Yum Brands, operator of Taco Bell, KFC, says 1Q profit falls 14 percent on slump in US sales

Yum Brands 1Q profit down 14 pct, US sales slump

LOUISVILLE, Ky. — Restaurant operator Yum Brands Inc. says its first-quarter profit fell 14 percent as slumping U.S. sales could not be offset by growth in China.

Foreign currency translation also dragged down results for the operator of the Pizza Hut, Taco Bell and KFC chains.

The company reported Wednesday that its net income fell to $218 million, or 46 cents a share. A year earlier, it earned $254 million, or 50 cents a share.

Excluding one-time items, like selling the company’s interest in KFC Japan and changes in its U.S. business, Yum Brands earned 48 cents a share in the quarter. On that basis, analysts predicted profit of 40 cents per share on revenue of $2.33 billion.

Revenue fell 8 percent to $2.22 billion.