Yum Brands Reports Mixed Q4 Results, Revenue Up on Taco Bell Strength

Yum Brands reported its fourth-quarter results for the period ended December 31, showing mixed performance with strong demand from Taco Bell contributing to increased revenue.

Key Financial Outcomes

Yum Brands reported adjusted earnings per share of $1.73, which was below the expected $1.77.

Revenue reached $2.51 billion, exceeding the expected $2.45 billion.

Net income for the quarter was $535 million, or $1.91 per share, an increase from $423 million, or $1.49 per share, in the same period the previous year. Net revenue saw a 6% rise to $2.51 billion. Global same-store sales for the company increased by 3%.

Brand Performance

• Taco Bell: Experienced a 7% increase in same-store sales for the quarter, surpassing analysts' expectations of 5.6% growth.

• KFC: Reported a 3% rise in global same-store sales. International locations saw a 3% increase, while U.S. restaurants recorded a 1% increase in same-store sales. This was below Wall Street's expectation of 2.1% growth for KFC.

• Pizza Hut: Had a 1% decline in same-store sales, primarily due to a 3% drop in the U.S. market. This performance slightly exceeded Wall Street estimates of a 1.7% decline.

Yum Brands has initiated a review of strategic options for Pizza Hut, a process first announced in November.