Yum China Reports Strong Growth and Strategic Initiatives in Q1 2024

Yum China Q1 2024 Earnings Call Highlights

System Sales Growth:

• System sales grew 6% year over year, driven by innovative menu offerings and strategic store expansions.

Delivery Business Resilience:

• Delivery sales have grown double digits every year for the past decade, with a focus on capturing smaller order sizes and expanding market share.

Strategic Expansion:

• Record number of new store openings, including side-by-side K-Coffee stores, to cater to diverse consumer demands and capitalize on growing market segments.

Efficiency and Cost Savings:

• Focus on streamlining processes, integrating resources, and leveraging technological innovations to drive operational efficiency and cost-effectiveness.

Competition and Market Positioning:

• Despite intensifying competition, Yum China remains agile and innovative, adjusting to changing market conditions and evolving consumer preferences.

Yum China's robust performance in Q1 2024 demonstrates its resilience and agility in a competitive market landscape, with a focus on strategic growth initiatives, efficiency, and cost management.