good our you, year. Thank and our I'll upcoming And outlook financial and David. XXXX morning, for discuss capital our balance sheet Today, the everyone. strategy results,
sales grew unit X% Starting X% X%, new net and growth. System-wide by with same-store the driven fourth growth quarter. sales
fourth Taco trends by International. top strengthened Bell the International as growth in twin Hut fueled and Our Pizza well our in improvements line quarter as engines
Indonesia value focus on growth Taco in the Bell's At a and International, acceleration engagement, significantly. everyday Malaysia. a in KFC same-store East, platforms led X-point the offers digital to performance markets and sharper outpaced of the disruptive value outside very in U.S. market sequential impressive Middle sales
by East, sales and had Middle a rebounded saw largely recovery levels. growth By increasing to in transactions percentage. pre-conflict the with notable traffic strong strong In KFC same-store December, showing a transactions
in restaurant accelerating largest China, We with capable continued partnership our world. China, its the market the In further long-term to in confident the share, most potential China, gains in operator KFC our in expand supported remain quarter. fourth by with and these highly Yum! strong
were expense expenses Turkey optimization G&A G&A our German to special included our Ex items. for special project termination. and year-over-year acquisition decline. million, line $XXX related cost reflecting our to Turning costs resource $XX X% Reported a a million and
at Restaurant-level Taco margins basis improved to both reflecting year-over-year Habit and points XX.X%, gains by strong XX Bell.
operating As spend. a restaurant quarter and $X.XX. was due Ex to result, for EPS profit level special XX% higher margins lower core fourth grew the G&A
Moving year, new by line to consumer net particularly in impacted full unit East X% global our the year the Middle growth We sentiment, sales long-term markets with aspirations. results. achieved for our declined broader affected X% Same-store by conflict. in
Ex special we the across eliminate down was enhanced $X.X efficiencies, collaboration brands. X% aim G&A resource greater across our organization program, to Through billion, drive duplicative year-over-year. and optimization work
into the to $XX reinvested line $XX on million result, which capabilities an removed we drive million some growth. G&A As approximately translating and a basis, XXXX, some organizational we of future flowed in to we that annual bottom in expenditures
transition and as on we're increased bending of and continue deploy P&L the a our to net technology capabilities digital more organization productivity to digital across we As and investments. the streamlined impact we our with technology system, curve our
restaurant margins year-over-year improved its highest second over XXX to full rates at restaurant year XX%, model XXX optimization. higher California, Habit rising points XX.X% as profitability. Habit's of a in sales, costs, level level Shifting stood percentage to behind labor with rate thanks XXXX. to basis achieving to and Notably, basis points margins year-over-year, XXXX. XXX despite strategic Bell decreased restaurant enhancements Taco points labor relative process company labor XX.X%, margin basis and Total
and X%, model. result moves business of franchise work reflects of macroeconomic the the the a of these operating our challenges. strong we core result of profit a achieved teams, hard growth given multi-brand resilience our global As This
ended we This Debyani excluding $X.XX, additional as year-over-year the $X.XX an Our increase in when translation effective and previously on expense investment in higher XX% special sold higher XXrd and due week $X.XX growth year realized the XXXX. at currency due impacts our of tax to in XX.X%, to a to the of outside drove items EPS communicated investment net rate combined XX% tax current of tax gain of headwinds. X% profit our Debyani a but as losses including year year-over-year the foreign rate impact impact, headwind and well range to
X,XXX our brands units investment appeal the franchise the in to our QX year, X,XXX development over the of engine. confidence on and Moving more robust than partners high reinforcing We the opened strong potential long-term new and our of and for of growth our brands.
XX opening KFC Philippines, across record highest Italy nearly in South this brand the openings X,XXX its Chile. saw a led the record store markets way, Africa, new units opening China, with builds XX more and year, ever countries or with XX This year the Japan, stores.
our in At for year, QX with efforts, modernization Arabia expansion a Saudi Pizza new line team Hut China, XXX design U.S. the the its units Canada. open driven of streamlined format Pizza Hut, and opened self-access markets. consumer items. by a X,XXX restaurant high-demand In in introduced evolving India, This digital kitchen, with expectations menu an aligns with cabinets digital-forward by elements drive-thru model November, replicating and in featuring of successful a international pickup concept from and
Bell expansion, Taco in units, new U.S. continued XXX including XXX and the adding its XXX internationally.
our primarily KFC the XXXX new that Hut resilience and to to East, evidenced Turkey, business largest XXX by region, stores of in opened brands, Turning across partner the in Middle region fact excluding we the the in our is Pizza Americana. that thanks specifically, our
low stores in than the offset is primarily Nothing an X,XXX units reputation high a basis strength year, in royalty openings, reflecting of low underperforming brands. the to uptick we On and volume, gross quarter our net our and maintaining unit new markets. for delivered tied closures X,XXX more in by protecting total, of important standards net partly globally, of the new the
XXX stores franchise In reacquired agreements this result which Turkey KFC well franchise the unit for In regard, XXX removal closing last from Pizza removed month, our cannot the and system count the Germany, rights we our average Hut when of terminated we meet below in Turkey franchisees and will those standards. in in time, are time in our system they typically AUVs. from From situations, units to our our QX. master
Turkey, for drive is as terminations. financial impact create right As growth-minded from future and reopen actively a franchise partners, partner financial transitions performance to with typically was long-term the new our not we the are result, Turkey and ongoing such the These for market significant success. case opportunities XC franchise the and searching to
in situation we Arabia reminder, a similar market now in growth. a XXXX, had strong is and seeing As Saudi that
to insights. our strengthening continues connected experiences that system, new and now operations, technology strategy consumer our discuss enhancing I'll across revolutionize and digital brand unlocking
Through across data-driven for a pillars, efficient connected, Easy Experiences, Easy paving Operations our the significant Bite, strides and Insights we Easy are making future. more way and
Easy Bite continue progress delivering pillar. our formerly under we excellent focus digital made In platform. the XXXX, platform, experiences consumer frictionless We on to our Commerce Yum! Experiences deploying ordering
Pizza and substantially Pizza KFC digital the QX. Hut transition by completing now products powered all ordering U.S. Bell, U.S. Bite its Taco our Hut with are in in
times Hut X drove XXXX. on ordering app to migrated platform U.K., In the Pizza on the and the system. channel including the digital also transaction over digital growth Bite the XX% processing We U.K., than the previous faster in platform international markets, facilitated
loyalty plan reducing platform to make ordering technologies, Bite digital while seamless to Bite Bite and our while connection software. ordering consumers XXXX, personalization introducing platform our The complexity digital AI-driven markets, easier restaurant In our additional place our team X expand we it digital for with to its omnichannel orders for members. and
using Bite's we countries. to formerly with the management scale we than Restaurant restaurant operations is and Super platform routine platform AI-driven team more app, XXXX, In Coach Pizza our operations. to use number to over members. Hut mobile mobile This stores deliver Bite audits KFC best-in-class Operations, Easy our we locations and franchisees enhance app optimize and efficiency to Within the simplifies will across XXX doubled of XX,XXX empower App, recommendations and
kitchen formerly planned and delivery X,XXX restaurants Dragontail, across continued Pizza KFC expansion system, multiple with markets in now Hut U.S. and Meanwhile, Bite and XXXX is for implementation our full in over live U.S. globally.
At tracks in to scale back-of-house system reached across in formerly X,XXX XXXX entire U.S., the XXXX. Taco and plans technology, with Bell continue over system, we it our management to restaurants restaurant Bite launch
Lastly, I'll discuss Insights pillar. our Easy
data-driven redefining Our AI with we is approach engage and how consumers.
guest data data, consumer of with rich detail and power data transactional hub strategies. our Our operations combined is experience AI to
continue messaging and approaches. marketing is AI area our engagement Already, leveraging be hyperpersonalized e-mail experiences. AI-driven brands targeted compared traditional in to to One execute to tests excited with resulting enable to on of about promotions consumer we a doubling U.S. are early campaigns
is breakthrough the just This beginning.
to our interactions. and an all rapidly With are channels, and consumer integrated capabilities, consumer enhances relevant empowers AI-driven expanding expect personalization We and building strengthens franchisees. intelligent experiences across platform digital we brands, engaging digital scale brands more creating Bite's our that
confident consumer As we way. are deeper is innovations, global these digital, and leading more drive a across system. our we connections scale efficient they future we The growth, the and model are long-term will operating
provide liquidity and and million balance expenditures. capital position. for XXXX in $XXX sheet totaled Net reflecting capital expenditures in Next, an $XX million I'll proceeds on our update million, refranchising $XXX gross
dividend buybacks, share. million. commitment Combining the of $XXX share we returned our an X.X repurchased line in today, to a total XXXX. deliver Throughout increase $X.X value, per shareholder dividends we and approximately billion quarterly million to with announced shareholders we In our year, to for shares $X.XX in
with at remaining year our debt the balance ended X.Xx, largely ratio leverage unchanged. net Our
we leverage Given the years. returns capital forward full future turn, lower in that by to a going past our than deliver higher our drifted trajectory Yum!'s continued in and materially confidence X plan has
leverage expect capital Overall, term conditions, maintaining medium shareholders. business, unchanged returning maximizing focus Specifically, to grows. dividend value and our balance deleveraging investments by a Xx net through cash priorities competitive shareholder at strong and strategic excess over flexible offering remain stop and a on debt market we in maintain subject ratio approximately the and to sheet, our and the incremental issuing as to our business
long-term in Looking our some trajectory acknowledging remain confident ahead to headwinds. XXXX, near-term we growth while
QX units XXX exited reflect Our Turkey. unit will in growth the
Hut move in the unit year incremental to count XXXX, resulting our restaurants during the an the QX, in a first expect in a expediting with markets, resulting the when onetime reach or growth number full quarter Despite also, XXXX unit of forward we closures few relative of excluding X% will of in X% closures. at XXX least We decline Turkey-related in end closures. Pizza to
growth the strong in scores same-store recovery unit is of anticipate weighted Taco to quarter. an many affected anticipate sales our heavily fourth always, sales perception improve conflict, year at by ongoing sales we and in As by East supported Bell performance Middle We performance the markets value U.S. markets more will another stronger and
assuming from increase percentage, on-target expect We single-digit this increase in compensation the to an low G&A expect G&A the percentage onetime of in bonus below target XXXX. reset XXXX. to incentive mid-single-digit a excluding headwind by headwind by a experienced expense, Including we and
target coupled of previously We unit mentioned our growth, are year another drivers, delivering algorithm share profile, the pleased plan that leads to long-term very this strong with G&A X%. sales to core us operating growth and of on profit
items to net income. impacting Turning
Excluding the expect between of debt issuances, interest potential and previously mentioned million expense we fall $XXX million. $XXX to incremental the impact
XX%. increases forecasted to like our to ongoing tax taxes increasing rate, foreign rates XX% are seeing expected other range in are and Regarding for tax our income multinationals, we,
brand are with XXXX. enter strong we optimistic across ahead summary, about we year the portfolio momentum In as our
and of we prioritize in this the wildfires event and avoid safety ambitious Bell's and decided California in originally As affected growth York from New host ongoing City X, the we're Más date, rebuilding Consumer Taco an distracting Bell Matt well-being will Los where earlier plan. unveil Taco that the residents to recovery showcase the March we scheduled to to mentioned, brand's Day for LIVE on thrilled Live Angeles reschedule community. efforts to by devastating and
With questions. to are ready take we any that, operator,
