Yum! China drives growth with revenue increasing 4% to US$3.2B in Q3 2025

CHINA – Yum! China has reported solid results for the third quarter (Q3) of 2025, with total revenue rising 4% year-on-year (YoY) to US$3.2 billion and operating profit up 8% to US$400 million.

Core operating profit also grew by 8%, demonstrating robust operational efficiency across the business.

Same-store sales increased 1% YoY, while same-store transactions climbed 4%, marking Yum! China’s 11th consecutive quarter of growth.

During Q3, total system sales advanced 4% excluding currency effects, driven by a 4% expansion through new store openings and modest 1% growth in existing stores.

Yum! China added 536 net new stores in the quarter and 1,119 in the first nine months of 2025, with franchisees opening 32% and 29% of stores, respectively.

As of 30 September, Yum! China operated 17,514 restaurants, including 12,640 KFC outlets and 4,022 Pizza Hut locations.

KFC posted 5% system sales growth, with same-store sales up 2% and transactions rising 3%.

Operating profit reached US$384 million, increasing 6% year-on-year. KFC opened 402 net new stores, with franchisees responsible for 41% of openings.

Pizza Hut’s system sales grew 4%, supported by 1% same-store sales growth and a 17% surge in transactions, their 11th consecutive quarter of transaction gains.

Operating profit at Pizza Hut increased 7% to US$57 million, with 158 net new stores opened, 28% of which were by franchisees.

Joey Wat, Yum! China’s CEO, emphasized the company’s strategy of targeting both expansion and operational excellence.

Its portfolio of flexible store formats and franchise strategy enable deep city penetration and enhanced customer convenience.

Digital sales continue to be a key pillar, accounting for 95% of total sales, with membership across both brands surpassing 575 million.

Yum! China’s mix of store growth, strong transactions, and franchise partnerships underscores its resilient position in China’s evolving QSR market.

Yum! China’s strategic investments in digital innovation, new store formats, and operational efficiency have been crucial in driving its strong Q3 2025 performance.

The company has expanded the deployment of Fresh food and beverage concepts like K Coffee, now boasting over 1,800 locations, supported by high daily sales growth and customer engagement.

Investments in the “Pizza Hut Wow” format target lower-tier cities with more affordable offerings and optimized cost structures.

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