Yum! Brands Inc, which has almost 23,000 sites worldwide, has reported results for the first-quarter ended 31 March 2019.
Worldwide system sales increased by 8%, with 7% growth for net-new units and 4% for same-store sales growth.
Worldwide system sales for KFC grew by 9%, Taco Bell at 7%, and Pizza Hut 7% (the group only owns Pizza Hut Delivery in the UK).
The group opened 310 net units in the quarter. On a year-over-year basis, which takes into account the strategic alliance with Telepizza in the fourth-quarter 2018, net new unit growth was 7%.
KFC Division, which has almost 900 UK sites, opened 372 new restaurants in 46 countries. Operating margin increased 8.1% driven by refranchising and same-store sales growth. The UK makes up 6% of worldwide sales.
Taco Bell Divisionm which has 39 UK sites, opened 62 new restaurants, including 12 new international restaurants. Operating margin increased 2.5 percentage points driven by refranchising and same-store sales growth.
Greg Creed, CEO, said, “The third and final year of our transformation is underway and I’m thrilled with the progress towards our commitment to becoming a more focused, more franchised, and more efficient growth company.
'First-quarter results were a solid start to the year, reflecting particular strength at the KFC division and Taco Bell U.S. With this quarter, we have a healthy foundation to help us achieve our 2019 guidance.
'Through the lens of our four growth drivers, we continue to leverage our unprecedented scale and expand our capabilities with the goal of improving franchise economics and accelerating growth.
'We remain confident in our enviable business model and our commitment to lasting growth that maximizes shareholder value.”