Investment Rating - The report maintains a "Buy" rating for the company [7][5]. Core Views - The company reported strong same-store performance in Q2 2025, with operating profit exceeding expectations, showcasing resilience as a market leader [1][2]. - The company aims to open 1,600 to 1,800 new stores in 2025, with a focus on increasing the proportion of franchise stores [4][3]. - The target price is set at HKD 444.80 or USD 56.66, reflecting a slight adjustment in revenue and net profit forecasts for 2025-2027 [5][8]. Financial Performance - Q2 2025 revenue reached USD 2.787 billion, a year-over-year increase of 4%, while the first half of 2025 revenue was USD 5.768 billion, up 2% [1]. - Q2 operating profit was USD 304 million, a 14% increase year-over-year, with an operating margin of 10.9% [2][1]. - The company achieved a net profit of USD 215 million in Q2, with a net profit margin of 7.7% [1]. Store Expansion and Capital Expenditure - As of June 30, 2025, the company had 16,978 stores, with 336 new stores opened in the quarter, achieving the target for new franchise store openings [3][4]. - The capital expenditure per store has been optimized, with KFC and Pizza Hut's CAPEX reduced to USD 140,000 and USD 110,000-120,000 respectively [3][4]. Future Outlook - The company expects to maintain steady same-store sales growth in the second half of 2025, supported by cost structure optimization and ongoing store type iterations [1][4]. - The forecast for operating profit margin is a moderate increase for the full year, with expectations for improved free cash flow starting in 2025 due to reduced capital expenditures [4][5].
百胜中国（09987）：Q2同店表现优异，经营利润超预期