- Yum reported an adjusted EPS of $1.61, surpassing the prior year’s $1.26 and beating the estimate of $1.59.
- The company’s revenue reached $2.36 billion, marking a 16% increase year-over-year and exceeding the $2.34 billion estimate.
- Worldwide comparable sales grew by 1%, higher than the estimated 0.68%.
- Pizza Hut comparable sales declined by 1% but improved from the previous year’s -2%, performing better than the -1.45% estimate.
- KFC saw no change in comparable sales, missing the previous year’s 2% growth but performing better than the estimated -1.16%.
- Taco Bell’s comparable sales increased by 5%, surpassing the prior year’s 3% growth and exceeding the 4.5% estimate.
- Habit Burger maintained stable comparable sales, outperforming the -3.2% estimate.
- The restaurant margin reached 17.9%, significantly higher than the 16.2% estimate.
- Pizza Hut’s restaurant margin was 1.9%, improving from last year’s -5.4%, and exceeded the estimated -1.5%.
- Taco Bell achieved a restaurant margin of 25.5%, higher than last year’s 23.1%, and beyond the estimated 23.2%.
- The company’s operating profit was $657 million, reflecting a 7.9% increase year-over-year but falling short of the $727.7 million estimate.
- KFC’s operating margin was 39%, below last year’s 43.3% and the estimated 39.3%.
- Taco Bell’s operating margin rose to 36.5%, surpassing the previous year’s 34.9% and exceeding the 35.5% estimate.
- The Board of Directors approved a 6% increase in the dividend to $0.71 per share, payable on March 7, 2025, to shareholders of record as of February 21, 2025.
- Yum introduced “Byte by Yum!,” a proprietary collection of AI-driven SaaS products designed to optimize restaurant technology and operations.
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Yum! Brands Inc on Smartkarma
Analysts on Smartkarma are closely monitoring Yum! Brands Inc, with recent reports shedding light on the company’s performance in its fiscal year and quarter. Baptista Research‘s report, “Yum! Brands: Expanding Global Footprint & Building A Robust Franchisee Model But Is It Enough? – Major Drivers,” analyzes the strengths and challenges faced by the company. The report emphasizes Yum! Brands’ resilience through geographic and brand diversification, despite global macroeconomic and geopolitical headwinds impacting its performance.
Another report from Baptista Research, “Yum! Brands Inc.: A Story Of Robust Franchise and Store Development! – Major Drivers,” delves into the company’s second-quarter results, highlighting both advancements and hurdles in operational and growth endeavors. The analysts provide valuable insights into Yum! Brands Inc‘s progress, offering a comprehensive view of the company’s trajectory in the market.
A look at Yum! Brands Inc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 5 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Yum! Brands Inc, a global operator of quick-service restaurants, is positioned well for long-term growth based on the Smartkarma Smart Scores. With a strong Resilience score of 5, the company demonstrates robustness in navigating challenges. This factor reflects its ability to weather uncertainties and maintain stability, enhancing investor confidence in its long-term prospects.
Furthermore, Yum! Brands Inc shows promising indicators with above-average scores in Dividend and Growth, both at 3. These scores suggest that the company offers regular dividend payments and has the potential for expansion, providing an attractive mix of income and growth potential. While the Value score is lower at 0, the overall outlook remains positive, bolstered by solid Momentum at 3. This mix of factors positions Yum! Brands Inc as a compelling investment option for those seeking steady returns and potential growth in the long run.
### Yum! Brands, Inc, owns and franchises quick-service restaurants worldwide. The Company develops, operates, franchises and licenses a worldwide system of restaurants which prepare, package and sell a menu of food items. ###
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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