Chengdu, China — Yum China Holdings, Inc. has hit the 20,000-store milestone, spanning over 2,800 cities and towns across China. The occasion was marked by the simultaneous opening of six new stores — one for each brand it operates in Mainland China: KFC, Pizza Hut, Lavazza, Taco Bell, Little Sheep and Huang Ji Huang.
“Reaching 20,000 stores is a milestone made possible by the hard work of Yum China employees and the trust of our customers,” says Joey Wat, CEO of Yum China. “2026 marks the second year of executing our RGM 3.0 strategy, which focuses on resilience, growth and moat.”
From the first KFC store in China, opened in 1987, it took the company 33 years to reach its first 10,000 stores and just 6 years to add the next 10,000. Yum China is targeting 30,000 stores by 2030, meaning it expects to add the next 10,000 stores within 4 years. This accelerated expansion underscores Yum China’s strong execution capabilities and significant runway for growth in China. The company plans to continue expanding through its equity-and-franchise hybrid model, supported by diverse store formats and offerings tailored to different city tiers and consumer occasions.
Alongside its rapid store expansion, KFC and Pizza Hut developed side-by-side modules including KCOFFEE café, KPRO and Pizza Hut Burger Bar.
Yum China’s RGM 3.0 strategy has a dual focus of innovation and operational efficiency to drive growth. Since 2023, the company has been exploring and deploying agentic AI to enhance operational efficiency across the organization. In 2025, Yum China began piloting “Q-Smart,” an AI-enabled assistant that supports restaurant managers with data-intensive tasks such as labor scheduling and inventory management.
Its latest “AI Store Assistant” builds on Q-Smart and adds a range of new capabilities. By further integrating AI and advanced technologies with restaurant operating data and connected kitchen equipment, the upgraded agent provides real-time recommendations on operating decisions. For example, it can identify changes in restaurant traffic and suggest adjustments to production and staffing, helping restaurants respond more nimbly while reducing food waste.
Yum China is the largest restaurant company in China. The Pizza Hut brand in Mainland China is owned by Yum China. In addition, Yum China has partnered with Lavazza to develop the Lavazza coffee concept in China. Little Sheep and Huang Ji Huang specialize in Chinese cuisine. For more information, visit http://ir.yumchina.com.
SOURCE: Yum China Holdings, Inc.