Yum China Holdings, Inc. · NYSE:YUMC
Yum China — Investor Day (2025)
25 slides from Yum China's investor day presentation, 2025
Slide 1: KFC General Manager Presentation
Fae WANG | KFC GENERAL MANAGER |. Ee ‘ / /
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: Key Takeaways
=e ee Key Takeaways )» Core Competencies: Products, Stores, Customer Base & Brand Team » Growth Potential: Lower-tier Markets & New Occasions » Brand Strategy: RGM 3.0
Slide 4: Over 10,000 Stores, and Still Growing
38 Years in China: Over 10,000+ Stores, and Still Growing Average life-span of Chinese restaurants is ~ 2 years’ 1. Data from Meituan
Slide 5: Product: Legendary Classics and Innovation
ae Product ston Legendary Classics & ani a a “y2in . ¥3bn Aon 1. Total product sales amount during 2024 Q4- 2025 Q3
Slide 6: Store Footprint and Store Models
otprint with i . ~ZA\ Classic Customized ~170m? ~150m? ~100m? CAPEX:>1.8mn RMB CAPEX: ~1.6mn RMB CAPEX:~1.3mn RMB CAPEX:0-5-0.7mn RMB Total Cities Net new stores’ 1 2, 600+ entered’ 2, 500+ builds? 1, 300+ 1. As of Sept 30", 2025; 2. From 2024 4 — 2025 93
Slide 7: Customer: Household Name Trusted and Favored by Customers
Customer: Household Name Trusted and Favored by Customers “So “Reliable “Always “Comforting Convenient” | Food Quality” New News” & Relaxing” ayo a D ea Ican glvays I can sit in KFC all day, eating, I'm here for the new drinking, studying crawfish burger again! oe b ws, First choice when I'm in a hu
Slide 8: Brand Team: Self-motivated and Cohesive Brand Family
“Up. | av Sy ° e 3 Brand Team: Self-motivated and Cohesive Brand Famil \" s, cy’ Ye es i? ae ae fe a el e ° % 200k+ 6,000+ 100% Total restaurant Total RGMs' Operating leaders crew members! promoted from RGMs' 1. As of Sept 30", 2025 = ee
Slide 9: Resilience Through Cycles, Consistently Driving Growth
oe | Resilience Through Cycles, Consistently Driving Growth Total stores System sales growth Operating profit Unit mn USD 11,648 = CAGR +5% 1,192 949 _ an a 2019 2024 2019 2024 2019 2024 We Push Beyond Our Boundaries
Slide 10: We See Opportunities in Lower-tier Markets
me We See Opportunities in Lower-tier Markets ] China urbanization ratio’ 2 yi 000 + 65% 67% Unpenetrated cities 61% ao 2 eos White space locations 2019 2021 2024 in strategic channels Disposable income per capita growth (2023-2024) 4.4% 3.0% ~1/3 > >1/2 4. _ | a China population penetration Tier ee
Slide 11: Growth Potential Also Lies in New Occasions
| oe | Growth Potential Also Lies in New Occasions China annual coffee consumption per person (cups) 7 YoY GMV growth of light Top5 light meal brands store meal on aggregators” count share on aggregator® ~30 cups 22 cups 17 cups 1 9 fe) 2 O % | oe +19% ~20% 2023 2024 2025E China’‘s car ownership, mn
Slide 12: Advancing Toward the Next 10,000 Stores
ae Advancing Toward the Next 10,000 Stores 2026E-2028E System Sales CAGR' Mie] 8 nigh single cig kt 2028E 2026E - 2028E 2028E Total Units Same-Store Sales Index Operating Profit 17,000+ 100-102 ¥ 10bn+ R-G M~ Resilience Growth Moat 1. CAGR excluding F/X, three-year targets on 2025 base
Slide 13: Expand in Different Tiers with Differentiated Store Models
= Expand in Different Tiers with Differentiated Store Models High-tier: Side-by-side Low-tier: Small town model Improve store economics Accelerate franchising expansion Guanadeng Shenzhen - Tian’an 3h int Henan Kaifeng - Zijing Plaza Al-enabled Lower Rent structure site selection investment costs op
Slide 14: Strategic Channels and Accelerate Franchise Business
Small towns & remote areas Strategic channels HAN ach &b Highways Colleges Hospitals ey ral Metros Gas stations Scenic spots Accelerate Franchise Business “One System, One Process” Franchisee learning & certification process Regular food safety inspections & sales audits Annual development qualifica
Slide 15: Strengthen the Core and Scale Up New Engines
Strengthen the Core and Scale Up New Engines New Customers Light meal users High-frequency occasions kereo a | | Strengthen the core KCOFFEE Deer Improve product strength Enhance value-for-money Optimize channel mix Bitel (irc im || om Collaborate with IPs Value-conscious groups New Occasions Value-
Slide 16: Strengthen the Core: Products & Value-for-Money
oe | Strengthen the Core: Products & Value-for-Money Improve product strength Enhance value-for-money Build signature value campaigns Focus on heroes Reinforce “Chicken Cooking Expert” leadership Enhance solo dining value perception Promote brand- themed campaigns Enrich main offerings
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Slide 18: Scale Up New Engines - KCOFFEE cafes
ae Scale Up New Engines - KCOFFEE cafes Total Bocatic ss " Standalone location testing q 800+ = Expand with franchisees ! A Ice creamitopped : Sparkling Coffee Coffee q Egg Tart v z € ¢ 3 & ¢ $ 3 ® r 1. As of Sept 30", 2025
Slide 19: Scale Up New Engines - Light Meal Concept
ee Scale Up New Engines - kee o hi aa i 1 Total Locations | Cities Covered » Menu revamp 100+ 20+ i, Superfood Smoothie hve . Wraps | Wiis da Soba 1. As of Sept 30", 2025
Slide 20: Scale Up New Engines - Drive-thru 2.0
= Scale Up New Engines - Drive-thru 2.0 Window pickup Door-side pickup Lane, no window Lane & window | | No lane, no window
Slide 21: More to Explore: Staple Food in Selected Channels
a More to Explore: Staple Food in Selected Channels “Group Buying” | “Riders’ Meal” | “Campus Menu”
Slide 22: Build Resilience through Innovation & Operational Efficiency
oe | Build Resilience through Innovation & Operational Efficiency 4 <) e: Technology Streamlining Centralization Synergy j New store opening Talent sharing A Menu items a = camer Mega RGM Ualacoaiare Customer service center yy = Raw material SKUs Product sharing End-to-end _ Teagtensnenctiion RGM AI
Slide 23: Broaden Our Moat - Digital Assets
| Broaden Our Moat - Digital Assets Frequency increase (4 Privilege program (. { Recruitment & activation (A [ aA
Slide 24: Broaden Our Moat - Customer Service & Restaurant Support
Broaden Our Moat - Customer Service & Restaurant Support Customer Mania Expand customer Build intelligent listening channel dashboard GES 2.0 Project-based Supported by customer problem solving service center RGM No.1 “Hear RGMs’ Voices” Register RGMs’ needs and questions RGM Voice Motivate supporti
Slide 25: Leading Brand in China's Restaurant Industry
e\ Leading Brand in China‘s Restaurant Industry Our Mission Forever Tasty, Forever with You, Forever Love ahd Care