Yum Brands comp sales miss as Pizza Hut continues to struggle

QSR Sales

BY - Franchise India Team
Editor Aug 04, 2017/

125

/ 2 MIN READ.

Yum Brands comp sales miss as Pizza Hut continues to struggle

Fewer diners ate at the YUM Brands' Pizza Hut Restaurants resulting in a smaller than expected rise is the master franchisee's quarterly sales.

Experts had expected a decline of about 1.5 per cent in its sales, which actually happened to be just 1 per cent.

KFC and Taco Bell continued to show strong same-restaurant growth around the world, rising 3 percent and 7 percent, respectively, both beating the analysts' expectations drastically.

Net income from continuing operations fell to $206 million, or 58 cents per share, in the second quarter, from $266 million, or 64 cents per share, a year earlier, hurt in part by higher expenses related to sprucing up its Pizza Hut stores.

Excluding items, the company earned 68 cents per share. Net sales fell 4 percent to $1.45 billion.

QSR Sales

YUM! Brands Sales Rise in India

BY - Franchise India Team
Editor Aug 05, 2017 / 2 MIN READ

YUM! Brands KFC, Pizza Hut, Taco Bell Sales Rise in India

Yum! Brands Inc., the owner of fast food retail brands KFC, Pizza Hut and Taco Bell, reports its system sales in India grew by 9% for KFC and 8% for Pizza Hut in Q1. This is the fourth quarter in a row the company has reported growth.

Rahul Shinde, MD of KFC India, said, “The April-June 2017 quarter is our fourth consecutive quarter of positive system sales growth, and we are happy to share that we have posted a 9% system sales growth. We shall continue to focus on our core products, innovation and value to sustain this positive momentum.”

Globally, Yum! Brands Inc. reported 1% decline in same store sales at Pizza Hut, leading to a 4% drop in net sales to $1.45 billion during the quarter under review from $1.51 billion in the corresponding quarter previous year.

Yum! Brands Inc. rival in India, Jubilant FoodWorks Ltd that operates Domino’s Pizza and Dunkin’ Donuts outlets in India had reported a 6.5% rise in same-store sales in April-June quarter. Jubilant’s operating revenue grew 11.5% to Rs678.8 crore during the April June 2017 quarter.

Yum! Brands Inc. had, in January-March reported a 2% rise in system sales growth in India. In October-December 2016 quarter, it reported a 16% rise in system sales growth at KFC outlets and 9% at Pizza Hut stores in India.

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