Louisville, Kentucky—April 30, 2002—Tricon Global Restaurants Inc. (NYSE-YUM), parent company of Pizza Hut, Taco Bell, and KFC, yesterday announced its first quarter results for the three month period ending March 23, 2002. The company reported higher than expected earnings of $0.80 per share, a 37 percent increase from last year’s $0.59 per share. Worldwide revenues increased 7 percent from same time numbers to $1.614 billion and system sales rose 5 percent from 2001’s same quarter to $5.243 billion.
Other encouraging numbers for shareholders included a 10 percent revenue increase for the company’s international operations and a 6 percent revenue increase for its domestic operations. Tricon also reported same-store sales growth for of its U.S. brands.
According to Tricon, both international and U.S. operating income growth exceeded the company’s quarterly exceptions. As a result, Tricon is raising its 2002 fiscal year EPS estimate to $3.72 from $3.65 and raising its 2003 EPS estimate to $4.05 from $4.00. “For the second quarter, we expect to post another set of solid results with ongoing operating earnings per share of $0.83-$0.87, ” said David C. Novak, chairman and CEO of Tricon Global. “Given our strong start to the year and our optimism for the balance of the year, we are raising our full-year 2002 ongoing operating EPS guidance.”
Novak also cited Tricon’s recent acquisition of Long John Silver’s and A& W All-American as well as the worldwide launch of Tricon’s Customer Mania initiative, implemented to improve on-site operations, as evidence of the company’s continued efforts to make its brands stronger and more competitive. “We executed two initiatives that will accelerate two of our long-term revenue strategies: leading the way in multibrand innovation and improving day-to-day restaurant operations.”
Novak expects the company’s proposed name change to Yum! Brands Inc. to be approved by shareholder’s at the group’s annual meeting on May 16th.
