Yum China Drops Game-Changing Formats—How Mini Stores & KCOFFEE Are Rewriting the Playbook!

Yum China Holdings Inc., a licensee of Yum! Brands in China, presented mixed results in the third quarter of 2025. On a positive note, Yum China reported a record $400 million in adjusted operating profit, marking an 8% increase year-over-year. System sales rose by 4%, which outpaced the broader Chinese restaurant industry, and same-store sales also registered growth for the second consecutive quarter. Restaurant margins expanded to 17.3%, partially attributed to increased operational efficiency and advantageous commodity pricing. Store expansion remained a central focus for Yum China, with 536 net new stores opened in the third quarter. The company’s total store portfolio now exceeds 17,500 locations, maintaining a trajectory towards their 2026 target of 20,000 stores. Both KFC and Pizza Hut, Yum China’s flagship brands, demonstrated resilience.