Stock Analysis on Net
Stock Analysis on Net

YUM! Brands Inc. (NYSE:YUM)

This company has been moved to the archive! The financial data has not been updated since October 11, 2016.

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

YUM! Brands Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Sep 3, 2016 — = 15.60% × —
Jun 11, 2016 — = 17.42% × —
Mar 19, 2016 847.44% = 16.08% × 52.70
Dec 26, 2015 141.93% = 16.01% × 8.86
Sep 5, 2015 51.07% = 11.22% × 4.55
Jun 13, 2015 58.32% = 11.03% × 5.29
Mar 21, 2015 59.40% = 12.21% × 4.87
Dec 27, 2014 67.94% = 12.59% × 5.39
Sep 6, 2014 58.20% = 15.89% × 3.66
Jun 14, 2014 53.27% = 13.69% × 3.89
Mar 22, 2014 50.68% = 13.25% × 3.83
Dec 28, 2013 50.37% = 12.55% × 4.01
Sep 7, 2013 50.46% = 12.68% × 3.98
Jun 15, 2013 64.15% = 16.27% × 3.94
Mar 23, 2013 64.37% = 16.50% × 3.90
Dec 29, 2012 74.14% = 17.72% × 4.18
Sep 8, 2012 73.55% = 18.01% × 4.08
Jun 16, 2012 71.57% = 16.65% × 4.30
Mar 24, 2012 70.63% = 16.19% × 4.36
Dec 31, 2011 72.35% = 14.93% × 4.85
Sep 3, 2011 — = — × 4.29
Jun 11, 2011 — = — × 4.55
Mar 19, 2011 — = — × 4.73

Based on: 10-Q (reporting date: 2016-09-03), 10-Q (reporting date: 2016-06-11), 10-Q (reporting date: 2016-03-19), 10-K (reporting date: 2015-12-26), 10-Q (reporting date: 2015-09-05), 10-Q (reporting date: 2015-06-13), 10-Q (reporting date: 2015-03-21), 10-K (reporting date: 2014-12-27), 10-Q (reporting date: 2014-09-06), 10-Q (reporting date: 2014-06-14), 10-Q (reporting date: 2014-03-22), 10-K (reporting date: 2013-12-28), 10-Q (reporting date: 2013-09-07), 10-Q (reporting date: 2013-06-15), 10-Q (reporting date: 2013-03-23), 10-K (reporting date: 2012-12-29), 10-Q (reporting date: 2012-09-08), 10-Q (reporting date: 2012-06-16), 10-Q (reporting date: 2012-03-24), 10-K (reporting date: 2011-12-31), 10-Q (reporting date: 2011-09-03), 10-Q (reporting date: 2011-06-11), 10-Q (reporting date: 2011-03-19).

Three-Component Disaggregation of ROE

YUM! Brands Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Sep 3, 2016 — = 12.62% × 1.24 × —
Jun 11, 2016 — = 10.97% × 1.59 × —
Mar 19, 2016 847.44% = 10.09% × 1.59 × 52.70
Dec 26, 2015 141.93% = 9.87% × 1.62 × 8.86
Sep 5, 2015 51.07% = 7.09% × 1.58 × 4.55
Jun 13, 2015 58.32% = 7.00% × 1.58 × 5.29
Mar 21, 2015 59.40% = 7.70% × 1.59 × 4.87
Dec 27, 2014 67.94% = 7.91% × 1.59 × 5.39
Sep 6, 2014 58.20% = 10.83% × 1.47 × 3.66
Jun 14, 2014 53.27% = 8.89% × 1.54 × 3.89
Mar 22, 2014 50.68% = 8.69% × 1.52 × 3.83
Dec 28, 2013 50.37% = 8.34% × 1.50 × 4.01
Sep 7, 2013 50.46% = 8.48% × 1.50 × 3.98
Jun 15, 2013 64.15% = 10.84% × 1.50 × 3.94
Mar 23, 2013 64.37% = 10.99% × 1.50 × 3.90
Dec 29, 2012 74.14% = 11.71% × 1.51 × 4.18
Sep 8, 2012 73.55% = 11.89% × 1.51 × 4.08
Jun 16, 2012 71.57% = 11.49% × 1.45 × 4.30
Mar 24, 2012 70.63% = 11.69% × 1.39 × 4.36
Dec 31, 2011 72.35% = 10.45% × 1.43 × 4.85
Sep 3, 2011 — = — × — × 4.29
Jun 11, 2011 — = — × — × 4.55
Mar 19, 2011 — = — × — × 4.73

Based on: 10-Q (reporting date: 2016-09-03), 10-Q (reporting date: 2016-06-11), 10-Q (reporting date: 2016-03-19), 10-K (reporting date: 2015-12-26), 10-Q (reporting date: 2015-09-05), 10-Q (reporting date: 2015-06-13), 10-Q (reporting date: 2015-03-21), 10-K (reporting date: 2014-12-27), 10-Q (reporting date: 2014-09-06), 10-Q (reporting date: 2014-06-14), 10-Q (reporting date: 2014-03-22), 10-K (reporting date: 2013-12-28), 10-Q (reporting date: 2013-09-07), 10-Q (reporting date: 2013-06-15), 10-Q (reporting date: 2013-03-23), 10-K (reporting date: 2012-12-29), 10-Q (reporting date: 2012-09-08), 10-Q (reporting date: 2012-06-16), 10-Q (reporting date: 2012-03-24), 10-K (reporting date: 2011-12-31), 10-Q (reporting date: 2011-09-03), 10-Q (reporting date: 2011-06-11), 10-Q (reporting date: 2011-03-19).

Two-Component Disaggregation of ROA

YUM! Brands Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Sep 3, 2016 15.60% = 12.62% × 1.24
Jun 11, 2016 17.42% = 10.97% × 1.59
Mar 19, 2016 16.08% = 10.09% × 1.59
Dec 26, 2015 16.01% = 9.87% × 1.62
Sep 5, 2015 11.22% = 7.09% × 1.58
Jun 13, 2015 11.03% = 7.00% × 1.58
Mar 21, 2015 12.21% = 7.70% × 1.59
Dec 27, 2014 12.59% = 7.91% × 1.59
Sep 6, 2014 15.89% = 10.83% × 1.47
Jun 14, 2014 13.69% = 8.89% × 1.54
Mar 22, 2014 13.25% = 8.69% × 1.52
Dec 28, 2013 12.55% = 8.34% × 1.50
Sep 7, 2013 12.68% = 8.48% × 1.50
Jun 15, 2013 16.27% = 10.84% × 1.50
Mar 23, 2013 16.50% = 10.99% × 1.50
Dec 29, 2012 17.72% = 11.71% × 1.51
Sep 8, 2012 18.01% = 11.89% × 1.51
Jun 16, 2012 16.65% = 11.49% × 1.45
Mar 24, 2012 16.19% = 11.69% × 1.39
Dec 31, 2011 14.93% = 10.45% × 1.43
Sep 3, 2011 — = — × —
Jun 11, 2011 — = — × —
Mar 19, 2011 — = — × —

Based on: 10-Q (reporting date: 2016-09-03), 10-Q (reporting date: 2016-06-11), 10-Q (reporting date: 2016-03-19), 10-K (reporting date: 2015-12-26), 10-Q (reporting date: 2015-09-05), 10-Q (reporting date: 2015-06-13), 10-Q (reporting date: 2015-03-21), 10-K (reporting date: 2014-12-27), 10-Q (reporting date: 2014-09-06), 10-Q (reporting date: 2014-06-14), 10-Q (reporting date: 2014-03-22), 10-K (reporting date: 2013-12-28), 10-Q (reporting date: 2013-09-07), 10-Q (reporting date: 2013-06-15), 10-Q (reporting date: 2013-03-23), 10-K (reporting date: 2012-12-29), 10-Q (reporting date: 2012-09-08), 10-Q (reporting date: 2012-06-16), 10-Q (reporting date: 2012-03-24), 10-K (reporting date: 2011-12-31), 10-Q (reporting date: 2011-09-03), 10-Q (reporting date: 2011-06-11), 10-Q (reporting date: 2011-03-19).

The primary reason for the decrease in return on assets ratio (ROA) over Q3 2016 is the decrease in asset turnover ratio.