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Yum Brands, the parent of KFC, Pizza Hut and Taco Bell, posted mixed first-quarter results, as earnings beat Wall Street estimates but revenue missed.
Pizza Hut’s same-store sales dropped more than expected.
Yum Brands said sales rose 12% in the first quarter.

A Pizza Hut store is seen on November 01, 2023 in Austin, Texas. Pizza Hut’s third-quarter revenue fell short of analysts’ expectations for same-store sales. 
Brandon Bell | Getty Images

Yum Brands on Wednesday reported mixed quarterly results as Pizza Hut’s same-store sales dropped more than expected.
Shares of the company fell less than 1% in premarket trading.

Here’s what the company reported for the first quarter compared with what Wall Street was expecting, based on a survey of analysts by LSEG:

Earnings per share: $1.30 adjusted vs. $1.29 expected
Revenue: $1.79 billion vs. $1.85 billion expected

Yum reported first-quarter net income of $253 million, or 90 cents per share, down from $314 million, or $1.10 per share, a year earlier.
Excluding costs to move KFC’s U.S. headquarters to Texas and other items, the company earned $1.30 per share.
Net sales climbed 12% to $1.79 billion. Across all of its brands, Yum’s same-store sales rose 3%.
Once again, Pizza Hut was the laggard this quarter. The struggling pizza chain saw its same-store sales shrink 2%, a steeper decline than the 0.1% decrease projected by StreetAccount estimates. Pizza Hut’s U.S. same-store sales slid 5%, while the metric was flat in international markets.

Taco Bell, the standout of Yum’s portfolio, reported same-store sales growth of 9%, topping estimates of 8%.
KFC’s same-store sales rose 2%, beating estimates of 1.4%. The bulk of the fried chicken chain’s sales come from outside the U.S. China, its largest market, saw system sales growth of 3%.
But like Pizza Hut, KFC’s U.S. business has been struggling. The chain’s domestic same-store sales shrank 1% in the quarter. Rival chicken chains Wingstop and Raising Cane’s have overtaken KFC’s U.S. sales, according to Circana’s 2025 ranking of U.S. restaurants by sales.
Digital orders, which include those on mobile apps and in-store kiosks, accounted for 55% of Yum’s total sales this quarter.
In late March, CEO David Gibbs announced plans to retire in the first quarter of 2026. The company’s board is currently searching for his replacement.

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Aon researchers found that within two years, improved health outcomes for patients who were taking GLP-1 drugs lowers the cost of medical care for them and their employers by as much as 13% for the most adherent patients.
Aon looked at medical claims data for 139,000 U.S.-based workers with employer health coverage who took GLP-1 medications between 2022 and 2024.
Since 2023, GLP-1s have driven up employer spending on drugs at a faster pace than high-priced specialty drugs used to treat cancer and autoimmune conditions, according to an Evernorth study.

Packages of weight loss drugs Wegovy, Ozempic and Mounjaro.
Picture Alliance | Getty Images

The growing demand for diabetes and weight loss drugs like Mounjaro, Ozempic and Wegovy has helped fuel higher health costs for large employers. For many, the big question is whether the pricey medications known as GLP-1s will pay off by improving worker health and lowering overall health costs over time. Analysts at Aon say it’s already happening.  
“We’ve never seen anything like this, really,” said Greg Case, CEO of Aon, an employer benefits services firm. “There was a 44% reduction in major cardiovascular issues. There was substantial reduction in osteoporosis. There was substantial reduction in pneumonia of multiple types.”

Aon researchers found that within two years, improved health outcomes for patients who were taking GLP-1 drugs bends the cost curve on medical care for them and their employers. However, getting to those savings requires high upfront costs.
GLP-1s come at a list price of more than $1,000 per dose. As broader approval for the drugs spurs higher demand, it’s also causing employer drug spending to spike. Since 2023, GLP-1s have pushed costs up at a faster pace than high-priced specialty medications, which include costly cancer and autoimmune treatments, according to an analysis by Evernorth, a division of Cigna.

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Aon analysts looked at medical claims data for 139,000 U.S.-based workers with employer health coverage who took GLP-1 medications between 2022 and 2024. Beyond the drug costs, the study found GLP-1 patients tend to incur higher medical costs in their first year on the drugs, with more doctor visits to monitor their treatment on the drug and to seek help for other issues such as sleep apnea and esophageal conditions like acid reflux.
“The increase comes about in the first 12 to 15 months,” Case said. “They’re getting remedies on things that actually are underlying conditions [of obesity].”
But by the end of the second year of treatment with the GLP-1 drugs, overall health-care costs for patients taking them fell 7% on average, compared with workers with similar chronic conditions and obesity characteristics who were not taking the drugs, Aon found. For GLP-1 patients who maintained rigorous adherence to the drug regimen, the savings were up to 13%.  

The biggest driver of those savings was the reduction by more than 40% of major adverse cardiac events such as heart attacks and strokes, compared with patients who were not taking the drugs, as well as a reduction in the onset of diabetes. 
Case said with this data, Aon has been able to help clients understand the timeline for seeing a return on providing insurance coverage for GLP-1s for weight loss, in addition to Type 2 diabetes.
“We saw every single place where the cost went down — and it’s stunning,” said Case. “You can do this in a way that has an ROI, that will literally be an economic return.”
Following its research, Aon has launched a subsidized GLP-1 weight management program for its own U.S. workforce, which includes weekly virtual wellness visits and home blood tests to help employees adhere to the drug regimen.
The company will present the full results of its study at the Milken Institute Global Conference on Monday.

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President Donald Trump on Tuesday signed an executive order softening some of his automotive tariffs.
The measures aim to reduce the overall tariff level on vehicle imports that had resulted from separate levies “stacking” on top of one another.
Vehicles that go through final assembly in the U.S. will be able to qualify for partial reimbursements on parts-related levies for two years.

Autoworkers at Nissan’s Smyrna Vehicle Assembly Plant in Tennessee, June 6, 2022. The plant employs thousands of people and produces a variety of vehicles, including the Leaf EV and Rogue crossover.
Michael Wayland / CNBC

DETROIT — President Donald Trump on Tuesday signed an executive order softening some of the automotive tariffs his administration put into place earlier this month, as the car industry grapples with regulatory uncertainty and additional costs due to the levies.
Tariffs of 25% on imported vehicles into the U.S. will continue, but the new measures aim to reduce the overall tariff level on vehicle imports that had resulted from separate levies — such as an additional 25% tariffs on steel and aluminum — “stacking” on top of one another.

Under the order, additional 25% tariffs on auto parts that were set to start by May 3 will also still take effect, but vehicles that go through final assembly in the U.S. will be able to qualify for partial reimbursements on those levies for two years.
Those parts-related reimbursements include potential offsets of an amount equal to 3.75% of the value of a U.S.-made car that’s assembled before May 1, 2026. After that, the reimbursement cap is lowered to 2.5% of the car’s value until April 30, 2027, according to the order.
The administration said it calculated those rates by applying a 25% duty to 15% of the value of a U.S.-assembled vehicle in the first year, and a 25% duty to 10% of that value in the second year.
Trump on Tuesday during his visit to Michigan said the administration will “slaughter them if they don’t” bring the parts back to the U.S. He didn’t expand on what that may entail other than citing the 15% and 10% calculations.
It’s unclear how an automaker would get such a reimbursement, but the offer is retroactive to when the tariffs took effect on April 3.

“We just wanted to help them during this little transition,” Trump said earlier in the day. “If they can’t get parts, we didn’t want to penalize them.”
Trump is scheduled to visit Michigan on Tuesday to celebrate his first 100 days back in the Oval Office.

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The easing on auto tariffs follows automakers and auto policy groups lobbying the Trump administration for some relief, particularly from the “stacking” effect of multiple duties.
Last week, six of the top policy groups representing the U.S. automotive industry, including the Alliance for Automotive Innovation that represents most major automakers, uncharacteristically joined forces to lobby the Trump administration against implementing the upcoming tariffs on auto parts.
“President Trump has indicated an openness to reconsidering the administration’s 25 percent tariffs on imported automotive parts – similar to the tariff relief recently approved for consumer electronics and semiconductors. That would be a positive development and welcome relief,” the groups said in a letter to Trump officials.
The groups — representing franchised dealers, suppliers and nearly all major automakers — said the upcoming levies could jeopardize U.S. automotive production and noted many auto suppliers are already “in distress” and wouldn’t be able to afford the additional cost increases, leading to broader industry problems.
Ahead of the company reporting its first-quarter results Tuesday, General Motors CFO Paul Jacobson told reporters that “future impacts of tariffs could be significant.”
In response to the regulatory uncertainty and expected cost increases, GM discontinued its 2025 guidance, which did not take tariffs into account; suspended stock buybacks; and delayed its quarterly investor call by two days until Thursday.
Jennifer Safavian, CEO of Autos Drive America, which represents major foreign automakers operating in the U.S., described the new actions as “some welcome relief for automakers but more must be done.”
Safavian urged Trump to create “a pro-growth and regulatory climate for U.S. manufacturing to thrive.”
The traditional Detroit automakers expressed appreciation for the expected changes, but continue to face significant cost increases.
“Ford welcomes and appreciates these decisions by President Trump, which will help mitigate the impact of tariffs on automakers, suppliers and consumers,” Ford CEO Jim Farley said in an emailed statement Tuesday.
Stellantis Chair John Elkann echoed those remarks: “Stellantis appreciates the tariff relief measures decided by President Trump. While we further assess the impact of the tariff policies on our North American operations, we look forward to our continued collaboration with the U.S. Administration to strengthen a competitive American auto industry and stimulate exports.”
GM CEO Mary Barra also thanked Trump, saying it was “helping level the playing field for companies like GM and allowing us to invest even more in the U.S. economy.

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Starbucks missed earnings and revenue estimates for its fiscal second quarter.
Same-store sales fell for the fifth straight quarter.
Still, CEO Brian Niccol said the coffee chain is seeing “momentum” in its turnaround, even though the effort will pressure earnings.

A pedestrian holds a Starbucks cup in Sacramento, California, on April 28, 2025.
David Paul Morris | Bloomberg | Getty Images

Starbucks on Tuesday reported weaker-than-expected earnings and another quarter of same-store sales declines, but the coffee giant said its turnaround strategy is showing early signs of success.
“Our financial results don’t yet reflect our progress, but we have real momentum with our ‘Back to Starbucks’ plan,” CEO Brian Niccol said in a video posted on the company’s website. “We’re testing and learning at speed and we’re seeing changes in our coffeehouses.”

Some of those tweaks include scaling back plans to automate more coffee-making and investing more in labor, which weighed on earnings during the quarter.
“At this stage in our turnaround, [earnings per share] shouldn’t be used as a measure of our success,” Niccol said on the company’s earnings call Tuesday.
But the company also faces external challenges that could hit earnings. Trade conflicts sparked by President Donald Trump’s new tariffs will likely affect coffee beans — and the consumers buying the drinks made with them. About 10% to 15% of Starbucks’ product and distribution costs come from green coffee, or raw, unroasted beans according to CFO Cathy Smith, who recently joined the company.
“We expect that the balance of this fiscal year will bring some challenges as we navigate a dynamic macroeconomic environment, including tariffs and volatile coffee prices,” the company said in a regulatory filing on Tuesday, adding that it is monitoring the situation and trying to mitigate the financial impact.
Shares of the company fell 6% in extended trading.

Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by LSEG:

Earnings per share: 41 cents adjusted vs. 49 cents expected
Revenue: $8.76 billion vs. $8.82 billion expected

Starbucks reported fiscal second-quarter net income attributable to the company of $384.2 million, or 34 cents per share, halved from $772.4 million, or 68 cents per share, a year earlier.
The company’s operating margin fell to 6.9% from 12.8% as Starbucks spent more to kick-start its comeback. Labor costs rose as it staffed its U.S. cafes with more baristas.
While Starbucks is spending more on labor, the company is cutting back on how much it is putting into equipment. It is no longer planning to deploy its Cold Pressed Cold Brew system, and the company has paused the rollout of equipment used to heat food, Niccol said.
“We believe this evolved, labor focused approach has more potential to improve throughput and connection while minimizing future capital expenditures on equipment,” he said.
Outside its home market, the company spent more on promotions to drive traffic to its stores. It also accrued restructuring costs for the steps it has taken to simplify its global corporate organization.
Excluding restructuring costs, the company earned 41 cents per share.
Net sales rose 2% to $8.76 billion, but Starbucks’ same-store sales fell for its fifth straight quarter. The company’s sales have slumped as consumers in the U.S. and China, its two largest markets, seek cheaper coffee options.
Under Niccol, who took the reins in September, the company has been trying to turn around its U.S. business by getting “back to Starbucks” and returning its focus to coffee and the customer experience.
While the early stages of the turnaround have not yielded improvements in its financial results, Niccol said the company’s new marketing is resonating with customers, and service speeds are improving. One of his goals for the company is to complete every order in four minutes or less.
Still, the company’s global same-store sales fell 1% in its second quarter, fueled by a 2% decline in transactions. In Starbucks’ home market, the traffic decline was even steeper.
U.S. locations saw transactions fall 4%, dragging its same-store sales down 2%. China’s same-store sales were flat for the quarter, as a lower average ticket offset transaction growth.
In October, the company suspended its forecast for fiscal 2025 as it unveiled the early stages of its turnaround strategy. The plan has included layoffs for its white-collar workers. In late February, Starbucks announced it would cut 1,100 corporate positions, plus several hundred unfilled roles, as part of the turnaround plan.
Looking ahead, Starbucks plans to improve its cafes with better seating and “premium touches” in the hopes of enticing customers to linger, according to Niccol. The company also plans to overhaul its innovation process and improve the customer experience by fixing staffing levels, standards and the algorithm that tells baristas what drinks to make.

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Il Makiage owner Oddity Tech beat Wall Street’s expectations on the top and bottom lines, leading it to raise its guidance.
The rosy set of results comes as the retail industry braces for the negative effect tariffs will have on their businesses.
Oddity primarily sources from Europe and said any effects from tariffs will be manageable.

Il Makiage foundation.
Coutesy: Oddity

As the retail industry braces for profits to take a hit from tariffs, Oddity Tech is bucking the trend and raising its outlook after another quarter of outsized growth, the company said Tuesday. 
The beauty and tech retailer behind Il Makiage and Spoiled Child hiked both its earnings and profit guidance for fiscal 2025 and said it isn’t weighing price increases to weather the effect of new levies. 

“We have other mitigating initiatives, and we’ll have to see ultimately where tariffs shake out. There’s also discussions on tariff rates being reduced, so we’ll have to wait and see where the administration ultimately lands,” finance chief Lindsay Drucker Mann told CNBC in an interview. “But what we know is that we have a lot of offsetting abilities, so we don’t expect to have to do anything drastic.” 
In a news release, Oddity said it expects tariff headwinds to be “manageable.”
“The 2025 outlook incorporates ODDITY’s current view of tariff and trade-related headwinds. While policy outcomes are in flux, based on the information ODDITY has today, these headwinds are expected to be manageable and largely offset by cost efficiencies,” the company said. “ODDITY believes the impact from tariff and trade-related headwinds in 2026 will be similarly manageable.”
Shares soared 15% in extended trading.
Here’s how the company performed in its fiscal first quarter, compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:

Earnings per share: 69 cents adjusted vs. 62 cents expected
Revenue: $268 million vs. $261 million expected

The company’s reported net income for the three-month period that ended March 31 was $37.8 million, or 63 cents per share, compared with $33 million, or 53 cents per share, a year earlier. Excluding one-time expenses related to stock-based compensation, Oddity posted earnings of 69 cents per share. 
Sales rose to $268 million, up 27% from $212 million a year earlier. 
For the current fiscal year, Oddity is now expecting revenue to be between $790 million and $798 million, up from a previous range of between $776 million and $785 million. Its sales outlook tops the $784 million analysts were expecting, according to LSEG. 
Oddity is now expecting adjusted earnings per share to be between $1.99 and $2.04, compared to its prior range of between $1.94 and $1.98 per share. The outlook is ahead of the $1.93 per share analysts were expecting, according to LSEG. 
Oddity is also expecting its gross margin to be 71% for fiscal 2025, up from a prior forecast of 70%, and adjusted EBITDA to be between $157 million and $161 million, up from its previous outlook of between $155 million and $158 million. Oddity’s outlook for gross margin and adjusted EBITDA was not comparable to estimates. 
For the current quarter, Oddity is expecting revenue to be between $235 million and $239 million, beating estimates of $232 million, according to LSEG. It’s expecting adjusted earnings to be between 85 cents per share and 89 cents per share, ahead of estimates of 84 cents per share, according to LSEG. 
The direct-to-consumer company has been a rare bright spot not just among the chronically unprofitable brands that only sell their products exclusively online, but also the retail industry at large, which has been in panic mode since President Donald Trump announced his plans for so-called reciprocal tariffs on dozens of countries. He later temporarily lowered those rates on most countries.
Many companies are planning to cut costs to limit price increases. But Oddity’s profit margins are larger than most of its competitors’ because of its direct model, so it’s still focused on growth.  Plus, many see the beauty industry as well suited to weather periods of economic distress because it’s the kind of thing consumers can reach for when they can’t afford higher-ticket items.
So far this year, Oddity’s stock is up 11%, outpacing the S&P 500’s 5.4% loss during the same period.
“Just from a [profit and loss] perspective, the exposure is more limited. Secondly, our biggest market where we buy from is Europe. We don’t have an outsized exposure to China,” which faces a staggering 145% tariff on many exports to the U.S., said Drucker Mann. “So, based on the current tariff policies contemplated, it’s not a huge source of inflation for us.”

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In the weeks after the re-election of Donald Trump, the bosses of America’s tech giants worked hard to ingratiate themselves with the returning president, congratulating him publicly and dutifully turning up to his inauguration. Mark Zuckerberg, the boss of Meta, gushed that it was nice to have an administration that was “proud” of America’s tech champions. More

In the weeks after the re-election of Donald Trump, the bosses of America’s tech champions worked hard to ingratiate themselves with the returning president, congratulating him publicly and dutifully turning up to his inauguration. Mark Zuckerberg, the boss of Meta, gushed that it was nice to have an administration that was “proud” of America’s tech champions. More

JetBlue is planning to partner with a U.S. airline and make an announcement in the coming weeks.
Delta said it has no pending partnerships with another airline and Alaska said it is focused on its recent merger with Hawaiian, while talks with American have failed.
The airline’s previous partnership with American Airlines unraveled after a court blocked the tie-up on antitrust grounds.

JetBlue Airways ranked no. 1 in customer satisfaction for best in first and business class.
Aaronp/bauer-griffin | Gc Images | Getty Images

JetBlue Airways is getting ready to announce a partnership with another U.S. airline with a larger network in the coming weeks, the carrier’s president said Tuesday. One possibility: United Airlines.
JetBlue’s leaders have repeatedly said they need a partnership to better compete against larger airlines like Delta Air Lines and United.

JetBlue’s planned acquisition of Spirit Airlines was blocked by the Justice Department last year, while its partnership in the Northeast with American Airlines unraveled after the carriers lost an antitrust lawsuit in 2023.
The New York airline has been in talks with several carriers this year about a partnership. JetBlue’s president, Marty St. George, said on an earnings call on Tuesday that the company expects to make an announcement this quarter. He emphasized that the partner’s bigger network would allow customers to earn and burn loyalty points on JetBlue.
“If you are a customer in the Northeast and you love JetBlue for leisure, but twice a year you have to go to Omaha or Boise, these are places that you can’t earn TrueBlue points on now and when this partnership goes forward, you will be able to,” St. George said.

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United Airlines could possibly get a foothold (again) into JetBlue’s home hub of John F. Kennedy International Airport in New York through the partnership.
“We don’t engage in industry speculation,” a United Airlines spokeswoman said. JetBlue declined to comment further on the upcoming partnership.

An Alaska Airlines spokeswoman said the carrier doesn’t have plans to partner with JetBlue and is focused on its recent merger with Hawaiian Airlines. A Delta Air Lines spokesman said there was no pending announcement from the carrier about a partnership with another airline.
Southwest Airlines declined to comment.
“Regardless of who the partner is, this opportunity has been debated for some time, and it will be in management’s court to prove out the value proposition,” Melius Research airline analyst Conor Cunningham said in a note Tuesday.
American had been in talks to revive a different version of its partnership with JetBlue, but those failed and American said Monday that it sued JetBlue.
“Ultimately, we were unable to agree on a construct that preserved the benefits of the partnership we envisioned, made sense operationally or financially,” American Airlines Vice Chair Steve Johnson said in a letter to employees on Monday.

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