Investment Rating - The report maintains a "Buy" rating for Yum China (09987.HK) [1] Core Insights - Yum China reported a 4% year-over-year increase in total revenue for the full year 2025, with a 9% increase in Q4 revenue, exceeding previous expectations [7] - The company achieved a net profit growth of 2% for the full year and 24% for Q4, attributed to automation, lean operations, and improved raw material costs [7] - The total number of stores reached 18,100 by the end of 2025, with a net addition of 1,706 stores throughout the year [7] - Same-store sales showed significant improvement, with a 1% increase for the full year and a 3% increase in Q4 [7] - The outlook for 2026 is positive, with plans to exceed 20,000 stores and a capital expenditure of $600-700 million [7] - The company plans to return $1.5 billion to shareholders in 2025, with a dividend yield of nearly 8% [7] - Earnings forecasts for 2026-2028 have been adjusted upwards, with projected net profits of $1.04 billion, $1.14 billion, and $1.26 billion respectively [7] Financial Summary - Total revenue projections for 2024 to 2028 are $11.30 billion, $11.80 billion, $12.69 billion, $13.43 billion, and $14.26 billion respectively, with year-over-year growth rates ranging from 2.96% to 7.54% [1] - Net profit projections for the same period are $911 million, $929 million, $1.04 billion, $1.14 billion, and $1.26 billion, with growth rates from 1.98% to 12.24% [1] - The latest diluted EPS estimates are $2.57, $2.62, $2.94, $3.23, and $3.56 for the years 2024 to 2028 [1] - The current P/E ratios are projected to decrease from 22.10 in 2024 to 15.94 in 2028 [1]
百胜中国（09987）：质地稳健的高股息龙头，维持推荐