Yum China reports third-quarter revenue growth and record expansion
Yum China posted $3.5 billion in revenue for the third quarter of 2026, driven by a record number of new store openings. The company has raised its annual target for new restaurant additions to over 2,400.
Yum China Holdings reported $3.5 billion in revenue for the third quarter ending September 30, 2026, an 8% increase compared to the previous year. Operating profit rose by 13% to $451 million, while diluted earnings per share (EPS) saw a 20% increase.
The company achieved a record expansion in the third quarter, opening 692 net new stores, bringing its total footprint to 19,989 locations. Given this pace, Yum China has increased its 2026 full-year target for net new store openings to exceed 2,400 units. Franchisees accounted for 44% of the new openings, reflecting a shift in the company’s growth strategy.
Despite a 3% decline in same-store sales, the company reported its 15th consecutive quarter of transaction growth. CEO Joey Wat attributed the financial performance to operational streamlining and favorable commodity prices, which helped offset delivery cost pressures and promotional spending.
Yum China continues to return capital to shareholders, distributing $362 million during the quarter through share repurchases and cash dividends. The company remains focused on expanding its KCOFFEE and KPRO concepts to capture diverse consumption segments.