Yum Brands Inc , parent of the KFC, Taco Bell and Pizza Hut chains, reported better-than-expected profit on Tuesday but shares fell 3.6 percent after its new 2010 earnings target missed analysts' view.
Yum raised its full-year earnings per share forecast to $2.43 from $2.39 previously, based on results from the first half of the year. But analysts' average forecast was already calling for 2010 earnings of $2.48 per share, according to Thomson Reuters I/B/E/S.
Net income for the quarter ended June 12 fell to $286 million, or 59 cents per share, from $303 million, or 63 cents per share, a year earlier.
Excluding items, Yum earned 58 cents per share, topping analysts' average call for per-share earnings of 55 cents, according to Thomson Reuters I/B/E/S.
Total revenue was $2.57 billion versus $2.48 billion a year earlier. Closely watched sales at established restaurants in China rose 4 percent.
Yum shares fell to $40.22 in extended trading, after closing up 2.1 percent at $41.71 on the New York Stock Exchange.
(Reporting by Lisa Baertlein, editing by Leslie Gevirtz)