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Yum China (YUMC) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates
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Yum China Holdings (YUMC - Free Report) reported $2.49 billion in revenue for the quarter ended December 2023, representing a year-over-year increase of 19.4%. EPS of $0.25 for the same period compares to $0.13 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $2.37 billion, representing a surprise of +5.23%. The company delivered an EPS surprise of +92.31%, with the consensus EPS estimate being $0.13.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Yum China performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Same-store sales, excluding F/X - Pizza Hut: 6% versus 4.2% estimated by five analysts on average.
Same-store sales, excluding F/X - KFC: 3% versus 4% estimated by five analysts on average.
Same-store sales, excluding F/X - Total: 4% compared to the 3.5% average estimate based on five analysts.
No of Restaurants - Others: 1,036 versus 1,027 estimated by four analysts on average.
Revenues- Company sales: $2.34 billion compared to the $2.22 billion average estimate based on five analysts. The reported number represents a change of +18.6% year over year.
Revenues- Revenues from transactions with franchisees: $90 million versus the five-analyst average estimate of $74.92 million. The reported number represents a year-over-year change of +32.4%.
Revenues- Franchise fees and income: $20 million compared to the $23.70 million average estimate based on five analysts. The reported number represents a change of +25% year over year.
Revenues- Other revenues: $40 million versus the four-analyst average estimate of $19.81 million. The reported number represents a year-over-year change of +37.9%.
Revenues- Pizza Hut: $496 million versus $461.22 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +22.8% change.
Revenues- KFC: $1.87 billion compared to the $1.79 billion average estimate based on three analysts. The reported number represents a change of +17.7% year over year.
Revenues- Pizza Hut- Other revenues: $8 million versus $4.12 million estimated by two analysts on average.
Revenues- Pizza Hut- Revenues from transactions with franchisees: $1 million versus $1.06 million estimated by two analysts on average.
Shares of Yum China have returned -11.1% over the past month versus the Zacks S&P 500 composite's +5.3% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
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Yum China (YUMC) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates
Yum China Holdings (YUMC - Free Report) reported $2.49 billion in revenue for the quarter ended December 2023, representing a year-over-year increase of 19.4%. EPS of $0.25 for the same period compares to $0.13 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $2.37 billion, representing a surprise of +5.23%. The company delivered an EPS surprise of +92.31%, with the consensus EPS estimate being $0.13.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Yum China performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Same-store sales, excluding F/X - Pizza Hut: 6% versus 4.2% estimated by five analysts on average.
- Same-store sales, excluding F/X - KFC: 3% versus 4% estimated by five analysts on average.
- Same-store sales, excluding F/X - Total: 4% compared to the 3.5% average estimate based on five analysts.
- No of Restaurants - Others: 1,036 versus 1,027 estimated by four analysts on average.
- Revenues- Company sales: $2.34 billion compared to the $2.22 billion average estimate based on five analysts. The reported number represents a change of +18.6% year over year.
- Revenues- Revenues from transactions with franchisees: $90 million versus the five-analyst average estimate of $74.92 million. The reported number represents a year-over-year change of +32.4%.
- Revenues- Franchise fees and income: $20 million compared to the $23.70 million average estimate based on five analysts. The reported number represents a change of +25% year over year.
- Revenues- Other revenues: $40 million versus the four-analyst average estimate of $19.81 million. The reported number represents a year-over-year change of +37.9%.
- Revenues- Pizza Hut: $496 million versus $461.22 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +22.8% change.
- Revenues- KFC: $1.87 billion compared to the $1.79 billion average estimate based on three analysts. The reported number represents a change of +17.7% year over year.
- Revenues- Pizza Hut- Other revenues: $8 million versus $4.12 million estimated by two analysts on average.
- Revenues- Pizza Hut- Revenues from transactions with franchisees: $1 million versus $1.06 million estimated by two analysts on average.
View all Key Company Metrics for Yum China here>>>Shares of Yum China have returned -11.1% over the past month versus the Zacks S&P 500 composite's +5.3% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.