Yum Brands Financials
Yum Brands (YUM) reported $8.2B in revenue for fiscal year 2025, up 8.8% from the prior fiscal year. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Cash-rich, asset-light economics let Yum turn modest reinvestment into durable shareholder payouts despite negative book equity.
Recently, buybacks and dividends repeatedly outweighed capital spending; paired with FY2025 equity of-$7.33B , that says the balance sheet is being used to return cash, not to build book capital. The important distinction is that this sits alongside free cash flow of$1.64B , so negative equity here reflects financing choices more than weak underlying cash production.
Operating cash flow of
Over the last two years, gross margin fell from
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Yum Brands's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Yum Brands has an operating margin of 31.3%, meaning the company retains $31 of operating profit per $100 of revenue. This strong profitability earns a score of 97/100, reflecting efficient cost management and pricing power. This is down from 31.8% the prior year.
Yum Brands's revenue grew 8.8% year-over-year to $8.2B, a solid pace of expansion. This earns a growth score of 59/100.
Yum Brands's current ratio of 1.35 indicates adequate short-term liquidity, earning a score of 35/100. The company can meet its near-term obligations, though with limited headroom.
Yum Brands converts 20.0% of revenue into free cash flow ($1.6B). This strong cash generation earns a score of 86/100.
Yum Brands scores 2.45, placing it in the grey zone between 1.81 and 2.99. The score is driven primarily by a large market capitalization ($39.5B) relative to total liabilities ($15.5B). This signals moderate financial risk that warrants monitoring.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Yum Brands passes 4 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 3 of 4 profitability signals pass, 1 of 2 leverage/liquidity signals pass, neither operating efficiency signal passes.
For every $1 of reported earnings, Yum Brands generates $1.29 in operating cash flow ($2.0B OCF vs $1.6B net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Yum Brands earns $4.73 in operating income for every $1 of interest expense ($2.6B vs $544.0M). This adequate coverage means the company can meet its interest obligations, but has limited cushion if earnings fall.
Key Financial Metrics
Earnings & Revenue
Yum Brands generated $8.2B in revenue in fiscal year 2025. This represents an increase of 8.8% from the prior year.
Yum Brands's EBITDA was $2.8B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 7.8% from the prior year.
Yum Brands reported $1.6B in net income in fiscal year 2025. This represents an increase of 4.9% from the prior year.
Not reported for fiscal year 2025.
Cash & Balance Sheet
Yum Brands generated $1.6B in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 14.5% from the prior year.
Yum Brands held $709.0M in cash against $11.9B in long-term debt as of fiscal year 2025.
Not reported for fiscal year 2025.
Margins & Returns
Yum Brands's gross margin was 69.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 2.1 percentage points from the prior year.
Yum Brands's operating margin was 31.3% in fiscal year 2025, reflecting core business profitability. This is down 0.5 percentage points from the prior year.
Yum Brands's net profit margin was 19.0% in fiscal year 2025, showing the share of revenue converted to profit. This is down 0.7 percentage points from the prior year.
Not reported for fiscal year 2025.
Capital Allocation
Yum Brands spent $552.0M on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding. This represents an increase of 25.2% from the prior year.
Yum Brands invested $371.0M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 44.4% from the prior year.
Not reported for fiscal year 2025.
YUM Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | TTM | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 | FY17 | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $8.7B | $8.2B+8.8% | $7.5B+6.7% | $7.1B+3.4% | $6.8B+3.9% | $6.6B+16.5% | $5.7B+1.0% | $5.6B-1.6% | $5.7B-3.2% | $5.9B-7.5% | $6.4B-1.0% | $6.4B-51.7% | $13.3B+1.5% | $13.1B-4.0% | $13.6B+8.0% | $12.6B |
| Cost of Revenue | $2.8B | $2.5B+17.1% | $2.1B+19.5% | $1.8B+1.7% | $1.7B+1.2% | $1.7B+14.5% | $1.5B+21.9% | $1.2B-24.4% | $1.6B-44.7% | $3.0B | N/A | $9.4B-3.3% | $9.7B+1.9% | $9.5B-3.6% | $9.9B+7.8% | $9.1B |
| Gross Profit | $5.9B | $5.7B+5.6% | $5.4B+2.4% | $5.3B+4.0% | $5.1B+4.9% | $4.9B+17.2% | $4.1B-5.0% | $4.4B+7.6% | $4.1B+38.6% | $2.9B | N/A | -$2.9B-181.8% | $3.6B+0.4% | $3.6B-5.2% | $3.8B+8.5% | $3.5B |
| R&D Expenses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | $28.0M-6.7% | $30.0M-3.2% | $31.0M+3.3% | $30.0M-11.8% | $34.0M |
| SG&A Expenses | $1.3B | $1.3B+6.9% | $1.2B-1.0% | $1.2B+4.6% | $1.1B+7.5% | $1.1B-0.4% | $1.1B+16.0% | $917.0M+2.5% | $895.0M-10.4% | $999.0M | N/A | $1.5B+6.0% | $1.4B+0.5% | $1.4B-6.5% | $1.5B+10.1% | $1.4B |
| Operating Income | $2.7B | $2.6B+7.1% | $2.4B+3.7% | $2.3B+6.0% | $2.2B+2.2% | $2.1B+42.3% | $1.5B-22.1% | $1.9B-15.9% | $2.3B-16.8% | $2.8B+64.1% | $1.7B+17.3% | $1.4B-5.5% | $1.5B-15.6% | $1.8B-21.6% | $2.3B+26.4% | $1.8B |
| Interest Expense | $531.0M | $544.0M+0.4% | $542.0M-10.0% | $602.0M+7.9% | $558.0M+1.3% | $551.0M-1.3% | $558.0M+7.5% | $519.0M+4.6% | $496.0M+4.9% | $473.0M+42.9% | $331.0M+116.3% | $153.0M+1.3% | $151.0M-44.1% | $270.0M+59.8% | $169.0M-8.2% | $184.0M |
| Income Tax | -$19.0M | $518.0M+25.1% | $414.0M+87.3% | $221.0M-34.4% | $337.0M+240.4% | $99.0M-14.7% | $116.0M+46.8% | $79.0M-73.4% | $297.0M-68.2% | $934.0M | N/A | $489.0M+20.4% | $406.0M-16.6% | $487.0M-9.3% | $537.0M+65.7% | $324.0M |
| Net Income | $2.2B | $1.6B+4.9% | $1.5B-7.0% | $1.6B+20.5% | $1.3B-15.9% | $1.6B+74.2% | $904.0M-30.1% | $1.3B-16.1% | $1.5B+15.1% | $1.3B-18.4% | $1.6B+28.1% | $1.3B+22.1% | $1.1B-3.7% | $1.1B-31.7% | $1.6B+21.1% | $1.3B |
Not reported in any period shown, so not listed: EPS (Diluted).
TTM is the trailing twelve months, Q3 FY2025 through Q2 FY2026, summed from the four most recent quarterly filings. A row marked — cannot be summed at all, because a quarter in the window reports no per-share figure; a row marked N/A could be summed, but a quarter in the window does not report that metric.
YUM Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 | FY17 | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total Assets | $8.2B+21.9% | $6.7B+8.0% | $6.2B+6.6% | $5.8B-2.0% | $6.0B+1.9% | $5.9B+11.9% | $5.2B+26.7% | $4.1B-22.2% | $5.3B-2.6% | $5.5B-32.4% | $8.1B-3.3% | $8.3B-4.2% | $8.7B-3.5% | $9.0B+2.0% | $8.8B |
| Current Assets | $2.0B+9.0% | $1.9B+16.3% | $1.6B0.0% | $1.6B+5.0% | $1.5B-9.3% | $1.7B+10.6% | $1.5B+26.5% | $1.2B-51.9% | $2.5B+66.6% | $1.5B-10.8% | $1.7B+8.6% | $1.6B-8.2% | $1.7B-12.2% | $1.9B-17.1% | $2.3B |
| Cash & Equivalents | $709.0M+15.1% | $616.0M+20.3% | $512.0M+39.5% | $367.0M-24.5% | $486.0M-33.4% | $730.0M+20.7% | $605.0M+107.2% | $292.0M-80.8% | $1.5B+109.9% | $725.0M-1.6% | $737.0M+27.5% | $578.0M+0.9% | $573.0M-26.2% | $776.0M-35.2% | $1.2B |
| Inventory | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | $37.0M-83.8% | $229.0M-23.9% | $301.0M+2.4% | $294.0M-6.1% | $313.0M+14.7% | $273.0M |
| Goodwill | $969.0M+31.7% | $736.0M+14.6% | $642.0M+0.6% | $638.0M-2.9% | $657.0M+10.1% | $597.0M+12.6% | $530.0M+1.0% | $525.0M+2.5% | $512.0M-4.5% | $536.0M-18.3% | $656.0M-6.3% | $700.0M-21.3% | $889.0M-14.0% | $1.0B+51.8% | $681.0M |
| Total Liabilities | $15.5B+8.0% | $14.4B+2.0% | $14.1B-4.3% | $14.7B+2.7% | $14.3B+4.3% | $13.7B+3.7% | $13.2B+9.9% | $12.1B+3.5% | $11.6B+5.2% | $11.1B+56.2% | $7.1B+5.4% | $6.7B+4.6% | $6.4B-4.1% | $6.7B-3.1% | $6.9B |
| Current Liabilities | $1.5B+19.5% | $1.3B-0.6% | $1.3B-23.3% | $1.7B+17.7% | $1.4B-15.5% | $1.7B+8.7% | $1.5B+18.4% | $1.3B-14.0% | $1.5B+15.8% | $1.3B-57.7% | $3.1B+28.1% | $2.4B+6.4% | $2.3B-0.6% | $2.3B-7.0% | $2.5B |
| Long-Term Debt | $11.9B+5.0% | $11.3B+1.5% | $11.1B-2.7% | $11.5B+2.5% | $11.2B+8.8% | $10.3B+1.4% | $10.1B+3.9% | $9.8B+3.4% | $9.4B+4.1% | $9.1B+201.3% | $3.0B-2.3% | $3.1B+5.4% | $2.9B-0.5% | $2.9B-2.2% | $3.0B |
| Total Equity | -$7.3B+4.2% | -$7.6B+2.7% | -$7.9B+11.5% | -$8.9B-6.0% | -$8.4B-6.1% | -$7.9B+1.6% | -$8.0B-1.1% | -$7.9B-25.1% | -$6.3B-12.9% | -$5.6B-716.0% | $911.0M-41.1% | $1.5B-28.6% | $2.2B+0.6% | $2.2B+18.2% | $1.8B |
| Retained Earnings | -$7.0B+3.3% | -$7.3B+4.7% | -$7.6B+10.5% | -$8.5B-5.7% | -$8.0B-7.6% | -$7.5B+1.9% | -$7.6B-0.5% | -$7.6B-25.2% | -$6.1B-17.5% | -$5.2B-548.5% | $1.1B-33.8% | $1.7B-17.4% | $2.1B-8.0% | $2.3B+11.4% | $2.1B |
Not reported in any period shown, so not listed: Accounts Receivable.
YUM Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | TTM | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 | FY17 | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $2.1B | $2.0B+19.0% | $1.7B+5.4% | $1.6B+12.3% | $1.4B-16.4% | $1.7B+30.7% | $1.3B-0.8% | $1.3B+11.8% | $1.2B+14.2% | $1.0B | N/A | $2.1B+4.4% | $2.0B-4.2% | $2.1B-6.8% | $2.3B+5.7% | $2.2B |
| Capital Expenditures | $404.0M | $371.0M+44.4% | $257.0M-9.8% | $285.0M+2.2% | $279.0M+21.3% | $230.0M+43.8% | $160.0M-18.4% | $196.0M-16.2% | $234.0M-26.4% | $318.0M | N/A | $973.0M-5.8% | $1.0B-1.5% | $1.0B-4.5% | $1.1B+16.9% | $940.0M |
| Free Cash Flow | $1.7B | $1.6B+14.5% | $1.4B+8.6% | $1.3B+14.8% | $1.1B-22.2% | $1.5B+28.9% | $1.1B+2.3% | $1.1B+18.8% | $942.0M+32.3% | $712.0M | N/A | $1.2B+14.8% | $1.0B-6.8% | $1.1B-8.8% | $1.2B-2.8% | $1.2B |
| Investing Cash Flow | -$1.0B | -$1.0B-137.7% | -$422.0M-294.4% | -$107.0M+47.0% | -$202.0M-16.8% | -$173.0M+48.4% | -$335.0M-280.7% | -$88.0M-128.1% | $313.0M-78.7% | $1.5B | N/A | -$682.0M+27.1% | -$936.0M-5.6% | -$886.0M+11.8% | -$1.0B+0.1% | -$1.0B |
| Financing Cash Flow | -$940.0M | -$924.0M+20.6% | -$1.2B+18.6% | -$1.4B-8.0% | -$1.3B+25.1% | -$1.8B-139.4% | -$738.0M+21.3% | -$938.0M+64.2% | -$2.6B-46.0% | -$1.8B | N/A | -$1.3B-16.0% | -$1.1B+23.2% | -$1.5B+15.4% | -$1.7B-21.4% | -$1.4B |
| Dividends Paid | $807.0M | $789.0M+4.9% | $752.0M+10.9% | $678.0M+4.5% | $649.0M+9.6% | $592.0M+4.6% | $566.0M+10.8% | $511.0M+10.6% | $462.0M+11.1% | $416.0M | N/A | $730.0M+9.1% | $669.0M+8.8% | $615.0M+13.1% | $544.0M+13.1% | $481.0M |
| Share Buybacks | $888.0M | $552.0M+25.2% | $441.0M+782.0% | $50.0M-95.8% | $1.2B-24.6% | $1.6B+565.7% | $239.0M-70.7% | $815.0M-65.9% | $2.4B+21.9% | $2.0B | N/A | $1.2B+46.3% | $820.0M+6.5% | $770.0M-20.2% | $965.0M+28.3% | $752.0M |
TTM is the trailing twelve months, Q3 FY2025 through Q2 FY2026, summed from the four most recent quarterly filings. A row marked — cannot be summed at all, because a quarter in the window reports no per-share figure; a row marked N/A could be summed, but a quarter in the window does not report that metric.
YUM Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples.
| Metric | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 | FY17 | FY16 | FY15 | FY14 | FY13 | FY12 | FY11 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 69.8%-2.1pp | 71.9%-3.0pp | 74.9%+0.4pp | 74.5%+0.7pp | 73.8%+0.4pp | 73.4%-4.6pp | 77.9%+6.7pp | 71.3%+21.5pp | 49.7% | N/A | -45.8%-72.9pp | 27.1%-0.3pp | 27.4%-0.4pp | 27.7%+0.1pp | 27.6% |
| Operating Margin | 31.3%-0.5pp | 31.8%-0.9pp | 32.8%+0.8pp | 32.0%-0.5pp | 32.5%+5.9pp | 26.6%-7.9pp | 34.5%-5.9pp | 40.4%-6.6pp | 47.0%+20.5pp | 26.5%+4.1pp | 22.3%+10.9pp | 11.4%-2.3pp | 13.7%-3.1pp | 16.8%+2.4pp | 14.4% |
| Net Margin | 19.0%-0.7pp | 19.7%-2.9pp | 22.6%+3.2pp | 19.4%-4.5pp | 23.9%+7.9pp | 16.0%-7.1pp | 23.1%-4.0pp | 27.1%+4.3pp | 22.8%-3.0pp | 25.9%+5.9pp | 20.0%+12.1pp | 7.9%-0.4pp | 8.3%-3.4pp | 11.7%+1.3pp | 10.4% |
| Return on Equity | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 140.8%+72.9pp | 67.9%+17.6pp | 50.4%-23.8pp | 74.1%+1.8pp | 72.4% |
| Return on Assets | 19.0%-3.1pp | 22.1%-3.5pp | 25.6%+3.0pp | 22.7%-3.7pp | 26.4%+11.0pp | 15.4%-9.3pp | 24.7%-12.6pp | 37.3%+12.1pp | 25.2%-4.9pp | 30.1%+14.2pp | 15.9%+3.3pp | 12.6%+0.1pp | 12.6%-5.2pp | 17.7%+2.8pp | 14.9% |
| Current Ratio | 1.35-0.1x | 1.47+0.2x | 1.26+0.3x | 0.97-0.1x | 1.08+0.1x | 1.010.0x | 0.99+0.1x | 0.93-0.7x | 1.66+0.5x | 1.15+0.6x | 0.55-0.1x | 0.64-0.1x | 0.75-0.1x | 0.84-0.1x | 0.95 |
| Debt-to-Equity | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 3.30+1.3x | 1.99+0.6x | 1.350.0x | 1.36-0.3x | 1.64 |
| FCF Margin | 20.0%+1.0pp | 19.0%+0.3pp | 18.6%+1.8pp | 16.8%-5.6pp | 22.4%+2.2pp | 20.3%+0.3pp | 20.0%+3.4pp | 16.6%+4.5pp | 12.1% | N/A | 18.2%+10.5pp | 7.6%-0.7pp | 8.3%-0.4pp | 8.8%-1.0pp | 9.7% |
Note: Shareholder equity is negative (-$7.3B), which causes debt-to-equity and return on equity ratios to appear negative or not meaningful. This can occur from accumulated losses or large share buyback programs.
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Where Yum Brands Ranks
Frequently Asked Questions
What is Yum Brands's annual revenue?
Yum Brands (YUM) reported $8.2B in total revenue for fiscal year 2025. This represents a 8.8% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Yum Brands's revenue growing?
Yum Brands (YUM) revenue grew by 8.8% year-over-year, from $7.5B to $8.2B in fiscal year 2025.
Is Yum Brands profitable?
Yes, Yum Brands (YUM) reported a net income of $1.6B in fiscal year 2025, with a net profit margin of 19.0%.
What is Yum Brands's EBITDA?
Yum Brands (YUM) had EBITDA of $2.8B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Yum Brands have?
As of fiscal year 2025, Yum Brands (YUM) had $709.0M in cash and equivalents against $11.9B in long-term debt.
What is Yum Brands's gross margin?
Yum Brands (YUM) had a gross margin of 69.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Yum Brands's operating margin?
Yum Brands (YUM) had an operating margin of 31.3% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Yum Brands's net profit margin?
Yum Brands (YUM) had a net profit margin of 19.0% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Yum Brands's free cash flow?
Yum Brands (YUM) generated $1.6B in free cash flow during fiscal year 2025. This represents a 14.5% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Yum Brands's operating cash flow?
Yum Brands (YUM) generated $2.0B in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Yum Brands's total assets?
Yum Brands (YUM) had $8.2B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Yum Brands's capital expenditures?
Yum Brands (YUM) invested $371.0M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is Yum Brands's current ratio?
Yum Brands (YUM) had a current ratio of 1.35 as of fiscal year 2025, which is considered adequate.
What is Yum Brands's return on assets (ROA)?
Yum Brands (YUM) had a return on assets of 19.0% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
Why is Yum Brands's debt-to-equity ratio negative or not reported?
Yum Brands (YUM) has negative shareholder equity of -$7.3B as of fiscal year 2025, so no debt-to-equity ratio is reported: dividing debt by equity that is not positive produces a number that cannot be read as leverage. This can occur when accumulated losses exceed invested capital, or after large share buyback programs. Other solvency metrics like the current ratio or interest coverage may be more informative.
What is Yum Brands's Altman Z-Score?
Yum Brands (YUM) has an Altman Z-Score of 2.45, placing it in the Grey Zone (moderate risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Yum Brands's Piotroski F-Score?
Yum Brands (YUM) has a Piotroski F-Score of 4 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Yum Brands's earnings high quality?
Yum Brands (YUM) has an earnings quality ratio of 1.29x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Yum Brands cover its interest payments?
Yum Brands (YUM) has an interest coverage ratio of 4.73x, meaning it can adequately cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Yum Brands?
Yum Brands (YUM) scores 65 out of 100 on our Financial Health Score, indicating strong standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.