Yum Brands shares rose in premarket trading after the company reported second-quarter adjusted earnings of $1.62 per share, beating the analyst consensus of $1.58, and announced the sale of its Pizza Hut business. Revenue came in at $2.169 billion, just below the $2.18 billion consensus. GAAP earnings per share were $3.08, boosted by a $359 million deferred tax benefit related to the Pizza Hut divestiture. The company reached separate definitive agreements to sell Pizza Hut outside mainland China to LongRange Capital and Pizza Hut in mainland China to Yum China, which will remain the master franchisee for KFC and Taco Bell there. Taco Bell same-store sales grew 7%, while Pizza Hut same-store sales fell 1%.
Yum! Brands IncQ2 adjusted EPS beat consensus and Pizza Hut sale announced
Yum China Holdings IncYum China acquires Pizza Hut mainland China operations, expanding its portfolio
LongRange Capital acquires Pizza Hut outside mainland China