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KFC-owner sees sales boost in China after bucket promotion | |
(about 1 hour later) | |
KFC owner, Yum Brands, has seen a rise in profit, thanks in part to a chicken bucket deal over Chinese New Year. | |
The company reported an 8% increase in profit to $391m (£273m) for the first three months of 2016. | |
Yum, which also owns Pizza Hut and Taco Bell, said sales at stores in China that have been open a year or more rose 6% compared to the same quarter last year. | |
The news boosted Yum's shares by 4% in after-hours trading. | The news boosted Yum's shares by 4% in after-hours trading. |
Analysts had expected just a 2.1% growth in sales in China, where Yum is the biggest Western restaurant brand. | |
Chief executive Greg Creed said: "KFC China had an outstanding Chinese New Year bucket promotion." | |
"This is a transformational year for our company as we remain on track to finalise the separation of our China business by year end," Mr Creed said. | "This is a transformational year for our company as we remain on track to finalise the separation of our China business by year end," Mr Creed said. |
Yum wants to spin-off its 6,900 China restaurants, its most profitable business, by the end of 2016 in order to focus the company on US operations. | |
It has also been losing market share to rival McDonalds in China. |
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