Yum Brands earnings misses as Pizza Hut’s same-store gross sales fall 2%

Yum Brands on Wednesday reported combined quarterly effects as Pizza Hut’s same-store gross sales fell greater than anticipated.

Shares of the corporate fell lower than 1% in premarket buying and selling.

Here’s what the corporate reported for the primary quarter in comparison with what Wall Street was once anticipating, according to a survey of analysts by way of LSEG:

• Earnings in keeping with percentage: $1.30 adjusted vs. $1.29 anticipated
• Revenue: $1.79 billion vs. $1.85 billion anticipated

Yum reported first-quarter web source of revenue of $253 million, or 90 cents in keeping with percentage, down from $314 million, or $1.10 in keeping with percentage, a 12 months previous.

Excluding pieces, the corporate earned $1.30 in keeping with percentage.

Net gross sales climbed 12% to $1.79 billion. Across all of its manufacturers, Yum’s same-store gross sales rose 3%.

Once once more, Pizza Hut was once the laggard this quarter. The suffering pizza chain noticed its same-store gross sales shrink 2%, a steeper decline than the 0.1% lower projected by way of StreetAccount estimates. Pizza Hut’s U.S. same-store gross sales slid 5%, whilst the metric was once flat in global markets.

Taco Bell, the standout of Yum’s portfolio, reported same-store gross sales enlargement of 9%, topping estimates of 8%.

KFC’s same-store gross sales rose 2%, beating estimates of 1.4%. The bulk of the fried hen chain’s gross sales come from outdoor the U.S. China, its biggest marketplace, noticed gadget gross sales enlargement of 3%.

But like Pizza Hut, KFC’s U.S. trade has been suffering. The chain’s home same-store gross sales shrank 1% within the quarter. Rival hen chains Wingstop and Raising Cane’s have overtaken KFC’s U.S. gross sales, in line with Circana’s 2025 rating of U.S. eating places by way of gross sales.

Digital orders, which come with the ones on cellular apps and in-store kiosks, accounted for 55% of Yum’s overall gross sales this quarter.

In past due March, CEO David Gibbs introduced plans to retire within the first quarter of 2026. The corporate’s board is lately looking for his substitute.