View Filing Data

Income Before Income Taxes

395

296

Interest income, net

^[1]

403

300

Income tax provision

(107)

(90)

Net income – including noncontrolling interests

296

210

Net income – noncontrolling interests

Net Income – Yum China Holdings, Inc.

$ 288

$ 204

Weighted-average common shares outstanding (in millions):

Basic

^[2]

386

388

Diluted

401

395

Basic Earnings Per Common Share

$ 0.75

$ 0.53

Diluted Earnings Per Common Share

0.72

$ 0.52

Cash Dividends Declared Per Common Share

$ 0.10

[1]

Amounts have not been allocated to any segment for performance reporting purposes.

[2]

As a result of the separation, shares of Yum China common stock were distributed to YUM’s shareholders of record as of October 19, 2016 and included in the calculated weighted-average common shares outstanding. Holders of outstanding YUM equity awards generally received both adjusted YUM awards and Yum China awards, or adjusted awards on shares of common stock of either YUM or Yum China in their entirety. Any subsequent exercise of these awards, whether held by the Company’s employees or YUM’s employees, would increase the number of common shares outstanding. The outstanding equity awards are included in the computation of diluted EPS, if there is dilutive effect.

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Statement Of Income And Comprehensive Income [Abstract]
Net income - including noncontrolling interests	$ 296	$ 210
Other comprehensive income, net of tax of nil:
Foreign currency gains arising during the period	90	15
Comprehensive income - including noncontrolling interests	386	225
Comprehensive income - noncontrolling interests	11	7
Comprehensive Income - Yum China Holdings, Inc.	$ 375	$ 218

Condensed Consolidated and Combined Statements of Cash Flows (Unaudited) - USD ($)
$ in Millions

3 Months Ended

Mar. 31, 2018

Mar. 31, 2017

Cash Flows – Operating Activities

Net income - including noncontrolling interests

$ 296

$ 210

Depreciation and amortization

118

Gain from re-measurement of equity interest upon acquisition

^[1]

(98)

Deferred income taxes

(1)

Equity income from investments in unconsolidated affiliates

(23)

(21)

Distributions received from unconsolidated affiliates

Share-based compensation

Changes in accounts receivable

Changes in inventories

Changes in prepaid expenses and other current assets

(7)

Changes in accounts payable and other current liabilities

(63)

Changes in income taxes payable

Other, net

(7)

(19)

Net Cash Provided by Operating Activities

551

336

Cash Flows – Investing Activities

Capital spending

(111)

(112)

Purchases of short-term investments

(160)

(100)

Maturities of short-term investments

Proceeds from refranchising of restaurants

Acquisition of business, net of cash acquired

(88)

Other, net

(2)

(1)

Net Cash Used in Investing Activities

(267)

(211)

Cash Flows – Financing Activities

Payment of capital lease obligation

(1)

Payment of short-term borrowings assumed from acquisition

(10)

Cash dividends paid

(39)

Other, net

(2)

(10)

Net Cash Used in Financing Activities

(51)

(11)

Effect of Exchange Rates on Cash and Cash Equivalents

Net Increase in Cash and Cash Equivalents

259

118

Cash and Cash Equivalents - Beginning of Period

1,059

885

Cash and Cash Equivalents - End of Period

1,318

1,003

Supplemental Cash Flow Data

Cash paid for income tax

$ 20

$ 31

[1]	As a result of the acquisition of Wuxi KFC as disclosed in Note 2, the Company recognized a gain of $98 million from the re-measurement of our previously held 47% equity interest at fair value, which was not allocated to any segment for performance reporting purposes.

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Current Assets
Cash and cash equivalents	$ 1,318	$ 1,059
Short-term investments	276	205
Accounts receivable, net	63	81
Inventories, net	261	297
Prepaid expenses and other current assets	203	160
Total Current Assets	2,121	1,802
Property, plant and equipment, net	1,755	1,691
Goodwill	291	108
Intangible assets, net	161	101
Investments in unconsolidated affiliates	44	95
Other assets	412	385
Deferred income taxes	110	105
Total Assets	4,894	4,287
Current Liabilities
Accounts payable and other current liabilities	1,114	985
Income taxes payable	106	39
Total Current Liabilities	1,220	1,024
Capital lease obligations	29	28
Other liabilities and deferred credits	442	388
Total Liabilities	1,691	1,440
Redeemable Noncontrolling Interest	5	5
Equity
Common stock, $0.01 par value; 1,000 million shares authorized; 390 million shares and 389 million shares issued at March 31, 2018 and December 31, 2017, respectively; 386 million shares and 385 million shares outstanding at March 31, 2018 and December 31, 2017, respectively	4	4
Treasury stock	(148)	(148)
Additional paid-in capital	2,381	2,375
Retained earnings	646	397
Accumulated other comprehensive income	224	137
Total Equity – Yum China Holdings, Inc.	3,107	2,765
Noncontrolling interests	91	77
Total Equity	3,198	2,842
Total Liabilities, Redeemable Noncontrolling Interest and Equity	$ 4,894	$ 4,287

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Mar. 31, 2018	Dec. 31, 2017
Statement Of Financial Position [Abstract]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	390,000,000	389,000,000
Common stock, shares outstanding	386,000,000	385,000,000

Description of the Business	3 Months Ended
Description of the Business	Mar. 31, 2018
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Description of the Business	Note 1 – Description of the Business Yum China Holdings, Inc. (“Yum China” and, together with its subsidiaries, the “Company,” “we,” “us” and “our”) was incorporated in Delaware on April 1, 2016. The Company separated from Yum! Brands, Inc. (“YUM” or the “Parent”) on October 31, 2016 (the “separation”), becoming an independent publicly traded company as a result of a pro rata distribution (the “distribution”) of all outstanding shares of Yum China common stock to shareholders of YUM. On October 31, 2016, YUM’s shareholders of record as of 5:00 p.m. Eastern Time on October 19, 2016 received one share of Yum China common stock for every one share of YUM common stock held as of the record date. Yum China’s common stock began trading “regular way” under the ticker symbol “YUMC” on the New York Stock Exchange on November 1, 2016. The Company owns, franchises or has an ownership in entities that own and operate restaurants under the KFC, Pizza Hut, East Dawning, Little Sheep and Taco Bell concepts (collectively, the “Concepts”). In connection with the separation of the Company from YUM, Yum! Restaurants Asia Pte. Ltd., a wholly-owned indirect subsidiary of YUM, and Yum Restaurants Consulting (Shanghai) Company Limited (“YCCL”), a wholly-owned indirect subsidiary of Yum China, entered into a 50-year master license agreement with automatic renewals for additional consecutive renewal terms of 50 years each, subject only to YCCL being in “good standing” and unless YCCL gives notice of its intent not to renew, for the exclusive right to use and sub-license the use of intellectual property owned by YUM and its subsidiaries for the development and operation of the KFC, Pizza Hut and, subject to achieving certain agreed-upon milestones, Taco Bell brands and their related marks and other intellectual property rights for restaurant services in the People’s Republic of China, excluding Hong Kong, Taiwan and Macau (the “PRC” or “China”). In exchange, we pay a license fee to YUM equal to 3% of net system sales from both our Company and franchise restaurants. We own the East Dawning and Little Sheep intellectual property and pay no license fee related to these concepts. The Company also owns a controlling interest in the holding company of DAOJIA.com.cn (“Daojia”), an established online food delivery service provider in China.

Basis of Presentation	3 Months Ended
Basis of Presentation	Mar. 31, 2018
Accounting Policies [Abstract]
Basis of Presentation	Note 2 – Basis of Presentation In connection with our separation from YUM, the direct and indirect equity interests of all of our operating subsidiaries and intermediate holding companies were transferred from YUM to Yum China, when Yum China was still one of YUM’s subsidiaries, through a series of transactions, which were completed in August 2016. The Company separated from YUM on October 31, 2016, becoming an independent publicly traded company as a result of a pro rata distribution of all outstanding shares of Yum China common stock to shareholders of YUM. For periods prior to October 31, 2016, the combined financial statements of YUM’s China businesses and operations when Yum China was a wholly-owned subsidiary of YUM are referred to as Condensed Combined Financial Statements. For periods subsequent to October 31, 2016, the consolidated financial statements of the Company as a separate publicly traded company following its separation from YUM are referred to as Condensed Consolidated Financial Statements. Our preparation of the accompanying Condensed Consolidated Financial Statements in conformity with Generally Accepted Accounting Principles in the United States of America (“GAAP”) requires us to make estimates and assumptions that affect reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. We have prepared the Condensed Consolidated Financial Statements in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The Condensed Consolidated Financial Statements include all normal and recurring adjustments considered necessary to present fairly our financial position as of March 31, 2018, and the results of our operations, comprehensive income and cash flows for the quarters ended March 31, 2018 and 2017. Our results of operations, comprehensive income and cash flows for these interim periods are not necessarily indicative of the results to be expected for the full year. These statements should be read in conjunction with the Consolidated and Combined Financial Statements and notes thereto defined and included in the Company’s Annual Report on Form 10-K as filed with the SEC on February 27, 2018. Through the acquisition of Daojia during the second quarter of 2017, the Company also acquired a variable interest entity (“VIE”) and subsidiaries of the VIE effectively controlled by Daojia. There exists a parent-subsidiary relationship between Daojia and its VIE as a result of certain exclusive agreements that require Daojia to consolidate its VIE and subsidiaries of the VIE because Daojia is the primary beneficiary that possesses the power to direct the activities of the VIE that most significantly impact its economic performance and has the obligation to absorb substantially all of the profits and all of the expected losses of the VIE. The acquired VIE and its subsidiaries were considered immaterial, both individually and in the aggregate. The results of Daojia’s operations have been included in the Company’s Condensed Consolidated Financial Statements since the acquisition date. During the quarter ended March 31, 2018, the Company completed the acquisition of an additional 36% equity interest in an unconsolidated affiliate that operates KFC stores in Wuxi, China (“Wuxi KFC”), for cash consideration of approximately $98 million, increasing the Company’s equity interest to 83%, allowing the Company to consolidate the entity. The acquisition was considered immaterial. We began consolidating Wuxi KFC upon the completion of acquisition during the quarter ended March 31, 2018. Recently Adopted Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), or ASC 606, to provide principles within a single framework for revenue recognition of transactions involving contracts with customers across all industries. The standard allows for either a full retrospective or modified retrospective transition method. In March, April and May 2016, the FASB issued the following amendments to clarify the implementation guidance: ASU No. 2016-04, Liabilities-Extinguishments of liabilities (Subtopic 450-20): Revenue of Breakage for Certain Prepaid Stored-Value Products (a consensus of the FASB Emerging Issues Task Force) (“ASU 2016-04”), ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) (“ASU 2016-08”), ASU No. 2016-10 Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing (“ASU 2016-10”) and ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients (“ASU 2016-12”). The Company adopted these standards during the quarter ended March 31, 2018 and applied the full retrospective approach. The new standard did not have an impact on our recognition of revenue from Company-owned restaurants or our recognition of continuing fees from franchisees and unconsolidated affiliates, however it changed the way we account for upfront fees. Upfront fees, such as initial and renewal fees from franchisees and unconsolidated affiliates, were previously recognized as revenue when we performed substantially all initial services required by the franchise agreement, generally upon the opening of a store or when a renewal agreement with a franchisee became effective. We now recognize the upfront fees from franchisees and unconsolidated affiliates as revenue over the term of each franchise agreement as the franchise rights are accounted for as rights to access our symbolic intellectual property in accordance with the new standard. Any unamortized portion of fees received is accounted for as a contract liability. The new standard also had an impact on certain transactions we entered into with franchisees and unconsolidated affiliates, such as sales of food and paper products and advertising services. These transactions were previously either not included or presented on a net basis in our statements of income or cash flows based on industry-specific guidance included in previous accounting guidance, which was superseded by the new standard. Under the new standard, we consider ourselves the principal in these arrangements as we have the ability to control a promised good or service before transferring that good or service to the customer. Therefore we include such transactions in revenues and expenses on the Condensed Consolidated Statements of Income with no significant impact to Net income. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230) (“ASU 2016-15”), which provides clarification regarding how certain cash receipts and cash payment are presented and classified in the statement of cash flows. This update addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice. ASU 2016-15 is effective for annual and interim periods beginning after December 15, 2017, with early adoption permitted. We adopted ASU 2016-15 during the quarter ended March 31, 2018, and such adoption did not have a material impact on our financial statements. In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory (“ASU 2016-16”), which requires the recognition of the income tax consequences of an intra-entity transfer of an asset, other than inventory, when the transfer occurs. We adopted ASU 2016-16 during the quarter ended March 31, 2018, and such adoption did not have a material impact on our financial statements. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASU 2016-18”), which requires that entities show the changes in total cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. We adopted ASU 2016-18 during the quarter ended March 31, 2018, and such adoption did not have a material impact on our financial statements. In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business (“ASU 2017-01”), which revises the definition of a business and provides new guidance in evaluating when a set of transferred assets and activities is a business. We adopted ASU 2017-01 during the quarter ended March 31, 2018, and such adoption did not have a material impact on our financial statements. Certain comparative items in the Condensed Consolidated Financial Statements have been reclassified to conform to the current period’s presentation to facilitate comparison. Our fiscal year ends on December 31. Effective at the beginning of fiscal year 2018, the Company changed its fiscal calendar from two months in the first quarter, three months in the second and third quarters and four months in the fourth quarter, to four three-month quarters ending on March 31, June 30, September 30 and December 31 of each year. The change was made to align with how management now measures performance internally and to facilitate the comparability of our results with peers using calendar quarters. Quarterly results of all prior financial periods presented have been recast as if they had been reported under our new fiscal calendar.

Revenue Recognition

3 Months Ended

Mar. 31, 2018

Revenue From Contract With Customer [Abstract]

Revenue Recognition

Note 3 – Revenue Recognition

The Company’s revenues primarily include Company sales, Franchise fees and income and Revenues from transactions with franchisees and unconsolidated affiliates.

Company Sales

Revenues from Company-owned restaurants are recognized when a customer takes possession of the food and tenders payment, which is when our obligation to perform is satisfied. The Company presents sales net of sales-related taxes. We recognize revenues from prepaid stored-value products, including gift cards and product vouchers, when they are redeemed by the customer. Prepaid gift cards sold at any given point generally expire over the next 36 months, and product vouchers generally expire over a period of up to 12 months. We recognize breakage revenue, which is the amount of prepaid stored-value products that is not expected to be redeemed, either (1) proportionally in earnings as redemptions occur, in situations where the Company expects to be entitled to a breakage amount, or (2) when the likelihood of redemption is remote, in situations where the Company does not expect to be entitled to breakage, provided that there is no requirement for remitting balances to government agencies under unclaimed property laws. The Company reviews its breakage estimates at least annually based upon the latest available information regarding redemption and expiration patterns.

Franchise Fees and Income

Franchise fees and income primarily include upfront fees, such as initial fees and renewal fees, and continuing fees. We have determined that the services we provide in exchange for upfront fees and continuing fees are highly interrelated with the franchise right. We recognize upfront fees received from a franchisee as revenue over the term of the franchise agreement or the renewal agreement because the franchise rights are accounted for as rights to access our symbolic intellectual property in accordance with ASC 606. The franchise agreement term is generally 10 years for KFC and Pizza Hut, and five or 10 years for Little Sheep. We recognize continuing fees, which are based upon a percentage of franchisee sales, as those sales occur.

Revenues from Transactions with Franchisees and Unconsolidated Affiliates

Revenues from transactions with franchisees and unconsolidated affiliates consist primarily of sales of food and paper products, advertising services and other services provided to franchisees and unconsolidated affiliates.

The Company centrally purchases substantially all food and paper products from suppliers for substantially all of our restaurants, including franchisees and unconsolidated affiliates, and then sells and delivers them to the restaurants. The performance obligation arising from such transactions is considered distinct from the franchise agreement as it is not highly dependent on franchise agreement and the customer can benefit from the procurement service on its own. We consider ourselves the principal in this arrangement as we have the ability to control a promised good or service before transferring that good or service to the franchisees and unconsolidated affiliates. Revenue is recognized upon transfer of control over ordered items, generally upon delivery to the franchisees and unconsolidated affiliates.

For advertising services, the Company often engages third parties to provide services and acts as a principal in the transaction based on our responsibilities of defining the nature of the services and administering and directing all marketing and advertising programs in accordance with the provisions of our franchise agreements. The Company collects advertising contributions, which are generally based on certain percentage of sales from substantially all of our restaurants, including franchisees and unconsolidated affiliates. Other services provided to franchisees and unconsolidated affiliates consist primarily of customer support and technology support services. Advertising services and other services provided are highly interrelated to franchise right so we do not consider them to be individually distinct and therefore account for them under ASC 606 as a single performance obligation and recognize revenue when the related sales occur.

Loyalty Programs

Each of the Company’s KFC and Pizza Hut reportable segments operates a loyalty program that allows registered members to earn points for each qualifying purchase. Points, which generally expire 18 months after being earned, may be redeemed for future purchases of KFC or Pizza Hut branded products or other products for free or at a discounted price. Points cannot be redeemed or exchanged for cash. The value of points earned by the loyalty program members is recorded as a reduction of revenue at the time the points are earned, based on the percentage of points that are projected to be redeemed, with a corresponding deferred revenue liability included in Accounts payable and other current liabilities on the Condensed Consolidated Balance Sheets and subsequently recognized into revenue when the points are redeemed. The Company estimates the value of the future redemption obligations based on the estimated value of the product for which points are expected to be redeemed and historical redemption patterns, including an estimate of the breakage for points that members will never redeem. The Company reviews its breakage estimates at least annually based upon the latest available information regarding redemption and expiration patterns.

Accounts Receivable

Accounts receivable mainly consist of trade receivables and royalties from franchisees and unconsolidated affiliates and are generally due within 30 days of the period in which the corresponding sales occur and are classified as Accounts receivable on the Condensed Consolidated Balance Sheets. Our provision for uncollectible receivable balances is based upon pre-defined aging criteria or upon the occurrence of other events that indicate that we may not collect the balance due. Additionally, we monitor the financial condition of our franchisees and record provisions for estimated losses on receivables when we believe it probable that our franchisees will be unable to make their required payments. While we use the best information available in making our determination, the ultimate recovery of recorded receivables is also dependent upon future economic events and other conditions that may be beyond our control. Trade receivables that are ultimately deemed to be uncollectible, and for which collection efforts have been exhausted, are written off against the allowance for doubtful accounts.

Costs to Obtain Contracts

Costs to obtain contracts represent the portion of upfront license fees that we paid to YUM prior to the separation in relation to initial fees or renewal fees we received from franchisees and unconsolidated affiliates. They meet the requirements to be capitalized as the Company expects to generate future economic benefits from such costs incurred, which allow us to enter into franchise agreements and collect fees. Such costs to obtain contracts are included in Other assets on the Condensed Consolidated Balance Sheets and are amortized over the term of the franchise agreement. Subsequent to the separation, we are no longer required to pay YUM any upfront fees that we receive from franchisees and unconsolidated affiliates. The Company did not incur any impairment losses related to costs to obtain contracts during any of the periods presented. Costs to obtain contracts were $10 million and $12 million at March 31, 2018 and December 31, 2017, respectively.

Contract Liabilities

Contract liabilities at March 31, 2018 and December 31, 2017 were as follows:

Contract liabilities	3/31/2018		12/31/2017
- Deferred revenue related to prepaid stored-value products	$	52	$	50
- Deferred revenue related to customer loyalty programs		21		16
- Deferred revenue related to upfront fees		39		39
Total	$	112	$	105

Contract liabilities consist of deferred revenue related to prepaid stored-value products, customer loyalty programs and upfront fees. Deferred revenue related to prepaid stored-value products and customer loyalty programs is included in Accounts payable and other current liabilities on the Condensed Consolidated Balance Sheets. Deferred revenue related to upfront fees that we expect to recognize as revenue in the next 12 months is included in Accounts payable and other current liabilities, and the remaining balance is included in Other liabilities and deferred credits on the Condensed Consolidated Balance Sheets. Revenue recognized in the quarter ended March 31, 2018 that was included in the contract liability balance at the beginning of the period amounted to $19 million. Changes in contract liability balances were not materially impacted by business acquisition, change in estimate of transaction price or any other factors during any of the periods presented.

The Company has elected, as a practical expedient, not to disclose the value of remaining performance obligations associated with sales-based royalty promised to franchisees in exchange for franchise right and other related services. The remaining duration of the performance obligation is the remaining contractual term of each franchise agreement. We recognize continuing franchisee fees and revenues from advertising services and other services provided to franchisees and unconsolidated affiliates based on certain percentage of sales, as those sales occur.

Earnings Per Common Share ("EPS")

3 Months Ended

Mar. 31, 2018

Earnings Per Share [Abstract]

Earning Per Common Share (EPS)

Note 4 – Earnings Per Common Share (“EPS”)

The following table summarizes the components of basic and diluted earnings per share (in millions, except for per share data):

	Quarter Ended
	3/31/2018		3/31/2017
Net Income – Yum China Holdings, Inc.	$	288	$	204
Weighted-average common shares outstanding (for basic calculation) ^(a)		386		388
Effect of dilutive share-based employee compensation ^(a)		12		7
Effect of dilutive warrants ^(b)		3		—
Weighted-average common and dilutive potential common shares outstanding (for diluted calculation)		401		395
Basic Earnings Per Common Share	$	0.75	$	0.53
Diluted Earnings Per Common Share	$	0.72	$	0.52
Employee stock options, stock appreciation rights and warrants excluded from the diluted EPS computation ^(c)		1		19

(a)

(b)

Pursuant to the investment agreements dated September 1, 2016, Yum China issued to strategic investors two tranches of warrants on January 9, 2017, with each tranche providing the right to purchase 8,200,405 shares of Yum China common stock, at an exercise price of $31.40 and $39.25 per share, respectively. The warrants may be exercised at any time through October 31, 2021 and contain customary anti-dilution protections. The outstanding warrants are included in the computation of diluted EPS, if there is dilutive effect when the average market price of Yum China common stock for the period exceeds the exercise price of the warrants.

(c)	These outstanding employee stock options, stock appreciation rights and warrants were not included in the computation of diluted EPS because to do so would have been antidilutive for the quarters presented.

Equity

3 Months Ended

Mar. 31, 2018

Stockholders Equity Note [Abstract]

Equity

Note 5 – Equity

Changes in Equity and Redeemable Noncontrolling Interest

	Yum China Holdings, Inc.
										Accumulated
	Common				Additional					Other														Redeemable
	Stock				Paid-in		Retained			Comprehensive		Treasury Stock						Noncontrolling			Total			Noncontrolling
	Shares		Amount		Capital		Earnings			Income		Shares			Amount			Interests			Equity			Interest
Balance at December 31, 2017		389	$	4	$	2,375	$	397		$	137		(4	)	$	(148	)	$	77		$	2,842		$	5
Net Income								288											8			296
Foreign currency translation gains											87								3			90
Comprehensive income																						386
Acquisition of business																			36			36
Cash dividends declared ($0.10 Per Common Share)								(39	)													(39	)
Dividends declared																			(33	)		(33	)
Exercise and vesting of share-based awards		1		—		—																—
Share-based compensation						6																6
Balance at March 31, 2018		390	$	4	$	2,381	$	646		$	224		(4	)	$	(148	)	$	91		$	3,198		$	5

Share Repurchase Program

On February 7, 2017, we announced that our Board of Directors authorized a $300 million share repurchase program. On October 4, 2017, the Board of Directors increased Yum China’s existing share repurchase authorization from $300 million to an aggregate of $550 million. No shares of Yum China common stock were repurchased during the quarters ended March 31, 2018 and 2017.

Other Income, Net

3 Months Ended

Mar. 31, 2018

Other Income And Expenses [Abstract]

Other Income, Net

Note 6 – Other Income, net

	Quarter Ended
	3/31/2018		3/31/2017
Equity income from investments in unconsolidated affiliates	$	23	$	21
Gain from re-measurement of equity interest upon acquisition^(a)		98		—
Foreign exchange gain and other		6		(1	)
Other income, net	$	127	$	20

(a)	As a result of the acquisition of Wuxi KFC as disclosed in Note 2, the Company recognized a gain of $98 million from the re-measurement of our previously held 47% equity interest at fair value, which was not allocated to any segment for performance reporting purposes.

Supplemental Balance Sheet Information

3 Months Ended

Mar. 31, 2018

Supplemental Balance Sheet Information Disclosure [Abstract]

Supplemental Balance Sheet Information

Note 7 – Supplemental Balance Sheet Information

Accounts Receivable, net	3/31/2018			12/31/2017
Accounts receivable, gross	$	64		$	83
Allowance for doubtful accounts		(1	)		(2	)
Accounts receivable, net	$	63		$	81

Prepaid Expenses and Other Current Assets	3/31/2018		12/31/2017
Prepaid rent	$	44	$	41
Receivables from payment processors and aggregators		32		38
Dividends receivable from unconsolidated affiliates		48		21
Other prepaid expenses and current assets		79		60
Prepaid expenses and other current assets	$	203	$	160

Property, Plant and Equipment	3/31/2018			12/31/2017
Buildings and improvements	$	2,324		$	2,184
Capital leases, primarily buildings		29			28
Machinery, equipment and construction in progress		1,240			1,204
Property, plant and equipment, gross		3,593			3,416
Accumulated depreciation		(1,838	)		(1,725	)
Property, plant and equipment, net	$	1,755		$	1,691

Other Assets	3/31/2018		12/31/2017
Land use right	$	142	$	131
VAT assets		189		176
Costs to obtain contracts		10		12
Others		71		66
Other Assets	$	412	$	385

Accounts Payable and Other Current Liabilities	3/31/2018		12/31/2017
Accounts payable	$	529	$	424
Accrued capital expenditures		112		142
Accrued compensation and benefits		168		233
Accrued taxes, other than income taxes		17		16
Dividends payable		33		—
Accrued marketing expenses		104		28
Contract liabilities		79		72
Other current liabilities		72		70
Accounts payable and other current liabilities	$	1,114	$	985

Other Liabilities and Deferred Credits	3/31/2018		12/31/2017
Deferred escalating minimum rent	$	168	$	162
Contract liabilities		33		33
Accrued income tax payable		114		112
Deferred income tax liabilities		75		32
Other noncurrent liabilities and deferred credits		52		49
Other liabilities and deferred credits	$	442	$	388

Goodwill and Intangible Assets

3 Months Ended

Mar. 31, 2018

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Note 8 – Goodwill and Intangible Assets

The changes in the carrying amount of goodwill are as follows:

	Total Company			KFC		Pizza Hut		All Other Segments
Balance as of December 31, 2017
Goodwill, gross	$	490		$	80	$	19	$	391
Accumulated impairment losses^(a)		(382	)		—		—		(382	)
Goodwill, net		108			80		19		9
Goodwill acquired^(b)		175			175		—		—
Effect of currency translation adjustment		8			7		1		—
Balance as of March 31, 2018
Goodwill, gross		673			262		20		391
Accumulated impairment losses^(a)		(382	)		—		—		(382	)
Goodwill, net	$	291		$	262	$	20	$	9

(a)	Accumulated impairment losses represent Little Sheep goodwill impairment.

(b)	Goodwill acquired in connection with the acquisition of Wuxi KFC.

Intangible assets, net as of March 31, 2018 and December 31, 2017 are as follows:

	3/31/2018							12/31/2017
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Definite-lived intangible assets
Reacquired franchise rights^(c)	$	165	$	(93	)	$	72	$	100	$	(87	)	$	13
Daojia platform		18		(2	)		16		18		(1	)		17
Customer-related assets		13		(7	)		6		12		(6	)		6
Other		20		(11	)		9		19		(10	)		9
	$	216	$	(113	)	$	103	$	149	$	(104	)	$	45
Indefinite-lived intangible assets
Little Sheep trademark	$	58	$	—		$	58	$	56	$	—		$	56

Total intangible assets	$	274	$	(113	)	$	161	$	205	$	(104	)	$	101

(c)	Increase in gross carrying amount of reacquired franchise rights during the quarter ended March 31, 2018 primarily resulted from the acquisition of Wuxi KFC.

Amortization expense of definite-lived intangible assets was $6 million and $3 million for the quarters ended March 31, 2018 and 2017, respectively. As of March 31, 2018, expected amortization expense for the unamortized definite-lived intangible assets is approximately $22 million for the remainder of 2018, $22 million in 2019, $16 million in 2020, $16 million in 2021 and $15 million in 2022.

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

Fair Value Measurements	3 Months Ended
Fair Value Measurements	Mar. 31, 2018
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 9 – Fair Value Measurements As of March 31, 2018, the carrying values of cash and cash equivalents, short-term investments, accounts receivable and accounts payable approximated their fair values because of the short-term nature of these instruments. In addition, certain of the Company’s assets, such as property, plant and equipment, goodwill and intangible assets, are measured at fair value on a non-recurring basis, if determined to be impaired. During the quarters ended March 31, 2018 and 2017, we recorded restaurant-level impairment (Level 3) of nil and $3 million, respectively. The remaining net book value of the assets measured at fair value as of March 31, 2018, subsequent to these impairments, was not significant.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Income Taxes

3 Months Ended

Mar. 31, 2018

Income Tax Disclosure [Abstract]

Income Taxes

Note 10 – Income Taxes

	Quarter Ended
	3/31/2018			3/31/2017
Income tax provision	$	107		$	90
Effective tax rate		26.6	%		30.0	%

Our effective tax rate for the quarter ended March 31, 2018 was lower than the prior year primarily due to less estimated repatriation of current year earnings to the U.S.

In December 2017, the U.S. enacted the Tax Cuts and Jobs Act (the “Tax Act”), which included a broad range of tax reforms, including, but not limited to, the establishment of a flat corporate income tax rate of 21%, the elimination or reduction of certain business deductions, and the imposition of tax on deemed repatriation of accumulated undistributed foreign earnings. The Tax Act impacted Yum China in two material aspects: (1) all of the foreign-source dividends received by Yum China from its foreign subsidiaries will be exempted from taxation starting from the tax year beginning after December 31, 2017 and (2) Yum China recorded additional income tax expense in the fourth quarter of 2017, including an estimated one-time transition tax on its deemed repatriation of accumulated undistributed foreign earnings and additional tax related to revaluation of certain deferred tax assets.

The Tax Act requires a U.S. shareholder to tax on Global Intangible Low Taxed Income (“GILTI”) earned by foreign subsidiaries. The Company has not determined its accounting policy with respect to whether to record deferred taxes for basis differences expected to reverse as a result of the GILTI provisions in future periods or use the period cost method. We have, however, included the 2018 estimate of current year GILTI as a period cost and included as part of the estimated annual effective tax rate.

As we collect and prepare necessary data, and interpret the Tax Act and any additional guidance issued by the U.S. Treasury Department, the Internal Revenue Service (“IRS”), and other standard-setting bodies, we may make adjustments to the provisional amounts. We continue to expect to complete our analysis within the measurement period not exceeding one year from the enactment date.

Reportable Operating Segments

3 Months Ended

Mar. 31, 2018

Segment Reporting [Abstract]

Reportable Operating Segments

Note 11 – Reportable Operating Segments

We have two reportable segments: KFC and Pizza Hut. We also have four operating segments, East Dawning, Little Sheep, Taco Bell and Daojia, which are combined and referred to as All Other Segments, as these operating segments are insignificant both individually and in the aggregate.

	Quarter Ended
Revenues	3/31/2018		3/31/2017
KFC	$	1,498	$	1,250
Pizza Hut		565		528
All Other Segments		20		23
Corporate and Unallocated^(a)		138		125
Total	$	2,221	$	1,926

	Quarter Ended
Operating Profit	3/31/2018			3/31/2017
KFC^(b)	$	296		$	245
Pizza Hut		34			80
All Other Segments		(4	)		1
Unallocated revenues from transactions with franchisees and unconsolidated affiliates^(a)		137			125
Unallocated Other revenues^(a)		1			—
Unallocated expenses from transactions with franchisees and unconsolidated affiliates^(a)		(137	)		(125	)
Unallocated Other operating costs^(a)		(1	)		—
Unallocated and corporate G&A expenses^(a)		(33	)		(31	)
Unallocated Other income^(a)(c)		102			1
Operating Profit	$	395		$	296
Interest income, net^(a)		8			4
Income Before Income Taxes	$	403		$	300

	Identifiable Assets
	3/31/2018		12/31/2017
KFC^(d)	$	1,824	$	1,544
Pizza Hut		670		668
All Other Segments		147		144
Corporate and Unallocated^(e)		2,253		1,931
	$	4,894	$	4,287

	Long-Lived Assets^(f)
	3/31/2018		12/31/2017
KFC	$	1,453	$	1,152
Pizza Hut		580		580
All Other Segments		117		114
Corporate and Unallocated		57		54
	$	2,207	$	1,900

(a)	Amounts have not been allocated to any segment for performance reporting purposes.

(b)	Includes equity income from investments in unconsolidated affiliates of $23 million and $21 million as of March 31, 2018 and 2017, respectively.

(c)	Amounts mainly include gain from re-measurement of previously held equity interest in connection with the acquisition of Wuxi KFC. See Note 6.

(d)	Includes investments in the unconsolidated affiliates.

(e)	Primarily includes cash and cash equivalents, short-term investments and inventories that are centrally managed.

(f)	Includes property, plant and equipment, goodwill and intangible assets, net.

Contingencies	3 Months Ended
Contingencies	Mar. 31, 2018
Commitments And Contingencies Disclosure [Abstract]
Contingencies	Note 12 – Contingencies Indemnification of China Tax on Indirect Transfers of Assets In February 2015, the Chinese State Administration of Taxation (“SAT”) issued Bulletin 7 on Income arising from Indirect Transfers of Assets by Non-Resident Enterprises. Pursuant to Bulletin 7, an “indirect transfer” of Chinese taxable assets, including equity interests in a Chinese resident enterprise, by a non-resident enterprise, may be recharacterized and treated as a direct transfer of Chinese taxable assets, if such arrangement does not have reasonable commercial purpose and the transferor has avoided payment of Chinese enterprise income tax. As a result, gains derived from such an indirect transfer may be subject to Chinese enterprise income tax at a rate of 10%. YUM concluded and we concurred that it is more likely than not that YUM will not be subject to this tax with respect to the distribution. However, given how recently Bulletin 7 was promulgated, there are significant uncertainties regarding what constitutes a reasonable commercial purpose, how the safe harbor provisions for group restructurings are to be interpreted and how the taxing authorities will ultimately view the distribution. As a result, YUM’s position could be challenged by Chinese tax authorities resulting in a 10% tax assessed on the difference between the fair market value and the tax basis of the separated China business. As YUM’s tax basis in the China business is minimal, the amount of such tax could be significant. Any tax liability arising from the application of Bulletin 7 to the distribution is expected to be settled in accordance with the tax matters agreement between the Company and YUM. Pursuant to the tax matters agreement, to the extent any Chinese indirect transfer tax pursuant to Bulletin 7 is imposed, such tax and related losses will be allocated between YUM and the Company in proportion to their respective share of the combined market capitalization of YUM and the Company during the 30 trading days after the separation. Such a settlement could be significant and have a material adverse effect on our results of operations and our financial condition. At the inception of the tax indemnity being provided to YUM, the fair value of the non-contingent obligation to stand ready to perform was insignificant and the liability for the contingent obligation to make payment was not probable or estimable. Guarantees From time to time we have guaranteed certain lines of credit and loans of franchisees and unconsolidated affiliates. As of March 31, 2018, we have provided guarantees of approximately $2 million on behalf of franchisees and no guarantees were outstanding for unconsolidated affiliates. Legal Proceedings From time to time, the Company is subject to various lawsuits covering a variety of allegations. The Company believes that the ultimate liability, if any, in excess of amounts already provided for these matters in the Condensed Consolidated Financial Statements, is not likely to have a material adverse effect on the Company’s results of operations, financial condition or cash flows. Matters faced by the Company from time to time include, but are not limited to, claims from landlords, employees, customers and others related to operational, contractual or employment issues.

Subsequent Events	3 Months Ended
Subsequent Events	Mar. 31, 2018
Subsequent Events [Abstract]
Subsequent Events	Note 13 – Subsequent Events On May 1, 2018, the Company announced that the Board of Directors declared a cash dividend of $0.10 per share on Yum China’s common stock, payable as of the close of business on June 20, 2018, to stockholders of record as of the close of business on May 30, 2018. Total estimated cash dividend payable is approximately $39 million.

Basis of Presentation (Policies)	3 Months Ended
Basis of Presentation (Policies)	Mar. 31, 2018
Accounting Policies [Abstract]
Basis of Presentation	Note 2 – Basis of Presentation In connection with our separation from YUM, the direct and indirect equity interests of all of our operating subsidiaries and intermediate holding companies were transferred from YUM to Yum China, when Yum China was still one of YUM’s subsidiaries, through a series of transactions, which were completed in August 2016. The Company separated from YUM on October 31, 2016, becoming an independent publicly traded company as a result of a pro rata distribution of all outstanding shares of Yum China common stock to shareholders of YUM. For periods prior to October 31, 2016, the combined financial statements of YUM’s China businesses and operations when Yum China was a wholly-owned subsidiary of YUM are referred to as Condensed Combined Financial Statements. For periods subsequent to October 31, 2016, the consolidated financial statements of the Company as a separate publicly traded company following its separation from YUM are referred to as Condensed Consolidated Financial Statements. Our preparation of the accompanying Condensed Consolidated Financial Statements in conformity with Generally Accepted Accounting Principles in the United States of America (“GAAP”) requires us to make estimates and assumptions that affect reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. We have prepared the Condensed Consolidated Financial Statements in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The Condensed Consolidated Financial Statements include all normal and recurring adjustments considered necessary to present fairly our financial position as of March 31, 2018, and the results of our operations, comprehensive income and cash flows for the quarters ended March 31, 2018 and 2017. Our results of operations, comprehensive income and cash flows for these interim periods are not necessarily indicative of the results to be expected for the full year. These statements should be read in conjunction with the Consolidated and Combined Financial Statements and notes thereto defined and included in the Company’s Annual Report on Form 10-K as filed with the SEC on February 27, 2018. Through the acquisition of Daojia during the second quarter of 2017, the Company also acquired a variable interest entity (“VIE”) and subsidiaries of the VIE effectively controlled by Daojia. There exists a parent-subsidiary relationship between Daojia and its VIE as a result of certain exclusive agreements that require Daojia to consolidate its VIE and subsidiaries of the VIE because Daojia is the primary beneficiary that possesses the power to direct the activities of the VIE that most significantly impact its economic performance and has the obligation to absorb substantially all of the profits and all of the expected losses of the VIE. The acquired VIE and its subsidiaries were considered immaterial, both individually and in the aggregate. The results of Daojia’s operations have been included in the Company’s Condensed Consolidated Financial Statements since the acquisition date. During the quarter ended March 31, 2018, the Company completed the acquisition of an additional 36% equity interest in an unconsolidated affiliate that operates KFC stores in Wuxi, China (“Wuxi KFC”), for cash consideration of approximately $98 million, increasing the Company’s equity interest to 83%, allowing the Company to consolidate the entity. The acquisition was considered immaterial. We began consolidating Wuxi KFC upon the completion of acquisition during the quarter ended March 31, 2018.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”), or ASC 606, to provide principles within a single framework for revenue recognition of transactions involving contracts with customers across all industries. The standard allows for either a full retrospective or modified retrospective transition method. In March, April and May 2016, the FASB issued the following amendments to clarify the implementation guidance: ASU No. 2016-04, Liabilities-Extinguishments of liabilities (Subtopic 450-20): Revenue of Breakage for Certain Prepaid Stored-Value Products (a consensus of the FASB Emerging Issues Task Force) (“ASU 2016-04”), ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) (“ASU 2016-08”), ASU No. 2016-10 Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing (“ASU 2016-10”) and ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients (“ASU 2016-12”). The Company adopted these standards during the quarter ended March 31, 2018 and applied the full retrospective approach. The new standard did not have an impact on our recognition of revenue from Company-owned restaurants or our recognition of continuing fees from franchisees and unconsolidated affiliates, however it changed the way we account for upfront fees. Upfront fees, such as initial and renewal fees from franchisees and unconsolidated affiliates, were previously recognized as revenue when we performed substantially all initial services required by the franchise agreement, generally upon the opening of a store or when a renewal agreement with a franchisee became effective. We now recognize the upfront fees from franchisees and unconsolidated affiliates as revenue over the term of each franchise agreement as the franchise rights are accounted for as rights to access our symbolic intellectual property in accordance with the new standard. Any unamortized portion of fees received is accounted for as a contract liability. The new standard also had an impact on certain transactions we entered into with franchisees and unconsolidated affiliates, such as sales of food and paper products and advertising services. These transactions were previously either not included or presented on a net basis in our statements of income or cash flows based on industry-specific guidance included in previous accounting guidance, which was superseded by the new standard. Under the new standard, we consider ourselves the principal in these arrangements as we have the ability to control a promised good or service before transferring that good or service to the customer. Therefore we include such transactions in revenues and expenses on the Condensed Consolidated Statements of Income with no significant impact to Net income. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230) (“ASU 2016-15”), which provides clarification regarding how certain cash receipts and cash payment are presented and classified in the statement of cash flows. This update addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice. ASU 2016-15 is effective for annual and interim periods beginning after December 15, 2017, with early adoption permitted. We adopted ASU 2016-15 during the quarter ended March 31, 2018, and such adoption did not have a material impact on our financial statements. In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory (“ASU 2016-16”), which requires the recognition of the income tax consequences of an intra-entity transfer of an asset, other than inventory, when the transfer occurs. We adopted ASU 2016-16 during the quarter ended March 31, 2018, and such adoption did not have a material impact on our financial statements. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASU 2016-18”), which requires that entities show the changes in total cash, cash equivalents, restricted cash and restricted cash equivalents in the statement of cash flows. We adopted ASU 2016-18 during the quarter ended March 31, 2018, and such adoption did not have a material impact on our financial statements. In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business (“ASU 2017-01”), which revises the definition of a business and provides new guidance in evaluating when a set of transferred assets and activities is a business. We adopted ASU 2017-01 during the quarter ended March 31, 2018, and such adoption did not have a material impact on our financial statements. Certain comparative items in the Condensed Consolidated Financial Statements have been reclassified to conform to the current period’s presentation to facilitate comparison. Our fiscal year ends on December 31. Effective at the beginning of fiscal year 2018, the Company changed its fiscal calendar from two months in the first quarter, three months in the second and third quarters and four months in the fourth quarter, to four three-month quarters ending on March 31, June 30, September 30 and December 31 of each year. The change was made to align with how management now measures performance internally and to facilitate the comparability of our results with peers using calendar quarters. Quarterly results of all prior financial periods presented have been recast as if they had been reported under our new fiscal calendar.

Revenue Recognition (Tables)

3 Months Ended

Mar. 31, 2018

Revenue From Contract With Customer [Abstract]

Contract Liabilities

Contract liabilities at March 31, 2018 and December 31, 2017 were as follows:

Contract liabilities	3/31/2018		12/31/2017
- Deferred revenue related to prepaid stored-value products	$	52	$	50
- Deferred revenue related to customer loyalty programs		21		16
- Deferred revenue related to upfront fees		39		39
Total	$	112	$	105

Earnings Per Common Share ("EPS") (Tables)

3 Months Ended

Mar. 31, 2018

Earnings Per Share [Abstract]

Earnings Per Common Share

The following table summarizes the components of basic and diluted earnings per share (in millions, except for per share data):

	Quarter Ended
	3/31/2018		3/31/2017
Net Income – Yum China Holdings, Inc.	$	288	$	204
Weighted-average common shares outstanding (for basic calculation) ^(a)		386		388
Effect of dilutive share-based employee compensation ^(a)		12		7
Effect of dilutive warrants ^(b)		3		—
Weighted-average common and dilutive potential common shares outstanding (for diluted calculation)		401		395
Basic Earnings Per Common Share	$	0.75	$	0.53
Diluted Earnings Per Common Share	$	0.72	$	0.52
Employee stock options, stock appreciation rights and warrants excluded from the diluted EPS computation ^(c)		1		19

(a)

(b)

(c)	These outstanding employee stock options, stock appreciation rights and warrants were not included in the computation of diluted EPS because to do so would have been antidilutive for the quarters presented.

Equity (Tables)

3 Months Ended

Mar. 31, 2018

Stockholders Equity Note [Abstract]

Changes in Equity and Redeemable Noncontrolling Interest

	Yum China Holdings, Inc.
										Accumulated
	Common				Additional					Other														Redeemable
	Stock				Paid-in		Retained			Comprehensive		Treasury Stock						Noncontrolling			Total			Noncontrolling
	Shares		Amount		Capital		Earnings			Income		Shares			Amount			Interests			Equity			Interest
Balance at December 31, 2017		389	$	4	$	2,375	$	397		$	137		(4	)	$	(148	)	$	77		$	2,842		$	5
Net Income								288											8			296
Foreign currency translation gains											87								3			90
Comprehensive income																						386
Acquisition of business																			36			36
Cash dividends declared ($0.10 Per Common Share)								(39	)													(39	)
Dividends declared																			(33	)		(33	)
Exercise and vesting of share-based awards		1		—		—																—
Share-based compensation						6																6
Balance at March 31, 2018		390	$	4	$	2,381	$	646		$	224		(4	)	$	(148	)	$	91		$	3,198		$	5

Other Income, Net (Tables)

3 Months Ended

Mar. 31, 2018

Other Income And Expenses [Abstract]

Other Income, Net

	Quarter Ended
	3/31/2018		3/31/2017
Equity income from investments in unconsolidated affiliates	$	23	$	21
Gain from re-measurement of equity interest upon acquisition^(a)		98		—
Foreign exchange gain and other		6		(1	)
Other income, net	$	127	$	20

(a)	As a result of the acquisition of Wuxi KFC as disclosed in Note 2, the Company recognized a gain of $98 million from the re-measurement of our previously held 47% equity interest at fair value, which was not allocated to any segment for performance reporting purposes.

Supplemental Balance Sheet Information (Tables)

3 Months Ended

Mar. 31, 2018

Supplemental Balance Sheet Information Disclosure [Abstract]

Accounts Receivable, Net

Accounts Receivable, net	3/31/2018			12/31/2017
Accounts receivable, gross	$	64		$	83
Allowance for doubtful accounts		(1	)		(2	)
Accounts receivable, net	$	63		$	81

Prepaid Expenses and Other Current Assets

Prepaid Expenses and Other Current Assets	3/31/2018		12/31/2017
Prepaid rent	$	44	$	41
Receivables from payment processors and aggregators		32		38
Dividends receivable from unconsolidated affiliates		48		21
Other prepaid expenses and current assets		79		60
Prepaid expenses and other current assets	$	203	$	160

Property, Plant and Equipment

Property, Plant and Equipment	3/31/2018			12/31/2017
Buildings and improvements	$	2,324		$	2,184
Capital leases, primarily buildings		29			28
Machinery, equipment and construction in progress		1,240			1,204
Property, plant and equipment, gross		3,593			3,416
Accumulated depreciation		(1,838	)		(1,725	)
Property, plant and equipment, net	$	1,755		$	1,691

Accounts Payable and Other Current Liabilities

Other Assets	3/31/2018		12/31/2017
Land use right	$	142	$	131
VAT assets		189		176
Costs to obtain contracts		10		12
Others		71		66
Other Assets	$	412	$	385

Accounts Payable and Other Current Liabilities	3/31/2018		12/31/2017
Accounts payable	$	529	$	424
Accrued capital expenditures		112		142
Accrued compensation and benefits		168		233
Accrued taxes, other than income taxes		17		16
Dividends payable		33		—
Accrued marketing expenses		104		28
Contract liabilities		79		72
Other current liabilities		72		70
Accounts payable and other current liabilities	$	1,114	$	985

Other Liabilities and Deferred Credits

Other Liabilities and Deferred Credits	3/31/2018		12/31/2017
Deferred escalating minimum rent	$	168	$	162
Contract liabilities		33		33
Accrued income tax payable		114		112
Deferred income tax liabilities		75		32
Other noncurrent liabilities and deferred credits		52		49
Other liabilities and deferred credits	$	442	$	388

Goodwill and Intangible Assets (Tables)

3 Months Ended

Mar. 31, 2018

Goodwill And Intangible Assets Disclosure [Abstract]

Changes in the Carrying Amount of Goodwill

The changes in the carrying amount of goodwill are as follows:

	Total Company			KFC		Pizza Hut		All Other Segments
Balance as of December 31, 2017
Goodwill, gross	$	490		$	80	$	19	$	391
Accumulated impairment losses^(a)		(382	)		—		—		(382	)
Goodwill, net		108			80		19		9
Goodwill acquired^(b)		175			175		—		—
Effect of currency translation adjustment		8			7		1		—
Balance as of March 31, 2018
Goodwill, gross		673			262		20		391
Accumulated impairment losses^(a)		(382	)		—		—		(382	)
Goodwill, net	$	291		$	262	$	20	$	9

(a)	Accumulated impairment losses represent Little Sheep goodwill impairment.

(b)	Goodwill acquired in connection with the acquisition of Wuxi KFC.

Schedule of Finite and Indefinite Lived Intangible Assets by Major Class

Intangible assets, net as of March 31, 2018 and December 31, 2017 are as follows:

	3/31/2018							12/31/2017
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Definite-lived intangible assets
Reacquired franchise rights^(c)	$	165	$	(93	)	$	72	$	100	$	(87	)	$	13
Daojia platform		18		(2	)		16		18		(1	)		17
Customer-related assets		13		(7	)		6		12		(6	)		6
Other		20		(11	)		9		19		(10	)		9
	$	216	$	(113	)	$	103	$	149	$	(104	)	$	45
Indefinite-lived intangible assets
Little Sheep trademark	$	58	$	—		$	58	$	56	$	—		$	56

Total intangible assets	$	274	$	(113	)	$	161	$	205	$	(104	)	$	101

(c)	Increase in gross carrying amount of reacquired franchise rights during the quarter ended March 31, 2018 primarily resulted from the acquisition of Wuxi KFC.

Income Taxes (Tables)

3 Months Ended

Mar. 31, 2018

Income Tax Disclosure [Abstract]

Income Tax And Effective Tax Rate

	Quarter Ended
	3/31/2018			3/31/2017
Income tax provision	$	107		$	90
Effective tax rate		26.6	%		30.0	%

Reportable Operating Segments (Tables)

3 Months Ended

Mar. 31, 2018

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment

	Quarter Ended
Revenues	3/31/2018		3/31/2017
KFC	$	1,498	$	1,250
Pizza Hut		565		528
All Other Segments		20		23
Corporate and Unallocated^(a)		138		125
Total	$	2,221	$	1,926

	Quarter Ended
Operating Profit	3/31/2018			3/31/2017
KFC^(b)	$	296		$	245
Pizza Hut		34			80
All Other Segments		(4	)		1
Unallocated revenues from transactions with franchisees and unconsolidated affiliates^(a)		137			125
Unallocated Other revenues^(a)		1			—
Unallocated expenses from transactions with franchisees and unconsolidated affiliates^(a)		(137	)		(125	)
Unallocated Other operating costs^(a)		(1	)		—
Unallocated and corporate G&A expenses^(a)		(33	)		(31	)
Unallocated Other income^(a)(c)		102			1
Operating Profit	$	395		$	296
Interest income, net^(a)		8			4
Income Before Income Taxes	$	403		$	300

	Identifiable Assets
	3/31/2018		12/31/2017
KFC^(d)	$	1,824	$	1,544
Pizza Hut		670		668
All Other Segments		147		144
Corporate and Unallocated^(e)		2,253		1,931
	$	4,894	$	4,287

	Long-Lived Assets^(f)
	3/31/2018		12/31/2017
KFC	$	1,453	$	1,152
Pizza Hut		580		580
All Other Segments		117		114
Corporate and Unallocated		57		54
	$	2,207	$	1,900

(a)	Amounts have not been allocated to any segment for performance reporting purposes.

(b)	Includes equity income from investments in unconsolidated affiliates of $23 million and $21 million as of March 31, 2018 and 2017, respectively.

(c)	Amounts mainly include gain from re-measurement of previously held equity interest in connection with the acquisition of Wuxi KFC. See Note 6.

(d)	Includes investments in the unconsolidated affiliates.

(e)	Primarily includes cash and cash equivalents, short-term investments and inventories that are centrally managed.

(f)	Includes property, plant and equipment, goodwill and intangible assets, net.

Description of the Business - Narrative (Details)		3 Months Ended
Description of the Business - Narrative (Details)	Oct. 31, 2016	Mar. 31, 2018
Segment Reporting Information [Line Items]
Entity, date of incorporation		Apr. 01, 2016
Entity incorporation, state name		Delaware
Expiration term of master license agreement		50 years
Additional consecutive renewal terms of license agreement		50 years
Percentage of license fees on net sales		3.00%
Parent Company Investment [Member]
Segment Reporting Information [Line Items]
Exchange ratio of shares	1

Basis of Presentation - Narrative (Details) - Wuxi KFC [Member] $ in Millions	3 Months Ended
	Mar. 31, 2018 USD ($)
Summary Of Significant Accounting Policies [Line Items]
Percentage of additional equity interest acquired	36.00%
Cash consideration paid to acquire interest	$ 98
Equity interest in acquiree, including subsequent acquisition, percentage	83.00%

Revenue Recognition - Narrative (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2017
Revenue From Contract With Customer [Line Items]
Prepaid gift cards expiration period	36 months
Product vouchers maximum expiration period	12 months
Points expiration period	18 months
Number of days from the period in which the corresponding sales occur that trade receivables are generally due	30 days
Impairment losses related to costs to obtain contracts	$ 0	$ 0
Costs to obtain contracts	10	$ 12
Revenue recognized	$ 19
KFC [Member]
Revenue From Contract With Customer [Line Items]
Franchisee agreement term	10 years
Pizza Hut [Member]
Revenue From Contract With Customer [Line Items]
Franchisee agreement term	10 years
Little Sheep [Member] \| Minimum [Member]
Revenue From Contract With Customer [Line Items]
Franchisee agreement term	5 years
Little Sheep [Member] \| Maximum [Member]
Revenue From Contract With Customer [Line Items]
Franchisee agreement term	10 years

Revenue Recognition (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Contract liabilities
- Deferred revenue related to prepaid stored-value products	$ 52	$ 50
- Deferred revenue related to customer loyalty programs	21	16
- Deferred revenue related to upfront fees	39	39
Total	$ 112	$ 105

Earnings Per Common Share ("EPS") (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions

3 Months Ended

Mar. 31, 2018

Mar. 31, 2017

Earnings Per Share [Abstract]

Net Income – Yum China Holdings, Inc.

$ 288

$ 204

Weighted-average common shares outstanding (for basic calculation)

^[1]

386

388

Effect of dilutive share-based employee compensation

^[1]

Effect of dilutive warrants

^[2]

Weighted-average common and dilutive potential common shares outstanding (for diluted calculation)

401

395

Basic Earnings Per Common Share

$ 0.75

$ 0.53

Diluted Earnings Per Common Share

$ 0.72

$ 0.52

Employee stock options, stock appreciation rights and warrants excluded from the diluted EPS computation

^[3]

[1]	As a result of the separation, shares of Yum China common stock were distributed to YUM’s shareholders of record as of October 19, 2016 and included in the calculated weighted-average common shares outstanding. Holders of outstanding YUM equity awards generally received both adjusted YUM awards and Yum China awards, or adjusted awards on shares of common stock of either YUM or Yum China in their entirety. Any subsequent exercise of these awards, whether held by the Company’s employees or YUM’s employees, would increase the number of common shares outstanding. The outstanding equity awards are included in the computation of diluted EPS, if there is dilutive effect.
[2]	Pursuant to the investment agreements dated September 1, 2016, Yum China issued to strategic investors two tranches of warrants on January 9, 2017, with each tranche providing the right to purchase 8,200,405 shares of Yum China common stock, at an exercise price of $31.40 and $39.25 per share, respectively. The warrants may be exercised at any time through October 31, 2021 and contain customary anti-dilution protections. The outstanding warrants are included in the computation of diluted EPS, if there is dilutive effect when the average market price of Yum China common stock for the period exceeds the exercise price of the warrants.
[3]	These outstanding employee stock options, stock appreciation rights and warrants were not included in the computation of diluted EPS because to do so would have been antidilutive for the quarters presented.

Earnings Per Common Share ("EPS") (Parenthetical) (Details)	Jan. 09, 2017 Tranche $ / shares shares
Class Of Warrant Or Right [Line Items]
Number of tranches of warrants \| Tranche	2
Tranche One Warrants [Member]
Class Of Warrant Or Right [Line Items]
Warrants to purchase shares of common stock \| shares	8,200,405
Exercise price of warrants \| $ / shares	$ 31.40
Tranche Two Warrants [Member]
Class Of Warrant Or Right [Line Items]
Warrants to purchase shares of common stock \| shares	8,200,405
Exercise price of warrants \| $ / shares	$ 39.25

Equity (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Class Of Stock [Line Items]
Balance at December 31, 2017	$ 2,842
Net Income	296	$ 210
Foreign currency translation gains	90	15
Comprehensive income	386	$ 225
Balance at March 31, 2018	3,198
Common Stock [Member]
Class Of Stock [Line Items]
Balance at December 31, 2017	$ 4
Balance (in shares) at Dec. 31, 2017	389
Exercise and vesting of share-based awards, shares	1
Balance at March 31, 2018	$ 4
Balance (in shares) at March 31, 2018	390
Additional Paid-in Capital [Member]
Class Of Stock [Line Items]
Balance at December 31, 2017	$ 2,375
Share-based compensation	6
Balance at March 31, 2018	2,381
Retained Earnings [Member]
Class Of Stock [Line Items]
Balance at December 31, 2017	397
Net Income	288
Cash dividends declared ($0.10 Per Common Share)	(39)
Balance at March 31, 2018	646
Accumulated Other Comprehensive Income [Member]
Class Of Stock [Line Items]
Balance at December 31, 2017	137
Foreign currency translation gains	87
Balance at March 31, 2018	224
Treasury Stock [Member]
Class Of Stock [Line Items]
Balance at December 31, 2017	$ (148)
Balance (in shares) at Dec. 31, 2017	(4)
Balance at March 31, 2018	$ (148)
Balance (in shares) at March 31, 2018	(4)
Noncontrolling Interests [Member]
Class Of Stock [Line Items]
Balance at December 31, 2017	$ 77
Net Income	8
Foreign currency translation gains	3
Acquisition of business	36
Dividends declared	(33)
Balance at March 31, 2018	91
Total equity Including Noncontrolling Interest [Member]
Class Of Stock [Line Items]
Balance at December 31, 2017	2,842
Net Income	296
Foreign currency translation gains	90
Comprehensive income	386
Acquisition of business	36
Cash dividends declared ($0.10 Per Common Share)	(39)
Dividends declared	(33)
Share-based compensation	6
Balance at March 31, 2018	3,198
Redeemable Noncontrolling Interest [Member]
Class Of Stock [Line Items]
Balance at December 31, 2017	5
Balance at March 31, 2018	$ 5

Equity (Parenthetical) (Details)	3 Months Ended
Equity (Parenthetical) (Details)	Mar. 31, 2018 $ / shares
Equity [Abstract]
Cash dividends declared, Per Common Share	$ 0.10

Equity - Narrative (Details) - USD ($)	3 Months Ended
Equity - Narrative (Details) - USD ($)	Mar. 31, 2018	Mar. 31, 2017	Oct. 04, 2017	Feb. 07, 2017
Class Of Stock [Line Items]
Stock repurchase program, authorized amount			$ 550,000,000	$ 300,000,000
Common Stock [Member]
Class Of Stock [Line Items]
Shares repurchased	0	0

Other Income, Net (Details) - USD ($)
$ in Millions

3 Months Ended

Mar. 31, 2018

Mar. 31, 2017

Other Income And Expenses [Abstract]

Equity income from investments in unconsolidated affiliates

$ 23

$ 21

Gain from re-measurement of equity interest upon acquisition

^[1]

Foreign exchange gain and other

(1)

Other income, net

$ 127

$ 20

[1]	As a result of the acquisition of Wuxi KFC as disclosed in Note 2, the Company recognized a gain of $98 million from the re-measurement of our previously held 47% equity interest at fair value, which was not allocated to any segment for performance reporting purposes.

Other Income, Net (Parenthetical) (Details)
$ in Millions

3 Months Ended

Mar. 31, 2018

USD ($)

Other Operating Income (Expense), Net

Gain from re-measurement of previously held ownership interest at fair value

$ 98

^[1]

Wuxi KFC [Member]

Other Operating Income (Expense), Net

Gain from re-measurement of previously held ownership interest at fair value

$ 98

Ownership interest previously held

47.00%

[1]	As a result of the acquisition of Wuxi KFC as disclosed in Note 2, the Company recognized a gain of $98 million from the re-measurement of our previously held 47% equity interest at fair value, which was not allocated to any segment for performance reporting purposes.

Supplemental Balance Sheet Information (Details) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Accounts Receivable, net
Accounts receivable, gross	$ 64	$ 83
Allowance for doubtful accounts	(1)	(2)
Accounts receivable, net	63	81
Prepaid Expenses and Other Current Assets
Prepaid rent	44	41
Receivables from payment processors and aggregators	32	38
Dividends receivable from unconsolidated affiliates	48	21
Other prepaid expenses and current assets	79	60
Prepaid expenses and other current assets	203	160
Other Assets
Land use right	142	131
VAT assets	189	176
Costs to obtain contracts	10	12
Others	71	66
Other Assets	412	385
Accounts Payable and Other Current Liabilities
Accounts payable	529	424
Accrued capital expenditures	112	142
Accrued compensation and benefits	168	233
Accrued taxes, other than income taxes	17	16
Dividends payable	33
Accrued marketing expenses	104	28
Contract liabilities	79	72
Other current liabilities	72	70
Accounts payable and other current liabilities	1,114	985
Other Liabilities and Deferred Credits
Deferred escalating minimum rent	168	162
Contract liabilities	33	33
Accrued income tax payable	114	112
Deferred income tax liabilities	75	32
Other noncurrent liabilities and deferred credits	52	49
Other liabilities and deferred credits	$ 442	$ 388

Supplemental Balance Sheet Information (Details 1) - USD ($) $ in Millions	Mar. 31, 2018	Dec. 31, 2017
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	$ 3,593	$ 3,416
Accumulated depreciation	(1,838)	(1,725)
Property, plant and equipment, net	1,755	1,691
Buildings and Improvements [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	2,324	2,184
Capital Leases, Primarily Buildings [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	29	28
Machinery, Equipment and Construction in Progress [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	$ 1,240	$ 1,204

Goodwill and Intangible Assets (Details) - USD ($)
$ in Millions

3 Months Ended

Mar. 31, 2018

Dec. 31, 2017

Accumulated impairment losses

$ 673

$ 490

^[1]

(382)

Effect of currency translation adjustment

291

108

Goodwill acquired

^[2]

175

KFC [Member]

262

Effect of currency translation adjustment

262

Goodwill acquired

^[2]

175

Pizza Hut [Member]

Effect of currency translation adjustment

All Other Segments [Member]

Accumulated impairment losses

391

^[1]

(382)

$ 9

[1]	Accumulated impairment losses represent Little Sheep goodwill impairment.
[2]	Goodwill acquired in connection with the acquisition of Wuxi KFC.

Goodwill and Intangible Assets (Details 1) - USD ($)
$ in Millions

Mar. 31, 2018

Dec. 31, 2017

$ 216

$ 149

(113)

(104)

103

Total intangible assets

Little Sheep trademark [Member]

274

205

Intangible assets, net

161

101

Indefinite-lived intangible assets

Reacquired franchise rights [Member]

^[1]

165

100

^[1]

(93)

(87)

^[1]

Daojia platform [Member]

(2)

(1)

Customer-related assets [Member]

(7)

(6)

Other [Member]

(11)

(10)

$ 9

[1]	Increase in gross carrying amount of reacquired franchise rights during the quarter ended March 31, 2018 primarily resulted from the acquisition of Wuxi KFC.

Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Definite-lived intangible assets
Definite-lived intangible assets, amortization expense	$ 6	$ 3
Expected amortization expense for the unamortized definite-lived intangible assets - remainder of 2018	22
Expected amortization expense for the unamortized definite-lived intangible assets - 2019	22
Expected amortization expense for the unamortized definite-lived intangible assets - 2020	16
Expected amortization expense for the unamortized definite-lived intangible assets - 2021	16
Expected amortization expense for the unamortized definite-lived intangible assets - 2022	$ 15

Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Fair Value, Measurements, Nonrecurring [Member] \| Fair Value, Inputs, Level 3 [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Impairment of Long-Lived Assets Held-for-use	$ 0	$ 3

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended
Income Taxes (Details) - USD ($) $ in Millions	Mar. 31, 2018	Mar. 31, 2017
Income Tax Disclosure [Abstract]
Income tax provision	$ 107	$ 90
Effective tax rate	26.60%	30.00%

Income Taxes - Narrative (Details)	3 Months Ended
Income Taxes - Narrative (Details)	Mar. 31, 2018
Income Tax Disclosure [Abstract]
U.S. federal statutory rate, percent	21.00%

Reportable Operating Segments - Narrative (Details)	3 Months Ended
Reportable Operating Segments - Narrative (Details)	Mar. 31, 2018 Segment
Segment Reporting [Abstract]
Number of reportable segments	2
Number of operating segments	4

Reportable Operating Segments (Details) - USD ($)
$ in Millions

3 Months Ended

Mar. 31, 2018

Mar. 31, 2017

Dec. 31, 2017

$ 2,221

$ 1,926

Income Before Income Taxes

395

296

Interest income, net

^[1]

403

300

4,894

$ 4,287

Operating Segments [Member] | KFC [Member]

^[2]

2,207

1,900

1,498

1,250

^[3]

296

245

^[4]

1,824

1,544

Operating Segments [Member] | Pizza Hut [Member]

^[2]

1,453

1,152

565

528

670

668

Operating Segments [Member] | All Other Segments [Member]

^[2]

580

(4)

147

144

Corporate and Unallocated [Member]

^[2]

117

114

Unallocated revenues from transactions with franchisees and unconsolidated affiliates

^[1]

138

125

^[1]

137

125

Unallocated Other revenues

^[1]

Unallocated expenses from transactions with franchisees and unconsolidated affiliates

^[1]

(137)

(125)

Unallocated Other operating costs

^[1]

(1)

Unallocated and corporate G&A expenses

^[1]

(33)

(31)

Unallocated Other income

^[1],[5]

102

$ 1

^[6]

2,253

1,931