YUM! Shares Rise After Earnings Beat, Same-store Sales Growth

By Andrea Riquier Markets MarketWatch Pulse

Shares of Yum! Brands rose 0.5% before the market opened on Thursday as the company reported earnings that beat estimates. Second-quarter net income came to $206 million, or 58 cents per share, the company said, down from $336 million, or 64 cents per share, in the year-ago period. Adjusted EPS came to 68 cents, beating the FactSet consensus of 61 cents. Total revenue was $1.45 billion, compared to $1.51 billion a year ago and above the FactSet consensus of $1.42 billion. Worldwide same-store sales rose 2%, the company said, also beating analysts' estimates of a 1.8% increase. Pizza Hut same-store sales fell 1%, versus the FactSet consensus for a 1.4% decline. Taco Bell same-store sales rose 4%, lower than the FactSet consensus for a 5.4% increase. KFC same-store sales rose 3%, better than analysts' forecasts of a 2.3% increase. The company said it was maintaining full-year guidance. Yum! shares have gained 21% in the year to date, compared to a 10.7% gain for the S&P 500 .

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