Yum China Holdings, Inc. (NYSE:YUMC) Files An 8-K Results of Operations and Financial Condition
Item 2.02
|
Results of Operations and Financial Condition |
In connection with the previously-announced plans of Yum China
Holdings, Inc. (the Company or Yum China) to integrate the
businesses of Pizza Hut Casual Dining and Pizza Hut Home Service,
beginning with the quarter ended May 31, 2017, the two businesses
will be combined and reported together as the Pizza Hut
reportable segment.The new reporting structure, which reflects
how management now reviews and evaluates operating performance,
is designed to drive greater brand focus, enabling Yum China to
create synergies of the two Pizza Hut concepts and accelerate
growth.
Accordingly, the Companys earnings release and quarterly report
for the quarter ended May 31, 2017 will reflect two reportable
segments: KFC, which remains unchanged, and Pizza Hut. The
Company also has three non-reportable segments: East Dawning,
Little Sheep and Taco Bell, which are combined and referred to as
All Other Segments, as these operating segments are insignificant
both individually and in the aggregate.Prior periods will be
adjusted accordingly.
Exhibit 99.1 to this Form 8-K provides a summary of the Companys
annual segment operating results for 2015 and 2016 as well as the
quarterly segment operating results for 2016 and the first
quarter of 2017 as if they had been reported under this new
reportable segment structure, and should be read in conjunction
with the Companys previously filed reports. Consolidated results
remain unchanged.
In addition, consistent with the reclassification made in the
Companys Condensed Consolidated and Combined Financial Statements
for the quarter ended February 28, 2017, certain comparative
items in the Recast Segment Operating Results have been
reclassified to facilitate comparison with future periods.
|
Item 9.01 |
Financial Statements and Exhibits |
(d) Exhibits
The following exhibits are furnished with this report:
|
Exhibit No. |
Exhibit Description |
|
99.1 |
Recast Segment Operating Results |
About Yum China Holdings, Inc. (NYSE:YUMC)
Yum China Holdings, Inc. is a restaurant company with approximately 7,200 restaurants. The Company’s restaurant base consists of restaurant brands, including KFC, Pizza Hut Casual Dining, Pizza Hut Home Service, East Dawning and Little Sheep. The Company’s segments are KFC, Pizza Hut Casual Dining and All Other Segments, which include Pizza Hut Home Service, East Dawning and Little Sheep. KFC is the Quick-Service Restaurant (QSR) brand in China. In addition to original recipe chicken, KFC in China has a menu featuring pork, beef, seafood, rice dishes, fresh vegetables, soups, breakfast, desserts, and many other products, including coffee. Pizza Hut Casual Dining is the Casual Dining Restaurant (CDR) brand. Little Sheep is a casual-dining brand. Little Sheep specializes in Hot Pot cooking. East Dawning is a Chinese food quick-service restaurant brand, primarily located in coastal cities. As of December 31, 2015, KFC operates over 5,000 restaurants in over 1,100 cities across China.
