Yum Brands offloads underperforming Pizza Hut franchise to focus on higher-growth brands KFC and Taco Bell.
Yum Brands agreed to sell its Pizza Hut franchise to LongRange Capital for $2.7 billion. The move follows Pizza Hut’s lagging performance, with same-store sales declining in 2025 and remaining flat in Q1 2026.
Pizza Hut, the second-largest of Yum Brands’ four franchises, trailed KFC and Taco Bell in growth. The company reported Q1 earnings of $2.06 billion, suggesting resilience despite Pizza Hut’s struggles.
The sale aims to streamline operations and refocus on stronger-performing brands, though Pizza Hut remains a well-known global pizza chain.