Yum! Brands Earnings Preview: Analysts Expect Strong First Quarter Results

Yum! Brands, the parent company of KFC, Pizza Hut, and Taco Bell, is set to release its first quarter earnings report after the market closes today. Analysts expect the company to report strong earnings of 72 cents per share on revenue of $2.64 billion, a significant improvement from the same quarter last year. The company's stock price has been on an uptrend, up 0.49% to $80.69 in afternoon trading.

Key Takeaways:

• Analysts expect Yum! Brands to report first quarter earnings of 72 cents per share on revenue of $2.64 billion, compared to 87 cents per share on revenue of $2.72 billion in the same quarter last year.
• The company's current return on equity has increased significantly compared to the same quarter one year prior, a signal of significant strength within the corporation.
• Despite a 4.3% drop in revenue, Yum! Brands managed to outperform the industry average of 8.2%.
• The company's gross profit margin is currently lower than desirable at 29.92%, but has increased from the same quarter the previous year.
• Net operating cash flow has decreased to $437.00 million or 25.42% when compared to the same quarter last year, but is still higher than the industry average.
• TheStreet Ratings Team rates Yum! Brands as a Hold with a ratings score of C+, citing mixed factors that have impacted their rating.

Statistics:

• Expected first quarter earnings: 72 cents per share
• Expected first quarter revenue: $2.64 billion
• Revenue change from same quarter last year: -4.3%
• Gross profit margin: 29.92%
• Net profit margin: -2.15%
• Net operating cash flow: $437.00 million
• Return on equity: Current - significant increase when compared to same quarter one year prior

Sources:

• Thomson Reuters
• TheStreet
• Yum! Brands Inc. report on TheStreet Ratings Team
• TheStreet Ratings Team
• Yum! Brands Inc. investor relations site