Yum China Holdings, Inc. (Chinese: 百胜中国; pinyin: Bǎishèng Zhōngguó) is a Chinese Fortune 500 fast-food restaurant company based in Shanghai, China. With US$11.797 billion in revenue and 18,737 restaurants worldwide it is one of the largest restaurant companies. It was spun off from Yum!3 Its chief executive is Muktesh Pant (since 2016).1 It employed about 420,000 people in 2016.1 Its shares trade on NYSE under the symbol YUMC.1Wikipedia text CC BY-SA 4.0
$45.13up 0.46 (1.03%)Price as of Oct 16, 2026 at 19:58 UTC
Yum China Holdings, Inc. (Chinese: 百胜中国; pinyin: Bǎishèng Zhōngguó) is a Chinese Fortune 500 fast-food restaurant company based in Shanghai, China. With US$11.797 billion in revenue and 18,737 restaurants worldwide it is one of the largest restaurant companies. It was spun off from Yum! Brands in 2016, becoming an independent, publicly traded company on November 1, 2016. Yum China is a trademark licensee of Yum Brands, paying 3% of total systemwide sales to Yum Brands. It operates 8,484 restaurants in over 1,100 cities located in every province and autonomous region in mainland China. It has a workforce of 290,000 employees. Since the stock is listed on the New York Stock Exchange, the company has an office in Plano, Texas, for SEC filings.3
Financials
From the company’s reports to the SEC. Every number links to the filing it came from.
Where each dollar of operating cash went, fiscal 2025
Capital spendingDividends paidShare buybacks
Capital spending29¢$626.0M
Dividends paid17¢$353.0M
Share buybacks54¢$1.1B
Out of $1.5B of cash from operations. Spending exceeded cash from operations; the rest came from savings or borrowing.10
Financial statements
Revenue1112131410$11.8B in 2025+34% since 2019Operating income1112131410$1.3B in 2025+43% since 2019Net income1112131410$929.0M in 2025+30% since 2019
Revenue151617$3.1B in Q2 FY2026−2% since Q3 FY2025Operating income151617$348.0M in Q2 FY2026−13% since Q3 FY2025Net income151617$244.0M in Q2 FY2026−13% since Q3 FY2025
Every line of the income statement as filed: the last 3 fiscal years, latest first.10
Period ending
2025-12-31
2024-12-31
2023-12-31
Total revenues
$11.8B
$11.3B
$11.0B
Food and paper
$3.5B
$3.4B
$3.2B
Payroll and employee benefits
$3.0B
$2.8B
$2.7B
Occupancy and other operating expenses
$2.8B
$2.8B
$2.8B
General and administrative expenses
$581.0M
$568.0M
$638.0M
Other operating costs and expenses
$132.0M
$122.0M
$112.0M
Closures and impairment expenses, net
$37.0M
$39.0M
$29.0M
Other income, net
-$1.0M
-$1.0M
Total costs and expenses, net
$10.5B
$10.1B
$9.9B
Operating Profit
$1.3B
$1.2B
$1.1B
Interest income, net
$92.0M
$129.0M
$169.0M
Investment (loss) gain
-$24.0M
$40.0M
-$49.0M
Income Before Income Taxes and Equity in Net Earnings (Losses) from Equity Method Investments
$1.4B
$1.3B
$1.2B
Income tax provision
-$369.0M
-$356.0M
-$329.0M
Equity in net earnings (losses) from equity method investments
$15.0M
$5.0M
$4.0M
Net income including noncontrolling interests
$1.0B
$980.0M
$901.0M
Net income noncontrolling interests
$75.0M
$69.0M
$74.0M
Net Income Yum China Holdings, Inc.
$929.0M
$911.0M
$827.0M
Basic
369.0M shares
388.0M shares
416.0M shares
Diluted
371.0M shares
390.0M shares
420.0M shares
Basic Earnings Per Common Share
$2.52
$2.34
$1.99
Diluted Earnings Per Common Share
$2.51
$2.33
$1.97
No quarter-by-quarter statement was filed.
Total assets181112131410$10.8B in 2025+55% since 2019Total liabilities181112131410$4.7B in 2025+24% since 2019Shareholders’ equity181112131410$5.4B in 2025+75% since 2019Cash181112131410$506.0M in 2025−52% since 2019
Total assets151617$10.9B in Q2 FY2026−1% since Q3 FY2025Total liabilities151617$4.8B in Q2 FY2026+3% since Q3 FY2025Shareholders’ equity151617$5.4B in Q2 FY2026−6% since Q3 FY2025Cash151617$485.0M in Q2 FY2026−25% since Q3 FY2025
Every line of the balance sheet as filed: the last 4 fiscal years (annual) or 4 quarters (quarterly), latest first.10
Period ending
2025-12-31
2024-12-31
2023-12-31
2016-10-31
Cash and cash equivalents
$506.0M
$723.0M
Short-term investments
$878.0M
$1.1B
Accounts receivable, net
$95.0M
$79.0M
Inventories, net
$438.0M
$405.0M
Prepaid expenses and other current assets
$440.0M
$366.0M
Total Current Assets
$2.4B
$2.7B
Property, plant and equipment, net
$2.5B
$2.4B
Operating lease right-of-use assets
$2.2B
$2.1B
Goodwill
$2.0B
$1.9B
$1.9B
Intangible assets, net
$148.0M
$144.0M
Long-term bank deposits and notes
$678.0M
$1.1B
Equity investments
$387.0M
$368.0M
Deferred income tax assets
$156.0M
$138.0M
Other assets
$362.0M
$256.0M
Total Assets
$10.8B
$11.1B
Accounts payable and other current liabilities
$2.1B
$2.1B
Short-term borrowings
$30.0M
$127.0M
Income taxes payable
$89.0M
$76.0M
Total Current Liabilities
$2.2B
$2.3B
Non-current operating lease liabilities
$1.8B
$1.8B
Non-current finance lease liabilities
$51.0M
$49.0M
Deferred income tax liabilities
$406.0M
$389.0M
Other liabilities
$158.0M
$157.0M
Total Liabilities
$4.7B
$4.7B
Redeemable Noncontrolling Interest
$0
$13.0M
Common stock, $0.01 par value; 1,000 million shares authorized; 355 million shares and 379 million shares issued at December 31, 2025 and 2024, respectively; 354 million shares and 378 million shares outstanding at December 31, 2025 and 2024, respectively.
$4.0M
$4.0M
Treasury stock
-$28.0M
-$52.0M
Additional paid-in capital
$3.8B
$4.0B
Retained earnings
$1.8B
$2.1B
Accumulated other comprehensive loss
-$157.0M
-$341.0M
Total Yum China Holdings, Inc. Stockholders' Equity
$5.4B
$5.7B
Noncontrolling interests
$720.0M
$686.0M
Total Equity
$6.1B
$6.4B
Total Liabilities, Redeemable Noncontrolling Interest and Equity
$10.8B
$11.1B
Common stock, par value
$0.01
$0.01
$0.01
Common stock, shares authorized
1.0B shares
1.0B shares
1.0B shares
Common stock, shares issued
355.0M shares
379.0M shares
364.0M shares
Common stock, shares outstanding
354.0M shares
378.0M shares
364.0M shares
Period ending
2025-12-31
2024-12-31
2023-12-31
2016-10-31
Cash and cash equivalents
$506.0M
$723.0M
Short-term investments
$878.0M
$1.1B
Accounts receivable, net
$95.0M
$79.0M
Inventories, net
$438.0M
$405.0M
Prepaid expenses and other current assets
$440.0M
$366.0M
Total Current Assets
$2.4B
$2.7B
Property, plant and equipment, net
$2.5B
$2.4B
Operating lease right-of-use assets
$2.2B
$2.1B
Goodwill
$2.0B
$1.9B
$1.9B
Intangible assets, net
$148.0M
$144.0M
Long-term bank deposits and notes
$678.0M
$1.1B
Equity investments
$387.0M
$368.0M
Deferred income tax assets
$156.0M
$138.0M
Other assets
$362.0M
$256.0M
Total Assets
$10.8B
$11.1B
Accounts payable and other current liabilities
$2.1B
$2.1B
Short-term borrowings
$30.0M
$127.0M
Income taxes payable
$89.0M
$76.0M
Total Current Liabilities
$2.2B
$2.3B
Non-current operating lease liabilities
$1.8B
$1.8B
Non-current finance lease liabilities
$51.0M
$49.0M
Deferred income tax liabilities
$406.0M
$389.0M
Other liabilities
$158.0M
$157.0M
Total Liabilities
$4.7B
$4.7B
Redeemable Noncontrolling Interest
$0
$13.0M
Common stock, $0.01 par value; 1,000 million shares authorized; 355 million shares and 379 million shares issued at December 31, 2025 and 2024, respectively; 354 million shares and 378 million shares outstanding at December 31, 2025 and 2024, respectively.
$4.0M
$4.0M
Treasury stock
-$28.0M
-$52.0M
Additional paid-in capital
$3.8B
$4.0B
Retained earnings
$1.8B
$2.1B
Accumulated other comprehensive loss
-$157.0M
-$341.0M
Total Yum China Holdings, Inc. Stockholders' Equity
$5.4B
$5.7B
Noncontrolling interests
$720.0M
$686.0M
Total Equity
$6.1B
$6.4B
Total Liabilities, Redeemable Noncontrolling Interest and Equity
$10.8B
$11.1B
Common stock, par value
$0.01
$0.01
$0.01
Common stock, shares authorized
1.0B shares
1.0B shares
1.0B shares
Common stock, shares issued
355.0M shares
379.0M shares
364.0M shares
Common stock, shares outstanding
354.0M shares
378.0M shares
364.0M shares
Cash from operations1112131410$1.5B in 2025+24% since 2019Capital spending1112131410$626.0M in 2025+44% since 2019Free cash flow1112131410$840.0M in 2025+12% since 2019Dividends paid1112131410$353.0M in 2025+95% since 2019Share buybacks1112131410$1.1B in 2025+332% since 2019
Cash flow is reported year to date, not quarter by quarter, so there are no separate quarterly figures.
Every line of the cash flow as filed: the last 3 fiscal years, latest first.10
Period ending
2025-12-31
2024-12-31
2023-12-31
Net income - including noncontrolling interests
$1.0B
$980.0M
$901.0M
Depreciation and amortization
$448.0M
$476.0M
$453.0M
Non-cash operating lease cost
$401.0M
$408.0M
$404.0M
Closures and impairment expenses
$37.0M
$39.0M
$29.0M
Investment loss (gain)
$24.0M
-$40.0M
$49.0M
Equity in net (earnings) losses from equity method investments
-$15.0M
-$5.0M
-$4.0M
Distributions of income received from equity method investments
$16.0M
$11.0M
$11.0M
Deferred income taxes
-$14.0M
-$7.0M
-$10.0M
Share-based compensation expense
$42.0M
$41.0M
$64.0M
Changes in accounts receivable
-$11.0M
-$9.0M
-$6.0M
Changes in inventories
-$14.0M
$8.0M
-$19.0M
Changes in prepaid expenses, other current assets and value-added tax assets
-$51.0M
-$27.0M
-$35.0M
Changes in accounts payable and other current liabilities
-$33.0M
-$3.0M
$84.0M
Changes in income taxes payable
$9.0M
-$12.0M
$25.0M
Changes in non-current operating lease liabilities
-$411.0M
-$411.0M
-$407.0M
Other, net
$34.0M
-$30.0M
-$66.0M
Net Cash Provided by Operating Activities
$1.5B
$1.4B
$1.5B
Capital spending
-$626.0M
-$705.0M
-$710.0M
Purchases of short-term investments, long-term bank deposits and notes
-$7.6B
-$4.7B
-$3.5B
Maturities of short-term investments, long-term bank deposits and notes
$8.2B
$5.3B
$3.5B
Acquisitions of equity investments
-$14.0M
-$20.0M
Other, net
$2.0M
$4.0M
$5.0M
Net Cash Used in Investing Activities
-$5.0M
-$178.0M
-$743.0M
Proceeds from short-term borrowings
$29.0M
$307.0M
$264.0M
Repayment of short-term borrowings
-$129.0M
-$346.0M
-$100.0M
Repurchase of shares of common stock
-$1.1B
-$1.2B
-$613.0M
Cash dividends paid on common stock
-$353.0M
-$248.0M
-$216.0M
Dividends paid to noncontrolling interests
-$75.0M
-$80.0M
-$77.0M
Acquisitions of noncontrolling interests
-$8.0M
Contributions from noncontrolling interests
$0
$35.0M
Payment of acquisition related holdback
$0
-$3.0M
Other, net
-$9.0M
-$20.0M
-$6.0M
Net Cash Used in Financing Activities
-$1.7B
-$1.6B
-$716.0M
Effect of Exchange Rates on Cash, Cash Equivalents and Restricted Cash
$11.0M
-$10.0M
-$16.0M
Net Decrease in Cash, Cash Equivalents and Restricted Cash
-$217.0M
-$405.0M
-$2.0M
Cash paid for income tax
$370.0M
$393.0M
$324.0M
Cash paid for interest
$4.0M
$3.0M
Capital expenditures included in accounts payable and other current liabilities
Yum China sits at the top of its group. 104 entities, 7 countries on record. Switch between the flow chart and the network, and select any entity to see its details.
Major holders of Yum China
JPMorgan ChaseFiled SCHEDULE 13G/A on Yum China, latest Oct 15, 2026 (3 filings since Apr 29, 2025)
Built from parent and subsidiary links from GLEIF, the Global Legal Entity Identifier Foundation (CC0); subsidiaries listed in Exhibit 21 of annual reports filed with the SEC; subsidiaries, stakes and holdings from Wikidata (CC0); major holders from Schedules 13D and 13G. Each entity in the chart links to its source.
What it owns
What Yum China reports owning in its annual reports to the SEC: buildings, land and equipment, real estate and locations, investments, intangible assets and inventory, at the end of its latest fiscal year and a year before.
As of year-end 2025, the Company had 15,060 Company-owned units in China. Of these Company-owned units, 14,998 units were leased properties and 62 units were owned properties. The leased Company-owned units are further detailed as follows:
KFC leased properties for 10,985 units.
The rest of Item 2
Pizza Hut leased properties for 3,816 units.
Other restaurant concepts leased properties for 197 units.
Company-owned restaurants in China are generally leased for initial terms of 10 to 20 years and generally do not have renewal options.
We also lease our corporate headquarters in Shanghai and Dallas, Texas in the U.S., and regional offices and an innovation center in China, and own building, land use rights, or both for non-store properties, which primarily include logistics centers, seasoning facilities for Little Sheep and Huang Ji Huang and certain regional office buildings. We sublease over 130 properties to franchisees and other third parties. Additional information about the Company’s leased properties is included in Note 9 to the Consolidated Financial Statements in Part II, Item 8. We believe that our properties are generally in good operating condition and are suitable for the purposes for which they are being used.
Things Wikidata records the company as owning, with the share when stated.1
The story
Spinoff
On October 25, 2015, Yum! Brands announced that it intended to separate into two independent, publicly traded companies by spinning off Yum China; it took effect on November 1, 2016.
Brands
Yum China has several subsidiary brands, including KFC, Taco Bell, Pizza Hut, COFFii & JOY (a coffee bar launched in 2018), Huang Ji Huang (a casual dining franchise), and Little Sheep. Little Sheep has around 200 restaurants in China, thirty in eleven US states (most of which have been rebranded to Happy Lamb), mostly in California, seventeen in Japan, nine in Canada and one in Jakarta, Indonesia.
Yum China, alongside LongRange Capital, acquired Pizza Hut from Yum! Brands in 2026, Yum China acquired its Chinese operations.
Number of units as of 2024:
11,648 KFCs
3,724 Pizza Huts
1,023 Little Sheep, East Dawning, Taco Bell, Huang Ji Huang, COFFii & Joy, Lavazza, and Shaofaner.
Upcoming dates from Nasdaq's calendar; past results from the company's 8-K filings (Item 2.02). The full markets calendar
Filings
598 filings to the SEC since October 2021: 5 annual reports, 15 quarterly reports, 62 major events, 442 insider forms, 16 large holders, 58 other. The latest 20:
42 open-market trades by officers, directors and large owners since October 2021: 6 buys and 36 sales. Grants, option exercises and gifts are left out.
What the company paid its top executives, from the summary compensation table in its proxy statement. Total pay includes salary, bonus, stock and option awards and other pay, as the company valued them.
The largest holders among investment managers' 13F reports for the quarter ending Jun 30, 2026, the top 25 of 100. Change is in shares since the quarter before.
From the cover page of the 10-K filed Feb 27, 2026 (Section 12(b) of the Exchange Act).19
Risk factors and legal proceedings
The risks Yum China names in Item 1A of its 10-K filed Feb 27, 2026: 75 risks under these headings, as written.19
Risks Related to Our Business and Industry
Food safety and foodborne illness concerns may have an adverse effect on our reputation and business.
Any significant failure to maintain effective quality assurance systems for our restaurants could have a material adverse effect on our business, reputation, results of operations and financial condition.
Any significant liability claims, food contamination complaints from our customers or reports of incidents of food tampering could adversely affect our business, reputation, results of operations and financial condition.
Health concerns arising from outbreaks of viruses or other illnesses may have a material adverse effect on our business.
The operation of our restaurants is subject to the terms of the master license agreement which, if terminated or limited, would materially adversely affect our business, results of operations and financial condition.
We derive substantially all of our revenue from our operations in China and, as a result, our business is highly exposed to the risks of doing business in China.
Our success is tied to the success of YUM’s brand strength, marketing campaigns and product innovation.
Shortages or interruptions in the availability and delivery of food products and other supplies may increase costs or reduce revenues.
The prices of raw materials fluctuate, which may adversely impact our profit margin.
We may not attain our target development goals; aggressive development could cannibalize existing sales; and new restaurants may not be profitable.
We are subject to all of the risks associated with leasing real estate, and any adverse developments could harm our business, results of operations and financial condition.
The other 64 risks
We may not be able to obtain desirable restaurant locations on commercially reasonable terms.
Labor shortages or increases in labor costs could slow our growth and harm our business and results of operations.
Our success depends substantially on our corporate reputation and on the value and perception of our brands.
Franchise development may expose us to risks that could adversely affect our business, operating results and financial condition.
Our operations are highly dependent upon our information technology systems and failures or interruptions of service or security breaches in our systems may interrupt our operations and harm our business.
The occurrence of security breaches and cyber-attacks could negatively impact our business.
Unauthorized access to, or improper use, disclosure, theft or destruction of, our customer or employee personal, financial or other data or our proprietary or confidential information that is stored in our information systems or by third parties on our behalf could result in substantial costs, expose us to litigation and damage our reputation.
Our business depends on the performance of, and our long-term relationships with, third-party mobile payment processors, internet infrastructure operators, internet service providers, delivery aggregators and third-party e-commerce platforms.
Major failures to provide timely and reliable delivery services by us may materially and adversely affect our business and reputation, and the continued increase in delivery sales mix may pressure our profitability.
Our growth strategy with respect to our coffee business may not be successful.
The anticipated benefits of our acquisitions may not be realized in a timely manner or at all.
Our new retail business may expose us to challenges and risks and may adversely affect our business, results of operations and financial condition.
Our use of GenAI technologies presents new risks and challenges to our business.
Our inability or failure to recognize, respond to and effectively manage the impact of social media could materially adversely impact our business and results of operations.
Failure to comply with anti-bribery or anti-corruption laws could adversely affect our business and results of operations.
As a U.S. company with operations concentrated in China, we are subject to both U.S. federal income tax and Chinese enterprise income tax, which could result in relatively higher taxes compared to companies operating primarily in the U.S.
Tax matters, including changes in tax rates, disagreements with tax authorities and imposition of new taxes could impact our results of operations and financial condition.
Our results of operations may be adversely impacted by changes in consumer discretionary spending and general economic conditions.
The restaurant industry in which we operate is highly competitive.
We require various approvals, licenses and permits to operate our business and the loss of or failure to obtain or renew any or all of these approvals, licenses and permits could adversely affect our business and results of operations.
We may not be able to adequately protect the intellectual property we own or have the right to use, which could harm the value of our brands and adversely affect our business and operations.
Our licensor may not be able to adequately protect its intellectual property, which could harm the value of the KFC, Pizza Hut and Taco Bell brands and branded products and adversely affect our business, results of operations and financial condition.
Our results of operations may fluctuate due to seasonality and certain major events in China.
We may be unable to detect, deter and prevent all instances of fraud or other misconduct committed by our employees, customers or other third parties.
Our success depends on the continuing efforts of our key management and experienced and capable personnel as well as our ability to recruit new talent.
Our investment in technology and innovation may not generate the expected level of returns.
Fluctuation of changes for our equity investments measured at fair value, lower yields of our short-term investments or lower returns of our future long-term bank deposits and notes may adversely affect our financial results.
Our operating results or net income may be adversely affected by our investment in equity method investees.
Risks Related to Doing Business in China
Changes in Chinese political policies and economic and social policies or conditions may materially and adversely affect our business, results of operations and financial condition and may result in our inability to sustain our growth and expansion strategies.
The interpretation and enforcement of Chinese laws, rules and regulations may change from time to time, which could have a material adverse effect on us.
The audit report included in this Form 10-K is prepared by auditors who are located in China, and in the event the PCAOB is unable to inspect our auditors, our common stock will be subject to potential delisting from the New York Stock Exchange.
Changes in political, business, economic and trade relations between the United States and China may have a material adverse impact on our business, results of operations and financial condition.
Fluctuation in the value of RMB may result in foreign currency exchange losses.
The increasing focus and evolving requirements on environmental sustainability issues may create operational challenges for us, increase our costs and harm our reputation.
Interventions in or the imposition of restrictions and limitations by the PRC government on currency conversion and payments of foreign currency and RMB out of mainland China may limit our ability to utilize our cash balances effectively, including making funds held by our China-based subsidiaries unavailable for use outside of mainland China, which could limit or eliminate our ability to pay dividends and affect the value of your investment.
Changes in the laws and regulations of China or noncompliance with applicable laws and regulations may have a significant impact on our business, results of operations and financial condition, and may cause the value of our securities to decline.
We rely to a significant extent on dividends and other distributions on equity paid by our principal operating subsidiaries in China to fund offshore cash requirements, and uncertainties regarding the application of the withholding tax rates could have a material adverse effect on our business and financial results.
Under the EIT Law, if we are classified as a China resident enterprise for Chinese enterprise income tax purposes, such classification would likely result in unfavorable tax consequences to us and our non-Chinese stockholders.
We and our stockholders face uncertainty with respect to indirect transfers of equity interests in China resident enterprises through transfer of non-Chinese-holding companies. Enhanced scrutiny by the Chinese tax authorities may have a negative impact on potential acquisitions and dispositions we may pursue in the future.
There may be difficulties in effecting service of legal process, conducting investigations, collecting evidence, enforcing foreign judgments or bringing original actions in China based on United States or other foreign laws against us and our management.
The Chinese government may determine that the variable interest entity structure of Daojia does not comply with Chinese laws on foreign investment in restricted industries.
Certain defects caused by non-registration of our lease agreements related to certain properties occupied by us in China may materially and adversely affect our ability to use such properties.
Our restaurants are susceptible to risks in relation to unexpected land acquisitions, building closures or demolitions.
Any failure to comply with Chinese regulations regarding our employee equity incentive plans may subject Chinese plan participants or us to fines and other legal or administrative sanctions.
Failure to make adequate contributions to various employee benefit plans as required by Chinese regulations may subject us to penalties.
Proceedings instituted by the SEC against certain China-based accounting firms, including our independent registered public accounting firm, could result in our financial statements being determined to not be in compliance with the requirements of the Exchange Act.
Chinese regulation of loans to, and direct investment in, Chinese entities by offshore holding companies and governmental administration of currency conversion may restrict or prevent us from making loans or additional capital contributions to our Chinese subsidiaries, which may materially and adversely affect our liquidity and our ability to fund and expand our business.
Regulations regarding acquisitions may impose significant regulatory approval and review requirements, which could make it more difficult for us to pursue growth through acquisitions.
The PRC government has significant oversight and discretion to exert supervision over offerings of our securities conducted outside of China and foreign investment in China-based issuers, and may limit or completely hinder our ability to offer securities to investors, which may cause the value of such securities to significantly decline.
Risks Related to the Separation and Related Transactions
If the distribution does not qualify as a transaction that is generally tax-free for U.S. federal income tax purposes, the Company could be subject to significant tax liabilities, and, in certain circumstances, the Company could be required to indemnify YUM for material taxes and other related amounts pursuant to indemnification obligations under the tax matters agreement.
YUM may be subject to Chinese indirect transfer tax with respect to the distribution, in which event we could be required to indemnify YUM for material taxes and related amounts pursuant to indemnification obligations under the tax matters agreement.
Potential indemnification liabilities owing to YUM pursuant to the separation and distribution agreement could materially and adversely affect our business, results of operations and financial condition.
In connection with the separation, YUM has agreed to indemnify us for certain liabilities. However, there can be no assurance that the indemnity will be sufficient to insure us against the full amount of such liabilities, or that YUM’s ability to satisfy its indemnification obligation will not be impaired in the future.
A court could require that we assume responsibility for obligations allocated to YUM under the separation and distribution agreement.
Potential liabilities may arise due to fraudulent transfer considerations, which would adversely affect our results of operations and financial condition.
Risks Related to Our Common Stock
The Company cannot guarantee the timing or amount of dividends on, or repurchases of, its common stock.
The different characteristics of the capital markets in Hong Kong and the U.S. may negatively affect the trading prices of our shares.
The interests of Primavera may differ from the interests of other holders of Company common stock.
Anti-takeover provisions in our organizational documents and Delaware law might discourage or delay acquisition attempts for us that you might consider favorable.
General Risk Factors
We could be party to litigation that could adversely affect us by increasing our expenses, diverting management attention or subjecting us to significant monetary damages and other remedies.
Changes in accounting standards and subjective assumptions, estimates and judgments by management related to complex accounting matters could significantly affect our results of operations and financial condition.
Our insurance policies may not provide adequate coverage for all claims associated with our business operations.
Unforeseeable business interruptions could adversely affect our business.
Failure by us to maintain effective disclosure controls and procedures and internal control over financial reporting in accordance with the rules of the SEC could harm our business and results of operations and/or result in a loss of investor confidence in our financial reports, which could have a material adverse effect on our business.
Legal proceedings
We are subject to various lawsuits covering a variety of allegations from time to time. We believe that the ultimate liability, if any, in excess of amounts already provided for these matters in the Consolidated Financial Statements, is not likely to have a material adverse effect on the Company’s annual results of operations, financial condition or cash flows. Matters faced by the Company from time to time include, but are not limited to, claims from landlords, employees, guests and others related to operational, contractual or employment issues. We are not involved in any material legal proceedings as of December 31, 2025.
