Yum Brands is gaining traction internationally.
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On Tuesday, the parent company of KFC, Taco Bell, and Pizza Hut released its second-quarter earnings with slightly lackluster results. The company reported $1.93 billion in net sales and a 2% increase in global same-store sales. Earnings per share decreased to $1.44, compared to analysts’ expected $1.46, CNBC reported.
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Same-store sales rose 4% at Taco Bell and 2% at KFC, offsetting a 1% decline at Pizza Hut.
But some of the Yum Brands’ food chains are seeing slower growth in the U.S. specifically.
KFC same-store growth in the U.S. declined by 5%. KFC used to be one of the top three chicken shops in America, but now sits in fifth place behind Chick-fil-A, Popeyes, Raising Cane’s, and Wingstop.
The U.S. accounts for 42% of Pizza Hut’s system sales, making the brand’s sales decline for the quarter more prominent stateside.
While KFC and Pizza Hut are losing ground in the U.S., Yum Brands’ global sales are growing.
KFC opened 565 gross new restaurant locations internationally. China is the chain’s biggest market, accounting for 27% of KFC system sales. Taco Bell’s international and U.S. same-store sales both grew 4% for the quarter.
“Yum! is well positioned to win in an ever-changing consumer landscape,” CEO, David Gibbs told investors. He plans to retire from his position at the company in October.
