Yum Brands (YUM) Q2 2023
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Signage is displayed outside a Yum! Brands Inc. Taco Bell and Kentucky Fried Chicken (KFC) restaurant in Louisville, Kentucky, U.S., on Thursday, Jan. 30, 2020.
Yum Brands on Wednesday reported mixed quarterly results as Taco Bell's and Pizza Hut's same-store sales disappointed.
Shares of the company fell less than 1% in premarket trading.
Here's what the company reported compared with what Wall Street was expecting, based on a survey of analysts by Refinitiv:
Earnings per share: $1.41 adjusted vs. $1.24 expected
Revenue: $1.69 billion vs. $1.75 billion expected
The restaurant company reported second-quarter net income of $418 million, or $1.46 per share, up from $224 million, or 77 cents per share, a year earlier.
Excluding expenses related to its exit from Russia, refranchising gains and other items, Yum earned $1.41 per share.
Net sales rose 3% to $1.69 billion. The company's digital sales increased nearly 30% in the quarter, accounting for nearly half of orders.
Yum Brands' same-store sales grew 9% in the quarter, topping StreetAccount estimates of 6.9%.
KFC's same-store sales climbed 13%, fueled by returning demand in China, its largest market. KFC's system sales in China soared 32%, while its U.S. system sales rose 5%.
Pizza Hut reported same-store sales growth of 4%, missing StreetAccount estimates of 6.3%. The pizza chain's domestic same-store sales rose just 1%.
Taco Bell's same-store sales also rose 4%, falling short of estimates of 4.3%. Its U.S. same-store sales increased 4%, but its international same-store sales shrank 1% in the quarter.
Most of the Mexican-inspired chain's locations are in the U.S., although it has expanded internationally in recent years.
Yum opened more than 1,000 new locations during the quarter.
Source: CNBC
