Yum! Brands Q3 Earnings Preview: Revenue Growth Expected

Yum! Brands (NYSE: YUM) is scheduled to release its quarterly earnings results this Tuesday before market opening. The fast-food conglomerate, which operates brands including KFC, Pizza Hut, and Taco Bell, is anticipated to report revenue growth of 9.7% year-over-year, reaching $2.00 billion. This represents an improvement from the 6.9% increase recorded in the same quarter last year. Adjusted earnings are projected to come in at $1.48 per share. In the previous quarter, Yum! Brands reported revenues of $1.93 billion, meeting analyst expectations with a 9.6% year-over-year increase, though the company slightly missed EBITDA estimates. Analysts have maintained their estimates over the past 30 days, indicating confidence in the company's performance trajectory. The traditional fast food sector provides context for Yum!'s upcoming results. Restaurant Brands recently reported 6.9% year-over-year revenue growth, exceeding expectations by 2.4%, while Domino's posted 6.2% growth, beating estimates by 0.9%. Market reactions were mixed, with Restaurant Brands' stock remaining unchanged and Domino's shares rising 2.2% post-earnings. The broader fast food industry has faced challenges in 2025, with economic uncertainty surrounding potential tariffs and corporate tax policies contributing to a 6.1% average decline in stock prices over the past month. Yum! Brands has underperformed this average, dropping 7.3% during the same period. The company currently trades at $137.90, below the average analyst price target of $161.36.