Yum! Brands, Inc. is a global fast food company that operates the brands KFC, Pizza Hut, and Taco Bell. In 2012, the company released its annual report, which outlined its financial performance and business strategies for the year.
One of the key highlights of the 2012 annual report was the company's strong financial performance. Yum! Brands reported revenue of $13.1 billion for the year, a 5% increase from the previous year. This growth was driven by strong sales at the company's international locations, particularly in China, where Yum! Brands saw a 13% increase in sales. The company also experienced growth in its domestic market, with a 3% increase in sales at its KFC and Pizza Hut locations in the United States.
In addition to its financial performance, the annual report also discussed the company's strategic initiatives for the coming year. One of the key areas of focus was expanding the company's presence in emerging markets. Yum! Brands announced plans to open hundreds of new restaurants in countries like India, Indonesia, and Russia in order to tap into the growing demand for fast food in these markets.
Another key focus for the company was improving the quality and sustainability of its products. Yum! Brands announced plans to source more of its ingredients from local suppliers and to use more sustainable cooking methods in its restaurants. The company also announced a partnership with the World Wildlife Fund to help protect forests and improve the sustainability of its supply chain.
Overall, the 2012 annual report for Yum! Brands demonstrated the company's strong financial performance and outlined its plans for future growth and innovation. The company's focus on expanding into emerging markets and improving the sustainability of its products demonstrated its commitment to staying competitive in a rapidly changing industry.
The amounts do not include results from new restaurants that we opened in connection with a relocation of an existing unit or any incremental impact upon consolida-tion of two or more of our existing units into a single unit. Special Items for 2012 are primarily related to the U. We know exactly where were doing well, and where we need to focus more of our attention. We will begin testing Pasta Bravo with Pizza Huts dine-in restaurants in 2003. Customer compliments also increased as we improved our speed of service and reduced turnover of our Restaurant General Managers and Team Members. To tackle the executional challenge, we have dedicated a team of I believe in my team. Kids loved to rip and dip.
This energetic leader inspires his team to consistently deliver near-perfect CHAMPS scores too. We expect this negative impact of Chinese New Year to reverse in February. Thats how we demonstrate our Customer Together Mania fish, pizza, wings, burritos or were chili dogs, anyone? In the last five years, weve become more disciplined about where we have company operations and about the tools we provide around the world. We used earnings before stock option expensing and before special items as a key performance measure of results of operations for purposes of evaluating performance internally and determining incentive compensation in 2005. And the best news of all is we are more condent than ever that we will con-tinue our track record of growing earnings per share at least 10% each year going forward. Widespread outbreaks could also affect our ability to attract and retain employees. From December 2006 to January 2008 he was the Chief Concept Officer of Taco Bell International.
. . We were spread too thin, we didnt have proper resources in each country and we incurred large operating losses. We added 531 multibranding units in the U. Please check your download folder. And we cant forget that there is no shortage of demand for our food. Weve moved from Tricon to Yum! Hunger remains a pressing social issue in America.
Its about daily energy, intensity, and a passion to take our oper- ations to the next level of excellence. WingStreet is well on its way to being a national brand and will ultimately be in the vast majority of Pizza Huts. Mike: Customer Mania has provided us with a super edge in hiring great Team Members and in keeping the great ones weve put so much effor t into training. The brand is represented in most Continental countries but has not achieved true scale in any single country. Brands category innovation that is developing into a big business.
It also broadens the customer base. These judgments involve estimations of the effect of International changed its name to YUM! RGM Bibi Ali puts a strong focus on making sure the order is perfect every customer, every day. This is translating to very good unit economics so we are beginning to expand with both company operations and new franchisees. These charges were not allocated for segment reporting purposes and were reflected as Special Items for certain performance measures see accompanying reconciliation to reported results. Weve made progress by investing more in management and team member training, new point of sale and back of house systems, but we recognize we are not improving fast enough. Im pleased to report 2002 was just that kind of year for Yum! HERES HOW WE SET OUR TABLE IN 2002: TACO BELL Taco Bell had outstanding results in 2002, with a 7% increase in company same store sales, marking 17 consecutive periods of growth.
We showed the world our huge heart in the aftermath of some horrible natural disasters; we brought some big new products to the market and touched people with a reminder of our heritage. By working together to grow our great People and our great Brand, well con-tinue to beat year-ago results and make 2006 our best year yet. Our franchisees also frequently depend upon financing from banks and other financial institutions in order to construct and open new restaurants. Weve got the greatest people in the world, creating, selling and delivering the greatest, most innovative, sumptu-ous pizzas in the world. We are the undeniable leader in this booming country. For this we are largely indebted to PepsiCo who, prior to our spin-off in 1997, invested 40 years and billions of dollars to establish the global network we inherited.
See margin improvement to those that are supportable based upon Note 7 to the Consolidated Financial Statements for a detailed dis- our plans for the unit and actual results at comparable restaurants. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. And when we get the results back from the visit, we always sit down and go over them carefully to make sure were executing against our standards and delivering on our 100% CHAMPS with a Yes! DeVonne: We have contests in our restaurant for the most cars and the most transactions coming through the drive- thru. In so doing, we generated +6% system sales growth. Included in Special Items are the U.
Sam Su, President, Greater China 4. We are on the forefront of this trend with our pizza delivery service. Graham Allan, Managing Director, Europe KFC is Chinas 1 brand and opened the countrys first drive-thru in Beijing in 2002. Multibranding helps us protect our return on investment. The Company also excludes restaurant-level asset impairment and closures expenses, which have historically not been significant, from the determination of Company restaurant profit as such expenses are not believed to be indicative of ongoing operations. Its counter-intuitive, but the bigger and stronger you become, the more powerful the brands and the building oppor tunities become. This will help us dramatically change our U.
Now, there are even more places to enjoy these great brands. NOURISHING SPIRITS Taco Bells Teen Program. As a global company that serves millions of consumers at 53,000 restaurants across 155 countries and territories, we aim to make the world better by acting responsibly with respect to food, planet and people. The sale did not have a significant impact on our subsequently reported results of operations in 2005 nor is it expected to have a signicant impact on the Companys results of operations going forward. Units are operated by a Concept or by independent franchisees or licensees under the terms of franchise or license agreements.