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Taco Bell visits rise 3.7% in first quarter in US

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Yum Brands' ( YUM ) worldwide comparable sales up 3%, surpassing

estimate of 2.76% growth

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Pizza Hut-parent maintains 8% profit increase target

April 30 (Reuters) - Yum Brands ( YUM ) beat Wall Street

estimates for first-quarter comparable sales on Wednesday,

helped by robust demand at its Taco Bell locations in the U.S.

and KFC ( YUM ) outlets in international markets.

The company's worldwide comparable sales for the first

quarter ended March 31 increased 3%, ahead of the average

analyst estimate of a 2.76% rise, according to data compiled by

LSEG.

The results come at a time when consumer spending on dining

out slowed in February and March due to sticky inflation and

worries about the Trump administration's tariff policies.

However, visits to Tex-Mex food chain Taco Bell rose 3.7% in

the first quarter in the United States, compared with a 1.6%

drop in the overall quick-service restaurants category,

according to research firm Placer.ai.

Taco Bell also spruced up its value meal offerings at the

start of the year, adding a $9 price point for five menu items.

U.S. consumers have been on the lookout to keep their

dine-out spending in check. Taco Bell's value-meal offer starts

at $5 for a 5-layer burrito, a taco, cinnamon twists and a

medium fountain drink.

Yum Brands' ( YUM ) KFC ( YUM ) international division, which together with

Taco Bell makes up more than 80% of the company's core operating

profit, also reported comparable-sales growth of 3%, handily

beating estimates of 1.6%.

Total sales in China, its biggest market, grew 3% in the

quarter, following a 5% rise in the preceding three-month

period.

The Pizza Hut-parent reiterated its long-term annual core

operating profit growth target of 8% at a time when companies

are tempering their full-year forecasts with consumer sentiment

weakening in the United States.