Yum Brands' earnings per share for the third quarter reached $1.56, surpassing analyst expectations of $1.49, while revenue matched forecasts at $2.05 billion. The company reported a significant net income of $1.62 billion, up from $397 million a year earlier, largely due to the completion of its divestiture of Pizza Hut.
However, same-store sales for Taco Bell fell by 4% during the quarter due to the cyclospora outbreak, which led to a temporary decline in customer visits. CEO Chris Turner noted that Taco Bell has since rebounded, outpacing the quick-service restaurant industry in same-store sales growth since the end of September.
Excluding Pizza Hut, Yum's same-store sales were flat, indicating challenges in the U.S. market, particularly for KFC, which saw a 6% decline in system sales. The international segment of Taco Bell, however, reported a 5% increase in same-store sales, highlighting a disparity in performance across regions