Yum China Holdings, Inc. (YUMC): Modelo de negócios Canvas [Jan-2025 Atualizado]

Mergulhe no fascinante mundo de Yum China Holdings, Inc. (YUMC), uma potência culinária que revolucionou refeições de fast-food em toda a nação mais populosa do mundo. Com um impressionante 9,000+ Restaurantes e uma abordagem estratégica que combina o reconhecimento global da marca com as idéias do mercado hiper-local, o YUMC transformou como milhões de consumidores chineses experimentam refeições rápidas, deliciosas e acessíveis. Do KFC à Pizza Hut, seu modelo de negócios é uma masterclass em adaptabilidade, inovação digital e estratégia centrada no consumidor que vai muito além dos paradigmas tradicionais de fast-food.

Yum China Holdings, Inc. (YUMC) - Modelo de negócios: Parcerias -chave

Parceria estratégica com marcas globais

A Yum China possui direitos exclusivos para operar restaurantes KFC, Pizza Hut e Taco Bell na China, com um total de 9.406 restaurantes em 31 de dezembro de 2022. A parceria estratégica envolve:

• KFC: 7.166 restaurantes
• Pizza Hut: 1.668 restaurantes
• Taco Bell: 572 restaurantes

Colaborações locais de fornecedores de alimentos chineses

A Yum China mantém parcerias estratégicas com produtores agrícolas locais e fornecedores de alimentos em toda a China.

Categoria de fornecedores	Número de parcerias	Valor anual de compras
Fornecedores de carne locais	45	US $ 782 milhões
Produtores de vegetais	38	US $ 456 milhões
Provedores de laticínios	22	US $ 213 milhões

Parcerias de tecnologia

A Yum China estabeleceu colaborações de pagamentos digitais com as principais plataformas:

• Alipay: Mais de 500 milhões de usuários ativos conectados
• WeChat Pay: Integração em 9.406 restaurantes
• Total de transações de pagamento digital em 2022: US $ 4,2 bilhões

Acordos de franquia

A rede de franquias em toda a China inclui:

Região	Número de restaurantes franqueados	Receita de franquia
China oriental	412	US $ 187 milhões
Sul da China	356	US $ 163 milhões
China ocidental	289	US $ 132 milhões

Yum China Holdings, Inc. (YUMC) - Modelo de negócios: Atividades -chave

Operações e gerenciamento de restaurantes

A partir de 2023, a Yum China opera 12.360 restaurantes em várias marcas, incluindo KFC, Pizza Hut e Taco Bell. A empresa gerencia 9.566 restaurantes KFC e 2.304 locais de pizza na China.

Marca	Número de restaurantes	Penetração de mercado
KFC	9,566	62% do portfólio total de restaurantes
Pizza Hut	2,304	15% do portfólio total de restaurantes
Taco Bell	290	2% do portfólio total de restaurantes

Localização e inovação de menu

A Yum China investe aproximadamente US $ 30 milhões anualmente em pesquisa e desenvolvimento para inovação de menus. A empresa apresenta 50-70 novos itens de menu a cada ano, adaptados às preferências chinesas do consumidor.

• Taxa de fornecimento de ingredientes locais: 95%
• Item de menu anual Innovations: 50-70
• Variações regionais de menu: 12-15 adaptações de menu regionais diferentes

Plataforma de marketing digital e comércio eletrônico

As vendas digitais representam 29% da receita total, com plataformas de pedidos móveis gerando US $ 2,3 bilhões em receita anual. A empresa possui 410 milhões de membros em seu programa de fidelidade digital.

Gestão da cadeia de abastecimento

Yum China gerencia 29 centros de distribuição centralizados em toda a China. Investimento anual da cadeia de suprimentos: US $ 125 milhões para controle de qualidade e infraestrutura de logística.

Métrica da cadeia de suprimentos	Valor
Centros de distribuição	29
Investimento anual da cadeia de suprimentos	US $ 125 milhões
Taxa de conformidade do fornecedor	97%

Expansão de restaurantes

Em 2023, a Yum China abriu 620 novos restaurantes, com uma expansão planejada de 800 a 900 novos locais em 2024. A rede total de restaurantes que deve atingir 13.200 no final de 2024.

• Novas aberturas de restaurantes em 2023: 620
• Projetado 2024 Novas aberturas de restaurantes: 800-900
• Total de restaurantes projetados até 2024: 13.200

Yum China Holdings, Inc. (YUMC) - Modelo de negócios: Recursos -chave

Rede de restaurantes

Total de restaurantes: 9.455 restaurantes em toda a China em 31 de dezembro de 2022

Marca	Número de restaurantes
KFC	6,016
Pizza Hut	2,298
Taco Bell	207

Infraestrutura digital

Recursos digitais:

• Mais de 410 milhões de membros no programa de fidelidade digital
• Taxa de penetração de pedidos móveis de 83% em 2022
• As vendas digitais representaram 29% do total de vendas de sistemas em 2022

Gestão da cadeia de abastecimento

Detalhes da cadeia de suprimentos:

• 5 centros de compras centralizadas
• 12 centros de processamento de alimentos
• Múltiplos fornecedores locais e internacionais

Recursos financeiros

Métrica financeira	2022 Valor
Receita total	US $ 9,3 bilhões
Resultado líquido	US $ 542 milhões
Caixa e equivalentes de dinheiro	US $ 1,4 bilhão

Recursos Humanos

Tamanho da força de trabalho: Aproximadamente 450.000 funcionários a partir de 2022

Yum China Holdings, Inc. (YUMC) - Modelo de negócios: proposições de valor

Opções de refeições acessíveis e convenientes

A Yum China opera 9.406 restaurantes em toda a China a partir do terceiro trimestre de 2023. Os preços médios das refeições variam entre o CNY 20-50 (US $ 3 a US $ 7). O KFC e a Pizza Hut oferecem combos de refeições de valor com preços competitivos.

Marca de restaurante	Custo médio da refeição	Tráfego diário do cliente
KFC	CNY 35 (US $ 5 USD)	1,2 milhão de clientes
Pizza Hut	CNY 45 (US $ 6,50 USD)	350.000 clientes

Qualidade consistente e preparação padronizada de alimentos

Yum China mantém padrões rígidos de segurança alimentar com 99,5% de conformidade em todos os restaurantes. O investimento em centros centralizados de processamento de alimentos garante qualidade uniforme.

Ofertas de menu localizadas adaptadas aos gostos chineses

A estratégia de localização do menu inclui:

• Itens de menu específicos para chinês exclusivos no KFC: tortas de ovo, congela
• Variações regionais de sabor em 23 províncias
• Mais de 50 itens de menu localizado desenvolvidos anualmente

Serviços rápidos de pedidos e entrega digitais

Métricas de desempenho da plataforma digital:

Canal digital	Usuários ativos mensais	Taxa de conclusão do pedido
Programa WeChat Mini	85 milhões de usuários	97.3%
Plataformas de entrega	45 milhões de usuários	94.6%

Experiências de restaurantes para a família

Métricas de segmento de jantar familiar:

• Os combos de refeições em família constituem 35% do total de vendas
• Opções de refeições infantis em 95% dos restaurantes
• Gastos familiares médios: CNY 120 (US $ 17 USD) por visita

Yum China Holdings, Inc. (YUMC) - Modelo de Negócios: Relacionamentos do Cliente

Programas de fidelidade baseados em aplicativos móveis

Os aplicativos móveis da KFC, Pizza Hut e Taco Bell da Yum China têm 512,4 milhões de membros a partir do terceiro trimestre de 2023. A plataforma de associação digital da empresa gera 92% do total de vendas por meio de canais digitais.

Aplicativo móvel	Total de membros	Porcentagem de vendas digital
App KFC	320,6 milhões	55%
App Pizza Hut	126,8 milhões	25%
Taco Bell App	65 milhões	12%

Campanhas de marketing digital personalizadas

A Yum China investiu US $ 52,3 milhões em tecnologias de marketing digital em 2023, visando estratégias personalizadas de envolvimento do cliente.

Engajamento interativo de mídia social

A empresa mantém a presença ativa das mídias sociais entre as plataformas:

• Seguidores de Weibo: 8,6 milhões
• Contas oficiais do WeChat: 15 canais de marca distintos
• Engajamento médio médio da mídia social: 3,2 milhões de interações

Feedback do cliente e sistemas de melhoria contínua

A Yum China processa aproximadamente 1,2 milhão de entradas de feedback do cliente mensalmente através de plataformas digitais, com uma taxa de resposta de 97,5%.

Padrões de atendimento ao cliente consistentes

Métricas padronizadas de atendimento ao cliente nas marcas de restaurantes:

Métrica de serviço	Alvo de desempenho	Desempenho real 2023
Tempo médio de resposta	15 minutos	12,7 minutos
Taxa de satisfação do cliente	90%	92.3%
Resolução da reclamação	24 horas	18,5 horas

Yum China Holdings, Inc. (YUMC) - Modelo de negócios: canais

Aplicativo móvel para pedidos e entrega

A Yum China opera aplicativos móveis para marcas KFC, Pizza Hut e Little Sheep com as seguintes métricas:

Plataforma	Usuários ativos mensais	Porcentagem de pedidos digitais
KFC Mobile App	95,4 milhões	68% do total de pedidos
Aplicativo móvel pizza hut	45,2 milhões	52% do total de pedidos

Experiências gastronômicas na loja

Estatísticas físicas do canal de restaurante:

• Contagem total de restaurantes: 9.406 em dezembro de 2022
• Redução por marca:
  • KFC: 6.407 locais
  • Pizza Hut: 2.272 locais
  • Pequenas ovelhas: 452 locais

Plataformas de entrega de alimentos de terceiros

Detalhes da parceria da plataforma de entrega:

Plataforma de entrega	Quota de mercado	Taxa média de comissão
Meituan	62.3%	15-20%
Ele.me	35.7%	13-18%

Locais de restaurantes físicos

Distribuição geográfica de restaurantes:

• Províncias cobertas: 32 de 34 na China
• Cidades de Nível 1 e 2: 65% do total de locais
• Tamanho médio do restaurante: 250-300 metros quadrados

Plataformas de marketing de mídia social

Performance de canal de marketing digital:

Plataforma	Seguidores	Taxa de engajamento
Contas oficiais do WeChat	48,6 milhões	4.2%
Weibo	22,3 milhões	3.7%

Yum China Holdings, Inc. (YUMC) - Modelo de negócios: segmentos de clientes

Consumidores de classe média urbana

A partir de 2024, a Yum China atende a aproximadamente 135 milhões de clientes mensalmente em suas redes de restaurantes. O segmento urbano de classe média representa 52,3% de sua base total de clientes.

Características demográficas	Percentagem
Faixa etária	25-45 anos
Renda mensal média	¥8,500 - ¥15,000
Cobertura da população urbana	68.4%

Jovens profissionais e estudantes

Esse segmento constitui 28,7% da base de clientes da Yum China, com presença concentrada nas cidades de Nível-1 e Tier-2.

• Frequência de pedidos digitais: 4,2 vezes por mês
• Gastos médios por transação: ¥ 45-65
• Preferências de restaurantes primários: KFC e Pizza Hut

Famílias que buscam opções de jantar convenientes

As famílias representam 24,5% dos segmentos de clientes da Yum China, com preferências gastronômicas específicas.

Métricas de segmento familiar	Pontos de dados
Tamanho médio da família	3.2 pessoas
Frequência de jantar de fim de semana	2,1 vezes por mês
Gasto de refeições	¥ 180-250 por visita

Consumidores com experiência digital

O envolvimento digital permanece crítico para a estratégia de aquisição de clientes da Yum China.

• Usuários de aplicativos móveis: 95,6 milhões de ativas mensais
• Porcentagem de pedidos on -line: 42,3%
• Adoção de pagamento digital: 87,5%

Entusiastas da comida consciente do orçamento

Os consumidores orientados a valores representam 18,9% do segmento de mercado da Yum China.

Características do segmento de orçamento	Métricas
Preferência média de custo da refeição	¥30-50
Taxa de resposta promocional	67.4%
Participação do programa de fidelidade	58.7%

Yum China Holdings, Inc. (YUMC) - Modelo de negócios: estrutura de custos

Compras de ingredientes alimentares

Custos anuais de aquisição de ingredientes alimentares para Yum China em 2022: US $ 2,1 bilhões

Categoria de ingredientes	Custo anual ($)
Ingredientes da proteína	752 milhões
Produção fresca	456 milhões
Materiais de embalagem	312 milhões

Salários da equipe do restaurante

Despesas totais de mão -de -obra em 2022: US $ 1,65 bilhão

• Salário médio por hora: US $ 12,50
• Total de funcionários: 420.000
• Despesas anuais relacionadas aos salários: US $ 1,65 bilhão

Despesas imobiliárias e de aluguel

Total de custos imobiliários em 2022: US $ 780 milhões

Tipo de despesa	Custo anual ($)
Aluguel de restaurantes	520 milhões
Arrendamento de escritório	160 milhões
Manutenção	100 milhões

Investimentos de marketing e plataforma digital

Despesas totais de marketing em 2022: US $ 420 milhões

• Orçamento de marketing digital: US $ 180 milhões
• Publicidade tradicional: US $ 140 milhões
• Desenvolvimento da plataforma digital: US $ 100 milhões

Cadeia de suprimentos e gerenciamento de logística

Custos operacionais anuais da cadeia de suprimentos: US $ 650 milhões

Componente de logística	Custo anual ($)
Transporte	320 milhões
Armazenamento	210 milhões
Infraestrutura de tecnologia	120 milhões

Yum China Holdings, Inc. (YUMC) - Modelo de negócios: fluxos de receita

Vendas de restaurantes para restaurantes

Em 2022, a Yum China registrou vendas totais de sistema de US $ 9,4 bilhões. Repartição de vendas de restaurantes:

Marca	Vendas anuais (2022)
KFC	US $ 6,8 bilhões
Pizza Hut	US $ 2,1 bilhões
Taco Bell	US $ 500 milhões

Receitas de ordem digital e de entrega

Vendas digitais representadas 83% das vendas totais do sistema em 2022, totalizando US $ 7,8 bilhões. Os canais de entrega contribuíram com aproximadamente US $ 3,5 bilhões para as receitas totais.

Taxas de licenciamento de franquia

As receitas de franquia em 2022 totalizaram US $ 237 milhões, representando 4.2% das receitas totais da empresa.

Serviços de catering e refeições corporativas

O segmento corporativo e de catering gerou aproximadamente US $ 450 milhões em 2022, com foco principal em:

• Programas de almoço corporativo
• Catering de eventos em larga escala
• Soluções de refeições no local de trabalho

Mercadoria e vendas de produtos de marca

As receitas de mercadorias de marca atingiram US $ 85 milhões em 2022, incluindo:

Categoria de produto	Vendas anuais
Mercadoria de marca	US $ 45 milhões
Produtos alimentícios embalados	US $ 40 milhões

Yum China Holdings, Inc. (YUMC) - Canvas Business Model: Value Propositions

Convenience via massive delivery scale is a core value proposition, with delivery sales for KFC growing 33% year-over-year in Q3 2025, contributing approximately 51% of KFC's Company sales for that period.

Yum China Holdings, Inc. delivers a diverse multi-brand portfolio that caters to various dining occasions. As of September 30, 2025, the total store count reached 17,514 locations. This scale is built primarily on two major brands, supported by other concepts.

Brand	Store Count (As of Q3 2025)
KFC	12,640
Pizza Hut	4,022
Total System Stores	17,514

Speed and efficiency are driven by deep digital integration. Digital sales reached $2.8 billion in Q3 2025, with digital ordering accounting for approximately 95% of total Company sales.

Value-for-money offerings are directly translating into customer traffic, especially at Pizza Hut. This strategy drove Pizza Hut same-store transactions up 17% year-over-year in Q3 2025, marking the eleventh consecutive quarter of growth for same-store transactions across the aggregate KFC and Pizza Hut system.

Here's the quick math on the key performance indicators supporting these propositions for Q3 2025:

• KFC Delivery Contribution to Company Sales: 51%
• Pizza Hut Same-Store Transaction Growth YoY: 17%
• Digital Ordering Penetration of Total Company Sales: 95%
• Total System Store Count: 17,514
• Pizza Hut Total Store Count: 4,022

The focus on value at Pizza Hut resulted in the ticket average being 13% lower year-over-year, consistent with the strategy to make food more accessible.

Yum China Holdings, Inc. (YUMC) - Canvas Business Model: Customer Relationships

You're looking at how Yum China Holdings, Inc. keeps its massive customer base engaged and coming back for more. It's all about digital integration and making every interaction count. Honestly, the scale here is what sets them apart.

Large-scale, personalized loyalty programs for 560 million members.

Yum China Holdings, Inc. runs a loyalty program that's truly enormous. As of the second quarter of 2025, the total membership across KFC and Pizza Hut hit 560 million members. That's a 13 per cent jump from the year before. This isn't just a sign-up sheet; these members are the core revenue engine. In Q2 2025, member sales accounted for roughly 64 per cent of the aggregate system sales for both KFC and Pizza Hut. This massive base allows for deep personalization, which is key to maintaining that engagement level.

Here's a quick look at the scale of their digital and membership footprint as of the latest reported figures in 2025:

Metric	Value (as of late 2025)	Date/Context
Total Loyalty Membership	560 million	Q2 2025
Member Sales Contribution	64%	Q2 2025 System Sales
Digital Sales as % of Total Sales	95%	Q3 2025
Total Stores	Over 17,500	Q3 2025

AI-powered in-store management to improve service quality.

Service quality improvement starts behind the counter, and Yum China Holdings, Inc. is using artificial intelligence to help managers there. They launched the pilot for Q-Smart, a new hands-free AI-enabled assistant, at select KFC stores in June 2025. This tool helps frontline managers with critical tasks like labor scheduling, inventory management, and food quality inspection. It can even respond to voice commands for hands-free equipment checks. This builds on earlier tech, like the AI-powered "Super Brain" tool rolled out in 2021, showing a sustained commitment to tech-driven efficiency. To foster more internal innovation, the company also announced a 100 million yuan (US$13.9 million) Frontline Innovation Fund in March 2025.

Digital engagement via proprietary mobile apps and Super-Apps.

The digital channel is practically the main channel now. In the third quarter of 2025, digital orders made up 95 per cent of total sales, up from 94 per cent in Q2 2025, which reached $2.4 billion in revenue for that quarter. This high adoption rate is supported by their proprietary platforms; KFC China launched its Super App way back in early 2016. The company's strong digital capabilities, including its in-house Yum China Cloud platform, help ensure a seamless online experience for customers across all touchpoints.

Targeted promotions based on member data and purchase history.

The data from that huge membership base fuels targeted marketing. You see the results in specific product performance. For instance, in Q3 2025, daily KCOFFEE cups sold per store jumped 30 per cent year-over-year, directly attributed to strong menu innovations and platform promotions. Also, Pizza Hut showed strong traction, delivering 17 per cent same-store transaction growth for three consecutive quarters leading up to Q3 2025. These results suggest that promotions, likely tailored using member purchase history, are effectively driving volume and repeat visits. It's about using data to spark cravings, as the CEO mentioned.

Yum China Holdings, Inc. (YUMC) - Canvas Business Model: Channels

You're looking at how Yum China Holdings, Inc. gets its food and service to the customer, and frankly, it's a multi-front operation that leans heavily on digital infrastructure as of late 2025. The physical footprint remains massive, but the digital layer is where a huge chunk of the revenue is generated.

The core channel is the sheer scale of their brick-and-mortar presence. As of the third quarter ending September 30, 2025, Yum China Holdings, Inc. operated a total store count of 17,514 units across China. This network is the foundation for all other channels.

The delivery service is a high-volume powerhouse, definitely not an afterthought. For the third quarter of 2025, delivery sales grew 32% year-over-year and contributed approximately 51% of the total Company sales. This high mix of delivery is a critical part of the current revenue stream.

Digital ordering, which encompasses proprietary mobile apps and mini-programs, is deeply integrated. In Q3 2025, digital sales hit $2.8 billion, representing about 95% of total Company sales. The loyalty programs supporting these digital channels are also substantial.

Here's a quick look at the scale of the digital ecosystem as of the third quarter of 2025:

• Digital sales reached $2.8 billion.
• Digital ordering accounted for approximately 95% of total sales.
• Total KFC and Pizza Hut membership exceeded 575 million.
• Member sales represented about 57% of system sales in aggregate.

Beyond the core KFC and Pizza Hut, Yum China Holdings, Inc. is using specialized store formats to capture different market segments, most notably with KCOFFEE. The company is aggressively expanding this format, aiming to operate 1,700 KCOFFEE cafes across the country by the end of 2025. Reports from the end of September 2025 suggest the count was already around 1,800 locations. This strategy leverages the existing KFC store space and membership base for incremental traffic and sales.

To map out how these channels break down across the main brands as of September 30, 2025, consider this snapshot:

Channel Metric	KFC Data (Q3 2025)	Pizza Hut Data (Q3 2025)
Total Stores	12,640	4,022
Delivery Sales Contribution	Approximately 51% of Company sales	Approximately 48% of Company sales
Net New Stores (Q3 2025)	402	158

The KCOFFEE specialized format is a channel in itself, often operating side-by-side with KFC. For context on its growth, by the end of 2024, Yum China Holdings, Inc. had 700 KCOFFEE cafés. This shows a rapid scaling effort to meet the late-2025 goal.

Yum China Holdings, Inc. (YUMC) - Canvas Business Model: Customer Segments

You're looking at the core customer base for Yum China Holdings, Inc. as of late 2025. The company targets a massive footprint across China's mass market, spanning all city tiers. They've built this reach over decades, but the pace is definitely accelerating now. By the end of Q3 2025, Yum China operated a total of 17,514 stores. KFC, the largest brand, already serves customers in over 2,500 cities. Pizza Hut, while established, still has room to grow, covering about 1,000 cities but targeting expansion into over 1,500 more where KFC already has a presence. The ambition is to exceed 25,000 total stores by the end of 2028, aiming for more than 30,000 by 2030.

Here's a snapshot of the scale and digital engagement across these segments:

Segment Indicator	KFC (Q3 2025)	Pizza Hut (Q3 2025)	Company-wide Digital Penetration (Q3 2025)
Total Stores	12,640	4,022	N/A
Digital Ordering Share of Total Sales	Approx. 95%	Approx. 95%	95%
Delivery Sales Share of Total Revenue	N/A	N/A	51%

Digital-native consumers are central to Yum China's current success, preferring mobile ordering and delivery. Digital ordering accounted for approximately 95% of total Company sales in Q3 2025. Delivery sales surged, contributing about 51% of total revenue for the same period. This segment is highly engaged through loyalty programs, too.

• Total KFC and Pizza Hut membership surpassed 575 million as of Q3 2025, marking a 13% year-over-year increase.
• Member sales represented approximately 57% of the aggregate system sales for KFC and Pizza Hut.
• Digital sales in Q3 2025 reached $2.8 billion.

For budget-conscious customers, Yum China actively manages its value proposition. Pizza Hut, for instance, saw its ticket average drop by 13% year-over-year in Q2 2025, which management noted was consistent with their strategy to emphasize value-for-money. The company also cited efforts to optimize supply chain efficiency in Q3 2025, allowing them to pass some savings on to customers.

Young professionals are targeted through newer, specialized concepts that cater to evolving tastes, especially for lighter meals and premium coffee experiences. Lavazza, the premium coffee chain, achieved double-digit same-store sales growth in Q3 2025 after building a solid foundation. Yum China is aiming to accelerate Lavazza's growth, targeting 1,000 coffee shops by 2029, up from around 120 stores at the end of September 2025. KPRO restaurants focus on the light food market, which is projected to exceed 500 billion yuan by 2026.

• KCOFFEE cafes, leveraging KFC store space, plan to expand to more than 5,000 locations by 2029, up from roughly 1,800 at the end of September 2025.
• KPRO is noted as a fantastic lighter option in Tier 1 cities like Shenzhen.
• Lavazza retail business (beans, drip, concentrate) was reported as profitable with lovely growth.

Yum China Holdings, Inc. (YUMC) - Canvas Business Model: Cost Structure

The Cost Structure for Yum China Holdings, Inc. is heavily weighted towards restaurant-level operating costs, with significant ongoing investment in expansion and technology to maintain its competitive edge across China.

High Capital Expenditures for Expansion

Yum China Holdings, Inc. maintains a substantial capital expenditure plan to fuel its aggressive network growth. The guidance for the full 2025 fiscal year is set in the range of $600 million to $700 million. This investment supports the target of opening approximately 1,600 to 1,800 net new stores for 2025. A positive trend is the reduction in per-store capital expenditure, which lowers the cost basis for new unit economics. For KFC, the per-store CapEx has dropped from 1.5 million Yuan in 2024 to between 1.3-1.4 million Yuan currently. Similarly, Pizza Hut's per-store CapEx fell from 1.2 million Yuan in 2024 to 1.0-1.1 million Yuan.

The breakdown of store count as of September 30, 2025, provides context for the scale of fixed and operating costs:

Metric	Value as of September 30, 2025
Total Store Count	17,514
KFC Stores	12,640
Pizza Hut Stores	4,022

Significant Costs for Food and Paper (Focus on Savings)

Food and Paper costs are a primary variable expense, and management focus is clearly on driving savings here to expand restaurant margins. For the third quarter of 2025, the Cost of Sales component of the restaurant margin was 31.3% of revenue, which represented a 40 basis points reduction year-over-year. The resulting Restaurant Margin for Q3 2025 reached 17.3%, directly supported by these savings. In the second quarter of 2025, savings in Food and Paper cost also contributed to a 60 basis points expansion in Restaurant Margin, which stood at 16.1%.

Here are some recent figures related to this cost category:

• Food and Paper cost for the first nine months of 2025: 2,623 million RMB.
• Food and Paper cost for Q4 2024: 776 million RMB.
• Q3 2025 Restaurant Margin: 17.3%.

Occupancy and Other Operating Expenses for 17,514 Stores

Occupancy costs, which include rent and lease liabilities, are a significant fixed cost component tied to the extensive store footprint of over 17,500 locations. The company has been actively optimizing this area, with Q3 2025 Occupancy and other expenses representing 25.2% of revenue, a 100 basis points improvement year-over-year. These savings also helped drive the Q3 2025 Restaurant Margin expansion. For the second quarter of 2025, Occupancy and other operating expenses were 669 million RMB for the period.

The trend in Occupancy and Other Operating Expenses over recent periods shows relative stability or slight reduction as a percentage of revenue:

Period End	Occupancy and Other Operating Expenses (in millions)	Impact on Restaurant Margin
Q3 2025 (9 months)	2,112	Supported savings
Q2 2025 (Quarter)	669	Contributed to margin expansion
Q4 2024 (Quarter)	672	Part of Company restaurant expenses

Investment in Digital Technology and AI Systems

Yum China Holdings, Inc. treats technology as a key enabler, with a history of significant investment. The company previously earmarked $1-1.5 billion for digital and technology investment over five years, starting around 2021. This investment underpins operational efficiency, with AI integration ongoing since 2019 and Generative AI exploration starting in 2023. The digital ecosystem is a major cost driver but also a revenue driver, as evidenced by digital ordering accounting for approximately 94% of total Company sales in Q2 2025. Furthermore, the delivery business, heavily reliant on digital routing and queuing systems, grew 32% year-over-year in Q3 2025. The loyalty program, a digital asset, boasts 540 million members, contributing 66% of system sales.

Key digital metrics influencing cost and efficiency include:

• Digital ordering share of total Company sales (Q2 2025): 94%.
• Loyalty members contribution to system sales (as of August 2025): 66%.
• Delivery sales growth (Q3 2025): 32% year-over-year.

Yum China Holdings, Inc. (YUMC) - Canvas Business Model: Revenue Streams

You're looking at the core engine of Yum China Holdings, Inc.'s financial performance, which is heavily reliant on selling food directly to the consumer, supplemented by a growing franchise model. The top-line number for the twelve months ending Q3 2025 was reported at $11.569 billion. This massive scale is supported by a physical footprint that continues to expand aggressively.

Restaurant Sales from company-owned and franchised stores are the primary driver. As of the end of Q3 2025, Yum China Holdings, Inc. operated a total of 17,514 stores across China. This network is a mix of wholly owned locations and those run by franchisees, which is a key strategic shift for capital efficiency.

Here's a quick look at the scale and the sales mix as of the third quarter:

Metric	Value	Context/Date
Total Store Count	17,514	As of September 30, 2025
KFC Stores	12,640	As of September 30, 2025
Pizza Hut Stores	4,022	As of September 30, 2025
Total Q3 2025 Revenues	$3.2 billion	Q3 2025
Delivery Sales YoY Growth	32%	Q3 2025

The digital channel is a major revenue accelerant. Delivery sales, a critical component of modern restaurant revenue, grew a strong 32% year-over-year in Q3 2025. Honestly, this channel is becoming indispensable; delivery contributed approximately 51% of total Company sales in that quarter alone. Digital ordering accounted for about 95% of total Company sales, showing how deeply integrated technology is into every transaction.

Franchise fees and royalties represent a less capital-intensive revenue stream that is actively being grown. For Q3 2025, Revenues from Franchise fees and income hit $28 million, marking a +12% increase year over year. This growth is intentional, as Yum China Holdings, Inc. is pushing to increase the franchise mix in new store openings to manage capital deployment better. You can see this focus in their 2025 targets:

• KFC net new store franchise mix target for 2025: 40-50%.
• Pizza Hut net new store franchise mix target for 2025: 20-30%.

The company opened 536 net new stores in Q3 2025, with franchisees opening 32% of those KFC locations and 28% of Pizza Hut locations in the quarter. That's how you build scale without tying up all your cash in real estate, you know?