Mercer International Stock Surges 45% on C$20 Million Canada Funding 
Britain has almost 1 million young people not in work or education – here’s what evidence shows can change that 
Japan Eyes Tax Changes to Curb Condo Speculation 
Booked to travel through the Middle East? Here’s why you shouldn’t cancel your flight 
US PCE Inflation Holds at 3.7% as Fed Rate Decision Looms 
Asian Stocks Slip Ahead of Nvidia Earnings and US Inflation Data 
Salesforce Shares Surge as AI Demand Powers Q2 Earnings Beat 
The ghost of Robodebt – Federal Court rules billions of dollars in welfare debts must be recalculated 
Nvidia Options Price in $280 Billion Earnings Swing 
Luxshare Shares Rise as First-Half Profit Jumps 18% 
Asian Chip Stocks Mixed After Nvidia Earnings Beat 
Gold Prices Fall as Stronger Dollar, Fed Rate Outlook Weigh 
Trump Administration Plans New Drug Pricing Deals With Biotech Firms 
Columbia Student Mahmoud Khalil Fights Arrest as Deportation Case Moves to New Jersey 
SK Biopharmaceuticals Secures Global Rights to Biohaven Epilepsy Drug Opakalim 
Asian Stocks Rebound as Oil Prices Fall, Nvidia Earnings in Focus 
Heritage, desire and diplomacy: why China still values scotch whisky 
Add as a preferred source on Google
Despite the economic deceleration, Yum China Holdings, the parent company of KFC and Pizza Hut in mainland China, remains undeterred in its expansion plans. According to CEO Joey Wat, the company aims to inaugurate up to 1300 new stores in 2023, buoyed by robust Q2 results and favorable growth prospects in the Chinese market.
In an interview with Reuters following the company's positive second-quarter results, which showed a 25% increase in revenue, Wat expressed optimism about the growth opportunities in the Chinese market. She mentioned that Yum China intends to maintain a steady pace of opening 1100 to 1300 new outlets this year, while capital spending is expected to range between US$700 million to $900 million.
Wat emphasized that despite slower GDP growth, the Chinese market is still growing much faster than some developed markets, and it presents significant growth prospects due to its size. She highlighted that Yum China has successfully expanded not only in lower-tier cities but also increased its presence in top-tier cities, yielding positive results.
China's post-Covid recovery has encountered challenges recently, with domestically and internationally weakened demand. However, the catering and tourism sectors have shown resilience as Chinese residents have sought new leisure activities.
While acknowledging the need for time to adjust to the lifting of Covid restrictions, Wat noted that small waves of infections have impacted consumption. Despite this, overall traffic has started to recover, although spending per person has decreased as consumers have become more cautious in their expenditures.
As we enter the summer trading period, Wat highlighted that traffic is gradually increasing, particularly in tier 2 cities, as people venture out on trips. She acknowledged that after three challenging years, it takes time for people to recover fully.
In its second-quarter report, Yum China Holdings announced a net income of $197 million, a substantial surge of 138% compared to last year.
Photo: Aleks Dorohovich/Unsplash
