YUMC (Yum China Holdings) EBIT: $1,368 Mil (TTM As of Mar. 2026)


YUMC Yum China Holdings Inc YUMC
81 GF Score
Price $41.05
GF Value $53.83
Valuation Modestly Undervalued
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What is Yum China Holdings EBIT?

Yum China Holdings YUMC +0.22% 81 EBIT is $1,368 Mil as of Mar. 2026. GuruFocus rates YUMC with a GF Score™ of 81/100 and a GF Value™ of $53.83 (Modestly Undervalued).

Yum China Holdings's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was $447 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was $1,368 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Yum China Holdings's annualized ROC % for the quarter that ended in Mar. 2026 was 13.65%. Yum China Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 36.78%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Yum China Holdings's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 8.69%.


Yum China Holdings  (NYSE:YUMC) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Yum China Holdings's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=1788 * ( 1 - 27.21% )/( (9533 + 9543)/ 2 )
=1301.4852/9538
=13.65 %

where

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Yum China Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1788/( ( (4854 + max(-1119, 0)) + (4868 + max(-1195, 0)) )/ 2 )
=1788/( ( 4854 + 4868 )/ 2 )
=1788/4861
=36.78 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(95 + 438 + 126) - (1139 + 205 + 434)
=-1119

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(103 + 414 + 129) - (1279 + 214 + 348)
=-1195

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Yum China Holdings's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=1368/15737.464
=8.69 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Yum China Holdings EBIT Related Terms


Yum China Holdings EBIT Historical Data

* Premium members only.

The historical data trend for Yum China Holdings's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Yum China Holdings EBIT Chart

Yum China Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 734.00 658.00 1,135.00 1,200.00 1,326.00

Yum China Holdings Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 405.00 315.00 404.00 202.00 447.00

YUMC vs TXRH, DPZ, LKNCY: EBIT Comparison

For the Restaurants subindustry, Yum China Holdings's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Yum China Holdings EV-to-EBIT vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Yum China Holdings's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Yum China Holdings's EV-to-EBIT falls into.


YUMC
81GF Score
Yum China Holdings Inc YUMC
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Yum China Holdings EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,368 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of $1,368 Mil mean?
Yum China Holdings (YUMC) has a EBIT of $1,368 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Yum China Holdings.
Is Yum China Holdings' EBIT too high?
Yum China Holdings' current EBIT is $1,368 Mil. Overall, Yum China Holdings has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Yum China Holdings' EBIT compare to TXRH and DPZ?
Yum China Holdings' EBIT of $1,368 Mil can be compared against companies in the Restaurants industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Restaurants company?
A good EBIT depends on the Restaurants industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Yum China Holdings. Yum China Holdings's current EBIT is $1,368 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Yum China Holdings stock overvalued right now?
Based on GuruFocus' analysis, Yum China Holdings (YUMC) is currently considered Modestly Undervalued. The stock's GF Value™ is $53.83, compared to a current price of $41.05 — trading 23.7% below its estimated fair value. The current EBIT is $1,368 Mil. Yum China Holdings' overall GF Score™ is 81/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For Yum China Holdings (YUMC), the current EBIT is $1,368 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Yum China Holdings (YUMC) Overvalued in 2026?

Based on GuruFocus' analysis, Yum China Holdings stock appears to be undervalued. The current stock price of $41.05 is trading 23.7% below its estimated GF Value™ of $53.83. GuruFocus considers Yum China Holdings to be Modestly Undervalued.

Key valuation signals for YUMC:

  • EBIT: $1,368 Mil
  • GF Value™: $53.83 vs. price of $41.05 (23.7% below fair value)
  • GF Score™: 81/100

No single metric tells the full story. See the YUMC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Yum China Holdings Business Description

Address 20 Tian Yao Qiao Road, Yum China Building, Shanghai, CHN, 200030
Yum China is the largest restaurant operator in China, with over 18,000 locations and USD 12 billion in systemwide sales as of 2025. It generates revenue primarily from its own restaurants and franchise fees. While KFC and Pizza Hut are its flagship brands, Yum China's portfolio also includes Little Sheep, Taco Bell, Huang Ji Huang, and Lavazza.As a trademark licensee of Yum Brands, Yum China pays 3% of KFC and Pizza Hut's systemwide sales to its former parent, from which it spun off in 2016. However, even before the separation, Yum China was granted substantial autonomy, giving its Chinese leadership decision-making authority over menu, supply chain, and marketing—an unusual practice for Western chains at the time.
81GF Score

Get the complete analysis for YUMC

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$41.05
Price
$53.83
GF Value