The Boycott Effect Against the Genocide in Gaza
The inactivity of Muslim leaders against the genocide in Gaza increased the importance of the boycott actions carried out by the people. The boycott implemented against companies known to provide financial support to Zionist Israel began to produce important results. In this context, sales of KFC and Pizza Hut, two of the largest fast food chains in the USA, showed a serious decline in the Middle East.
Yum! Brands, the US-based restaurant management company that owns KFC, Pizza Hut and Taco Bell restaurants, has released its financial report for the second quarter of this year. According to the company, Yum! Brands’ revenue increased by 4 percent in the second quarter, reaching $1.76 billion. This figure was $1.69 billion in the same period last year.
Yum! Brands’ revenue came in below market estimates of $1.8 billion in the period. The company’s net profit fell 12 percent to $367 million in the second quarter, compared to $418 million in the same period last year.
Earnings per share fell from $1.46 in the second quarter of last year to $1.28 in the same period this year.
KFC and Pizza Hut Sales Decline in the Middle East
Yum! Brands’ global same-store sales decreased by 1 percent in the second quarter of this year. Its restaurant chains KFC and Pizza Hut’s same-store sales decreased by 3 percent in the second quarter, while Taco Bell’s same-store sales increased by a remarkable 5 percent.
KFC, aka Kentucky Fried Chicken, saw its sales in the Middle East, Turkey and North Africa drop by 11 percent in the second quarter. Pizza Hut’s sales in the Middle East and Africa also fell by 6 percent.
Impact of Boycott and Historical Data
KFC and Pizza Hut have been targeted by the boycott of international companies that support Israel. Due to the attacks on Gaza, these companies’ sales were negatively affected by the conflicts in the Middle East in the last quarter of last year and the first quarter of this year.
- KFC’s sales fell 5 percent in the Middle East, Turkey and North Africa in the final quarter of last year.
- During the same period, Pizza Hut’s sales in the Middle East and Africa fell 3 percent.
- In the first quarter of this year, KFC’s sales fell 5 percent in the Middle East, Turkey and North Africa.
- Pizza Hut’s sales in the Middle East and Africa also fell 8 percent in the first quarter.
