LOUISVILLE, Ky. — Yum Brands Inc. announced mixed first-quarter results, as overall sales rose at Taco Bell and KFC, but its China market showed little improvement.
The parent company of KFC, Taco Bell and Pizza Hut reported a profit of $362 million for the quarter ended March 21, down nine per cent from $399 million the year before.
This year, the Louisville, Ky.-based company has added new menu items, such as breakfast at Taco Bell and premium coffee at KFC. It’s also seeing gains in newer markets, such as Russia and Africa.
The company continues to struggle in China, after an incident last year that left them cutting ties with a supplier for poor food handling. Revenue from stores in China open at least a year fell 12 per cent for the quarter, an improvement from the 16-per-cent decline reported in its fourth quarter.
Globally, KFC’s total revenue increased eight per cent and Taco Bell revenue increased nine per cent, Pizza Hut posted a two-per-cent increase in revenue, with flat performance from established stores.
Overall, revenue fell four per cent to $2.62 billion, missing the market’s forecast of $2.65 billion.
