Yum tops profit estimates after Taco Bell, KFC sales increase

Yum Brands Inc, which is preparing to spin off its Chinese operations this year, reported fourth-quarter earnings that topped estimates, helped by sales increases at its Taco Bell and KFC chains.

Excluding some items, profit was 68 cents a share in the period, the Louisville, Kentucky-based company said in a statement on Wednesday. Analysts had projected 66 cents, the average of estimates compiled by Bloomberg. Same-store sales gained 4 percent at Taco Bell and 3 percent at KFC.

The results bring some momentum to a fast-food company that will soon be relying more heavily on domestic sales. Yum said in October it would spin off its China business, in part to focus on reviving growth of its US locations. Still, total revenue was lower than projected, hurt by slow growth at its Pizza Hut chain.