Yum China Holdings, Inc. (YUMC) Earnings Call Transcripts

Yum China Holdings, Inc.'s Latest Earnings Call - Q1 FY2026

In the first quarter of 2026, Yum China Holdings, Inc. reported revenue growth of 10% year-over-year, reaching $4.47 billion, while operating profit increased by 6% to $447 million. The company opened 636 net new stores, exceeding one-third of its full-year target. Management maintained its guidance for same-store sales growth of 100-102 and high single-digit operating profit growth for the full year, signaling confidence in continued expansion despite a dynamic market environment.

Reported metrics

Guidance from management

Management maintained its guidance for same-store sales growth of 100-102 and high single-digit operating profit growth for the full year 2026, indicating confidence in achieving these targets despite current market dynamics.

What management said

Thanks, Joey. Now we will open the call for questions. In order to give more people the chance to ask questions, please limit your questions to 1 at a time. Operator, please start the Q&A.

I just want to add one comment about Pizza Hut margin, which was very nice for the quarter 1 this year. It's actually I think 1 of the highest since the turnaround initiatives in 2018. We'll be very consistent with our duration of Pizza Hut turn [indiscernible] first profit later. [indiscernible]

What analysts pressed on

Analysts expressed concerns regarding the impact of rising delivery costs on margins and the sustainability of same-store sales growth in a competitive environment. There were questions about how management plans to navigate these cost pressures while maintaining profitability.

Main topics on the call

• Store Expansion — Yum China opened 636 net new stores in Q1 2026, which is more than one-third of its full-year target of over 1,900 stores. This aggressive expansion strategy is aimed at capturing market opportunities in both urban and l...
• Same-Store Sales Growth — Same-store sales growth was slightly positive, rounded to 0%, marking the 13th consecutive quarter of positive same-store transactions. Management expects sequential improvement in same-store sales growth in Q2 2026.
• KFC Performance — KFC's system sales grew by 5%, with same-store sales increasing by 1%. The brand's restaurant margins remained healthy at 19.1%, supported by innovations like KCOFFEE Cafes, which generated mid-single-digit sales uplift.
• Pizza Hut Performance — Pizza Hut achieved a 4% increase in system sales, with same-store sales at 99% of the prior year level. The brand's operating profit grew by 18%, demonstrating strong profitability despite a competitive environment.

Read the full Yum China Holdings, Inc. transcript (Q1 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 32 Yum China Holdings, Inc. earnings call transcripts on record, spanning February 6, 2020 to July 30, 2026. Based on this history, Yum China Holdings, Inc. reports quarterly. The most recent call on file is dated July 30, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

YUMC

Exchange

NYSE

Country

US

Sector

Consumer Discretionary

Industry

Hotels, Restaurants and Leisure

Calls on record

32

First call

February 6, 2020

Most recent

July 30, 2026

Reporting cadence

quarterly