Yum China Holdings reported third-quarter adjusted earnings per share of $0.91, exceeding the analyst consensus of $0.88. Revenue reached $3.48 billion, just below the $3.5 billion estimate, but up 8% from the same period a year earlier. Excluding currency translation effects, revenue increased 2% year over year.
Shares edged up 0.57% in pre-market trading after the results. Operating profit rose 13% year over year to $451 million, and the operating margin expanded by 50 basis points to 13%. The company said this was its tenth consecutive quarter of margin expansion.
Same-store transactions grew 3% year over year for a 15th consecutive quarter, while same-store sales were 97% of the prior-year level. CEO Joey Wat attributed pressure on same-store sales to tough comparisons with the previous year’s delivery-platform subsidies and adverse weather in August.
Yum China opened a quarterly record of 692 net new stores, bringing its total to 19,989 as of September 30, 2026. It raised its full-year 2026 target to more than 2,400 net new stores and maintained its plan to return $1.5 billion to shareholders.
Sources: Investing.com News.