KFC parent Yum Brands sales fall as weak US demand persists

Taco Bell parent Yum Brands reported a bigger-than-expected fall in same-store sales for the second quarter as sticky inflation prompted lower-income Americans to eat out less and cook more affordable meals at home.

Like its peers in the fast-food industry, Yum has been investing in loyalty programs and refreshing its menus in an attempt to appeal to budget-conscious consumers, but stiff competition for value meals and promotions has dogged its KFC business in the U.S. this year.