Coronavirus Overshadows Yum China's Fourth-Quarter Results
Yum China (NYSE: YUM) released fourth-quarter 2019 results on Wednesday after the markets wrapped for trading. Unsurprisingly, a generally healthy report was overshadowed by the impact of the coronavirus outbreak on Yum's 2020 guidance.
The operator of Pizza Hut, Taco Bell, and other restaurant brands in China reported a year-over-year revenue increase of 6% to $2.03 billion. Same-store sales rose by 2%, led by 3% growth in KFC sales, offset by flat Pizza Hut business.
Restaurant margin, a measure of store-level profitability, advanced by 90 basis points to 12.4%. The higher sales levels and improved restaurant margin boosted Yum's operating profit to $94 million, against $84 million in the prior-year quarter.
Source Fool.com
