McDonald's beats expectations thanks to its price hikes

• McDonald's reported first-quarter earnings that beat on both the top and bottom lines.

• The company attributed its strong results to its price increases.

• Shares are up more than 4% ahead of Monday's opening bell.

• Watch McDonald's trade in real time here.

McDonald's on Monday reported first-quarter earnings and sales that topped analysts' most bullish estimates amid declining visits to restaurants industry-wide.

Menu price increases helped lift US sales by 2.9%, McDonald's said. Global sales at stores open for at least one year — so-called comparable store sales — rose by 5.5%.

"We continued to build upon the broad-based momentum of our business, marking 11 consecutive quarters of positive comparable sales and our fifth consecutive quarter of positive guest counts," McDonald's President and Chief Executive Officer Steve Easterbrook said in the earnings release.

The company reported adjusted earnings of $1.72 a share, beating the Wall Street consensus of $1.67. The company said $0.07 a share of earnings was wiped out as a result of the newly implemented tax cuts. Revenue fell 9.5% year-on-year to $5.14 billion, also topping analysts' forecast.

McDonald's shares are up 4.22% ahead of the opening bell. They've lost 8% this year through Friday.

NOW WATCH: Wall Street's biggest bull explains why trade war fears are way overblown

See Also:

• US stock traders are setting themselves up for failure — and one Wall Street firm has pinpointed the scenario that could trigger a crash

• A top strategist warns that the 'intellectual health of society' is in danger — and explains why investors should be very worried

• Don't be fooled by retail's market resurgence — one Wall Street firm explains why the worst is yet to come for brick-and-mortar stocks