Thu, Nov. 12, 4:43 PM
- YUM's China division same-store sales rose an estimated 5% Y/Y in October, down slightly from September's 6% but better than the 2% reported for FQ3. KFC saw 10% Chinese same-store growth (rebounding from the effects of last year's OSI scandal), and Pizza Hut a 9% decline. (8-K filing)
- The fast-food giant is reiterating guidance for 0%-4% Y/Y Q4 Chinese same-store growth, with positive KFC growth and negative Pizza Hut growth. The Q4 outlook covers September in addition to October, November, and December. November comps will be reported in tandem with Yum's annual investor conference.
- Shares have risen to $70.11 after hours.
Tue, Oct. 6, 4:42 PM
- Following its FQ3 miss, YUM expects FY15 (ends in early December) EPS growth to be in the low-single digits, below prior guidance of "at least" 10%. Consensus is for EPS to rise 14% to $3.51.
- "[T]he pace of recovery in our China Division is below our expectations," says CEO Greg Creed. Pizza Hut Casual Dining was particularly weak. Yum now expects low-single digit negative FY15 Chinese same-store sales growth, with mid-single digit positive FQ4 growth.
- China division sales rose 8% Y/Y in FQ3 (year-ago sales were weak on account of the OSI scandal), with units rising 7% and same-store sales 2%. Division restaurant margin rose 470 bps to 19.6%, and op. profit 62% to $327M. A new China chief was appointed in August.
- India was also soft: System sales fell 9% as an 18% drop in same-store sales offset 10% unit growth. The India division had an $8M op. loss vs. $3M a year ago.
- Globally, system sales rose 6%, and restaurant margin 330 bps to 18.2%. KFC Division sales +6% (3% same-store growth); Pizza Hut +2% (1% same-store growth); Taco Bell +7% (4% same-store growth).
- Company sales rose 3% to $3B; franchise and license fee revenue fell 1% to $459M. Total costs/expenses fell 1% to $2.8B. $370M has been spent year-to-date in FY15 to repurchase 4.5M shares at an average price of $82.
- Yum has tumbled to $69.41 after hours.
- FQ3 results, PR
Tue, Oct. 6, 4:16 PM
Mon, Oct. 5, 5:35 PM
Tue, Jul. 14, 4:24 PM
- Yum Brands (NYSE:YUM) held company-wide worldwide restaurant margin level at 15.5% during Q2. Operating profit fell 1%. Across divisions results varied widely.
- China division: Sales -4% on 7% unit growth. Same-store sales -10%. Operating profit -25%.
- KFC division: Sales +6% on 2% unit growth. Same-store sales 3%. Operating profit +10%.
- Taco Bell division: Sales +9% on 3% unit growth. Same-store sales +6%. Operating profit +29%. Restaurant margin +530 bps to 23.0%.
- Pizza Hut division: Sales +1% on 2% unit growth. Same-store sales flat. Operating profit -1%.
- India division: Sales flat on 16% unit growth. Same-store sales -11%.
- CEO Greg Creed says the company will see improved results in China in the second half and Yum is still on track to open 700 restaurants in the nation this year.
- YUM -1.23% after hours to $90.87.
Tue, Jul. 14, 4:12 PM
Mon, Jul. 13, 5:35 PM
Tue, Apr. 21, 4:24 PM
- Yum Brands (NYSE:YUM) trades higher after beating estimates for Q1 profit.
- China: Sales were off 6% with 8% unit growth outrun by a -12% same-store sales comp vs -14% expected. Restaurant margin -450 bps to 18.9% off of sales deleverage.
- KFC: Sales growth of 8% derived from 2% unit growth and 5% same-store sales growth. Operating margin i+180 bps to 26.3%.
- Pizza Hut: Revenue rose sales 2% led by 2% unit growth. Same-store sales came in flat. Operating margin -150 bps to 30.0%.
- Taco Bell: Sales up 9% on 3% unit growth and a 6% comp. Operating margin +520 bps to 26.6%.
- India: Sales increased 1%. Unit growth +18% offset by an 11% same-store sales decline.
- 294 stores were added to Yum' system during the quarter.
- Previously: YUM! Brands beats by $0.08, revenue in-line
- YUM +4.64% after hours.
Tue, Apr. 21, 4:13 PM
Mon, Apr. 20, 5:35 PM
Wed, Feb. 4, 4:35 PM
- Yum Brands (NYSE:YUM) reports mixed numbers for Q4 with some regions and brands pulling up from last quarter.
- Worldwide restaurant margin -20 bps to 10.2%., dragged down by a sharp slide in margins in the China division.
- The comp put up the China division was -16%.
- The Taco Bell division was a bright spot with a 6% comp and improved margins on 2% unit growth. The U.S. comp was +3%.
- The comp was flat in the Pizza Hut division, but margins tailed off on a sales deleverage and global investment spend.
- The India division grew sales 14% on a wider roll-out of KFC and home service.
- YUM +2.5% after hours.
Wed, Feb. 4, 4:16 PM
Dec. 9, 2014, 4:39 PM
- Though YUM's Chinese same-store sales are recovering from the summer hit they took from the OSI scandal, they're doing so "at a slower pace than expected." As a result, Yum now expects mid-single digit 2014 EPS growth, down from prior guidance of 6%-10% (already lowered). China Division same-store sales are expected to be down by a mid-single digit clip.
- In addition, Yum is only guiding for 2015 EPS growth of "at least 10%;" consensus is for EPS to grow 17% to $3.78. "Meaningful upside opportunity" exists if Chinese sales rebound faster than expected.
- Yum respectively forecasts China Division, KFC, Pizza Hut, and Taco Bell op. profit growth of "at least 15%," 10%, 10%, and 6%. 2,100 gross new international units will be built next year (700 in China), and the capex budget is at $1.2B.
- The fast food giant plans to lower its share count by 2% in 2015 via buybacks.
Oct. 7, 2014, 4:45 PM
- With the OSI scandal taking a toll on Chinese sales, YUM's FY14 EPS growth is now expected to be in a 6%-10% range, below prior guidance for at least 20% growth.
- Worldwide system sales only rose 1% Y/Y in FQ3, a sharp slowdown from FQ2's 6% growth. Restaurant margin fell 270 bps Y/Y to 14.9%.
- China division sales -9% Y/Y, with 6% unit growth more than offset by a 14% same-store sales decline. Restaurant margin -460 bps to 14.9%.
- System sales for other divisions: KFC +6%, Pizza Hut flat, Taco Bell +4%, India +14%.
- Division same-store sales: KFC +3%, Pizza Hut -1%, Taco Bell +3%, India -4%.
- 400 new restaurants were created, 77% of which were in emerging markets. Yum still plans to open at least 700 new Chinese restaurants this year. Chinese restaurants +6% Y/Y in FQ3 to 6,419; Indian restaurants +26% to 736.
- YUM -0.9% AH. A rough earnings report was expected.
- FQ3 results, PR
Oct. 7, 2014, 4:17 PM
Oct. 6, 2014, 5:35 PM
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