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Yum slumps on weaker sales in China

Yum said its China sales will fall in the quarter.

Claro Cortes IV/Reuters/File

Yum said its China sales will fall in the quarter.

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Yum Brands Inc. slumped after the chain reaffirmed its guidance for 2012, but said same-store sales in China will slacken in the fourth quarter. The parent of Taco Bell and KFC continues to expect full-year 2012 adjusted earnings of $3.24 per share, just below estimates of $3.28. However, for the current fourth quarter, Yum anticipates softer sales in China, where same-store sales are expected to be a negative 4 percent. China accounts for more than half of Yum’s overall business.

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