Pizza Hut 2008 Annual Report Download - page 9
Download and view the complete annual report
Please find page 9 of the 2008 Pizza Hut annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2 -
3 -
4 -
5 -
6 -
7 -
8 -
9 -
10 -
11 -
12 -
13 -
14 -
15 -
16 -
17 -
18 -
19 -
20 -
21
-
22
-
23
-
24
-
25
-
26
-
27
-
28
-
29
-
30
-
31
-
32
-
33
-
34
-
35
-
36
-
37
-
38
-
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68
-
69
-
70
-
71
-
72
-
73
-
74
-
75
-
76
-
77
-
78
-
79
-
80
-
81
-
82
-
83
-
84
-
85
-
86
-
87
-
88
-
89
-
90
-
91
-
92
-
93
-
94
-
95
-
96
-
97
-
98
-
99
-
100
-
101
-
102
-
103
-
104
-
105
-
106
-
107
-
108
-
109
-
110
-
111
-
112
-
113
-
114
-
115
-
116
-
117
-
118
-
119
-
120
-
121
-
122
-
123
-
124
-
125
-
126
-
127
-
128
-
129
-
130
-
131
-
132
-
133
-
134
-
135
-
136
-
137
-
138
-
139
-
140
-
141
-
142
-
143
-
144
-
145
-
146
-
147
-
148
-
149
-
150
-
151
-
152
-
153
-
154
-
155
-
156
-
157
-
158
-
159
-
160
-
161
-
162
-
163
-
164
-
165
-
166
-
167
-
168
-
169
-
170
-
171
-
172
-
173
-
174
-
175
-
176
-
177
-
178
-
179
-
180
-
181
-
182
-
183
-
184
-
185
-
186
-
187
-
188
-
189
-
190
-
191
-
192
-
193
-
194
-
195
-
196
-
197
-
198
-
199
-
200
-
201
-
202
-
203
-
204
-
205
-
206
-
207
-
208
-
209
-
210
-
211
-
212
-
213
-
214
-
215
-
216
-
217
-
218
-
219
-
220
-
221
-
222
-
223
-
224
-
225
-
226
-
227
-
228
-
229
-
230
-
231
-
232
-
233
-
234
-
235
-
236
-
237
-
238
-
239
-
240
 |
 |
We are clearly mindful of the need to develop new growth opportunities, and that’s
why we are constantly testing and building global sales growth initiatives that will
take our brands to even higher sales levels. Successful examples include the KFC
breakfast menus in Asia and the United Kingdom; sh at KFC restaurants in the
Middle East and Caribbean, Pizza Hut Tea Time in Indonesia, marketing the Pizza Hut
enhanced dine-in experience in Hong Kong, and a new drink innovation – Krushers
– in Australia. Krushers began with a one-unit test in Australia early in 2008, and we
now have them in over 100 restaurants in 10 countries. Our customers love it and it
is becoming a sustainable sales layer to build on in more countries.
Pizza Home Delivery (PHD), our new delivery focused brand, is operating in 11
countries with 64 restaurants and we are seeing encouraging results as we test and
prove out this new pizza delivery concept.
Finally, given the popularity of Taco Bell and the fact that it is the second most
protable brand in the U.S., we are committed to developing it into our third global
mega-brand based on our successful expansion in Guatemala, Costa Rica and the
Philippines. We launched Taco Bell in Mexico and Dubai in 2008, with plans to
expand it into India and Spain this year.
Also in 2008, we enjoyed a $100 million pretax gain from the sale of our minority
interest in KFC Japan – a positive example of the nancial discipline we use in
making ownership decisions.
YRI made $528 million in operating prot during 2008, and together with China,
accounts for about 60% of our operating prots compared to just 20% in 1997.
With the benet of increasing global prosperity, our strong global competitive
positioning, massive, under-penetrated markets, aggressive franchisee-led growth
and exciting new growth drivers, you can see why we view YRI as our division with
the greatest long-term potential.
We are now truly a global powerhouse with a realistic new-unit development
opportunity that is unmatched by anyone in restaurants or retail. In fact, we think
YRI’s global potential will reach at least 40,000 restaurants to go along with our
projected 20,000 restaurant estimate for China.
INTERNATIONAL DIVISION ONGOING GROWTH MODEL: 10% OPERATING PROFIT
GROWTH; AT LEAST 6% SYSTEM SALES GROWTH.