A sign is posted in front of a Taco Bell restaurant on May 1, 2024, in Richmond, California.
Justin Sullivan | Getty Images
Yum Brands Tuesday Reported quarterly results mixed Pizza Hut and KFC both reported same-store sales declines.
The company’s shares fell less than 1% in premarket trading.
The company’s report compared with Wall Street expectations, according to a survey of analysts by London Stock Exchange Group (LSEG):
- Earnings per share: Adjusted $1.35, expected $1.33
- income: $1.76 billion vs. $1.8 billion expected
Yum reported second-quarter net income of $367 million, or $1.28 per share, down from $418 million, or $1.46 per share, in the same period last year.
Excluding items, the company earned $1.35 per share.
net sales Sales rose 4% to $1.76 billion, driven by new restaurant openings. Yum Brands’ same-store sales fell 1% in the quarter, while Pizza Hut and KFC both reported same-store sales declines of 3%.
KFC’s U.S. restaurants continue to struggle, with domestic same-store sales shrinking 5%. While the chicken chain’s system sales recovered this quarter in China, its largest market, KFC’s overall international same-store sales fell 3%.
Pizza Hut’s U.S. same-store sales fell 1%, and international same-store sales fell 4%.
Same-store sales at Yum! Brands’ crown jewel, Taco Bell, grew 5% this quarter. The chain’s footprint is largely in the United States, where its reputation for value has helped it weather a decline in consumer spending.
On Wednesday, Yum Brands announced plans to expand its artificial intelligence rollout in Taco Bell drive-thru lanes to hundreds of U.S. restaurants by the end of the year.
This story is developing. Please check back for updates.
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