FAST FOOD
Restaurant sales and Mexican food boost Yum Brands’ profit
Yum Brands’ Taco Bell unit has refreshed its menu by introducing items and has kept a tight lid on promotions
Bengaluru/Los Angeles — Yum Brands reports that a higher than expected quarterly profit from strong sales of tacos and nachos at its Taco Bell restaurants has driven global same-store sales growth. Yum Brands’ Taco Bell unit has refreshed its menu by introducing items and has kept a tight lid on promotions. The Naked Chicken Chalupa, a taco with a shell made of chicken, was launched in January in the US but was removed in March. Yum Brands said the item would return to menus as it had "proven to be popular and exceeded expectations". Same-store sales at the Mexican food chain rose 8%, handily beating the 3.7% growth expected by analysts polled by researcher Consensus Metrix. At KFC, the company’s biggest contributor to sales, same-store sales rose a lower than expected 2%, but operating profit jumped 12% as it cut costs and sold more restaurants to franchisees. However, sales at Pizza Hut, Yum Brands’ smallest division, continued to struggle, falling for the third consecutive quarte...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.