In addition to McDonald’s, other fast-food restaurant chains, including Pizza Hut, are said to have slashed their business hours due to the fifth outbreak wave of Covid-19.
Last week, Pizza Hut reportedly suspended operations at 29 outlets.
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TamJai SamGor Mixian, a fast-casual restaurant chain in Hong Kong, has also suspended operations.
Some other restaurants in the region have also slashed operation hours or the duration of dine-in services, while others are only providing takeaway services.
In January, McDonald’s reported systemwide sales growth of 21% to $112.5bn for the full year 2021.
In the fourth quarter, the company’s sales increased 12.3% (10.8% on a two-year basis), which reflected positive comparable sales across all segments.
Its consolidated operating income rose by 12% while consolidated revenues increased 13% during the fourth quarter.
For the full year, McDonald’s global comparable sales increased by 17%.
Last year, McDonald’s consolidated revenues were up by 21%, and consolidated income grew by 41% to $10.4bn.