Yum China Holdings, Inc. · NYSE:YUMC
Yum China — Investor Day (2021)
22 slides from Yum China's investor day presentation, 2021
Slide 1: Jeff Kuai, Pizza Hut General Manager
Jeff Kuai Pi z z a H u t G e n e r a l M a n a g e r
Slide 2: Cautionary Statements
Cautionary Statements Forward-Looking Statements. This presentation 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. We intend all forward-looking statements to be covered by the safe harbor
Slide 3: We are Back
We are Back 1 2 3 Clear leader in the fast Revitalization initiatives Compelling strategy to growing Western Casual yielded strong drive long-term growth Dining market in China performance despite COVID-19 impact 3
Slide 4: Leader in the Rapidly Growing WCDR Market
Leader in the Rapidly Growing WCDR Market Large China WCDR market with strong growth potential Market leader with 2,400+2 stores $ bn1 2,400+ -11% +13% +10% 6x 38 41 42 35 37 31 ~384 ~369 2016E 2017E 2018E 2019E 2020E 2021E Second Third Player Player 1. Applied constant exchange rate to all periods
Slide 5: Leader in Multiple Categories and Customer Segments
Leader in Multiple Categories and Customer Segments Pizza Steak Family 5
Slide 6: Broad Footprint with Strong Operational Capabilities
Broad Footprint with Strong Operational Capabilities 2,400+ stores1 ~100 mn digital members1 World-class operational capability ~245 mn customer visits per year Delivery covers 500+ cities 1. Stores and members count as of June 30, 2021 6
Slide 7: Sharpened Strategy to Drive Sustainable Growth
Sharpened Strategy to Drive Sustainable Growth I. Improve Fundamentals II. Develop Multiple Channels Branding Enhance day-parts Product Excellence Accelerate Delivery Customer Experience Explore New Retail Operational Efficiency People Development IV. Remodel Stores & III. Enhance Digital Capability
Slide 8: Upgraded Hand-tossed Pizza Dough with New Flavors
Upgraded Hand-tossed Pizza Dough with 13 New Flavors
Slide 9: Premium Steak Category and Innovative Appetizer Category
Premium Premium Steak Steak Category Category Beef Wellington Surf & Turf Innovative Innovative Appetizer Appetizer Category Category Baked Crayfish Tapas
Slide 10: Stylish and 'TikTok-able' Desserts and Drinks
Stylish and ‘TikTok-able’ Desserts and Drinks
Slide 11: Strengthening Signature Value Promotion Platform
Strengthening Signature Value Promotion Platform Scream Wednesday All-You-Can-Eat Pizza 30% Off 11
Slide 12: Fortifying Resiliency Amidst COVID-19 Challenges
Fortifying Resiliency Amidst COVID-19 Challenges Dine-in Delivery Takeout Retail Products 12
Slide 13: Driving Delivery as a Key Growth Engine
Driving Delivery as a Key Growth Engine Delivery Sales Mix1 ~35% Delivery Sales Growth2 ~40% Strengthen Enhance Collaborate Streamline Branding & Delivery Product with Delivery Packaging Offering Aggregators Operations 1. Sales mix in 2021 1H 2. 2021 1H vs. 2019 1H 13
Slide 14: Expanding Dayparts to Generate Incremental Traffic
Expanding Dayparts to Generate Incremental Traffic Breakfast Lunch Afternoon Dinner Late Night 14
Slide 15: Further Explore Ready-to-Cook Opportunities to Penetrate At-home Occasion
Further Explore Ready-to-Cook Opportunities to Penetrate At-home Occasion
Slide 16: Enhanced Digital Capabilities
Enhanced Digital Digital Member Digital Orders Capabilities Member 1 Sales %2 Sales% 2 ~100 mn ~55% ~83% 1. Member count as of June 30, 2021; 2. Member sales and Digital orders in 2021 1H
Slide 17: >50% of Our Stores are New or Refurbished in the Past 3 Years
>50% of Our Stores are New or Refurbished in the Past 3 Years Years 3.7 3.3 3.0 2018 2019 2020 Pizza Hut Dongchenghui Store, Xianlin District, Nanjing
Slide 18: Pizza Hut Raffles City Store, Yuzhong District, Chongqing
Pizza Hut Raffles City Store, Yuzhong District, Chongqing
Slide 19: Pizza Hut Yuanrong Times Square Store, Suzhou Industrial Park, Suzhou
Pizza Hut Yuanrong Times Square Store, Suzhou Industrial Park, Suzhou 19
Slide 20: Enhancing Coverage in Higher Tier Cities with Satellite Stores
Enhancing Enhancing Coverage Coverage in inHigher HigherTier Cities Tier Cities with withSatellite SatelliteStores Stores Accelerating Lower Accelerating Lower Tier City Penetration Tier City Penetration Pizza Hut Phoenix Center Store, Qidong, Nantong
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Slide 22: Yum China
YumChina