On Tuesday, Yum China Holdings, Inc. (YUMC.US) saw its shares rise over 3% to $45.56. The company held its Q3 2025 earnings conference on November 4, where management highlighted strong performance in KFC's new business models, particularly its "store-within-a-store" concept, which contributed to incremental sales and profits.

Kcoffee has expanded to 1,800 locations, significantly surpassing expectations. Similarly, K Pro, a light-meal-focused concept, has synergized with KFC by sharing store space, resources, and membership systems. K Pro has now grown to 100 stores, with encouraging early results.

Meanwhile, Pizza Hut's "Wow" format has expanded to 250 stores, adding nearly 54 locations year-to-date. This low-capex model features streamlined operations, enabling Pizza Hut to enter 40 new cities previously without a presence. The company plans to accelerate "Wow" store openings, focusing on lower-tier cities.

Yum China reported Q3 2025 system sales growth of 4% year-over-year, with total revenue reaching $3.206 billion (up 4% YoY), slightly above estimates of $3.2 billion. Operating profit rose 8% to $400 million, while net profit stood at $282 million, with basic EPS at $0.76.

For the first nine months of 2025, total revenue reached $8.974 billion (up 3% YoY), operating profit grew 9% to $1.103 billion, and net profit was $789 million, with basic EPS at $2.12.