KFC-owner sees sales boost in China after bucket promotion

KFC-owner sees sales boost in China after bucket promotion


Exclusive reports from China brings into latest amusement felt by KFC owner, Yum Brands when he claims to have seen a profit boost due to chicken bucket-deal during Chinese New Year.

In figures, the chicken food giant laid forward 8% rise in profit – i.e. $391 million (£273 million) within initial three months of this year.

In accord with highlighting Chinese store sales, Yum claims a boost worth 6% as compared to the same Q in year 2015.

The news hiked *Yum’s shares by 4% in after TRADING session. As for analysts, they were looking forward to an estimate growth of 2.1% in comparison to the previous Q (a year ago) in a region, where Yum is the biggest Western restaurant brand.

(*owns also Pizza Hut and Taco Bell)

“KFC China had an outstanding Chinese New Year bucket promotion. This is a transformational year for our company as we remain on track to finalize the separation of our China business by year end.” – Chief executive Greg Creed

UPDATE: Currently, keeping in view its latest strategies for profitable business, Yum looks ahead to spin-off approximately 6,900 China restaurants by the end of this year – hence, to focus the company on U.S. functioning.

INSIGHT: Worth considering is that much of market position is being vulnerable due to presence of burger giant McDonald’s, in China (source: British Broadcast Corporation).

Exclusive reports found on Financial Times has stated Yum to be in discourse with KKR and other private equity funds for a sell-out of a minority stake in the Chinese business – largest division.

Previous articleInstagram pops in to popularize its ‘Explore’ grid for videos
Next articleBeverage Coca-Cola loses 5% while TRADING
Javier Davis produces news on stocks, currencies, bonds, commodities, and real estate. His in-depth research covers most of the major financial markets in America, Europe, and Asia. His research is based on the interconnected relationships among economic and technical factors that drive valuations in the markets, with an emphasis on how to formulate investment strategies. From interest rates to inflation to economic growth and much more, the fundamental concepts presented on this website provide an essential foundation of knowledge for investors to profit in stocks, bonds, commodities, currencies, and real estate markets.