Welcome to our dedicated page for Yum China Holdings news (Ticker: YUMC), a resource for investors and traders seeking the latest updates and insights on Yum China Holdings stock.
Yum China Holdings, Inc. (NYSE: YUMC, HKEX: 9987) is the largest restaurant chain in China, operating over 15,000 restaurants across more than 2,000 cities. With flagship brands like KFC and Pizza Hut, and additional brands including Little Sheep, East Dawning, Taco Bell, Huang Ji Huang, COFFii & Joy, and Lavazza, Yum China caters to a wide array of culinary tastes and dining styles.
Founded in 2016 after separating from Yum! Brands, Yum China has grown to become a Fortune 500 company with a mission to make every life taste beautiful. The company employs over 400,000 people and generates revenue through its own restaurants and franchise fees. In 2022, Yum China achieved nearly USD 10 billion in systemwide sales with approximately 13,000 units, including 9,094 KFCs and 2,903 Pizza Huts.
Yum China continues to innovate with its digital ecosystem and supply chain capabilities. Their industry-leading digital platform and loyalty program enable fast and efficient customer service. Recent strategic initiatives include expanding their price range to appeal to broader customer bases and launching engaging campaigns with popular e-games to attract younger audiences.
Recent Achievements:
- Reported record total revenue and adjusted operating profit for Q3 2023.
- Added 1,155 new stores in the first nine months of 2023, targeting 1,400-1,600 new stores for the full year.
- Increased share repurchase authorization by $1 billion, with plans to return $3 billion to shareholders from 2024 to 2026.
- Collaborated with Lavazza to expand the coffee brand in China.
- Launched innovative pet-friendly Pizza Hut restaurants in collaboration with Beijing Aita Animal Protection Foundation.
Current Projects:
- Enriching core menu offerings at KFC and Pizza Hut to drive incremental traffic.
- Expanding brand presence in lower-tier cities to capture demand from long-term consumption upgrades.
- Innovative store formats such as one-person hotpot modules for Little Sheep.
- Building awareness and fostering a culture of care with pet-friendly dining experiences and animal welfare initiatives.
CEO Joey Wat and CFO Andy Yeung emphasize the company's robust supply chain, digital innovation, and strategic growth plan to achieve its ambitious goals, including operating 20,000 stores by 2026 and returning significant value to shareholders.
Yum China (NYSE: YUMC) has announced share repurchase agreements totaling US$360 million for the first half of 2025, starting January 6, 2025. This includes US$290 million in the U.S. and approximately HK$550 million in Hong Kong.
The agreements are part of a broader capital allocation plan to return US$4.5 billion to shareholders through 2024-2026. In the first 11 months of 2024, the company has already returned a record US$1.37 billion to shareholders, including US$1.18 billion in share repurchases and US$187 million in cash dividends. The company has repurchased 30 million shares, representing approximately 7% of outstanding shares as of December 31, 2023.
Yum China (NYSE: YUMC) has launched its digital supplier recruitment platform at the 2nd China International Supply Chain Expo, transforming traditional supplier selection into a data-driven process. The platform, which began pilot testing in April 2024, allows potential suppliers to submit credentials online, enhancing efficiency and transparency in the selection process. It has already attracted applications across over 30 categories, representing more than a third of the Company's total categories.
The initiative is part of Yum China's 'Spend Better, Buy Better' strategy, aimed at connecting with high-quality global suppliers. The company currently manages a supply chain network of over 800 core suppliers across various categories including food ingredients, packaging, construction, and logistics.
KFC China has reached a significant milestone with the opening of its 1,000th store in the Guangzhou market area, alongside its 100th KCOFFEE cafe in Guangdong province. The company has successfully expanded the side-by-side KCOFFEE model to over 500 locations nationwide, with plans to reach 600 by year-end.
Since entering China in 1987 with its first store in Beijing, KFC has grown to over 11,000 stores nationwide. The Guangdong region has been important for testing innovative concepts, including automated food trucks, breakfast kiosks, and the recent launch of KPRO, a healthy-focused concept store, in Guangzhou and Shenzhen.
Yum China (YUMC) reported strong Q3 2024 results with total revenues increasing 5% YoY to $3.07 billion. Operating profit grew 15% to $371 million, while diluted EPS rose 33% to $0.77. The company expanded its store network to 15,861 locations, including 11,283 KFC and 3,606 Pizza Hut stores, adding 438 net new stores in Q3. Digital sales reached $2.61 billion, accounting for 90% of total Company sales. The company plans to increase capital returns to shareholders from $3 billion to $4.5 billion between 2024-2026. Same-store sales reached 97% of prior year's level, with same-store transactions growing 1% YoY for the seventh consecutive quarter.
Yum China Holdings (NYSE: YUMC, HKEX: 9987) announced that its Board of Directors will consider declaring and paying a quarterly dividend. The Board's decision is expected to be made on or around November 4, 2024 (Beijing/Hong Kong Time). This announcement complies with Hong Kong Stock Exchange rules requiring advance notice of board meetings where dividend declarations are expected. The company emphasized that no Board resolution regarding the dividend has been adopted yet, and there is no guarantee that it will be declared.
Yum China Holdings, Inc. (NYSE: YUMC and HKEX: 9987) has announced that it will release its unaudited financial results for the third quarter ending September 30, 2024, on Monday, November 4, 2024. The results will be reported before the U.S. market opens and after the Hong Kong Stock Exchange trading hours. This change in timing is aimed at better serving their global investor base.
An earnings conference call will be held at 7:00 a.m. U.S. Eastern Time (8:00 p.m. Beijing/Hong Kong Time) on the same day. Investors can access the live webcast or join by phone after pre-registering. A replay of the conference call will be available until November 11, 2024. The earnings release, accompanying slides, and an archived webcast will be accessible on the company's Investor Relations website.
Yum China Holdings, Inc. (NYSE: YUMC and HKEX: 9987) celebrates Jannik Sinner's victory at the Rolex Shanghai Masters. Sinner is a global ambassador for Lavazza, an Italian coffee company in a joint venture with Yum China since 2020. The joint venture has opened over 100 Lavazza stores in China.
During the tournament, Lavazza, as a prestige sponsor, launched marketing initiatives including a -edition drink and special accessories. Lavazza set up four booths at the event venue, offering special meal sets. Pizza Hut, another Yum China brand, also provided signature dishes at the tournament.
The Rolex Shanghai Masters is an ATP Tour Masters 1000 event, attracting top tennis players globally. Yum China's involvement in this prestigious event demonstrates its commitment to providing exceptional service and culinary experiences to Chinese audiences.
BetterInvesting Magazine's Editorial Advisory and Securities Review Committee has announced Kinsale Capital Group Inc. (NYSE: KNSL) as its 'Stock to Study' and Yum China Holdings Inc. (NYSE: YUMC) as its 'Undervalued Stock' in the December 2024 issue. The committee emphasizes the importance of focusing on long-term investment approaches and stock studies rather than predicting election outcomes and potential legislative changes.
Ken Zendel, CEO of the National Association of Investors / BetterInvesting, stated that factors impacting a company's business are likely to play a more significant role in its future than election-related issues. The magazine encourages investors to learn about stock investing fundamentals and utilize BetterInvesting's online tools to analyze the investment potential of the featured stocks.
Yum China Holdings, Inc. (NYSE: YUMC and HKEX: 9987) announced significant leadership changes. Andy Yeung will step down as CFO on September 30, 2024, transitioning to a Senior Advisor role until February 28, 2025. Adrian Ding, current Chief Investment Officer, will become Acting CFO effective October 1, 2024.
The company also appointed Mikel A. Durham to its Board of Directors, effective August 12, 2024, expanding the board to 12 members. Durham brings extensive food industry experience, having served as CEO of American Seafoods Group and held executive positions at PepsiCo, Cadbury Schweppes, and Diageo.
These changes aim to support Yum China's growth strategy and enhance its leadership team as the company continues to execute its RGM 2.0 strategy focusing on Resilience, Growth, and Moat.
Yum China (NYSE: YUMC) reported record second quarter revenue and operating profit in Q2 2024. Key highlights include:
- Total system sales grew 4% YoY, excluding F/X
- Total revenues increased 1% YoY to $2.68 billion
- Operating profit grew 4% YoY to $266 million
- Diluted EPS increased 17% YoY to $0.55
- Opened 401 net new stores, reaching 15,423 total stores
- Digital sales reached $2.2 billion, 90% of total Company sales
- Returned $249 million to shareholders through share repurchases and dividends
The company maintained its 2024 targets, including opening 1,500-1,700 net new stores and returning $1.5 billion to shareholders.
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