Watch List Stock News: Yum China Holdings, Inc (NYSE: YUMC)

Yum China Holdings, Inc (NYSE: YUMC) performed 7.96% to trade value at $39.35 in recent trading session and its total traded volume was 4500678 shares versus to an average volume of 1866.22K. The company has market cap of $15110.4 million. The stock has monthly performance of 14.99% while its yearly performance remained at -15.18%.

Yum China Holdings, Inc (NYSE: YUMC) declared unaudited results for the fourth quarter and year ended December 31, 2018.

Fourth Quarter Highlights

  • Total revenues increased 2% year over year to $1.91 billion from $1.87 billion (7% year over year increase excluding foreign currency translation (“F/X”)).
  • Total system sales grew 6% year over year, with 9% growth at KFC partially offset by a 2% decline at Pizza Hut, excluding F/X.
  • Same-store sales grew 2% year over year, with a 3% increase at KFC and a 4% decrease at Pizza Hut, excluding F/X.
  • Restaurant margin was 11.5%, as compared with 11.6% in the prior year period.
  • Operating Profit increased 77% year over year to $84 million from $47 million (84% year over year increase excluding F/X).
  • Reported an impairment charge of $12 million on intangible assets acquired from DAOJIA.com.cn (“Daojia”). Excluding this special item, Adjusted Operating Profit increased to $96 million from $47 million in the prior year period.
  • Net Income increased to $74 million from a net loss of $107 million in the prior year period.
  • Recognized a tax benefit of $36 million in the fourth quarter 2018 as a result of adjusting the provisional amount of transition tax related to US tax reform previously recorded in fourth quarter 2017. Excluding the one-time tax benefit and the Daojia impairment, Adjusted Net Income decreased 19% to $46 million, primarily driven by the mark to market loss of $27 million on our equity investment in Meituan Dianping.
  • Diluted EPS increased to $0.19 from negative $0.28 in the prior year period. Adjusted Diluted EPS decreased 14% to $0.12 from $0.14 in the prior year period (36% year over year increase excluding the mark to market loss impact of our equity investment in Meituan Dianping).

Full Year Highlights

  • Total revenues increased 8% year over year to $8.42 billion from $7.77 billion (6% year over year increase excluding F/X).
  • Total system sales grew 5% year over year, with 7% growth at KFC partially offset by a 1% decline at Pizza Hut, excluding F/X.
  • Same-store sales increased 1% year over year, with a 2% increase at KFC and a 5% decrease at Pizza Hut, excluding F/X.
  • Restaurant margin was 15.7%, as compared with 16.7% in the prior year.
  • Operating Profit increased 21% year over year to $941 million from $778 million (16% year over year increase excluding F/X). Adjusted Operating Profit increased 10% year over year to $855 million from $775 million (6% year over year increase excluding F/X).
  • Net Income increased 78% to $708 million from $398 million in the prior year (70% year over year increase excluding F/X). Adjusted Net Income increased 9% to $606 million from $559 million in the prior year (4% year over year increase excluding F/X).
  • Effective tax rate was 22.6%. Excluding the adjustment made in the fourth quarter 2018 to the provisional amount of transition tax related to US tax reform previously recorded in 2017, the effective tax rate was 26.5%.
  • Diluted EPS increased 79% to $1.79 from $1.00 in the prior year. Adjusted Diluted EPS increased 9% to $1.53 from $1.40 in the prior year (14% year over year increase excluding the mark to market loss impact of our equity investment in Meituan Dianping).
  • Opened 819 new restaurants during the year, bringing total store count to 8,484 across more than 1,200 cities.

 The stock demonstrated move of 11.13% in previous 5 days graph. Its quarterly performance stands with the percentage of 24.17% while its year to date performance showed change of 17.36%.  The Company has an insider ownership of 0.10% and institutional ownership remained 79.90%. Its return on investment (ROI) for the last 12 month was 20.30% and its return on equity (ROE) of 18.30% while return on assets (ROA) is at 11.70%.

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