(Updated to include further detail from the company's earnings release. Also updates Yum's stock price in after-hours trading.)

Fast-food restaurateur Yum Brands ( YUM) exceeded Wall Street earnings targets for its second quarter, but ratcheted down guidance for same-store sales growth for the rest of the year.

In an aftermarket press release otherwise marked by excitement over the expansion of its chains in China and the launch of new products at KFC, Yum said "constrained consumer spending" has dampened traffic worldwide, prompting it to cut same-store growth targets for 2009.

In a separate "guidance update" press release, the company said it now expects Chinese same-store sales to come in flat for 2009, as opposed to original targets of a 5% gain year-over-year. For its U.S. division, Yum said same-store sales will likely be "down slightly" compared with early guidance of a 3% increase.

Still, because Yum expects declining commodities prices to increase its restaurant profit margins "significantly," the company said its EPS target for the full-year 2009 remains unchanged at $2.10. Analysts polled by Thompson Financial are forecasting per-share earnings of $2.12.

The company -- franchiser of KFC, Taco Bell and Long John Silvers among others -- posted per-share earnings for its second quarter of 50 cents (which excludes one-time items), seven cents above analysts' expectations. In the year-ago period, Yum earned 45 cents a share.

Sales in the quarter fell to $2.48 billion from $2.66 billion in the corresponding 2008 period.

As for its international growth, Yum said it added 328 restaurants worldwide, with 118 of those in China. Eventually the company wants to open "at least" 500 restaurants in China.

In aftermarket trading, investors bid down Yum shares by $1.38, or about 4%, from their regular session close of $36.23.
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