Photo: thaths on flickr
Yum! Brands is trading up this morning after reporting a 10% increase in profits.Most of that growth, however, came from red-hot expansion in China, with 21% same-store traffic growth. The chain actually lost ground in America, with a $52 million decline in profits, led by collapsing sales and bad publicity at Taco Bell.
The Louisville, Ky-based company has focused on international markets through the past decade, becoming the world’s largest restaurant chain with nearly 38,000 locations. In China, KFC outnumbers McDonald’s by 3,200 to 1,100.
Moving forward this shift will get even more dramatic, as Yum! acquires international brands and talks of selling Long John Silver’s and A&W.