Incoming Yum CEO eyes more partnerships, strategic investments
Yum! Brands Inc, which has more than 48,000 restaurants globally across its brands, is looking to grow some more.
The owner of KFC and Taco Bell would consider partnerships, strategic investments and even adding another restaurant chain, said incoming chief executive officer (CEO) David Gibbs in an interview on Monday.
“It would have to be a brand with lots of growth ahead of it, and well received by consumers.”
The next growth phase for the company would involve “leveraging our scale, whether that be through investments or commercial partnerships,” he said.
On Monday, it announced that Gibbs would take over as CEO starting Jan 1 next year.
Current CEO Greg Creed, who’s held the top post since 2015, is retiring to spend more time with family.
Yum, which is 98 per cent franchised, is being fuelled by growth at its Taco Bell and KFC chains, while still struggling to improve results at Pizza Hut — a brand that Gibbs will seek to turn around.
Its comparable sales jumped five per cent last quarter with Taco Bell, which is a United States brand, leading the way.
The company spent US$200 million (RM839.14 million) last year for a stake in delivery provider GrubHub Inc.
Gibbs, who currently serves as chief operating officer, will transition to become CEO as Yum shares have hit historic highs in recent sessions.
The stock has risen 41 per cent in the last 12 months, compared with a gain of only 1.8 per cent for the S&P 500 Index.