Yum! Brands, Inc. today reported results for the first quarter ended March 31, 2024. Worldwide system sales grew 2%, excluding foreign currency translation, with KFC at 4%, Taco Bell at 4% and Pizza Hut (4)%. First-quarter GAAP operating profit declined 1% and first quarter core operating profit grew 6%. KFC Division opened 509 gross new restaurants across 43 countries. Pizza Hut Division opened 240 gross new restaurants across 23 countries. Taco Bell Division opened 56 gross new restaurants across 14 countries.
Digital sales approached $8 billion, with record digital mix over 50%.
During the quarter ended March 31, 2024, Yum! Brands, Inc. sold its ownership interest in Devyani International Limited for pre-tax proceeds of $104 million and recognized pre-tax investment losses of $20 million related to changes in fair value during the quarter prior to the date of sale.
David Gibbs, CEO, said “Despite a difficult operating environment, we delivered 6% Core Operating Profit growth demonstrating the resilience of our business model. As expected, same-store sales were pressured this quarter, but we are encouraged by strong 2-year same store sales growth and positive momentum exiting the quarter. First-quarter unit growth was robust with over 800 new unit openings, leading to 6% unit growth and positioning us to surpass 60,000 restaurants this year. Our digital sales mix reached a new record, exceeding 50% for the first time in our history. Our world-class franchisees, globally iconic brands, and distinctive digital capabilities give me high confidence in our future growth.”
Moksh Chopra, General Manager, KFC India BMU (Nepal, Bangladesh, Sri Lanka and Maldives), said, “This year started on a positive note with 12% system sales growth for KFC India and partner countries. It was an action-packed quarter, as we continued expanding our physical and digital footprint and diversifying our offerings.” Chopra said in a statement, “As we step into the next quarter, we stay resolute in our commitment to delivering unparalleled taste and value to our consumers while continuing to make meaningful contributions in the communities we serve through our Kshamata and Sahyog programs.”
Yum! Brands, Inc., based in Louisville, Kentucky, and its subsidiaries franchise or operate a system of over 59,000 restaurants in more than 155 countries and territories under the company’s concepts – KFC, Taco Bell, Pizza Hut and the Habit Burger Grill. The Company’s KFC, Taco Bell and Pizza Hut brands are global leaders of the chicken, Mexican-style food, and pizza categories, respectively.