FILE PHOTO: A customer walks out of a KFC restaurant in Shanghai, China, October 9, 2015. REUTERS Aly Song/File Photo

(Reuters) - Yum Brands Inc YUM.N, the owner of KFC and Taco Bell, reported a smaller-than-expected rise in quarterly sales at established restaurants worldwide as fewer diners ate at its Pizza Hut restaurants.

The company, which spun off Yum China Holdings Inc YUMC.N late last year, said same-store sales rose 2 percent in the second quarter ended June 30, missing the 2.2 percent rise analysts polled by Consensus Metrix had expected.

The Pizza Hut division, which has been off-setting strong growth at KFC and Taco Bell, reported its fourth-straight quarterly same-restaurant sales decline, falling 1 percent in the reported quarter. It, however, beat the 1.5 percent decline expected by analysts, according to research firm Consensus Metrix.

KFC and Taco Bell continued to show strong same-restaurant growth around the world, rising 3 percent and 7 percent, respectively. Both beat analysts’ expectations.

Net income from continuing operations fell to $206 million, or 58 cents per share, in the second quarter, from $266 million, or 64 cents per share, a year earlier, hurt in part by higher expenses related to sprucing up its Pizza Hut stores.

Excluding items, the company earned 68 cents per share. Net sales fell 4 percent to $1.45 billion.

Analysts on average had expected earnings of 61 cents per share and revenue of $1.42 billion, according to Thomson Reuters I/B/E/S

Shares of the Louisville, Kentucky-based company were down 0.7 percent in premarket trading.