Yum Brands, the owner of KFC, Taco Bell and Pizza Hut, saw profits and revenue rise in the second quarter, despite its pizza division having suffered from weaker demand.
For the second quarter to 30 June 2025, the fast food corporation posted a 2% uptick in operating profit to $622m (£468.3m), while total revenues jumped 10% to $1.9bn (£1.4bn).
“Our second-quarter results are a testament to the power of our bold food innovation, digital transformation, and the strength of our iconic brands,” said Yum Brands CEO David Gibbs.
Over the period, KFC saw a 9% rise in its operating profit to $365m (£274.8m), while system sales grew 6%.
The fried chicken chain opened 566 new restaurants across 58 countries in the second quarter. KFC has since unveiled plans to invest almost £1.5bn in the UK and Ireland over the next five years in a bid to expand its presence and upgrade existing sites.
Taco Bell’s operating profits climbed 5% to $262m (£197.3m), while US system sales were up 6% and international system sales grew 11%.
“Taco Bell US meaningfully outpaced the category with 4% same-store sales growth, and KFC international opened 566 gross new units,” said Gibbs. “I am confident that with our strong development across the system, improving value propositions, and exciting new uses of our proprietary, integrated tech stack, Yum is well positioned to win in an ever-changing consumer landscape.”
However, Pizza Hut suffered a 15% decline in profit to $80m (£60.2m) as system sales were down 1%, amid growing competition in the sector and as consumer spending remained weak, particularly in the US market.
Its competitor Domino’s experienced plunging profits in the first half of 2025 as the pizza chain also suffered from lower consumer demand and rising employment costs. For the 26 weeks to 29 June, the rival pizza business experienced a 14.8% decline in pre-tax profit to £43.7m in the UK, as revenue rose by just 1.4% to £331.5m.
The mixed performance comes as Gibbs is to retire after 36 years with the business. In June, the company announced that current CFO Chris Taylor would succeed Gibbs on 1 October.
“As I reflect on my incredible 36-year journey with Yum, it’s been a joy to bring our iconic brands to consumers around the world in collaboration with our world-class franchise partners and team members,” Gibbs said. “Yum is in an enviable position with the very best talent and leaders in this industry at the helm of our global brands.
“I couldn’t be more confident passing the torch to Chris Turner, whose deep understanding of our business and bold vision will continue to propel Yum forward.”
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