The process includes exploring options that could see the brand leave its parent company and a sale of all or part of the business.
Speaking on a Q3 earnings call, Yum! Brands CEO Chris Turner said that Pizza Hut might require a “multi-year effort” to reinvigorate the brand in some markets and that it may achieve more success outside the ownership of Yum! Brands.
“We’re focused on what’s best for the brand and our franchise partners,” he said. “We believe that the business can be positioned for even greater success.
“In some markets, there may be a multi-year effort to reposition the brand as a leader…this may be done under a different structure outside of Yum! ownership.”
Pizza Hut has continued to expand across the globe markets, opening almost 300 new restaurants across 31 countries. However, same-store sales have lagged behind other brands in Yum!’s portfolio, including KFC and Taco Bell.
In the US Pizza Hut’ same-store sales dropped 7% in the year to date following multiple quarters of decline. International sales grew 2%.
In October Yum! Brands bought Pizza Hut’s dine-in business out of administration from franchise owner Directional Capital. As part of the deal, 68 restaurants and 11 delivery sites closed, with 64 sites remaining open.