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Yum Brands (YUM) guidance and outlook
Yum Brands' 10-Q filed Nov 6, 2026 makes 10 forward-looking statements.
Guidance and outlook
Forward-looking statements, 10-Q filed Nov 6, 2026
- In 2026 and beyond, we intend to drive the next chapter of growth for YUM by Raising the B.A.R. through three clear priorities that reflect bold aspirations and a commitment to industry-leading performance:
- We intend to drive long-term growth and shareholder returns primarily through consistent same-store sales growth and new unit development across all of our Concepts.
- We intend to support this growth and development through a capital and operating structure that:
- These non-GAAP measurements are not intended to replace the presentation of our financial results in accordance with GAAP.
- Given current sales trends and our projections, we currently expect Taco Bell Division Company restaurant margins for the quarter ended December 31, 2026 in the range of 21.5% to 23.5%.
- Our annual operating cash flows were in excess of $2.0 billion in 2025 and we expect continued strong operating cash flows in 2026.
- Subject to market conditions, we expect to maintain our consolidated net leverage ratio at approximately 4.0x Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA") over the medium term by issuing incremental debt as our business grows.
- To the extent operating cash flows plus other sources of cash do not cover our anticipated cash needs, we maintain a $1.5 billion Revolving Facility under our Credit Agreement which was undrawn as of September 30, 2026.
- We target a capital structure which we believe provides an attractive balance between optimized interest rates, duration and flexibility with diversified sources of liquidity and maturities spread over multiple years and as mentioned above, we expect to maintain our net leverage ratio at approximately 4.0x EBITDA over the medium term by issuing incremental debt as our business grows.
- We expect to refinance the $750 million of the existing Subsidiary Senior Unsecured Notes before 91 days prior to June 1, 2027, and as such, the table above reflects the April 26, 2029 anticipated repayment date for the Term Loan A Facility and the Revolving Facility.
Yum Brands' latest quarter
Yum Brands, Q3 2026: revenue $2.1B (+4% year over year), operating margin 112.8%, net earnings $1.6B, operating cash flow $475M. The chart follows the revenue to costs, profit and cash.
Questions
What does Yum Brands expect?
In 2026 and beyond, we intend to drive the next chapter of growth for YUM by Raising the B.A.R. through three clear priorities that reflect bold aspirations and a commitment to industry-leading performance: We intend to drive long-term growth and shareholder returns primarily through consistent same-store sales growth and new unit development across all of our Concepts. We intend to support this growth and development through a capital and operating structure that:
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.