February 6, 2020 / 12:32 PM / 2 months ago

UPDATE 1-Yum same-store sales, profit miss estimates as Pizza Hut weighs

(Compares with estimates, adds shares)

Feb 6 (Reuters) - Yum Brands Inc reported quarterly same-store sales and profit below market expectations on Thursday, hurt by weaker sales at its Pizza Hut chain, sending its shares down about 3%.

Pizza Hut is battling more competition, including Domino's Pizza, local eateries and food delivery apps, which offer a wide selection of restaurants to choose from.

In its bid to beat back competition, Pizza Hut has introduced new concepts such as heated lockers that allow diners to pick up online orders from restaurants and is testing plant-based meat toppings.

Still, same-store sales at the chain fell 2% in the fourth quarter ended Dec. 31, worse than analysts' expectations of a 0.71% drop, according to IBES data from Refinitiv.

Overall, sales at Yum's restaurants open at least a year rose 2%, below the Wall Street estimate of 2.26%.

Sales rose 4% at established Taco Bell restaurants and 3% at KFC, both beating estimates.

Net income rose to $488 million, or $1.58 per share, in the fourth quarter ended Dec. 31 from $334 million, or $1.04 per share, a year earlier.

Excluding one-time items, Yum earned $1 per share, missing analysts' estimate by 13 cents. (Reporting by Nivedita Balu in Bengaluru; Editing by Anil D'Silva)

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