Results
NEWS
Yum!
Brands Reports Third-Quarter Results
KFC Unit Growth of 7%; Yum!
Completes Pizza Hut Divestiture;
Returns $1.8 Billion to Shareholders Through Dividends and Share Repurchases Year-to-Date;
Taco Bell U.S. Outpaces the QSR Industry Since End of September
Louisville, KY (November 3, 2026) - Yum!
Brands, Inc. (NYSE: YUM) today reported results for the third quarter ended September 30, 2026.
Third-quarter GAAP EPS was $5.92 and third-quarter EPS excluding Special Items was $1.56.
CHRIS TURNER COMMENTS
Chris Turner, CEO, said “Yum! has entered its next chapter of growth, having completed the divestiture of Pizza Hut, with a sharper focus on our Raise the B.A.R. priorities.
In support of those priorities, KFC delivered record Q3 global gross unit development and continues to scale its new global strategy reflecting the brand’s ambition of being the most modern chicken QSR.
I’m also very pleased that, since the end of September, Taco Bell U.S. has been outpacing the QSR industry on same-store sales growth.
Taco Bell will continue building on this momentum, with differentiated value and innovation that resonate across all consumer groups.
With iconic brands, unmatched global scale and significant development white space, we remain confident in our ability to deliver consistent earnings growth and create long-term shareholder value.”
STRATEGIC ANNOUNCEMENTS
On August 7 th and September 1 st , Yum! completed the sales of the Pizza Hut brand in mainland China to Yum China and Pizza Hut excluding mainland China to LongRange Capital , respectively.
PERFORMANCE METRICS EXCLUDING PIZZA HUT
7Unit count increased 7% including 955 gross new units in the quarter.
Digital system sales over $9 billion, with digital mix reaching 64%.
Performance MetricsThird-Quarter % Change
System Sales Ex F/XSame-Store SalesUnits
KFC Division+6+1+7
Taco Bell Division(2)(4)+3
Worldwide3Even+7
OPERATING RESULTS
2026 results presented below include the results of Pizza Hut prior to the sale dates referenced above.
2025 results include the results of Pizza Hut for the entirety of the periods presented below.
2Excluding the results of Pizza Hut from both 2026 and 2025, Core Operating Profit grew 1% for the quarter and 6% for the year to date.
12026 GAAP Operating Profit figures presented below reflect a pre-tax gain of approximately $1.7 billion related to the sales of Pizza Hut.
5Foreign currency translation favorably impacted Divisional Operating Profit by $7 million and $48 million in the quarter and year to date, respectively.
1 See reconciliation of Non-GAAP Measurements to GAAP Results within this release for further detail of Core Operating Profit and Special Items.
All comparisons are versus the same period a year ago.
System sales growth figures exclude foreign currency translation ("F/X") and core operating profit growth figures exclude F/X and Special Items.
Special Items are not allocated to any segment and therefore only impact worldwide GAAP results.
See reconciliation of Non-GAAP Measurements to GAAP Results within this release for further details.
Digital system sales includes all transactions at system restaurants where consumers utilize ordering interaction that is primarily facilitated by automated technology.
Yum!
Brands, Inc. • 1900 Colonel Sanders Lane • Louisville, KY 40213 • P: 502 874-8300 • investors.yum.com
KFC DIVISION
KFC Division opened 878 gross new restaurants across 66 countries.
3Company-owned restaurant margins were 12.3%, down 140 basis points year-over-year, primarily driven by the 15 lower margin stores being tested under the Saucy brand in 2026.
8Foreign currency translation favorably impacted operating profit by $7 million.
KFC Markets 1Percent of KFC System Sales 2System Sales Growth Ex F/X
Third-Quarter (% Change)Year-to-Date (% Change)
China26%+3+5
Europe13%+2+1
United States12%(6)(3)
Asia12%+12+11
Latin America8%+11+11
Australia7%+5+4
United Kingdom7%+7+8
Middle East / Turkey / North Africa6%+25+21
Africa5%+8+7
Canada2%Even(1)
India2%+20+17
1 Refer to investors.yum.com/financial-information/financial-reports/ for a list of the countries within each of the markets.
2 Reflects Full Year 2025.
TACO BELL DIVISION
Taco Bell Division opened 73 gross new restaurants across 16 countries.
4Taco Bell U.S. system sales declined 3% and same-store sales declined 4%.
U.S. company-owned restaurant margins were 20.5%.
Taco Bell International system sales excluding foreign currency translation grew 14% and same-store sales grew 5%.
HABIT BURGER & GRILL DIVISION
Habit Burger & Grill Division opened 4 gross new restaurants.
6Habit Burger & Grill Division system sales grew 3% and same-store sales were flat .
OTHER ITEMS
See reconciliation of Non-GAAP Measurements to GAAP results within this release for further detail of Special Items by financial statement line item including the impact of Special Items on General and administrative expenses.
Disclosures pertaining to outstanding debt in our Restricted Group capital structure will be provided at the time of the filing of the third-quarter Form 10-Q.
LONG-TERM GROWTH ALGORITHM
The Company targets the following long-term financial performance metrics, first announced in 2022, that it believes it can achieve over an extended period of time, on average:
5% Unit Growth
7% System Sales Growth, excluding F/X; and
At least 8% Core Operating Profit Growth 1
1 At this time, we are unable to forecast any Special Items or any impact from changes in F/X rates, and therefore cannot provide an estimate of Operating Profit Growth on a GAAP basis.
The number is 833/461-5787 for North America callers and +1/585-542-9983 for international callers, conference ID 304548872.
The call will be available for playback beginning at 10:00 a.m. Eastern Time November 3, 2026 through November 10, 2026.
To access the playback, dial +1/833-309-1852, conference ID 304548872.
Brands' website, investors.yum.com/events-and-presentations and selecting “Q3 2026 Yum!
Brands, Inc. Earnings Call.”
Quarter-end dates for each division, restaurant count details, definitions of terms and Restricted Group financial information are available at investors.yum.com.
Reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures are included in our Condensed Consolidated Summary of Results.
These statements are based on and reflect our current expectations, estimates, assumptions and/ or projections, our perception of historical trends and current conditions, as well as other factors that we believe are appropriate and reasonable under the circumstances.
There can be no assurance that our expectations, estimates, assumptions and/or projections, including with respect to the future earnings and performance or capital structure of Yum!
Brands, will prove to be correct or that any of our expectations, estimates or projections will be achieved.
Brands is a leading restaurant company that grows iconic brands globally, powered by world-class talent, franchise partners and technology.
Yum! subsidiaries or franchisees operate more than 44,000 KFC, Taco Bell and/or Habit Burger & Grill restaurants across 150-plus countries and territories.
KFC and Taco Bell are global leaders in their respective categories, while Habit Burger & Grill is a fast-casual concept known for made-to-order chargrilled burgers, sandwiches and more.
Guided by its Recipe for Good Growth and Raising the B.A.R. priorities, Yum! brings together its global brands, franchise system, scale and leading digital and technology capabilities to drive growth and create long-term value.
Together, these strengths help Yum! build the world’s most loved, trusted and connected restaurant brands.
Analysts are invited to contact:
Matt Morris, Head of Investor Relations at 888/298-6986
Members of the media are invited to contact:
Lori Eberenz, Director, Public Relations, at 502/874-8200
YUM!
Brands, Inc.
Condensed Consolidated Summary of Results
(amounts in millions, except per share amounts)
(unaudited)
See accompanying notes.
YUM!
Brands, Inc.
KFC DIVISION Operating Results
(amounts in millions)
(unaudited)
See accompanying notes.
1 See reconciliation of Non-GAAP Measurements to GAAP Results within this release for further detail of Company restaurant margin %.
YUM!
Brands, Inc.
TACO BELL DIVISION Operating Results
(amounts in millions)
(unaudited)
See accompanying notes.
1 See reconciliation of Non-GAAP Measurements to GAAP Results within this release for further detail of Company restaurant margin %.
YUM!
Brands, Inc.
PIZZA HUT DIVISION Operating Results
(amounts in millions)
(unaudited)
See accompanying notes.
1 See reconciliation of Non-GAAP Measurements to GAAP Results within this release for further detail of Company restaurant margin %.
YUM!
Brands, Inc.
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