Yum China Holdings ( (YUMC) ) has released its Q3 earnings. Here is a breakdown of the information Yum China Holdings presented to its investors.
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Yum China Holdings, Inc. is the largest restaurant company in China, operating over 17,000 restaurants under brands such as KFC and Pizza Hut, with a focus on quick-service and casual dining sectors, and a strong digitalized supply chain.
In its third-quarter 2025 earnings report, Yum China reported an 8% year-over-year increase in operating profit, reaching $400 million, driven by same-store sales growth, new store openings, and margin expansion. The company also highlighted its achievement of 11 consecutive quarters of same-store transaction growth and its plan to return approximately $1.5 billion to shareholders in 2025.
Key financial metrics included a 4% increase in total revenues to $3.2 billion, and a 4% growth in total system sales, excluding foreign currency impacts. Yum China opened 536 net new stores in the quarter, bringing its total store count to 17,514. Delivery sales grew by 32%, contributing to 51% of total company sales, while digital sales reached $2.8 billion, accounting for 95% of total sales.
Looking ahead, Yum China aims to open between 1,600 to 1,800 net new stores in 2025, with a significant portion being franchise-operated. The company plans to return $3 billion to shareholders through 2026 and is confident in its growth potential, supported by its Resilience, Growth, and Moat strategy.
Overall, Yum China’s strategic focus on innovation, operational efficiency, and digital capabilities positions it well for continued growth in the competitive Chinese restaurant market.