Despite a favorable economy, two giant franchise brands saw numbers decline.
Yum! Brands, the parent company of Taco Bell and KFC has announced a decline in revenue. According to a recent article in Nation’s Restaurant News, the loss was a total of six percent. Despite this, net income increased to $321 million compared to $206 million in 2017.
“This just goes to show that even with an arguably better U.S. economy, this isn’t necessarily translating into broader better same-store sales trends for large U.S. restaurant concepts,” said Mark Kalinowski of Kalinowski Equity Research.
One way the parent company hopes to turn things around is through delivery initiatives. These are being tested for Taco Bell and KFC, though they are both in early stages.
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