YUM CHINA (09987) released its interim results, with a net profit of $5.53 billion, an increase of 9.07% year-on-year.

YUM CHINA (09987) announced its interim results for the six months ending June 30, 2026, with total revenue reaching $6.409 billion, an increase of 11.11% year-on-year; net profit was $5.53 billion, up 9.07% year-on-year; diluted earnings per share for common stock were $1.57. For the six months ending June 30, 2026, operating profit grew by 13% or 7% (excluding the impact of foreign currency translation), primarily benefiting from increased total revenue, efficiency improvements from streamlined operations, favorable raw material prices, reductions in store closures and impairment expenses, and lower administrative expenses. This was partially offset by increased delivery costs due to a higher proportion of takeaway sales during the period and the addition of high-cost performance products. The company aims to have over 20,000 stores in total, representing a net addition of more than 1,900 stores, with capital expenditures estimated to be between $600 million and $700 million. The company anticipates that franchise stores will account for 40-50% of the net new stores for both KFC and Pizza Hut. The company plans to return $1.5 billion to shareholders in 2024 and 2025 through share buybacks and dividends, and an additional $1.5 billion in 2026.