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Yum! Brands, Inc. (YUM)

- NYSE
  • Tue, Aug. 18, 6:39 PM
    • Micky Pant, formerly the head of YUM's KFC division, has been named CEO of the company's China division. Sam Su is stepping down as both chairman and CEO of the China unit. COO Roger Eaton will now be in charge of KFC outside of China and India.
    • The shakeup comes amid calls by hedge fund Corvex Management for Yum to spin off its Chinese ops. A Yum spokesman insists today's move wasn't made in preparation for a spinoff.
    • Yum's Chinese sales, hit hard in recent quarters by a 2014 scandal involving the practices of ex-food supplier OSI Group/Shanghai Husi, fell 4% Y/Y in FQ2. Units rose 7%, but same-store sales fell 10%.
    • Yum has risen to $86.06 after hours.
    | Tue, Aug. 18, 6:39 PM | Comment!
  • Tue, Aug. 18, 5:40 PM
    | Tue, Aug. 18, 5:40 PM | 4 Comments
  • Wed, Jul. 15, 10:44 AM
    • China was a major topic during the Yum Brands (YUM -2.9%) earnings call today.
    • Management skirted over macro issues in the nation and KFC store closures to promise a strong second half and improved profitability.
    • Taco Bell is a definite bright spot for the company. Breakfast now accounts for 7% of the division's sales. Management says it's confident Taco Bell will become the company's third global brand.
    • CEO Greg Creed says the Pizza Hut division also has significant upside potential, while acknowledging peers (Domino's, Papa Johns) are outperforming it.
    • Double-digit EPS growth is forecast for this year and next.
    • Shares of Yum pared their losses during the course of the call.
    • Previously: Yum! Brands beats by $0.06, misses on revenue (Jul. 14 2015)
    • Previously: Taco Bell helps offset China weakness for Yum Brands in Q2 (Jul. 14 2015)
    | Wed, Jul. 15, 10:44 AM | 1 Comment
  • 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, 4:24 PM | Comment!
  • Wed, Jun. 3, 9:50 AM
    • Yum Brands (NYSE:YUM) is active in early trading with speculation on some interest by Nelson Peltz swirling around.
    • The company is considered by analysts as a prime candidate to see a push by activist investors.
    • Shares of Yum are up 1.3% on a volume spike.
    | Wed, Jun. 3, 9:50 AM | 1 Comment
  • Fri, May 15, 8:20 AM
    • Shares of Yum Brands (NYSE:YUM) perk up in premarket action after JPMorgan issues an upgrade.
    • The restaurant operator is taken to an Overweight rating from Neutral by JP and assigned a higher price target of $108.
    • A spin-off of Yum's China business and investor activism are seen as two catalysts for share price appreciation.
    • YUM +1.12% premarket to $91.03.
    | Fri, May 15, 8:20 AM | Comment!
  • Fri, May 1, 9:47 AM
    • Yum Brands (YUM +5%) moves higher in early trading after Third Point discloses a new position in the restaurant holding company its Q1 letter.
    • The "significant" stake in Yum from Third Point is based on its forecast for a dramatic turn in profits.
    • Previously: UBS stays positive on Yum Brands (May. 01 2015)
    | Fri, May 1, 9:47 AM | Comment!
  • Tue, Apr. 21, 5:37 PM
    | Tue, Apr. 21, 5:37 PM | Comment!
  • 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, 4:24 PM | Comment!
  • Tue, Apr. 21, 4:13 PM
    • YUM! Brands (NYSE:YUM): Q1 EPS of $0.80 beats by $0.08.
    • Revenue of $2.62B (-3.7% Y/Y) in-line.
    • Shares +3.6%.
    • Press Release
    | Tue, Apr. 21, 4:13 PM | 1 Comment
  • Wed, Feb. 4, 4:16 PM
    • YUM! Brands (NYSE:YUM): Q4 EPS of $0.61 misses by $0.05.
    • Revenue of $4B (-4.3% Y/Y) beats by $30M.
    • Shares +1.43%.
    • Press Release
    | Wed, Feb. 4, 4:16 PM | 1 Comment
  • Dec. 11, 2014, 2:43 PM
    • Local KFC's within China will be given more autonomy in offering menu items and setting prices, says Joey Wat, Yum's (YUM +2.5%) new president of KFC China, noting consumers in the big cities have higher incomes and different preferences than those in smaller towns.
    • Other changes include things like premium coffee, more use of Chinese celebrities in ads, free Wi-Fi, and a reinvigorated child's menu.
    • Investor & Analyst Conference webcast
    • November same-store sales in China are looking down 15% from a year ago, says the company, but December shouldn't be as bad. Average restaurant sales three years ago in China were $1.7M annually, a number that's since fallen to just $1.35M.
    • Meanwhile, dealReporter says activist investor 3G Capital is sniffing around the company.
    • Previously: Is Yum Brands next for 3G? (Dec. 10, 2014)
    | Dec. 11, 2014, 2:43 PM | Comment!
  • Dec. 10, 2014, 9:10 AM
    | Dec. 10, 2014, 9:10 AM | 1 Comment
  • Dec. 10, 2014, 9:06 AM
    • Yum Brands (NYSE:YUM) is a logical acquisition candidate for 3G Capital, according to analysis from RBC Capital Markets.
    • The investment firm notes 3G has shown an appetite for stepping up acquisitions within the same sector.
    • 3G is the majority shareholder of Burger King Worldwide which is set to merge with Tim Hortons.
    • YUM -4.6% premarket after disappointing guidance.
    | Dec. 10, 2014, 9:06 AM | Comment!
  • Dec. 9, 2014, 5:36 PM
    | Dec. 9, 2014, 5:36 PM | Comment!
  • 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.
    | Dec. 9, 2014, 4:39 PM | Comment!
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Company Description
Yum Brands Inc through the three concepts of KFC, Pizza Hut and Taco Bell, develops, operates, franchises and licenses a system of restaurants which prepare, package and sell a menu of competitively priced food items.
Sector: Services
Industry: Restaurants
Country: United States