Yum China sees net profit surge

Yum China Holdings Inc reported a net profit of $486 million with a 166 percent year-on-year increase for the six-month period ending June 30, according to the company's statement on Wednesday.

The company, which operates KFC-branded quick service restaurants, earned a total revenue of $5.57 billion during the reporting period, a 16 percent increase compared to the previous year's $4.8 billion.

Its operating profit surged by 147 percent to $673 million, a rise from $272 million in the same period last year, due to higher sales and improved profit margins, said the report.

The fast food chain generated diluted earnings per share of $1.15, an increase from the $0.43 for the same period last year.

Regarding system sales, the company saw a 24 percent increase overall, with KFC and Pizza Hut's sales rising by 24 percent and 23 percent respectively compared to the same period last year.

As of June 30, 2023, Yum China operates over 13,000 restaurants in China, covering more than 1,900 cities nationwide.

The report said that its goals for the fiscal year 2023 remain unchanged: to open approximately 1,100 to 1,300 net new stores and make capital expenditures ranging between $700 million and $900 million.