Jun 30, 2023

Yum China Q2 2023 Earnings Report

Yum China reported record-breaking second quarter performance, with substantial growth in revenues and profits.

Key Takeaways

Yum China's second quarter 2023 results showed significant growth, with total revenues up 25% and operating profit increasing by 216%. The company opened 422 net new stores, reaching a total of 13,602 stores. Same-store sales increased by 15%, driven by both KFC and Pizza Hut.

Total revenues increased 25% year over year to $2.65 billion.

Operating Profit increased 216% year over year to $257 million.

Opened 422 net new stores during the quarter; total store count reached 13,602.

Same-store sales increased 15% year over year, with increases of 15% at KFC and 13% at Pizza Hut, excluding F/X.

Total Revenue
$2.65B
Previous year: $2.13B
+24.7%
EPS
$0.47
Previous year: $0.2
+135.0%
Restaurant Margin
16.1%
Previous year: 12.1%
+33.1%
Gross Profit
$448M
Previous year: $278M
+61.2%
Cash and Equivalents
$1.19B
Previous year: $1.15B
+3.7%
Free Cash Flow
$264M
Previous year: $296M
-10.8%
Total Assets
$11.7B
Previous year: $12.1B
-3.1%

Yum China

Yum China

Yum China Revenue by Segment

Forward Guidance

The Company's fiscal year 2023 targets remain unchanged.

Positive Outlook

  • To open approximately 1,100 to 1,300 net new stores.
  • To make capital expenditures in the range of approximately $700 million to $900 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income