YUM · Yum Brands Inc
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Q1 FY26 earnings call · Apr 29, 2026TL;DR. Yum! Brands reported solid Q1 2026 results with worldwide system sales up 6% ex-F/X, EPS ex Special Items up 15% to $1.50, Taco Bell U.S. same-store sales up 8%, and KFC unit growth of 7%. The company cited strong fundamentals, record 63% digital sales mix, and raised its raise-the-bar priorities for future growth.
- + EPS excluding Special Items rose 15% year-over-year to $1.50; GAAP EPS was $1.55 (+72%). new
- + Worldwide system sales grew 6% ex-F/X, with Core Operating Profit up 6%. new
- + Taco Bell U.S. same-store sales grew 8%, the eighth consecutive quarter ahead of the industry; 2-year same-store sales +18%. new
- + KFC delivered 6% system sales growth ex-F/X, 7% unit growth, and a record Q1 gross builds; KFC opened 648 new restaurants across 45 countries. new
- + KFC company-owned restaurant margins improved 100 bps to 10.3%; KFC Division GAAP Operating Profit +16%, Core Operating Profit +9%. new
- + Digital system sales approached $11 billion with record digital mix of 63%; Taco Bell Division Core Operating Profit +16%. new
- − Pizza Hut Division system sales and same-store sales were even; Core Operating Profit fell 16% and GAAP Operating Profit fell 14%. new
- − KFC U.S. same-store sales declined 2% and Canada was down 1%. new
- − Habit Burger continues to face bottom-line pressure from inflation, particularly beef prices. new
- − Excluding Pizza Hut, system sales +7%, units +6%, Core Operating Profit +10% — highlighting Pizza Hut as a drag on consolidated results. new
- − CEO noted the Chief Scale Officer role remains unfilled as the company takes time on organizational design. new
- − Taco Bell same-store sales growth included only 3 percentage points of transaction growth, with the remainder from value mix. new
AI-generated from the earnings call and 8-K · may contain errors · not investment advice
Equibles Rating
blended score · not investment adviceBlended from price, momentum, positioning, fundamentals & volatility · daily-close · not investment advice. Market backdrop is context, not part of the score.
Guidance & track record
Guidance from company 8-Ks · delivered figures from as-reported statements · no analyst estimates involved.
Technicals
trend & momentum for long-term holders BuyIllustrative technical + ownership context — a signal mix, not investment advice.
Key metrics
the company's own KPIs, from written earnings releases and filings| Metric | Latest | Period | YoY |
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| Company restaurant profit non-GAAP | $137M | Quarter ended June 30, 2026 filing | — |
| Effective Tax Rate excluding Special Items non-GAAP | 22.3% | Quarter ended June 30, 2026 filing | — |
GAAP → non-GAAP reconciliationGAAP GAAP Effective Tax Rate -60.1%
+82.4% Impact on Tax Rate as a result of Special Items
= Effective Tax Rate excluding Special Items 22.3%
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| EPS Excluding Special Items non-GAAP | $1.62 | Second Quarter 2026 filing | — |
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| KFC Division Core Operating Profit non-GAAP | $395M | Quarter ended June 30, 2026 filing | — |
| Pizza Hut Division Core Operating Profit non-GAAP | $69M | Quarter ended June 30, 2026 filing | — |
| System Sales Growth %, excluding FX | 5% | Quarter ended June 30, 2026 filing | — |
| System Sales Growth %, reported | 8% | Quarter ended June 30, 2026 filing | — |
| Taco Bell Division Core Operating Profit non-GAAP | $310M | Quarter ended June 30, 2026 filing | — |
| Company restaurant margin % non-GAAP | 24.8% | Year to date 6/30/26 | — |
| Core Operating Profit non-GAAP | $683M | Quarter ended 6/30/26 | — |
| gross units opened | 6 | Second-Quarter | — |
| KFC Division system sales growth excluding foreign currency translation | 6% | Second-Quarter | — |
| Operating margin | 26.5% | Year to date 6/30/26 | — |
| Taco Bell company-owned restaurant margins | 26.2% | Second-Quarter | — |
| Taco Bell Division unit growth | 3% | Second-Quarter | — |
| Unit count growth | 5% | Second-Quarter | — |
| Core Operating Profit growth non-GAAP | 6% | first quarter | — |
| Digital mix | 63% | first quarter | — |
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| Digital system sales | $11B | first quarter | — |
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| Gross new units | 1,030 | first quarter | — |
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| Habit Burger & Grill Division system sales growth | 7% | first quarter | — |
| Habit Burger & Grill gross new restaurants | 6 | first quarter | — |
| Habit Burger & Grill same-store sales growth | 5% | first quarter | — |
| KFC company-owned restaurant margins | 10.3% | first quarter | — |
| KFC Division Operating Margin | 43.6% | first quarter | — |
| KFC Division Restaurants | 34,332 | first quarter | — |
| KFC Division Same-Store Sales Growth | 2% | first quarter | — |
| KFC gross new restaurants | 648 | first quarter | — |
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| KFC Unit Growth | 7% | first quarter | — |
| Pizza Hut Division Operating Margin | 25.4% | first quarter | — |
| Pizza Hut Division Restaurants | 19,944 | first quarter | — |
| Pizza Hut gross new restaurants | 346 | first quarter | — |
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| Taco Bell Division Operating Margin | 35.2% | first quarter | — |
| Taco Bell Division Restaurants | 9,021 | first quarter | — |
| Taco Bell gross new restaurants | 30 | first quarter | — |
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| Taco Bell International same-store sales growth | 5% | first quarter | — |
| Taco Bell U.S. company-owned restaurant margins | 23.9% | first quarter | — |
| Taco Bell U.S. same-store sales growth | 8% | first quarter | — |
| Taco Bell U.S. system sales growth | 10% | first quarter | — |
| Unit count increase | 5% | first quarter | — |
| Worldwide system sales growth excluding foreign currency translation non-GAAP | 6% | first quarter | — |
| Core Operating Profit growth excluding lap of the 53rd week non-GAAP | 7% | Full-Year 2025 | — |
| System Sales Growth Excluding Lapping 53rd Week | 1% | the year | — |
| The Habit Burger Grill gross new restaurants | 21 | Full-Year 2025 | — |
| Worldwide system sales growth excluding F/X and lapping the 53rd week non-GAAP | 5% | Full-Year 2025 | — |
| Year-over-year unit growth | 3% | Q4 2025 | — |
Figures exactly as the company stated them in writing · click a metric with a to chart its history · period links open the stating document · "filing" marks figures stated in the 10-K/10-Q · YoY needs an exactly comparable prior-year period
Versus peers
Restaurants — same industry group| Company | Mkt cap | YTD | Rev growth Y/Y | P/E | Short % shares |
|---|---|---|---|---|---|
|
YUM
this stock
Yum Brands Inc
|
$41.94B | +1.3% | +8.8% | 19.3 | 3.2% |
|
MCD
Mcdonalds Corp
|
$187.53B | -13.8% | +3.7% | 21.5 | 1.6% |
|
SBUX
Starbucks Corp
|
$122.95B | +26.2% | +2.8% | 62.3 | 3.3% |
|
CMG
Chipotle Mexican Grill Inc
|
$48.12B | +2.8% | +5.4% | 34.9 | 3.0% |
|
QSR
Restaurant Brands International Inc.
|
$35.57B | +14.1% | +12.2% | 21.1 | 4.0% |
Peers by industry group · P/E from as-reported trailing EPS · short % is of shares outstanding
At a glance
key data from every sectionPerformance
| 5D | 20D | 120D | MTD | YTD | |
|---|---|---|---|---|---|
| YUM | -2.6% | +3.0% | -3.7% | +0.0% | +1.3% |
| SPY | +0.5% | +1.2% | +13.3% | +2.7% | +12.5% |
| vs SPY | -3.0% | +1.8% | -17.0% | -2.7% | -11.1% |
Capital returns
Dividends per share over the trailing 365 days by ex-date · buyback figures as last reported in SEC filings ("spent" derived as authorized − remaining; when several programs run concurrently, authorized is their combined total per the newest filing) · components shown separately — trailing-year buyback spend isn't tracked, so no combined shareholder yield is derived.