Total Revenues
grew 29%. System Sales grew 14% and
Same-Store Sales were up 5% in constant
currency
Opened 404 new
stores; Total stores reached
11,023, an increase of
1,069 stores year over year
Reported $233 million Operating
Profit
SHANGHAI, July 28, 2021 /PRNewswire/ -- Yum China Holdings,
Inc. (the "Company" or "Yum China")
(NYSE: YUMC and HKEX: 9987) today reported unaudited results for
the second quarter ended June 30,
2021.
Impact of COVID-19 Outbreak and Mitigation
Efforts
Second quarter operations improved from a year ago. System sales
and operating profit grew year over year. System sales growth was
led by accelerated new store openings and same-store sales growth.
Operating profit growth was further driven by lower commodity
prices, and productivity improvements.
The COVID-19 pandemic continued to impact the Company's
operations and results in the second quarter. Same-store sales
recovery to pre-COVID levels was interrupted by the Delta variant
outbreak in southern China, which started in late May. Local
authorities tightened preventive health measures and social
distancing requirements. Many communities were locked down. At the
peak of this outbreak, approximately 400 of our restaurants were
either temporarily closed or provided delivery and takeaway
services only. This represents nearly 30% of our restaurants in
Guangdong province, which has two
of the four tier one cities in China, is the largest economy in China and one of Yum
China's largest markets. Across China, cautious consumer
behavior persists as sporadic outbreaks remind consumers of the
lingering risks. Same-store dine-in volume is still well below 2019
levels while off-premise occasions continue to grow rapidly.
Overall, the pace of recovery varied by region with eastern and
western China recovering relatively faster.
Traffic at our transportation and tourist locations improved
from the first quarter but remained well below pre-COVID levels.
According to government statistics, tourism spending for the three
holidays in the second quarter was still down 20% to 40% compared
to 2019. The impact was more pronounced for KFC, with its higher
mix of stores in transportation and tourist locations.
As we entered July, traffic and sales continue to be pressured
by lingering effects of COVID-19, such as reduced travel, a
shortened school holiday and regional outbreaks in Yunnan. The latest outbreak in Nanjing, the capital city of Jiangsu province, is still evolving. The
Company continues to expect that a full recovery of same-store
sales will take time, with the recovery path impacted by regional
resurgences and the corresponding public health measures. We will
continue to focus on the elements of the business under our
control, such as food innovation, compelling value propositions, a
focus on customer experience, and operating efficiency, to drive
sales and protect margins.
Second Quarter Highlights
- Total revenues increased 29% year over year to
$2.45 billion from $1.90 billion (a 17% increase excluding foreign
currency translation ("F/X")).
- Total system sales increased 14% year over year, with
increases of 14% at KFC and 16% at Pizza Hut, excluding F/X.
- Same-store sales increased 5% year over year, with
increases of 4% at KFC and 11% at Pizza Hut, excluding F/X.
- Opened 404 new stores during the quarter.
- Total store count reached 11,023 as of June 30, 2021, an increase of 1,069 stores over
the past year.
- Restaurant margin was 15.8%, compared with 13.7% in the
prior year period.
- Operating Profit increased 83% year over year to
$233 million from $128 million (a 65% increase excluding F/X).
- Adjusted Operating Profit increased 80% year over year
to $237 million from $132 million (a 63% increase excluding F/X).
- Effective tax rate was 24.8%.
- Net Income increased 37% to $181 million from $132
million in the prior year period, primarily due to the
increase in Operating Profit.
- Adjusted Net Income increased 36% to $185 million from $136
million in the prior year period (a 72% increase excluding
the net gains of $5 million and
$31 million in the second quarter of
2021 and 2020, respectively, from our mark-to-market equity
investments; a 55% increase if further excluding F/X).
- Diluted EPS increased 24% to $0.42 from $0.34 in
the prior year period.
- Adjusted Diluted EPS increased 20% to $0.42 from $0.35 in
the prior year period (a 52% increase excluding the net gains from
our mark-to-market equity investments in the second quarter of 2021
and 2020; a 37% increase if further excluding F/X).
- Results include the consolidation of Huang Ji Huang since April 2020, and Suzhou KFC since August 2020.
Key Financial
Results
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Second Quarter
2021
|
|
|
Year to Date Ended
6/30/2021
|
|
|
%
Change
|
|
|
%
Change
|
|
|
System
Sales
|
|
Same-
Store Sales
|
|
Net New
Units
|
|
Operating
Profit
|
|
|
System
Sales
|
|
Same-
Store Sales
|
|
Net New
Units
|
|
Operating
Profit
|
|
Yum China
|
+14
|
|
+5
|
|
+11
|
|
+83
|
|
|
+24
|
|
+8
|
|
+11
|
|
+156
|
|
KFC
|
+14
|
|
+4
|
|
+13
|
|
+50
|
|
|
+19
|
|
+5
|
|
+13
|
|
+81
|
|
Pizza Hut
|
+16
|
|
+11
|
|
+7
|
|
+151
|
|
|
+33
|
|
+23
|
|
+7
|
|
NM
|
|
|
|
Second
Quarter
|
|
|
|
Year to Date Ended
6/30
|
|
(in US$ million,
except
|
|
|
|
|
|
|
%
Change
|
|
|
|
|
|
|
|
|
%
Change
|
|
per share data and
percentages)
|
|
2021
|
|
|
2020
|
|
Reported
|
|
Ex F/X
|
|
|
|
2021
|
|
|
2020
|
|
Reported
|
|
Ex F/X
|
|
Operating
Profit
|
$
|
233
|
|
$
|
128
|
|
+83
|
|
+65
|
|
|
$
|
575
|
|
$
|
225
|
|
+156
|
|
+134
|
|
Adjusted Operating
Profit(1)
|
$
|
237
|
|
$
|
132
|
|
+80
|
|
+63
|
|
|
$
|
582
|
|
$
|
230
|
|
+153
|
|
+132
|
|
Net Income
|
$
|
181
|
|
$
|
132
|
|
+37
|
|
+24
|
|
|
$
|
411
|
|
$
|
194
|
|
+112
|
|
+93
|
|
Adjusted Net
Income(1)
|
$
|
185
|
|
$
|
136
|
|
+36
|
|
+23
|
|
|
$
|
418
|
|
$
|
199
|
|
+110
|
|
+92
|
|
Basic Earnings Per
Common Share
|
$
|
0.43
|
|
$
|
0.35
|
|
+23
|
|
+11
|
|
|
$
|
0.98
|
|
$
|
0.51
|
|
+92
|
|
+75
|
|
Adjusted Basic
Earnings Per
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
Share(1)
|
$
|
0.44
|
|
$
|
0.36
|
|
+22
|
|
+11
|
|
|
$
|
0.99
|
|
$
|
0.53
|
|
+87
|
|
+72
|
|
Diluted Earnings Per
Common Share
|
$
|
0.42
|
|
$
|
0.34
|
|
+24
|
|
+12
|
|
|
$
|
0.95
|
|
$
|
0.50
|
|
+90
|
|
+72
|
|
Adjusted Diluted
Earnings Per
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
Share(1)
|
$
|
0.42
|
|
$
|
0.35
|
|
+20
|
|
+9
|
|
|
$
|
0.96
|
|
$
|
0.51
|
|
+88
|
|
+73
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See
"Reconciliation of Reported GAAP Results to non-GAAP Adjusted
Measures" included in the accompanying tables of this release for
further details.
|
Note: All
comparisons are versus the same period a year
ago.
|
NM refers to not
meaningful.
|
Percentages may not
recompute due to rounding.
|
System sales and
same-store sales percentages exclude the impact of F/X. Effective
January 1, 2018, temporary store closures are normalized in the
same-store sales calculation by
excluding the period
during which stores are temporarily closed.
|
CEO and CFO Comments
Joey Wat, CEO of Yum China, commented, "We delivered another
quarter of solid performance. Pizza Hut achieved stellar
performance and is expected to become another growth engine. KFC
remained resilient and drove robust system sales and operating
profit growth. Yum China continues
to accelerate store network expansion. In less than one year, we
increased total store count from 10,000 to over 11,000 stores. With
719 gross new stores opened in the first half, we now expect to
open around 1,300 new stores in 2021. In addition to unit growth,
we are focused on driving consumers back to the
stores with our great food and compelling value offers. We are
also capturing off-premise demand with our hybrid delivery model
and increasing network density. Leveraging our vast membership base
and digital platform, we are more nimble than ever."
Wat continued, "Despite the challenges posed by the pandemic,
we are well-positioned to capture the market opportunities in
China. Consumers love the delicious food and value-for-money
that KFC and Pizza Hut offer. COFFii & JOY and
Lavazza are also making good progress. Our digital platform and
operational excellence help to enhance customer experience. We are
committed and confident in achieving sustainable growth for many
years to come."
Andy Yeung, CFO of Yum China, added, "We achieved solid system
sales and operating profit growth, both comparing to the prior year
and to pre-pandemic 2019 levels, even though the recovery
trajectory in the quarter was disrupted by the Delta variant
outbreak in southern China. On a two-year basis, Pizza Hut's system
sales growth returned to positive and KFC's system sales grew an
impressive 7% led by rapid new store openings. Our strong operating
profit growth reflected operational excellence and continued
improvement in operating efficiency."
Yeung continued, "With the lingering effects of the pandemic, we
continue to expect full recovery of same-store sales to
pre-pandemic 2019 levels to take time, with a recovery path that is
nonlinear and uneven. We plan to invest more in marketing, value
proposition and customer service to drive traffic. In addition,
rising commodity prices will become a headwind and likely turn into
inflationary pressure in the later part of this year. Recent wage
increases will also put more pressure on the margins for the
balance of the year. Nevertheless, we are committed to driving
long-term returns for our shareholders. After careful deliberations
that balanced the COVID-19 risks and our strong liquidity position,
the Board of Directors has approved the resumption of share
repurchases."
Dividends and Share Repurchases
- The Board of Directors declared a cash dividend of $0.12 per share on Yum
China's common stock, payable as of the close of business on
September 16, 2021 to shareholders of
record as of the close of business on August
25, 2021.
- The Board of Directors has approved the resumption of share
repurchases.
Digital and Delivery
- The KFC and Pizza Hut loyalty programs exceeded 330 million
members combined as of quarter-end. Member sales accounted for
approximately 61% of system sales in the second quarter of
2021.
- Delivery contributed approximately 30% of KFC and Pizza Hut's
Company sales in the second quarter of 2021, an increase of
approximately one percentage point from the prior year period as
consumers are still cautious about dine-in.
- Digital orders, including delivery, mobile orders and kiosk
orders, accounted for approximately 85% of KFC and Pizza Hut's
Company sales in the second quarter of 2021.
KFC and Pizza Hut
Total
|
|
Second
Quarter
|
|
|
Year to Date Ended
6/30
|
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
2020
|
|
Member
count (as of period-end)
|
|
330
million+
|
|
|
265
million+
|
|
|
330
million+
|
|
|
265
million+
|
|
Member
sales as % of system sales
|
|
~61%
|
|
|
~62%
|
|
|
~61%
|
|
|
~61%
|
|
Delivery
as % of Company sales
|
|
~30%
|
|
|
~29%
|
|
|
~31%
|
|
|
~32%
|
|
Digital
orders as % of Company sales
|
|
~85%
|
|
|
~80%
|
|
|
~85%
|
|
|
~80%
|
|
New-Unit Development and Asset Upgrade
- The Company opened 404 new stores in the second quarter of
2021, mainly driven by development of the KFC brand and
acceleration of the Pizza Hut brand.
- The Company remodeled 316 stores in the second quarter of
2021.
|
|
New
Units
|
|
|
|
Restaurant
Count
|
|
|
|
|
Second
Quarter
|
|
|
Year to
Date
|
|
|
|
As of June
30
|
|
|
|
|
2021
|
|
|
Ended
6/30/2021
|
|
|
|
2021
|
|
|
2020
|
|
|
Yum China
|
|
|
404
|
|
|
|
719
|
|
|
|
|
11,023
|
|
|
|
9,954
|
|
|
KFC
|
|
280
|
|
|
533
|
|
|
|
|
7,609
|
|
|
|
6,749
|
|
|
Pizza
Hut
|
|
64
|
|
|
108
|
|
|
|
|
2,425
|
|
|
|
2,258
|
|
|
Others(2)
|
|
|
60
|
|
|
|
78
|
|
|
|
|
989
|
|
|
|
947
|
|
|
|
(2) Others
include Taco Bell, Little Sheep, Huang Ji Huang, East Dawning,
COFFii & JOY and Lavazza.
|
Restaurant Margin
- Restaurant margin was 15.8% in the second quarter of 2021,
compared with 13.7% in the prior year period, primarily
attributable to improvement in sales, favorable commodity prices
and higher productivity, partially offset by lower temporary relief
provided by landlords and government agencies and wage
inflation.
|
Second
Quarter
|
|
|
|
Year to Date Ended
6/30
|
|
|
|
|
2021
|
|
|
2020
|
|
|
ppts
change
|
|
|
|
2021
|
|
|
2020
|
|
|
ppts
change
|
|
|
Yum China
|
|
|
15.8%
|
|
|
|
13.7%
|
|
|
|
+2.1
|
|
|
|
|
17.3%
|
|
|
|
12.2%
|
|
|
|
+5.1
|
|
|
KFC
|
|
|
16.8%
|
|
|
|
14.6%
|
|
|
|
+2.2
|
|
|
|
|
18.4%
|
|
|
|
14.1%
|
|
|
|
+4.3
|
|
|
Pizza
Hut
|
|
|
13.1%
|
|
|
|
11.2%
|
|
|
|
+1.9
|
|
|
|
|
14.2%
|
|
|
|
6.4%
|
|
|
|
+7.8
|
|
|
2021 Outlook
The Company is updating the following fiscal year 2021
targets:
- To open approximately 1,300 gross new stores, an increase
compared to the original target of 1,000, primarily due to the
acceleration of KFC and Pizza Hut store expansion.
- To make capital expenditures of approximately $700-800 million, an increase compared to the
original target of $600 million, as a
result of additional new stores and stepped-up investment in
infrastructure and digitalization.
Other Updates
- On June 8, 2021, the Company
announced that it has signed the Business Ambition for
1.5oC Commitment Letter, as part of the global Science
Based Targets initiative (SBTi). In committing to the SBTi, the
Company pledges to align its business with the most ambitious aim
of the Paris Agreement, to limit global temperature rise to 1.5
oC above pre-industrial levels and reach net-zero global
emissions by 2050. The Company will also disclose its climate
impact through CDP.
- On June 18, 2021, the Company
issued its 2020 Sustainability Report, which highlights
Yum China's commitment to
sustainability and provides an overview of progress made in 2020
towards its sustainability goals.
- The Company will host a virtual Investor Day on Thursday, September 23, 2021 (Beijing/Hong Kong Time). A webcast will be
available at Yum China's Investor Relations website at
http://ir.yumchina.com.
Note on Non-GAAP Adjusted Measures
Reported GAAP results include Special Items, which are
excluded from non-GAAP adjusted measures. Special Items are
not allocated to any segment and therefore only impact reported
GAAP results of Yum China. See
"Reconciliation of Reported GAAP Results to Non-GAAP
Adjusted Measures" within this release.
Conference Call
Yum China's management will hold
an earnings conference call at 8:00 p.m. U.S. Eastern Time on
Wednesday, July 28, 2021
(8:00 a.m. Beijing/Hong Kong Time on Thursday, July 29, 2021).
A live webcast of the call may be accessed at
https://edge.media-server.com/mmc/p/mn2iyycc.
To join by phone, please
register in advance of the conference through the link provided
below. Upon registering, you will be provided with participant
dial-in numbers, a passcode and a unique registrant ID.
Pre-registration
Link:
http://apac.directeventreg.com/registration/event/5196089
Conference
ID: 5196089
A replay of the conference call will be available two hours
after the call ends until 10:00 a.m.
U.S. Eastern Time on Thursday, August 5, 2021 (10:00 p.m. Beijing/Hong Kong Time on Thursday,
August 5, 2021) and may be accessed by phone at the following
numbers:
U.S.:
1 855 452 5696
Mainland
China:
400 602 2065 or 800 870 0206
Hong
Kong:
+852 3051 2780
U.K.:
0808 234 0072
International:
+61 2 8199 0299
Replay access
code:
5196089
Additionally, this earnings release, the accompanying slides, a
live webcast and an archived webcast of this conference call will
be available at Yum China's Investor Relations website at
http://ir.yumchina.com.
For important news and information regarding Yum China, including our filings with the U.S.
Securities and Exchange Commission and the Hong Kong Stock
Exchange, visit Yum China's Investor
Relations website at http://ir.yumchina.com. Yum China uses this website as a primary channel
for disclosing key information to its investors, some of which may
contain material and previously non-public information.
Forward-Looking Statements
This press release contains "forward-looking statements" within
the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934, including under
"2021 Outlook." We intend all forward-looking statements to be
covered by the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements generally
can be identified by the fact that they do not relate strictly to
historical or current facts and by the use of forward-looking words
such as "expect," "expectation," "believe," "anticipate," "may,"
"could," "intend," "belief," "plan," "estimate," "target,"
"predict," "project," "likely," "will," "continue," "should,"
"forecast," "outlook" or similar terminology. These statements are
based on current estimates and assumptions made by us in light of
our experience and perception of historical trends, current
conditions and expected future developments, as well as other
factors that we believe are appropriate and reasonable under the
circumstances, but there can be no assurance that such estimates
and assumptions will prove to be correct. Forward-looking
statements include, without limitation, statements regarding the
future strategies, growth, business plans, investment, dividend and
share repurchase plans, earnings, performance and returns of
Yum China, anticipated effects of
population and macroeconomic trends, the expected impact of the
COVID-19 pandemic, the anticipated effects of our innovation,
digital and delivery capabilities and investments on growth and
beliefs regarding the long-term drivers of Yum China's business. Forward-looking statements
are not guarantees of performance and are inherently subject to
known and unknown risks and uncertainties that are difficult to
predict and could cause our actual results or events to differ
materially from those indicated by those statements. We cannot
assure you that any of our expectations, estimates or assumptions
will be achieved. The forward-looking statements included in this
press release are only made as of the date of this press release,
and we disclaim any obligation to publicly update any
forward-looking statement to reflect subsequent events or
circumstances, except as required by law. Numerous factors could
cause our actual results or events to differ materially from those
expressed or implied by forward-looking statements, including,
without limitation: whether we are able to achieve development
goals at the times and in the amounts currently anticipated, if at
all, the success of our marketing campaigns and product innovation,
our ability to maintain food safety and quality control systems,
changes in public health conditions, including the COVID-19
pandemic and regional resurgences, our ability to control costs and
expenses, including tax costs, as well as changes in political,
economic and regulatory conditions in China. In addition, other risks and
uncertainties not presently known to us or that we currently
believe to be immaterial could affect the accuracy of any such
forward-looking statements. All forward-looking statements should
be evaluated with the understanding of their inherent uncertainty.
You should consult our filings with the Securities and Exchange
Commission (including the information set forth under the captions
"Risk Factors" and "Management's Discussion and Analysis of
Financial Condition and Results of Operations" in our Annual Report
on Form 10-K and subsequent Quarterly Reports on Form 10-Q) for
additional detail about factors that could affect our financial and
other results.
About Yum China Holdings, Inc.
Yum China Holdings, Inc. is a licensee of Yum! Brands in
mainland China. It has exclusive rights in mainland China to KFC,
China's leading quick-service restaurant brand, Pizza Hut, the
leading casual dining restaurant brand in China, and Taco Bell, a California-based restaurant chain serving
innovative Mexican-inspired food. Yum
China also owns the Little Sheep, Huang Ji Huang, East Dawning and COFFii &
JOY concepts outright. In addition, Yum
China has partnered with Lavazza to explore and develop the
Lavazza coffee shop concept in China. The Company had 11,023 restaurants
in over 1,500 cities at the end of June
2021. Yum China ranked # 363 on the Fortune 500 list
and was named to TIME100 Most Influential Companies list in 2021.
Yum China has been named the
Industry Leader for the Restaurant & Leisure Facilities
Industry in the 2020 Dow Jones Sustainability Indices. In 2021,
Yum China was named to the Bloomberg
Gender-Equality Index and was certified as a Top Employer 2021 in
China by the Top Employers
Institute, both for the third consecutive year. For more
information, please visit http://ir.yumchina.com.
Investor Relations
Contact:
|
|
|
Tel: +86 21 2407 7556
/ +852 2267 5801
IR@YumChina.com
|
|
|
|
Media
Contact:
|
|
|
Tel: +86 21 2407
7510
Media@YumChina.com
|
Yum China
Holdings, Inc.
|
Condensed
Consolidated Statements of Income
|
(in US$ million,
except per share data)
|
(unaudited)
|
|
|
|
Quarter
Ended
|
|
|
%
Change
|
|
Year to Date
Ended
|
|
|
%
Change
|
|
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
B/(W)
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
B/(W)
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company
sales
|
|
$
|
2,233
|
|
|
$
|
1,692
|
|
|
|
32
|
|
|
|
$
|
4,564
|
|
|
$
|
3,240
|
|
|
|
41
|
|
|
|
Franchise fees and
income
|
|
|
38
|
|
|
|
37
|
|
|
|
4
|
|
|
|
|
80
|
|
|
|
72
|
|
|
|
11
|
|
|
|
Revenues from
transactions with
franchisees and unconsolidated affiliates
|
|
|
164
|
|
|
|
157
|
|
|
|
5
|
|
|
|
|
335
|
|
|
|
318
|
|
|
|
6
|
|
|
|
Other
revenues
|
|
|
16
|
|
|
|
16
|
|
|
|
(1)
|
|
|
|
|
29
|
|
|
|
26
|
|
|
|
11
|
|
|
|
Total
revenues
|
|
|
2,451
|
|
|
|
1,902
|
|
|
|
29
|
|
|
|
|
5,008
|
|
|
|
3,656
|
|
|
|
37
|
|
|
|
Costs and
Expenses, Net
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company
restaurants
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Food and
paper
|
|
|
686
|
|
|
|
556
|
|
|
|
(23)
|
|
|
|
|
1,390
|
|
|
|
1,051
|
|
|
|
(32)
|
|
|
|
Payroll and employee
benefits
|
|
|
540
|
|
|
|
384
|
|
|
|
(41)
|
|
|
|
|
1,084
|
|
|
|
778
|
|
|
|
(39)
|
|
|
|
Occupancy and other
operating expenses
|
|
|
653
|
|
|
|
521
|
|
|
|
(25)
|
|
|
|
|
1,301
|
|
|
|
1,015
|
|
|
|
(28)
|
|
|
|
Company restaurant
expenses
|
|
|
1,879
|
|
|
|
1,461
|
|
|
|
(29)
|
|
|
|
|
3,775
|
|
|
|
2,844
|
|
|
|
(33)
|
|
|
|
General and
administrative expenses
|
|
|
136
|
|
|
|
113
|
|
|
|
(19)
|
|
|
|
|
266
|
|
|
|
212
|
|
|
|
(25)
|
|
|
|
Franchise
expenses
|
|
|
16
|
|
|
|
16
|
|
|
|
2
|
|
|
|
|
33
|
|
|
|
33
|
|
|
|
3
|
|
|
|
Expenses for
transactions with
franchisees and unconsolidated affiliates
|
|
|
160
|
|
|
|
160
|
|
|
|
—
|
|
|
|
|
329
|
|
|
|
316
|
|
|
|
(4)
|
|
|
|
Other operating costs
and expenses
|
|
|
13
|
|
|
|
13
|
|
|
|
(4)
|
|
|
|
|
24
|
|
|
|
23
|
|
|
|
(5)
|
|
|
|
Closures and
impairment expenses, net
|
|
|
13
|
|
|
|
21
|
|
|
|
39
|
|
|
|
|
11
|
|
|
|
29
|
|
|
|
62
|
|
|
|
Other expenses
(income), net
|
|
|
1
|
|
|
|
(10)
|
|
|
NM
|
|
|
|
|
(5)
|
|
|
|
(26)
|
|
|
|
(82)
|
|
|
|
Total costs and
expenses, net
|
|
|
2,218
|
|
|
|
1,774
|
|
|
|
(25)
|
|
|
|
|
4,433
|
|
|
|
3,431
|
|
|
|
(29)
|
|
|
|
Operating
Profit
|
|
|
233
|
|
|
|
128
|
|
|
|
83
|
|
|
|
|
575
|
|
|
|
225
|
|
|
|
156
|
|
|
|
Interest income,
net
|
|
|
16
|
|
|
|
8
|
|
|
|
85
|
|
|
|
|
31
|
|
|
|
17
|
|
|
|
77
|
|
|
|
Investment gain
(loss)
|
|
|
8
|
|
|
|
45
|
|
|
|
(83)
|
|
|
|
|
(4)
|
|
|
|
37
|
|
|
NM
|
|
|
|
Income Before
Income Taxes
|
|
|
257
|
|
|
|
181
|
|
|
|
42
|
|
|
|
|
602
|
|
|
|
279
|
|
|
|
115
|
|
|
|
Income tax
provision
|
|
|
(64)
|
|
|
|
(45)
|
|
|
|
(39)
|
|
|
|
|
(166)
|
|
|
|
(77)
|
|
|
|
(113)
|
|
|
|
Net income –
including noncontrolling interests
|
|
|
193
|
|
|
|
136
|
|
|
|
42
|
|
|
|
|
436
|
|
|
|
202
|
|
|
|
116
|
|
|
|
Net income –
noncontrolling interests
|
|
|
12
|
|
|
|
4
|
|
|
|
(229)
|
|
|
|
|
25
|
|
|
|
8
|
|
|
|
(216)
|
|
|
|
Net Income – Yum
China Holdings, Inc.
|
|
$
|
181
|
|
|
$
|
132
|
|
|
|
37
|
|
|
|
$
|
411
|
|
|
$
|
194
|
|
|
|
112
|
|
|
|
Effective tax
rate
|
|
|
24.8
|
%
|
|
|
25.2
|
%
|
|
|
0.4
|
|
ppts.
|
|
|
27.6
|
%
|
|
|
27.8
|
%
|
|
|
0.2
|
|
ppts.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic Earnings Per
Common Share
|
|
$
|
0.43
|
|
|
$
|
0.35
|
|
|
|
|
|
|
|
$
|
0.98
|
|
|
$
|
0.51
|
|
|
|
|
|
|
|
Weighted-average
shares outstanding
(in millions)
|
|
|
421
|
|
|
|
377
|
|
|
|
|
|
|
|
|
420
|
|
|
|
376
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted Earnings
Per Common Share
|
|
$
|
0.42
|
|
|
$
|
0.34
|
|
|
|
|
|
|
|
$
|
0.95
|
|
|
$
|
0.50
|
|
|
|
|
|
|
|
Weighted-average
shares outstanding
(in millions)
|
|
|
435
|
|
|
|
388
|
|
|
|
|
|
|
|
|
434
|
|
|
|
387
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Dividends
Declared Per Common Share
|
|
$
|
0.12
|
|
|
$
|
-
|
|
|
|
|
|
|
|
$
|
0.24
|
|
|
$
|
0.12
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company
sales
|
|
|
100.0
|
%
|
|
|
100.0
|
%
|
|
|
|
|
|
|
|
100.0
|
%
|
|
|
100.0
|
%
|
|
|
|
|
|
|
Food and
paper
|
|
|
30.7
|
|
|
|
32.9
|
|
|
|
2.2
|
|
ppts.
|
|
|
30.5
|
|
|
|
32.4
|
|
|
|
1.9
|
|
ppts.
|
|
Payroll and employee
benefits
|
|
|
24.2
|
|
|
|
22.7
|
|
|
|
(1.5)
|
|
ppts.
|
|
|
23.8
|
|
|
|
24.0
|
|
|
|
0.2
|
|
ppts.
|
|
Occupancy and other
operating expenses
|
|
|
29.3
|
|
|
|
30.7
|
|
|
|
1.4
|
|
ppts.
|
|
|
28.4
|
|
|
|
31.4
|
|
|
|
3.0
|
|
ppts.
|
|
Restaurant
margin
|
|
|
15.8
|
%
|
|
|
13.7
|
%
|
|
|
2.1
|
|
ppts.
|
|
|
17.3
|
%
|
|
|
12.2
|
%
|
|
|
5.1
|
|
ppts.
|
|
Operating
margin
|
|
|
10.4
|
%
|
|
|
7.5
|
%
|
|
|
2.9
|
|
ppts.
|
|
|
12.6
|
%
|
|
|
7.0
|
%
|
|
|
5.6
|
|
ppts.
|
|
|
Percentages may not
recompute due to rounding.
|
Yum China
Holdings, Inc.
|
KFC Operating
Results
|
(in US$
million)
|
(unaudited)
|
|
|
|
Quarter
Ended
|
|
|
%
Change
|
|
Year to Date
Ended
|
|
|
%
Change
|
|
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
B/(W)
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
B/(W)
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company
sales
|
|
$
|
1,687
|
|
|
$
|
1,260
|
|
|
|
34
|
|
|
|
$
|
3,470
|
|
|
$
|
2,480
|
|
|
|
40
|
|
|
|
Franchise fees and
income
|
|
|
30
|
|
|
|
32
|
|
|
|
(3)
|
|
|
|
|
63
|
|
|
|
65
|
|
|
|
(2)
|
|
|
|
Revenues from
transactions with
franchisees and unconsolidated affiliates
|
|
|
14
|
|
|
|
15
|
|
|
|
(5)
|
|
|
|
|
29
|
|
|
|
31
|
|
|
|
(5)
|
|
|
|
Other
revenues
|
|
|
3
|
|
|
|
—
|
|
|
NM
|
|
|
|
|
4
|
|
|
|
—
|
|
|
NM
|
|
|
|
Total
revenues
|
|
|
1,734
|
|
|
|
1,307
|
|
|
|
33
|
|
|
|
|
3,566
|
|
|
|
2,576
|
|
|
|
38
|
|
|
|
Costs and
Expenses, Net
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company
restaurants
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Food and
paper
|
|
|
522
|
|
|
|
419
|
|
|
|
(25)
|
|
|
|
|
1,062
|
|
|
|
811
|
|
|
|
(31)
|
|
|
|
Payroll and employee
benefits
|
|
|
391
|
|
|
|
271
|
|
|
|
(44)
|
|
|
|
|
789
|
|
|
|
558
|
|
|
|
(42)
|
|
|
|
Occupancy and other
operating expenses
|
|
|
490
|
|
|
|
387
|
|
|
|
(27)
|
|
|
|
|
980
|
|
|
|
762
|
|
|
|
(29)
|
|
|
|
Company restaurant
expenses
|
|
|
1,403
|
|
|
|
1,077
|
|
|
|
(30)
|
|
|
|
|
2,831
|
|
|
|
2,131
|
|
|
|
(33)
|
|
|
|
General and
administrative expenses
|
|
|
58
|
|
|
|
42
|
|
|
|
(38)
|
|
|
|
|
113
|
|
|
|
88
|
|
|
|
(28)
|
|
|
|
Franchise
expenses
|
|
|
15
|
|
|
|
16
|
|
|
|
2
|
|
|
|
|
31
|
|
|
|
32
|
|
|
|
3
|
|
|
|
Expenses for
transactions with
franchisees and unconsolidated affiliates
|
|
|
14
|
|
|
|
15
|
|
|
|
6
|
|
|
|
|
29
|
|
|
|
31
|
|
|
|
6
|
|
|
|
Other operating costs
and expenses
|
|
|
1
|
|
|
|
—
|
|
|
NM
|
|
|
|
|
1
|
|
|
|
—
|
|
|
NM
|
|
|
|
Closures and
impairment expenses, net
|
|
|
6
|
|
|
|
10
|
|
|
|
36
|
|
|
|
|
6
|
|
|
|
11
|
|
|
|
43
|
|
|
|
Other income,
net
|
|
|
(3)
|
|
|
|
(12)
|
|
|
|
(76)
|
|
|
|
|
(12)
|
|
|
|
(29)
|
|
|
|
(58)
|
|
|
|
Total costs and
expenses, net
|
|
|
1,494
|
|
|
|
1,148
|
|
|
|
(30)
|
|
|
|
|
2,999
|
|
|
|
2,264
|
|
|
|
(33)
|
|
|
|
Operating
Profit
|
|
$
|
240
|
|
|
$
|
159
|
|
|
|
50
|
|
|
|
$
|
567
|
|
|
$
|
312
|
|
|
|
81
|
|
|
|
Company
sales
|
|
|
100.0
|
%
|
|
|
100.0
|
%
|
|
|
|
|
|
|
|
100.0
|
%
|
|
|
100.0
|
%
|
|
|
|
|
|
|
Food and
paper
|
|
|
30.9
|
|
|
|
33.3
|
|
|
|
2.4
|
|
ppts.
|
|
|
30.6
|
|
|
|
32.7
|
|
|
|
2.1
|
|
ppts.
|
|
Payroll and employee
benefits
|
|
|
23.2
|
|
|
|
21.5
|
|
|
|
(1.7)
|
|
ppts.
|
|
|
22.7
|
|
|
|
22.5
|
|
|
|
(0.2)
|
|
ppts.
|
|
Occupancy and other
operating expenses
|
|
|
29.1
|
|
|
|
30.6
|
|
|
|
1.5
|
|
ppts.
|
|
|
28.3
|
|
|
|
30.7
|
|
|
|
2.4
|
|
ppts.
|
|
Restaurant
margin
|
|
|
16.8
|
%
|
|
|
14.6
|
%
|
|
|
2.2
|
|
ppts.
|
|
|
18.4
|
%
|
|
|
14.1
|
%
|
|
|
4.3
|
|
ppts.
|
|
Operating
margin
|
|
|
14.2
|
%
|
|
|
12.6
|
%
|
|
|
1.6
|
|
ppts.
|
|
|
16.3
|
%
|
|
|
12.6
|
%
|
|
|
3.7
|
|
ppts.
|
|
|
Percentages may not
recompute due to rounding.
|
Yum China
Holdings, Inc.
|
Pizza Hut
Operating Results
|
(in US$
million)
|
(unaudited)
|
|
|
|
Quarter
Ended
|
|
|
%
Change
|
|
Year to Date
Ended
|
|
|
%
Change
|
|
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
B/(W)
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
B/(W)
|
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company
sales
|
|
$
|
533
|
|
|
$
|
422
|
|
|
|
26
|
|
|
|
$
|
1,071
|
|
|
$
|
744
|
|
|
|
44
|
|
|
|
Franchise fees and
income
|
|
|
2
|
|
|
|
1
|
|
|
|
32
|
|
|
|
|
4
|
|
|
|
2
|
|
|
|
56
|
|
|
|
Revenues from
transactions with
franchisees and unconsolidated affiliates
|
|
|
2
|
|
|
|
1
|
|
|
|
76
|
|
|
|
|
3
|
|
|
|
2
|
|
|
|
83
|
|
|
|
Other
revenues
|
|
|
1
|
|
|
|
—
|
|
|
NM
|
|
|
|
|
1
|
|
|
|
—
|
|
|
NM
|
|
|
|
Total
revenues
|
|
|
538
|
|
|
|
424
|
|
|
|
26
|
|
|
|
|
1,079
|
|
|
|
748
|
|
|
|
44
|
|
|
|
Costs and
Expenses, Net
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company
restaurants
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Food and
paper
|
|
|
160
|
|
|
|
134
|
|
|
|
(20)
|
|
|
|
|
320
|
|
|
|
236
|
|
|
|
(36)
|
|
|
|
Payroll and employee
benefits
|
|
|
146
|
|
|
|
111
|
|
|
|
(32)
|
|
|
|
|
289
|
|
|
|
215
|
|
|
|
(34)
|
|
|
|
Occupancy and other
operating expenses
|
|
|
157
|
|
|
|
130
|
|
|
|
(20)
|
|
|
|
|
310
|
|
|
|
245
|
|
|
|
(26)
|
|
|
|
Company restaurant
expenses
|
|
|
463
|
|
|
|
375
|
|
|
|
(24)
|
|
|
|
|
919
|
|
|
|
696
|
|
|
|
(32)
|
|
|
|
General and
administrative expenses
|
|
|
28
|
|
|
|
23
|
|
|
|
(19)
|
|
|
|
|
53
|
|
|
|
47
|
|
|
|
(12)
|
|
|
|
Franchise
expenses
|
|
|
1
|
|
|
|
—
|
|
|
|
(32)
|
|
|
|
|
2
|
|
|
|
1
|
|
|
|
(35)
|
|
|
|
Expenses for
transactions with
franchisees and unconsolidated affiliates
|
|
|
2
|
|
|
|
1
|
|
|
|
(72)
|
|
|
|
|
3
|
|
|
|
2
|
|
|
|
(73)
|
|
|
|
Closures and
impairment expenses, net
|
|
|
5
|
|
|
|
10
|
|
|
|
49
|
|
|
|
|
3
|
|
|
|
15
|
|
|
|
79
|
|
|
|
Total costs and
expenses, net
|
|
|
499
|
|
|
|
409
|
|
|
|
(22)
|
|
|
|
|
980
|
|
|
|
761
|
|
|
|
(29)
|
|
|
|
Operating Profit
(Loss)
|
|
$
|
39
|
|
|
$
|
15
|
|
|
|
151
|
|
|
|
$
|
99
|
|
|
$
|
(13)
|
|
|
NM
|
|
|
|
Company
sales
|
|
|
100.0
|
%
|
|
|
100.0
|
%
|
|
|
|
|
|
|
|
100.0
|
%
|
|
|
100.0
|
%
|
|
|
|
|
|
|
Food and
paper
|
|
|
30.1
|
|
|
|
31.8
|
|
|
|
1.7
|
|
ppts.
|
|
|
29.9
|
|
|
|
31.7
|
|
|
|
1.8
|
|
ppts.
|
|
Payroll and employee
benefits
|
|
|
27.4
|
|
|
|
26.1
|
|
|
|
(1.3)
|
|
ppts.
|
|
|
26.9
|
|
|
|
28.8
|
|
|
|
1.9
|
|
ppts.
|
|
Occupancy and other
operating expenses
|
|
|
29.4
|
|
|
|
30.9
|
|
|
|
1.5
|
|
ppts.
|
|
|
29.0
|
|
|
|
33.1
|
|
|
|
4.1
|
|
ppts.
|
|
Restaurant
margin
|
|
|
13.1
|
%
|
|
|
11.2
|
%
|
|
|
1.9
|
|
ppts.
|
|
|
14.2
|
%
|
|
|
6.4
|
%
|
|
|
7.8
|
|
ppts.
|
|
Operating
margin
|
|
|
7.2
|
%
|
|
|
3.6
|
%
|
|
|
3.6
|
|
ppts.
|
|
|
9.2
|
%
|
|
|
(1.7)
|
%
|
|
|
10.9
|
|
ppts.
|
|
|
Percentages may not
recompute due to rounding.
|
Yum China
Holdings, Inc.
|
Condensed
Consolidated Balance Sheets
|
(in US$
million)
|
|
|
|
6/30/2021
|
|
|
12/31/2020
|
|
|
|
(Unaudited)
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
Current
Assets
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
1,209
|
|
|
$
|
1,158
|
|
Short-term
investments
|
|
|
3,139
|
|
|
|
3,105
|
|
Accounts receivable,
net
|
|
|
105
|
|
|
|
99
|
|
Inventories,
net
|
|
|
380
|
|
|
|
398
|
|
Prepaid expenses and
other current assets
|
|
|
207
|
|
|
|
176
|
|
Total Current
Assets
|
|
|
5,040
|
|
|
|
4,936
|
|
Property, plant and
equipment, net
|
|
|
1,822
|
|
|
|
1,765
|
|
Operating lease
right-of-use assets
|
|
|
2,205
|
|
|
|
2,164
|
|
Goodwill
|
|
|
841
|
|
|
|
832
|
|
Intangible assets,
net
|
|
|
228
|
|
|
|
246
|
|
Deferred income tax
assets
|
|
|
73
|
|
|
|
98
|
|
Investments in
unconsolidated affiliates
|
|
|
301
|
|
|
|
85
|
|
Other
assets
|
|
|
794
|
|
|
|
749
|
|
Total
Assets
|
|
|
11,304
|
|
|
|
10,875
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES,
REDEEMABLE NONCONTROLLING INTEREST AND EQUITY
|
|
|
|
|
|
|
|
|
Current
Liabilities
|
|
|
|
|
|
|
|
|
Accounts payable and
other current liabilities
|
|
|
2,042
|
|
|
|
1,995
|
|
Income taxes
payable
|
|
|
74
|
|
|
|
72
|
|
Total Current
Liabilities
|
|
|
2,116
|
|
|
|
2,067
|
|
Non-current operating
lease liabilities
|
|
|
1,941
|
|
|
|
1,915
|
|
Non-current finance
lease obligations
|
|
|
28
|
|
|
|
28
|
|
Deferred income tax
liabilities
|
|
|
232
|
|
|
|
227
|
|
Other
liabilities
|
|
|
159
|
|
|
|
167
|
|
Total
Liabilities
|
|
|
4,476
|
|
|
|
4,404
|
|
|
|
|
|
|
|
|
|
|
Redeemable
Noncontrolling Interest
|
|
|
12
|
|
|
|
12
|
|
|
|
|
|
|
|
|
|
|
Equity
|
|
|
|
|
|
|
|
|
Common stock,
$0.01 par value; 1,000 million shares authorized; 441 million
shares and
440 million shares issued at
June 30, 2021 and December 31, 2020, respectively; 421
million shares and 420 million shares outstanding at June 30, 2021
and December 31, 2020,
respectively
|
|
|
4
|
|
|
|
4
|
|
Treasury
stock
|
|
|
(728)
|
|
|
|
(728)
|
|
Additional paid-in
capital
|
|
|
4,679
|
|
|
|
4,658
|
|
Retained
earnings
|
|
|
2,415
|
|
|
|
2,105
|
|
Accumulated other
comprehensive income
|
|
|
205
|
|
|
|
167
|
|
Total Yum China
Holdings, Inc. Stockholders' Equity
|
|
|
6,575
|
|
|
|
6,206
|
|
Noncontrolling
interests
|
|
|
241
|
|
|
|
253
|
|
Total
Equity
|
|
|
6,816
|
|
|
|
6,459
|
|
Total Liabilities,
Redeemable Noncontrolling Interest and Equity
|
|
$
|
11,304
|
|
|
$
|
10,875
|
|
|
|
|
|
|
|
|
|
|
Yum China
Holdings, Inc.
|
Condensed
Consolidated Statements of Cash Flows
|
(in US$
million)
|
(unaudited)
|
|
|
|
|
|
Year to Date
Ended
|
|
|
|
|
6/30/2021
|
|
6/30/2020
|
Cash Flows –
Operating Activities
|
|
|
|
|
|
|
|
|
|
|
|
Net income –
including noncontrolling interests
|
|
|
$
|
436
|
|
|
|
$
|
202
|
|
|
Depreciation
and amortization
|
|
|
|
252
|
|
|
|
|
214
|
|
|
Non-cash
operating lease cost
|
|
|
|
204
|
|
|
|
|
178
|
|
|
Closures and
impairment expenses
|
|
|
|
11
|
|
|
|
|
29
|
|
|
Investment loss
(gain)
|
|
|
|
4
|
|
|
|
|
(37)
|
|
|
Equity income
from investments in unconsolidated affiliates
|
|
|
|
(27)
|
|
|
|
|
(34)
|
|
|
Distributions
of income received from unconsolidated affiliates
|
|
|
|
21
|
|
|
|
|
25
|
|
|
Deferred income
taxes
|
|
|
|
29
|
|
|
|
|
6
|
|
|
Share-based
compensation expense
|
|
|
|
25
|
|
|
|
|
17
|
|
|
Changes in
accounts receivable
|
|
|
|
(5)
|
|
|
|
|
6
|
|
|
Changes in
inventories
|
|
|
|
22
|
|
|
|
|
35
|
|
|
Changes in
prepaid expenses and other current assets
|
|
|
|
8
|
|
|
|
|
17
|
|
|
Changes in
accounts payable and other current liabilities
|
|
|
|
16
|
|
|
|
|
(16)
|
|
|
Changes in
income taxes payable
|
|
|
|
1
|
|
|
|
|
17
|
|
|
Changes in
non-current operating lease liabilities
|
|
|
|
(204)
|
|
|
|
|
(194)
|
|
|
Other,
net
|
|
|
|
(20)
|
|
|
|
|
(13)
|
|
|
Net Cash
Provided by Operating Activities
|
|
|
|
773
|
|
|
|
|
452
|
|
|
Cash Flows –
Investing Activities
|
|
|
|
|
|
|
|
|
|
|
|
Capital
spending
|
|
|
|
(303)
|
|
|
|
|
(185)
|
|
|
Purchases of
short-term investments
|
|
|
|
(2,824)
|
|
|
|
|
(1,093)
|
|
|
Purchase of
long-term time deposits
|
|
|
|
(25)
|
|
|
|
|
(57)
|
|
|
Maturities of
short-term investments
|
|
|
|
2,801
|
|
|
|
|
662
|
|
|
Contribution to
unconsolidated affiliates
|
|
|
|
—
|
|
|
|
|
(13)
|
|
|
Acquisition of
business, net of cash acquired
|
|
|
|
—
|
|
|
|
|
(177)
|
|
|
Investment in
equity securities
|
|
|
|
(261)
|
|
|
|
|
—
|
|
|
Disposal of
equity securities
|
|
|
|
—
|
|
|
|
|
54
|
|
|
Other,
net
|
|
|
|
1
|
|
|
|
|
48
|
|
|
Net Cash
Used in Investing Activities
|
|
|
|
(611)
|
|
|
|
|
(761)
|
|
|
Cash Flows –
Financing Activities
|
|
|
|
|
|
|
|
|
|
|
|
Repurchase of
shares of common stock
|
|
|
|
—
|
|
|
|
|
(8)
|
|
|
Cash dividends
paid on common stock
|
|
|
|
(101)
|
|
|
|
|
(45)
|
|
|
Dividends paid
to noncontrolling interests
|
|
|
|
(14)
|
|
|
|
|
(7)
|
|
|
Other,
net
|
|
|
|
(4)
|
|
|
|
|
1
|
|
|
Net Cash
Used in Financing Activities
|
|
|
|
(119)
|
|
|
|
|
(59)
|
|
|
Effect of
Exchange Rates on Cash, Cash Equivalents and Restricted
Cash
|
|
|
|
8
|
|
|
|
|
(6)
|
|
|
Net Increase
(Decrease) in Cash, Cash Equivalents and Restricted
Cash
|
|
|
|
51
|
|
|
|
|
(374)
|
|
|
Cash, Cash
Equivalents, and Restricted Cash - Beginning of
Period
|
|
|
|
1,158
|
|
|
|
|
1,055
|
|
|
Cash, Cash
Equivalents, and Restricted Cash - End of Period
|
|
|
$
|
1,209
|
|
|
|
$
|
681
|
|
|
In this press release:
- The Company provides certain percentage changes excluding the
impact of foreign currency translation ("F/X"). These amounts are
derived by translating current year results at prior year average
exchange rates. We believe the elimination of the F/X impact
provides better year-to-year comparability without the distortion
of foreign currency fluctuations.
- System sales growth reflects the results of all restaurants
regardless of ownership, including Company-owned, franchise and
unconsolidated affiliate restaurants that operate our restaurant
concepts, except for non-Company-owned restaurants for which we do
not receive a sales-based royalty. Sales of franchise and
unconsolidated affiliate restaurants typically generate ongoing
franchise fees for the Company at an average rate of approximately
6% of system sales. Franchise and unconsolidated affiliate
restaurant sales are not included in Company sales in the Condensed
Consolidated Statements of Income; however, the franchise fees are
included in the Company's revenues. We believe system sales growth
is useful to investors as a significant indicator of the overall
strength of our business as it incorporates all of our revenue
drivers, Company and franchise same-store sales as well as net unit
growth.
- Effective January 1, 2018, the
Company revised its definition of same-store sales growth to
represent the estimated percentage change in sales of food of all
restaurants in the Company system that have been open prior to the
first day of our prior fiscal year, excluding the period during
which stores are temporarily closed. We refer to these as our
"base" stores. Previously, same-store sales growth represented the
estimated percentage change in sales of all restaurants in the
Company system that have been open for one year or more, including
stores temporarily closed, and the base stores changed on a rolling
basis from month to month. This revision was made to align with how
management measures performance internally and focuses on trends of
a more stable base of stores.
- Company sales represent revenues from Company-owned
restaurants. Company Restaurant profit ("Restaurant profit") is
defined as Company sales less expenses incurred directly by our
Company-owned restaurants in generating Company sales. Company
restaurant margin percentage is defined as Restaurant profit
divided by Company sales.
Reconciliation of Reported GAAP Results to
Non-GAAP Adjusted Measures
(in millions, except per share
data)
(unaudited)
In addition to the results provided in accordance with U.S.
Generally Accepted Accounting Principles ("GAAP") in this press
release, the Company provides non-GAAP measures adjusted for
Special Items, which include Adjusted Operating Profit, Adjusted
Net Income, Adjusted Earnings Per Common Share ("EPS"), Adjusted
Effective Tax Rate and Adjusted EBITDA, which we define as net
income including noncontrolling interests adjusted for income tax,
interest income, net, investment gain or loss, certain non-cash
expenses, consisting of depreciation and amortization as well
as store impairment charges, and Special Items.
The following table set forth the reconciliation of the
most directly comparable GAAP financial measures to the non-GAAP
adjusted financial measures.
|
|
Quarter
Ended
|
|
|
Year to Date
Ended
|
|
|
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP
Reconciliations
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Operating Profit to Adjusted Operating Profit
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Profit
|
|
$
|
233
|
|
|
$
|
128
|
|
|
$
|
575
|
|
|
$
|
225
|
|
|
Special Items,
Operating Profit
|
|
|
(4)
|
|
|
|
(4)
|
|
|
|
(7)
|
|
|
|
(5)
|
|
|
Adjusted Operating
Profit
|
|
$
|
237
|
|
|
$
|
132
|
|
|
$
|
582
|
|
|
$
|
230
|
|
|
Reconciliation of
Net Income to Adjusted Net Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income – Yum
China Holdings, Inc.
|
|
$
|
181
|
|
|
$
|
132
|
|
|
$
|
411
|
|
|
$
|
194
|
|
|
Special Items, Net
Income –Yum China Holdings, Inc.
|
|
|
(4)
|
|
|
|
(4)
|
|
|
|
(7)
|
|
|
|
(5)
|
|
|
Adjusted Net Income –
Yum China Holdings, Inc.
|
|
$
|
185
|
|
|
$
|
136
|
|
|
$
|
418
|
|
|
$
|
199
|
|
|
Reconciliation of
EPS to Adjusted EPS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic Earnings Per
Common Share
|
|
$
|
0.43
|
|
|
$
|
0.35
|
|
|
$
|
0.98
|
|
|
$
|
0.51
|
|
|
Special Items, Basic
Earnings Per Common Share
|
|
|
(0.01)
|
|
|
|
(0.01)
|
|
|
|
(0.01)
|
|
|
|
(0.02)
|
|
|
Adjusted Basic
Earnings Per Common Share
|
|
$
|
0.44
|
|
|
$
|
0.36
|
|
|
$
|
0.99
|
|
|
$
|
0.53
|
|
|
Diluted Earnings Per
Common Share
|
|
$
|
0.42
|
|
|
$
|
0.34
|
|
|
$
|
0.95
|
|
|
$
|
0.50
|
|
|
Special Items,
Diluted Earnings Per Common Share
|
|
|
—
|
|
|
|
(0.01)
|
|
|
|
(0.01)
|
|
|
|
(0.01)
|
|
|
Adjusted Diluted
Earnings Per Common Share
|
|
$
|
0.42
|
|
|
$
|
0.35
|
|
|
$
|
0.96
|
|
|
$
|
0.51
|
|
|
Reconciliation of
Effective Tax Rate to Adjusted Effective Tax Rate
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effective tax
rate
|
|
|
24.8
|
%
|
|
|
25.2
|
%
|
|
|
27.6
|
%
|
|
|
27.8
|
%
|
|
Impact on effective
tax rate as a result of Special Items
|
|
|
0.3
|
%
|
|
|
0.6
|
%
|
|
|
0.4
|
%
|
|
|
0.5
|
%
|
|
Adjusted effective
tax rate
|
|
|
24.5
|
%
|
|
|
24.6
|
%
|
|
|
27.2
|
%
|
|
|
27.3
|
%
|
|
|
Net income, along
with the reconciliation to Adjusted EBITDA, is presented
below:
|
|
|
|
Quarter
Ended
|
|
|
Year to Date
Ended
|
|
|
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
Reconciliation of
Net Income to Adjusted EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income – Yum
China Holdings, Inc.
|
|
$
|
181
|
|
|
$
|
132
|
|
|
$
|
411
|
|
|
$
|
194
|
|
|
Net income –
noncontrolling interests
|
|
|
12
|
|
|
|
4
|
|
|
|
25
|
|
|
|
8
|
|
|
Income tax
provision
|
|
|
64
|
|
|
|
45
|
|
|
|
166
|
|
|
|
77
|
|
|
Interest income,
net
|
|
|
(16)
|
|
|
|
(8)
|
|
|
|
(31)
|
|
|
|
(17)
|
|
|
Investment (gain)
loss
|
|
|
(8)
|
|
|
|
(45)
|
|
|
|
4
|
|
|
|
(37)
|
|
|
Operating
Profit
|
|
|
233
|
|
|
|
128
|
|
|
|
575
|
|
|
|
225
|
|
|
Special Items,
Operating Profit
|
|
|
4
|
|
|
|
4
|
|
|
|
7
|
|
|
|
5
|
|
|
Adjusted Operating
Profit
|
|
|
237
|
|
|
|
132
|
|
|
|
582
|
|
|
|
230
|
|
|
Depreciation and
amortization
|
|
|
124
|
|
|
|
105
|
|
|
|
252
|
|
|
|
214
|
|
|
Store impairment
charges
|
|
|
16
|
|
|
|
24
|
|
|
|
19
|
|
|
|
36
|
|
|
Adjusted
EBITDA
|
|
$
|
377
|
|
|
$
|
261
|
|
|
$
|
853
|
|
|
$
|
480
|
|
|
|
Details of Special
Items are presented below:
|
|
|
|
Quarter
Ended
|
|
|
Year to Date
Ended
|
|
|
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
6/30/2021
|
|
|
6/30/2020
|
|
|
Share-based
compensation expense for Partner PSU
awards(1)
|
|
$
|
(4)
|
|
|
$
|
(1)
|
|
|
$
|
(7)
|
|
|
$
|
(2)
|
|
|
Derecognition of
indemnification assets related to Daojia(2)
|
|
|
—
|
|
|
|
(3)
|
|
|
|
—
|
|
|
|
(3)
|
|
|
Special Items,
Operating Profit
|
|
|
(4)
|
|
|
|
(4)
|
|
|
|
(7)
|
|
|
|
(5)
|
|
|
Tax effect on Special
Items(3)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Special Items, net
income – including noncontrolling interests
|
|
|
(4)
|
|
|
|
(4)
|
|
|
|
(7)
|
|
|
|
(5)
|
|
|
Special Items, net
income – noncontrolling interests
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Special Items, Net
Income –Yum China Holdings, Inc.
|
|
$
|
(4)
|
|
|
$
|
(4)
|
|
|
$
|
(7)
|
|
|
$
|
(5)
|
|
|
Weighted-average
Diluted Shares Outstanding (in millions)
|
|
|
435
|
|
|
|
388
|
|
|
|
434
|
|
|
|
387
|
|
|
Special Items,
Diluted Earnings Per Common Share
|
|
$
|
—
|
|
|
$
|
(0.01)
|
|
|
$
|
(0.01)
|
|
|
$
|
(0.01)
|
|
|
|
(1)
In February 2020, the Company granted Partner PSU Awards to select
employees who were deemed critical to the Company's execution of
its strategic operating plan. These PSU awards will only vest if
threshold performance goals are achieved over a four-year
performance period, with the payout ranging from 0% to 200% of the
target number of shares subject to the PSU awards. Partner PSU
Awards were granted to address increased competition for executive
talent, motivate transformational performance and encourage
management retention. Given the unique nature of these grants, the
Compensation Committee does not intend to grant similar, special
grants to the same employees during the performance period. The
impact from these special awards is excluded from metrics that
management uses to assess the Company's performance. The Company
recognized share-based compensation cost of $4 million and $7
million associated with the Partner PSU Awards for the quarter and
year to date ended June 30, 2021, respectively, and $1 million and
$2 million for the quarter and year to date ended June 30, 2020,
respectively.
|
(2)
In the quarter ended June 30, 2020, the Company derecognized a $3
million indemnification asset previously recorded for the Daojia
acquisition as the indemnification right expired pursuant to the
purchase agreement. The amount was included in Other income, net,
but was not allocated to any segment for performance reporting
purposes.
|
(3)
The tax expense was determined based upon the nature, as well as
the jurisdiction, of each Special Item at the applicable tax
rate.
|
The Company excludes impact from Special Items for the purpose
of evaluating performance internally. Special Items are not
included in any of our segment results. In addition, the Company
provides Adjusted EBITDA because we believe that investors and
analysts may find it useful in measuring operating performance
without regard to items such as income tax, interest income, net,
investment gain or loss, depreciation and amortization, store
impairment charges, and Special Items. Store impairment charges
included as an adjustment item in Adjusted EBITDA primarily
resulted from our semi-annual impairment evaluation of long-lived
assets of individual restaurants, and additional impairment
evaluation whenever events or changes in circumstances indicate
that the carrying value of the assets may not be recoverable. If
these restaurant-level assets were not impaired, depreciation of
the assets would have been recorded and included in EBITDA.
Therefore, store impairment charges were a non-cash item similar to
depreciation and amortization of our long-lived assets of
restaurants. The Company believes that investors and analyst may
find it useful in measuring operating performance without regard to
such non-cash item.
These adjusted measures are not intended to replace the
presentation of our financial results in accordance with
GAAP. Rather, the Company believes that the presentation of
these adjusted measures provides additional information to
investors to facilitate the comparison of past and present results,
excluding those items that the Company does not believe are
indicative of our ongoing operations due to their nature.
Unit Count by
Brand
|
|
|
|
|
|
|
|
|
|
|
|
|
|
KFC
|
|
|
12/31/2020
|
|
New Builds
|
|
Closures
|
|
Refranchised
|
|
Acquired
|
|
6/30/2021
|
Company-owned
|
|
5,872
|
|
410
|
|
(76)
|
|
(1)
|
|
2
|
|
6,207
|
Unconsolidated
affiliates
|
|
677
|
|
69
|
|
(6)
|
|
—
|
|
—
|
|
740
|
Franchisees
|
|
617
|
|
54
|
|
(8)
|
|
1
|
|
(2)
|
|
662
|
Total
|
|
7,166
|
|
533
|
|
(90)
|
|
—
|
|
—
|
|
7,609
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pizza
Hut
|
|
|
|
|
|
|
12/31/2020
|
|
New Builds
|
|
Closures
|
|
6/30/2021
|
|
|
|
|
Company-owned
|
|
2,230
|
|
104
|
|
(36)
|
|
2,298
|
|
|
|
|
Franchisees
|
|
125
|
|
4
|
|
(2)
|
|
127
|
|
|
|
|
Total
|
|
2,355
|
|
108
|
|
(38)
|
|
2,425
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Others
|
|
|
|
|
|
|
12/31/2020
|
|
New Builds
|
|
Closures
|
|
6/30/2021
|
|
|
|
|
Company-owned
|
|
88
|
|
9
|
|
(8)
|
|
89
|
|
|
|
|
Unconsolidated
affiliates
|
|
4
|
|
10
|
|
—
|
|
14
|
|
|
|
|
Franchisees
|
|
893
|
|
59
|
|
(66)
|
|
886
|
|
|
|
|
Total
|
|
985
|
|
78
|
|
(74)
|
|
989
|
|
|
|
|
Yum China
Holdings, Inc.
|
Segment
Results
|
(in US$
million)
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended
6/30/2021
|
|
KFC
|
|
Pizza Hut
|
|
All Other
Segments
|
|
Corporate
and
Unallocated(1)
|
|
Elimination
|
|
Total
|
Company
sales
|
|
$
1,687
|
|
$
533
|
|
$
13
|
|
$
—
|
|
$
—
|
|
$
2,233
|
Franchise fees and
income
|
|
30
|
|
2
|
|
6
|
|
—
|
|
—
|
|
38
|
Revenues from
transactions with
franchisees and unconsolidated
affiliates(2)
|
|
14
|
|
2
|
|
23
|
|
125
|
|
—
|
|
164
|
Other
revenues
|
|
3
|
|
1
|
|
64
|
|
2
|
|
(54)
|
|
16
|
Total
revenues
|
|
$
1,734
|
|
$
538
|
|
$
106
|
|
$
127
|
|
$
(54)
|
|
$
2,451
|
Company restaurant
expenses
|
|
1,403
|
|
463
|
|
14
|
|
—
|
|
(1)
|
|
1,879
|
General and
administrative expenses
|
|
58
|
|
28
|
|
10
|
|
40
|
|
—
|
|
136
|
Franchise
expenses
|
|
15
|
|
1
|
|
—
|
|
—
|
|
—
|
|
16
|
Expenses for
transactions with
franchisees and unconsolidated
affiliates(2)
|
|
14
|
|
2
|
|
21
|
|
123
|
|
—
|
|
160
|
Other operating costs
and expenses
|
|
1
|
|
—
|
|
63
|
|
2
|
|
(53)
|
|
13
|
Closures and
impairment expenses, net
|
|
6
|
|
5
|
|
2
|
|
—
|
|
—
|
|
13
|
Other (income)
expenses, net
|
|
(3)
|
|
—
|
|
2
|
|
2
|
|
—
|
|
1
|
Total costs and
expenses, net
|
|
1,494
|
|
499
|
|
112
|
|
167
|
|
(54)
|
|
2,218
|
Operating Profit
(Loss)
|
|
$
240
|
|
$
39
|
|
$
(6)
|
|
$
(40)
|
|
$
—
|
|
$
233
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended
6/30/2020
|
|
KFC
|
|
Pizza Hut
|
|
All Other
Segments
|
|
Corporate
and
Unallocated(1)
|
|
Elimination
|
|
Total
|
Company
sales
|
|
$
1,260
|
|
$
422
|
|
$
10
|
|
$
—
|
|
$
—
|
|
$
1,692
|
Franchise fees and
income
|
|
32
|
|
1
|
|
4
|
|
—
|
|
—
|
|
37
|
Revenues from
transactions with
franchisees and unconsolidated
affiliates(2)
|
|
15
|
|
1
|
|
11
|
|
130
|
|
—
|
|
157
|
Other
revenues
|
|
—
|
|
—
|
|
25
|
|
1
|
|
(10)
|
|
16
|
Total
revenues
|
|
$
1,307
|
|
$
424
|
|
$
50
|
|
$
131
|
|
$
(10)
|
|
$
1,902
|
Company restaurant
expenses
|
|
1,077
|
|
375
|
|
10
|
|
—
|
|
(1)
|
|
1,461
|
General and
administrative expenses
|
|
42
|
|
23
|
|
11
|
|
37
|
|
—
|
|
113
|
Franchise
expenses
|
|
16
|
|
—
|
|
—
|
|
—
|
|
—
|
|
16
|
Expenses for
transactions with
franchisees and unconsolidated
affiliates(2)
|
|
15
|
|
1
|
|
9
|
|
135
|
|
—
|
|
160
|
Other operating costs
and expenses
|
|
—
|
|
—
|
|
21
|
|
1
|
|
(9)
|
|
13
|
Closures and
impairment expenses, net
|
|
10
|
|
10
|
|
1
|
|
—
|
|
—
|
|
21
|
Other (income)
expenses, net
|
|
(12)
|
|
—
|
|
—
|
|
2
|
|
—
|
|
(10)
|
Total costs and
expenses, net
|
|
1,148
|
|
409
|
|
52
|
|
175
|
|
(10)
|
|
1,774
|
Operating Profit
(Loss)
|
|
$
159
|
|
$
15
|
|
$
(2)
|
|
$
(44)
|
|
$
—
|
|
$
128
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year to Date Ended
6/30/2021
|
|
KFC
|
|
Pizza Hut
|
|
All Other
Segments
|
|
Corporate
and
Unallocated(1)
|
|
Elimination
|
|
Total
|
Company
sales
|
|
$
3,470
|
|
$
1,071
|
|
$
23
|
|
$
—
|
|
$
—
|
|
$
4,564
|
Franchise fees and
income
|
|
63
|
|
4
|
|
13
|
|
—
|
|
—
|
|
80
|
Revenues from
transactions with
franchisees and unconsolidated
affiliates(2)
|
|
29
|
|
3
|
|
49
|
|
254
|
|
—
|
|
335
|
Other
revenues
|
|
4
|
|
1
|
|
99
|
|
4
|
|
(79)
|
|
29
|
Total
revenues
|
|
$
3,566
|
|
$
1,079
|
|
$
184
|
|
$
258
|
|
$
(79)
|
|
$
5,008
|
Company restaurant
expenses
|
|
2,831
|
|
919
|
|
26
|
|
—
|
|
(1)
|
|
3,775
|
General and
administrative expenses
|
|
113
|
|
53
|
|
19
|
|
81
|
|
—
|
|
266
|
Franchise
expenses
|
|
31
|
|
2
|
|
—
|
|
—
|
|
—
|
|
33
|
Expenses for
transactions with
franchisees and unconsolidated
affiliates(2)
|
|
29
|
|
3
|
|
45
|
|
252
|
|
—
|
|
329
|
Other operating costs
and expenses
|
|
1
|
|
—
|
|
96
|
|
5
|
|
(78)
|
|
24
|
Closures and
impairment expenses, net
|
|
6
|
|
3
|
|
2
|
|
—
|
|
—
|
|
11
|
Other (income)
expenses, net
|
|
(12)
|
|
—
|
|
5
|
|
2
|
|
—
|
|
(5)
|
Total costs and
expenses, net
|
|
2,999
|
|
980
|
|
193
|
|
340
|
|
(79)
|
|
4,433
|
Operating Profit
(Loss)
|
|
$
567
|
|
$
99
|
|
$
(9)
|
|
$
(82)
|
|
$
—
|
|
$
575
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year to Date Ended
6/30/2020
|
|
KFC
|
|
Pizza Hut
|
|
All Other
Segments
|
|
Corporate
and
Unallocated(1)
|
|
Elimination
|
|
Total
|
Company
sales
|
|
$
2,480
|
|
$
744
|
|
$
16
|
|
$
—
|
|
$
—
|
|
$
3,240
|
Franchise fees and
income
|
|
65
|
|
2
|
|
5
|
|
—
|
|
—
|
|
72
|
Revenues from
transactions with
franchisees and unconsolidated
affiliates(2)
|
|
31
|
|
2
|
|
16
|
|
269
|
|
—
|
|
318
|
Other
revenues
|
|
—
|
|
—
|
|
41
|
|
2
|
|
(17)
|
|
26
|
Total
revenues
|
|
$
2,576
|
|
$
748
|
|
$
78
|
|
$
271
|
|
$
(17)
|
|
$
3,656
|
Company restaurant
expenses
|
|
2,131
|
|
696
|
|
19
|
|
—
|
|
(2)
|
|
2,844
|
General and
administrative expenses
|
|
88
|
|
47
|
|
19
|
|
58
|
|
—
|
|
212
|
Franchise
expenses
|
|
32
|
|
1
|
|
—
|
|
—
|
|
—
|
|
33
|
Expenses for
transactions with
franchisees and unconsolidated
affiliates(2)
|
|
31
|
|
2
|
|
13
|
|
270
|
|
—
|
|
316
|
Other operating costs
and expenses
|
|
—
|
|
—
|
|
36
|
|
2
|
|
(15)
|
|
23
|
Closures and
impairment expenses, net
|
|
11
|
|
15
|
|
3
|
|
—
|
|
—
|
|
29
|
Other (income)
expenses, net
|
|
(29)
|
|
—
|
|
—
|
|
3
|
|
—
|
|
(26)
|
Total costs and
expenses, net
|
|
2,264
|
|
761
|
|
90
|
|
333
|
|
(17)
|
|
3,431
|
Operating Profit
(Loss)
|
|
$
312
|
|
$
(13)
|
|
$
(12)
|
|
$
(62)
|
|
$
—
|
|
$
225
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The above tables
reconcile segment information, which is based on management
responsibility, with our Condensed Consolidated
Statements of Income.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Amounts have not
been allocated to any segment for purpose of making operating
decision or assessing financial performance as
the transactions are deemed corporate revenues and expenses in
nature.
|
(2) Primarily
included revenues and associated expenses of transactions with
franchisees and unconsolidated affiliates derived from
the Company's central procurement model whereby the Company
centrally purchases substantially all food and paper products
from suppliers and then sells and delivers to KFC and Pizza Hut
restaurants, including franchisees and unconsolidated
affiliates.
|
View original
content:https://www.prnewswire.com/news-releases/yum-china-reports-second-quarter-2021-results-301343095.html
SOURCE Yum China Holdings, Inc.