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Yum! Brands (YUM) Financial Forecast Calculator

Interactive 5-year forecast and DCF for Yum! Brands. Adjust revenue growth, gross margin, capex intensity, WACC, and terminal growth - see revenue, free cash flow, and enterprise value update in real time. Seeded from Yum! Brands’s most recent SEC filings.

Revenue FY30
$9.49B
from $7.08B
FCF FY30
$4.31B
Margin 45.4%
Enterprise value
$64.54B
9.1× LTM revenue
Equity value
$53.71B
Net debt $10.82B
Revenue & free cash flow - history and 5-year forecast
Line (area)
Bars
Historicals from SEC EDGAR (grey). Forecast years (color) update live as you move the sliders.

Assumptions

Revenue growth (annual)
6.0%
-10.0%baseline 6.0%40.0%
Gross margin
74.9%
5.0%baseline 74.9%90.0%
Capex % of revenue
3.6%
0.0%baseline 3.6%30.0%
WACC (discount rate)
9.00%
4.0%baseline 9.0%18.0%
Terminal growth
2.50%
0.0%baseline 2.5%5.0%

Need this as an Excel model?

Keep iterating on the Yum! Brands forecast in Excel. The downloadable sample has every assumption you see here plus a fully integrated income statement, balance sheet, cash flow, and debt schedule - five years of SEC historicals and live formulas in a fully editable workbook.

income_statement.xlsx
Income statement, brown brand palette
income_statement.xlsx
Income statement, green brand palette
income_statement.xlsx
Income statement, red brand palette

Frequently asked

How does Yum! Brands generate its revenue?+

Yum! Brands primarily generates revenue through its heavily franchised business model, earning franchise royalties and property revenues from over 63,000 restaurants globally. A smaller portion of its revenue comes from sales at the few company-owned restaurants it operates.

What are the key revenue drivers for Yum! Brands?+

The primary revenue drivers for Yum! Brands are franchise royalties and property revenues from its vast network of over 63,000 franchised restaurants across 155 countries. Growth is also supported by the performance of its major divisions like KFC, Taco Bell, and Pizza Hut, and strategic acquisitions.

What is Yum! Brands' capital expenditure strategy?+

Yum! Brands typically allocates 4% to 5% of its consolidated revenue to capital expenditure, with approximately $400 million guided for 2026. This investment is split between 40% for maintenance, such as corporate IT and existing company store remodels, and 60% for growth initiatives like new company store builds and digital platform development.

What is the assumed revenue growth rate in the Yum! Brands financial model?+

The financial model for Yum! Brands assumes a revenue growth rate of approximately 6.04%. This projection reflects the company's ongoing expansion and performance across its global quick-service restaurant portfolio.

Why is Yum! Brands considered an asset-light business model?+

Yum! Brands operates an asset-light business model because over 98% of its restaurant units are franchised, meaning the company owns very few physical assets directly. This strategy results in exceptionally high operating margins and strong free cash flow conversion.

Is a downloadable financial model available for Yum! Brands?+

Yes, a comprehensive equity valuation and unit-driven forecasting Excel model for Yum! Brands is available for download. This model helps analysts assess the company's cash flow generation and its capacity to fund aggressive share repurchase programs.

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