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Yum China Reports Second Quarter 2025 Results

Operating Profit Increased 14% YoY; OP Margin Expanded 100 Basis Points to 10.9%, a Second-Quarter Record High
Same-Store Sales Growth Turned Positive, Driven by 10th Consecutive Quarter of Same-Store Transaction Growth
Diluted EPS Up 5%, or 15% Excluding Mark-to-Market and F/X Impact

SHANGHAI, Aug. 5, 2025 /PRNewswire/ — Yum China Holdings, Inc. (the “Company” or “Yum China“) (NYSE: YUMC and HKEX: 9987) today reported unaudited results for the second quarter ended June 30, 2025.

Second Quarter Highlights

  • Total system sales grew 4% year over year (“YoY”), excluding foreign currency translation (“F/X”). The growth sequentially improved from the first quarter and was primarily attributable to 4% of net new unit contribution and 1% same-store sales growth.
  • Same-store sales growth turned positive at 1%. Same-store transactions grew 2% YoY, the tenth consecutive quarter of growth.
  • Total revenues increased 4% YoY to $2.8 billion, also a 4% increase excluding F/X.
  • The Company opened 336 net new stores in the quarter, with 89 net new stores opened by franchisees, accounting for 26%.
  • Total store count reached 16,978 as of June 30, 2025, including 12,238 KFC stores and 3,864 Pizza Hut stores.
  • Operating profit grew 14% YoY to $304 million, a second-quarter record high. Core operating profit grew 14% YoY.
  • OP margin was 10.9%, an increase of 100 basis points YoY and also record high for the second quarter, supported by restaurant margin expansion and G&A savings.
  • Restaurant margin was 16.1%, an increase of 60 basis points YoY, driven primarily by savings in Food and Paper cost and Occupancy and Other Operating expenses.
  • Diluted EPS increased 5% YoY to $0.58, another second-quarter record-high, also a 5% increase excluding F/X. Excluding the negative impact of $0.04 from the mark-to-market equity investments in the 2025 and 2024 second quarters and F/X, Diluted EPS increased 15% YoY.
  • Returned $274 million to shareholders in the second quarter through $184 million in share repurchases and $90 million in cash dividends.
  • Delivery sales grew 22% YoY. Delivery contributed approximately 45% of total Company sales.
  • Digital sales reached $2.4 billion, with digital ordering accounting for approximately 94% of total Company sales.
  • Total membership of KFC and Pizza Hut was approximately 560 million, up 13% versus the prior year. Member sales accounted for approximately 64% of KFC and Pizza Hut’s system sales in aggregate.

CEO Comments 

Joey Wat, CEO of Yum China, commented, “I am pleased to announce that we achieved solid results in the second quarter. We turned same-store sales growth positive while expanding our store portfolio to nearly 17,000 locations. We delivered double-digit growth in operating profit and substantially expanded our margins. KFC stayed resilient and Pizza Hut sustained its momentum. Our dual focus on innovation and operational efficiency enabled us to deliver compelling value and experiences to our customers. We sparked cravings with innovative and great-tasting food, including the Crazy Spicy Zinger at KFC and the upgraded hand-crafted thin-crust pizza at Pizza Hut. In addition to great value for money, our meal sets with IP-themed toys brought emotional value to our customers and helped us set a new 2025 daily sales record on Children’s Day.”

Wat continued, “We are always exploring ways to broaden our addressable market. KFC has expanded KCOFFEE cafes to over 1,300 locations, leveraging KFC’s store space, various in-store resources and membership. Pizza Hut’s new menu has widened our price ranges, reaching previously underserved customer segments and contributing to double-digit same-store transactions growth for the quarter. At the same time, we are reinforcing our strategic moat via our membership programs and Super Apps, and enhancing the in-store experience, while capturing additional traffic on delivery platforms. We are also fortifying our end-to-end digitalization to streamline operations and elevate our customer experience. With the strength of our brands and our strategies, we are confident in delivering sustainable, long-term value for our shareholders.”

Key Financial Results

Second Quarter

Year to Date Ended 6/30

%/ppts Change

%/ppts Change

2025

2024

Reported

Ex F/X

2025

2024

Reported

Ex F/X

System Sales Growth (1) (%)

4

4

NM

NM

3

5

NM

NM

Same-Store Sales Growth (1) (%)

1

(4)

NM

NM

Even

(3)

NM

NM

Operating Profit ($mn)

304

266

+14

+14

703

640

+10

+11

Adjusted Operating Profit (2) ($mn)

304

266

+14

+14

703

640

+10

+11

Core Operating Profit (2) (3) ($mn)

303

266

NM

+14

708

640

NM

+11

OP Margin (4) (%)

10.9

9.9

+1.0

+1.0

12.2

11.4

+0.8

+0.8

Core OP Margin (2) (5) (%)

10.9

9.9

NM

+1.0

12.2

11.4

NM

+0.8

Net Income ($mn)

215

212

+1

+1

507

499

+1

+2

Adjusted Net Income (2) ($mn)

215

212

+1

+1

507

499

+1

+2

Diluted Earnings
  Per Common Share ($)

0.58

0.55

+5

+5

1.35

1.26

+7

+8

Adjusted Diluted Earnings
  Per Common Share (2) ($)

0.58

0.55

+5

+5

1.35

1.26

+7

+8

 (1) System sales and same-store sales percentages exclude the impact of F/X. Effective January 1, 2018, temporary store closures are
normalized in the same-store sales calculation by excluding the period during which stores are temporarily closed.

 (2) See “Reconciliation of Reported GAAP Results to Non-GAAP Measures” included in the accompanying tables of this release for further details.

 (3) Core operating profit is defined as operating profit adjusted for special items, further excluding items affecting comparability and the
impact of F/X. The Company uses core operating profit for the purposes of evaluating the performance of its core operations. Current
period amounts are derived by translating results at average exchange rates of the prior year period.

 (4) OP margin refers to operating profit as a percentage of total revenues.

 (5) Core OP margin refers to core operating profit as a percentage of total revenues excluding F/X.

Note: All comparisons are versus the same period a year ago.

Percentages may not recompute due to rounding.

NM refers to not meaningful.

Capital Returns to Shareholders

  • The Company is on track to return a total of $3 billion to shareholders in 2025 through 2026, in addition to the $1.5 billion delivered to shareholders in 2024. The average annual amount of capital return over the three years is around 9% of our market capitalization as of August 4, 2025.
  • In the first half of 2025, the Company returned $536 million in capital to shareholders through $356 million in share repurchases and $180 million in cash dividends. Including the previously announced $510 million share repurchase agreements for the second half of 2025 and assuming a quarterly dividend of $0.24 per share, the Company expects the total return of capital for 2025 to be at least $1.2 billion.  
  • As of June 30, 2025, approximately $936 million remained available for future share repurchases under the current authorization program.
  • The Board declared a cash dividend of $0.24 per share on Yum China’s common stock, payable on September 23, 2025 to shareholders of record as of the close of business on September 2, 2025.

KFC

Second Quarter

Year to Date Ended 6/30

%/ppts Change

%/ppts Change

2025

2024

Reported

Ex F/X

2025

2024

Reported

Ex F/X

Restaurants

12,238

10,931

+12

NM

12,238

10,931

+12

NM

System Sales Growth (%)

5

5

NM

NM

4

6

NM

NM

Same-Store Sales Growth (%)

1

(3)

NM

NM

Even

(3)

NM

NM

Total Revenues ($mn)

2,096

2,014

+4

+4

4,342

4,244

+2

+3

Operating Profit ($mn)

292

264

+11

+10

678

636

+6

+7

Core Operating Profit ($mn)

291

264

NM

+10

682

636

NM

+7

OP Margin (%)

14.0

13.1

+0.9

+0.9

15.6

15.0

+0.6

+0.6

Restaurant Margin (%)

16.9

16.2

+0.7

+0.7

18.4

17.8

+0.6

+0.6

  • System sales for KFC grew 5% YoY. Same-store sales increased 1% YoY, with flat same-store transactions. Ticket average was 1% higher YoY, driven mainly by increased delivery mix.
  • Delivery sales grew 25% YoY, contributing approximately 45% of KFC’s Company sales.
  • KFC opened 295 net new stores during the quarter, with 119 net new stores opened by franchisees, accounting for 40%. Total store count reached 12,238 as of June 30, 2025.
  • Operating profit grew 11% YoY to $292 million, a record level for the second quarter. Core operating profit increased 10% YoY.
  • OP margin was 14.0%, an increase of 90 basis points YoY.
  • Restaurant margin was 16.9%, expanding 70 basis points YoY, primarily due to favorable commodity prices and streamlined operations, partially offset by the impact of higher rider cost due to the increased delivery mix, increased value-for-money offerings and wage inflation.

Pizza Hut

Second Quarter

Year to Date Ended 6/30

%/ppts Change

%/ppts Change

2025

2024

Reported

Ex F/X

2025

2024

Reported

Ex F/X

Restaurants

3,864

3,504

+10

NM

3,864

3,504

+10

NM

System Sales Growth (%)

3

1

NM

NM

3

3

NM

NM

Same-Store Sales Growth (%)

2

(8)

NM

NM

1

(7)

NM

NM

Total Revenues ($mn)

554

540

+3

+3

1,149

1,135

+1

+2

Operating Profit ($mn)

46

40

+16

+15

106

87

+22

+23

Core Operating Profit ($mn)

46

40

NM

+15

107

87

NM

+23

OP Margin (%)

8.3

7.4

+0.9

+0.9

9.2

7.7

+1.5

+1.5

Restaurant Margin (%)

13.3

13.2

+0.1

+0.1

13.9

12.8

+1.1

+1.1

  • System sales for Pizza Hut grew 3% YoY. Same-store sales increased 2% YoY. Same-store transactions grew 17% YoY, the tenth consecutive quarter of growth. Ticket average was 13% lower YoY, consistent with our strategy and driven mainly by better value-for-money.
  • Pizza Hut opened 95 net new stores during the quarter, with 21 net new stores opened by franchisees, accounting for 22%. Total store count reached 3,864 as of June 30, 2025.
  • Delivery sales grew 15% YoY, contributing approximately 43% of Pizza Hut’s Company sales.
  • Operating profit grew 16% to $46 million, a record level for the second quarter. Core operating profit increased 15% YoY.
  • OP margin was 8.3%, an increase of 90 basis points YoY and a record level for the second quarter.
  • Restaurant margin was 13.3%, expanding 10 basis points YoY, primarily due to favorable commodity prices, streamlined operations and automation, partially offset by the impact of increased value-for-money offerings, increased cost associated with higher delivery sales mix and wage inflation.

Outlook

  • The Company targets:
    • Approximately 1,600 to 1,800 net new stores in 2025.
    • The franchise mix of net new stores to reach 40-50% for KFC and 20-30% for Pizza Hut in 2025, ahead of schedule and to moderately increase the mix within the guided range over the next few years.
    • Capital expenditures in the range of approximately $600 million to $700 million for the 2025 fiscal year, revised down from the initial target of $700 million to $800 million, mainly due to lower capital expenditures per store.
  • The Company plans to return $3 billion to shareholders in 2025 through 2026, adding to the $1.5 billion it delivered to shareholders in 2024.

Note on Non-GAAP Measures

Reported GAAP results include items that are excluded from non-GAAP measures. See “Reconciliation of Reported GAAP Results to Non-GAAP Measures” and “Segment Results” within this release for non-GAAP reconciliation details.

Conference Call

Yum China’s management will hold an earnings conference call at 7:00 a.m. U.S. Eastern Time on Tuesday, August 5, 2025 (7:00 p.m. Beijing/Hong Kong Time on Tuesday, August 5, 2025).  

A live webcast of the call may be accessed at https://edge.media-server.com/mmc/p/kij3u6kb.

To join by phone, please register in advance of the conference through the link provided below. Upon registering, you will be provided with participant dial-in numbers and a unique access PIN.

Pre-registration Link: https://register-conf.media-server.com/register/BIb7706c47c6cf42db8f213a8ac7f0329c

A replay of the webcast will be available two hours after the event and will remain accessible until August 4, 2026. Additionally, earnings release accompanying slides will be available at the Company’s Investor Relations website http://ir.yumchina.com.

For important news and information regarding Yum China, including our filings with the U.S. Securities and Exchange Commission and the Hong Kong Stock Exchange, visit Yum China’s Investor Relations website at http://ir.yumchina.com. Yum China uses this website as a primary channel for disclosing key information to its investors, some of which may contain material and previously non-public information.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including statements relating to our projected capital return for 2025 and those set forth under the section titled “Outlook.” We intend all forward-looking statements to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally can be identified by the fact that they do not relate strictly to historical or current facts and by the use of forward-looking words such as “expect,” “expectation,” “believe,” “anticipate,” “may,” “could,” “intend,” “belief,” “plan,” “estimate,” “target,” “predict,” “project,” “likely,” “will,” “continue,” “should,” “forecast,” “outlook,” “commit” or similar terminology. These statements are based on current estimates and assumptions made by us in light of our experience and perception of historical trends, current conditions and expected future developments, as well as other factors that we believe are appropriate and reasonable under the circumstances, but there can be no assurance that such estimates and assumptions will prove to be correct. Forward-looking statements include, without limitation, statements regarding the future strategies, growth, business plans, investments, store openings, franchise mix of net new stores, capital expenditures, dividend and share repurchase plans, CAGR for system sales, operating profit and EPS, earnings, performance and returns of Yum China, anticipated effects of population and macroeconomic trends, pace of recovery of Yum China’s business, the anticipated effects of our innovation, digital and delivery capabilities and investments on growth and beliefs regarding the long-term drivers of Yum China’s business. Forward-looking statements are not guarantees of performance and are inherently subject to known and unknown risks and uncertainties that are difficult to predict and could cause our actual results or events to differ materially from those indicated by those statements. We cannot assure you that any of our expectations, estimates or assumptions will be achieved. The forward-looking statements included in this press release are only made as of the date of this press release, and we disclaim any obligation to publicly update any forward-looking statement to reflect subsequent events or circumstances, except as required by law. Numerous factors could cause our actual results or events to differ materially from those expressed or implied by forward-looking statements, including, without limitation: whether we are able to achieve development goals at the times and in the amounts currently anticipated, if at all, the success of our marketing campaigns and product innovation, our ability to maintain food safety and quality control systems, changes in public health conditions, our ability to control costs and expenses, including tax costs, changes in political, economic and regulatory conditions in China, as well as changes in political, business, economic and trade relations between the U.S. and China, and those set forth under the caption “Risk Factors” in our Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. Our plan of capital returns to shareholders is based on current expectations, which may change based on market conditions, capital needs or otherwise. In addition, other risks and uncertainties not presently known to us or that we currently believe to be immaterial could affect the accuracy of any such forward-looking statements. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. You should consult our filings with the Securities and Exchange Commission (including the information set forth under the caption “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q) for additional detail about factors that could affect our financial and other results.

About Yum China Holdings, Inc.

Yum China is the largest restaurant company in China with a mission to make every life taste beautiful. The Company operates over 16,000 restaurants under six brands across over 2,400 cities in China. KFC and Pizza Hut are the leading brands in the quick-service and casual dining restaurant spaces in China, respectively. 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. Taco Bell offers innovative Mexican-inspired food. Yum China has a world-class, digitalized supply chain, which includes an extensive network of logistics centers nationwide and an in-house supply chain management system. Its strong digital capabilities and loyalty program enable the Company to reach customers faster and serve them better. Yum China is a Fortune 500 company with the vision to be the world’s most innovative pioneer in the restaurant industry. For more information, please visit http://ir.yumchina.com.

Contacts

Investor Relations Contact:
        Tel: +86 21 2407 7556 
        IR@YumChina.com   

Media Contact:
        Tel: +86 21 2407 8288 / +852 2267 5807 
        Media@YumChina.com

 

 

Yum China Holdings, Inc.

Condensed Consolidated Statements of Income

(in US$ million, except per share data)

(unaudited)

Quarter Ended

% Change

Year to Date Ended

% Change

6/30/2025

6/30/2024

B/(W)

6/30/2025

6/30/2024

B/(W)

Revenues

Company sales

$

2,613

$

2,528

3

$

5,414

$

5,322

2

Franchise fees and income

24

22

11

51

47

9

Revenues from transactions with franchisees

115

96

20

236

203

16

Other revenues

35

33

6

67

65

3

Total revenues

2,787

2,679

4

5,768

5,637

2

Costs and Expenses, Net

Company restaurants

Food and paper

810

797

(2)

1,684

1,693

Payroll and employee benefits

712

666

(7)

1,431

1,374

(4)

Occupancy and other operating expenses

669

674

1

1,357

1,371

1

Company restaurant expenses

2,191

2,137

(3)

4,472

4,438

(1)

General and administrative expenses

131

133

2

269

273

2

Franchise expenses

10

9

(8)

21

19

(10)

Expenses for transactions with franchisees

110

92

(20)

227

196

(16)

Other operating costs and expenses

30

29

(3)

59

58

(1)

Closures and impairment expenses, net

12

13

11

18

14

(25)

Other income, net

(1)

NM

(1)

(1)

19

Total costs and expenses, net

2,483

2,413

(3)

5,065

4,997

(1)

Operating Profit

304

266

14

703

640

10

Interest income, net

25

31

(21)

51

69

(26)

Investment (loss) gain

(18)

8

NM

(15)

16

NM

Income Before Income Taxes and
  Equity in Net Earnings (Losses) from
  Equity Method Investments

311

305

2

739

725

2

Income tax provision

(80)

(77)

(4)

(199)

(190)

(5)

Equity in net earnings (losses) from
   equity method investments

2

NM

6

NM

Net income – including noncontrolling interests

233

228

2

546

535

2

Net income – noncontrolling interests

18

16

(9)

39

36

(6)

Net Income – Yum China Holdings, Inc.

$

215

$

212

1

$

507

$

499

1

Effective tax rate

25.8

%

25.2

%

(0.6)

ppts.

26.9

%

26.2

%

(0.7)

ppts.

Basic Earnings Per Common Share

$

0.58

$

0.55

$

1.36

$

1.27

Weighted-average shares outstanding
    (in millions)

373

389

374

395

Diluted Earnings Per Common Share

$

0.58

$

0.55

$

1.35

$

1.26

Weighted-average shares outstanding
    (in millions)

374

391

376

397

OP margin

10.9

%

9.9

%

1.0

ppts.

12.2

%

11.4

%

0.8

ppts.

Company sales

100.0

%

100.0

%

100.0

%

100.0

%

Food and paper

31.0

31.5

0.5

ppts.

31.1

31.8

0.7

ppts.

Payroll and employee benefits

27.2

26.3

(0.9)

ppts.

26.4

25.8

(0.6)

ppts.

Occupancy and other operating expenses

25.7

26.7

1.0

ppts.

25.1

25.8

0.7

ppts.

Restaurant margin

16.1

%

15.5

%

0.6

ppts.

17.4

%

16.6

%

0.8

ppts.

Percentages may not recompute due to rounding. NM refers to not meaningful.

 

 

 

Yum China Holdings, Inc.

KFC Operating Results

(in US$ million)

(unaudited)

Quarter Ended

% Change

Year to Date Ended

% Change

6/30/2025

6/30/2024

B/(W)

6/30/2025

6/30/2024

B/(W)

Revenues

Company sales

$

2,059

$

1,983

4

$

4,267

$

4,176

2

Franchise fees and income

19

16

16

40

34

14

Revenues from transactions with franchisees

17

12

32

33

26

26

Other revenues

1

3

(68)

2

8

(74)

Total revenues

2,096

2,014

4

4,342

4,244

2

Costs and Expenses, Net

Company restaurants

Food and paper

631

626

(1)

1,316

1,320

Payroll and employee benefits

556

513

(8)

1,110

1,055

(5)

Occupancy and other operating expenses

523

524

1,055

1,059

Company restaurant expenses

1,710

1,663

(3)

3,481

3,434

(1)

General and administrative expenses

61

60

(2)

120

121

1

Franchise expenses

9

8

(9)

19

17

(9)

Expenses for transactions with franchisees

15

11

(37)

29

23

(29)

Other operating costs and expenses

1

2

68

2

6

72

Closures and impairment expenses, net

8

6

(15)

13

7

(65)

Total costs and expenses, net

1,804

1,750

(3)

3,664

3,608

(2)

Operating Profit

$

292

$

264

11

$

678

$

636

6

OP margin

14.0

%

13.1

%

0.9

ppts.

15.6

%

15.0

%

0.6

ppts.

Company sales

100.0

%

100.0

%

100.0

%

100.0

%

Food and paper

30.7

31.6

0.9

ppts.

30.9

31.6

0.7

ppts.

Payroll and employee benefits

27.0

25.9

(1.1)

ppts.

26.0

25.3

(0.7)

ppts.

Occupancy and other operating expenses

25.4

26.3

0.9

ppts.

24.7

25.3

0.6

ppts.

Restaurant margin

16.9

%

16.2

%

0.7

ppts.

18.4

%

17.8

%

0.6

ppts.

Percentages may not recompute due to rounding.

 

 

 

Yum China Holdings, Inc.

Pizza Hut Operating Results

(in US$ million)

(unaudited)

Quarter Ended

% Change

Year to Date Ended

% Change

6/30/2025

6/30/2024

B/(W)

6/30/2025

6/30/2024

B/(W)

Revenues

Company sales

$

545

$

530

3

$

1,129

$

1,117

1

Franchise fees and income

2

2

20

4

4

21

Revenues from transactions with franchisees

1

1

44

3

2

56

Other revenues

6

7

13

12

9

Total revenues

554

540

3

1,149

1,135

1

Costs and Expenses, Net

Company restaurants

Food and paper

177

167

(6)

363

365

1

Payroll and employee benefits

154

150

(3)

317

312

(2)

Occupancy and other operating expenses

141

143

1

292

297

1

Company restaurant expenses

472

460

(3)

972

974

General and administrative expenses

26

27

5

52

54

4

Franchise expenses

1

1

(14)

2

2

(15)

Expenses for transactions with franchisees

1

1

(32)

3

2

(41)

Other operating costs and expenses

5

6

7

11

11

(3)

Closures and impairment expenses, net

3

5

37

3

5

38

Total costs and expenses, net

508

500

(2)

1,043

1,048

Operating Profit

$

46

$

40

16

$

106

$

87

22

OP margin

8.3

%

7.4

%

0.9

ppts.

9.2

%

7.7

%

1.5

ppts.

Company sales

100.0

%

100.0

%

100.0

%

100.0

%

Food and paper

32.5

31.6

(0.9)

ppts.

32.1

32.7

0.6

ppts.

Payroll and employee benefits

28.3

28.3

ppts.

28.1

27.9

(0.2)

ppts.

Occupancy and other operating expenses

25.9

26.9

1.0

ppts.

25.9

26.6

0.7

ppts.

Restaurant margin

13.3

%

13.2

%

0.1

ppts.

13.9

%

12.8

%

1.1

ppts.

Percentages may not recompute due to rounding.

 

 

 

Yum China Holdings, Inc.

Condensed Consolidated Balance Sheets

(in US$ million)

6/30/2025

12/31/2024

(Unaudited)

ASSETS

Current Assets

Cash and cash equivalents

$

592

$

723

Short-term investments

1,563

1,121

Accounts receivable, net

94

79

Inventories, net

360

405

Prepaid expenses and other current assets

383

366

Total Current Assets

2,992

2,694

Property, plant and equipment, net

2,415

2,407

Operating lease right-of-use assets

2,103

2,146

Goodwill

1,915

1,880

Intangible assets, net

145

144

Long-term bank deposits and notes

626

1,088

Equity investments

382

368

Deferred income tax assets

142

138

Other assets

263

256

Total Assets

10,983

11,121

LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND EQUITY

Current Liabilities

Accounts payable and other current liabilities

2,056

2,080

Short-term borrowings

127

Income taxes payable

101

76

Total Current Liabilities

2,157

2,283

Non-current operating lease liabilities

1,760

1,816

Non-current finance lease liabilities

48

49

Deferred income tax liabilities

395

389

Other liabilities

154

157

Total Liabilities

4,514

4,694

Redeemable Noncontrolling Interest

13

13

Equity

Common stock, $0.01 par value; 1,000 million shares authorized; 371 million shares
      and 379 million shares issued at June 30, 2025 and December 31, 2024, respectively;
      371 million shares and 378 million shares outstanding at June 30, 2025 and December 31,
      2024, respectively.

4

4

Treasury stock

(12)

(52)

Additional paid-in capital

3,952

4,028

Retained earnings

2,110

2,089

Accumulated other comprehensive loss

(265)

(341)

Total Yum China Holdings, Inc. Stockholders’ Equity

5,789

5,728

Noncontrolling interests

667

686

Total Equity

6,456

6,414

Total Liabilities, Redeemable Noncontrolling Interest and Equity

$

10,983

$

11,121

 

 

 

Yum China Holdings, Inc.

Condensed Consolidated Statements of Cash Flows

(in US$ million)

(unaudited)

Year to Date Ended

6/30/2025

6/30/2024

 Cash Flows – Operating Activities

 Net income – including noncontrolling interests

$

546

$

535

 Depreciation and amortization

219

235

 Non-cash operating lease cost

199

203

 Closures and impairment expenses

18

14

 Investment loss (gain)

15

(16)

 Equity in net (earnings) losses from equity method investments

(6)

 Distributions of income received from equity method investments

9

7

 Deferred income taxes

(3)

(2)

 Share-based compensation expense

22

23

 Changes in accounts receivable

(13)

(5)

 Changes in inventories

52

52

 Changes in prepaid expenses, other current assets and value-added tax assets

(8)

(28)

 Changes in accounts payable and other current liabilities

(53)

27

 Changes in income taxes payable

24

25

 Changes in non-current operating lease liabilities

(200)

(206)

 Other, net

43

(21)

 Net Cash Provided by Operating Activities

864

843

 Cash Flows – Investing Activities

 Capital spending

(259)

(358)

 Purchases of short-term investments, long-term bank deposits and notes

(3,924)

(1,479)

 Maturities of short-term investments, long-term bank deposits and notes

3,905

1,702

 Acquisition of equity investment

(14)

 Other, net

2

3

 Net Cash Used in Investing Activities

(290)

(132)

 Cash Flows – Financing Activities

 Proceeds from short-term borrowings

307

 Repayment of short-term borrowings

(129)

(52)

 Repurchase of shares of common stock

(368)

(869)

 Cash dividends paid on common stock

(180)

(126)

 Dividends paid to noncontrolling interests

(25)

(28)

 Other, net

(7)

(17)

 Net Cash Used in Financing Activities

(709)

(785)

 Effect of Exchange Rates on Cash, Cash Equivalents and Restricted Cash

4

(11)

 Net Decrease in Cash, Cash Equivalents and Restricted Cash

(131)

(85)

 Cash, Cash Equivalents, and Restricted Cash – Beginning of Period

723

1,128

 Cash, Cash Equivalents, and Restricted Cash – End of Period

$

592

$

1,043

 

In this press release:

  • Certain performance metrics and non-GAAP measures are presented excluding the impact of foreign currency translation (“F/X”). These amounts are derived by translating current year results at prior year average exchange rates. We believe the elimination of the F/X impact provides better year-to-year comparability without the distortion of foreign currency fluctuations.
  • System sales growth reflects the results of all restaurants regardless of ownership, including Company-owned and franchise restaurants that operate our restaurant concepts, except for non-Company-owned restaurants for which we do not receive a sales-based royalty. Sales of franchise restaurants typically generate ongoing franchise fees for the Company at an average rate of approximately 6% of system sales. Franchise restaurant sales are not included in Company sales in the Condensed Consolidated Statements of Income; however, the franchise fees are included in the Company’s revenues. We believe system sales growth is useful to investors as a significant indicator of the overall strength of our business as it incorporates all of our revenue drivers, Company and franchise same-store sales as well as net unit growth.
  • Effective January 1, 2018, the Company revised its definition of same-store sales growth to represent the estimated percentage change in sales of food of all restaurants in the Company system that have been open prior to the first day of our prior fiscal year, excluding the period during which stores are temporarily closed. We refer to these as our “base” stores. Previously, same-store sales growth represented the estimated percentage change in sales of all restaurants in the Company system that have been open for one year or more, including stores temporarily closed, and the base stores changed on a rolling basis from month to month. This revision was made to align with how management measures performance internally and focuses on trends of a more stable base of stores.

 

Unit Count by Brand

KFC

12/31/2024

New Builds

Closures

Refranchised

6/30/2025

Company-owned

10,187

526

(175)

(2)

10,536

Franchisees

1,461

255

(16)

2

1,702

Total

11,648

781

(191)

12,238

Pizza Hut

12/31/2024

New Builds

Closures

Refranchised

6/30/2025

Company-owned

3,525

230

(125)

(1)

3,629

Franchisees

199

41

(6)

1

235

Total

3,724

271

(131)

3,864

Others

12/31/2024

New Builds

Closures

6/30/2025

Company-owned

175

9

(30)

154

Franchisees

848

26

(152)

722

Total

1,023

35

(182)

876

Reconciliation of Reported GAAP Results to Non-GAAP Measures
(in millions, except per share data)
(unaudited)

In addition to the results provided in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”) in this press release, the Company provides the following non-GAAP measures:

  • Measures adjusted for Special Items, which include Adjusted Operating Profit, Adjusted Net Income, Adjusted Earnings Per Common Share (“EPS”), Adjusted Effective Tax Rate and Adjusted EBITDA;
  • Company Restaurant Profit (“Restaurant profit”) and Restaurant margin;
  • Core Operating Profit and Core OP margin, which exclude Special Items, and further adjusted for Items Affecting Comparability and the impact of F/X;

These non-GAAP measures are not intended to replace the presentation of our financial results in accordance with GAAP.  Rather, the Company believes that the presentation of these non-GAAP measures provides additional information to investors to facilitate the comparison of past and present results, excluding those items that the Company does not believe are indicative of our core operations.

With respect to non-GAAP measures adjusted for Special Items, the Company excludes impact from Special Items for the purpose of evaluating performance internally and uses them as factors in determining compensation for certain employees. Special Items are not included in any of our segment results.

Adjusted EBITDA is defined as net income including noncontrolling interests adjusted for equity in net earnings (losses) from equity method investments, income tax, interest income, net, investment gain or loss, depreciation and amortization, store impairment charges, and Special Items. Store impairment charges included as an adjustment item in Adjusted EBITDA primarily resulted from our semi-annual impairment evaluation of long-lived assets of individual restaurants, and additional impairment evaluation whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. If these restaurant-level assets were not impaired, depreciation of the assets would have been recorded and included in EBITDA. Therefore, store impairment charges were a non-cash item similar to depreciation and amortization of our long-lived assets of restaurants. The Company believes that investors and analysts may find it useful in measuring operating performance without regard to such non-cash items.

Restaurant Profit is defined as Company sales less expenses incurred directly by our Company-owned restaurants in generating Company sales, including cost of food and paper, restaurant-level payroll and employee benefits, rent, depreciation and amortization of restaurant-level assets, advertising expenses, and other operating expenses. Company restaurant margin percentage is defined as Restaurant profit divided by Company sales. We also use Restaurant profit and Restaurant margin for the purposes of internally evaluating the performance of our Company-owned restaurants and we believe they provide useful information to investors as to the profitability of our Company-owned restaurants.

Core Operating Profit is defined as Operating Profit adjusted for Special Items, and further excluding Items Affecting Comparability and the impact of F/X. We consider quantitative and qualitative factors in assessing whether to adjust for the impact of items that may be significant or that could affect an understanding of our ongoing financial and business performance or trends. Items such as charges, gains and accounting changes which are viewed by management as significantly impacting the current period or the comparable period, due to changes in policy or other external factors, or non-cash items pertaining to underlying activities that are different from or unrelated to our core operations, are generally considered “Items Affecting Comparability.” Examples of Items Affecting Comparability include, but are not limited to: temporary relief from landlords and government agencies; VAT deductions due to tax policy changes; and amortization of reacquired franchise rights recognized upon acquisitions. We believe presenting Core Operating Profit provides additional information to further enhance comparability of our operating results and we use this measure for purposes of evaluating the performance of our core operations. Core OP margin is defined as Core Operating Profit divided by Total revenues, excluding the impact of F/X.

The following tables set forth the reconciliation of the most directly comparable GAAP financial measures to the non-GAAP financial measures. The reconciliation of GAAP Operating Profit to Restaurant Profit and Core Operating Profit by segment is presented in Segment Results within this release.

Quarter Ended

Year to Date Ended

6/30/2025

6/30/2024

6/30/2025

6/30/2024

Reconciliation of Operating Profit to Adjusted Operating Profit

Operating Profit

$

304

$

266

$

703

$

640

Special Items, Operating Profit

Adjusted Operating Profit

$

304

$

266

$

703

$

640

Reconciliation of Net Income to Adjusted Net Income

Net Income – Yum China Holdings, Inc.

$

215

$

212

$

507

$

499

Special Items, Net Income –Yum China Holdings, Inc.

Adjusted Net Income – Yum China Holdings, Inc.

$

215

$

212

$

507

$

499

Reconciliation of EPS to Adjusted EPS

Basic Earnings Per Common Share

$

0.58

$

0.55

$

1.36

$

1.27

Special Items, Basic Earnings Per Common Share

Adjusted Basic Earnings Per Common Share

$

0.58

$

0.55

$

1.36

$

1.27

Diluted Earnings Per Common Share

$

0.58

$

0.55

$

1.35

$

1.26

Special Items, Diluted Earnings Per Common Share

Adjusted Diluted Earnings Per Common Share

$

0.58

$

0.55

$

1.35

$

1.26

Reconciliation of Effective Tax Rate to Adjusted Effective Tax Rate

Effective tax rate

25.8

%

25.2

%

26.9

%

26.2

%

Impact on effective tax rate as a result of Special Items

Adjusted effective tax rate

25.8

%

25.2

%

26.9

%

26.2

%

 

Net income, along with the reconciliation to Adjusted EBITDA, is presented below:

Quarter Ended

Year to Date Ended

6/30/2025

6/30/2024

6/30/2025

6/30/2024

Net Income – Yum China Holdings, Inc.

$

215

$

212

$

507

$

499

Net income – noncontrolling interests

18

16

39

36

Equity in net (earnings) losses from equity method investments

(2)

(6)

Income tax provision

80

77

199

190

Interest income, net

(25)

(31)

(51)

(69)

Investment loss (gain)

18

(8)

15

(16)

Operating Profit

304

266

703

640

Special Items, Operating Profit

Adjusted Operating Profit

304

266

703

640

Depreciation and amortization

110

118

219

235

Store impairment charges

13

15

19

19

Adjusted EBITDA

$

427

$

399

$

941

$

894

 

Operating Profit, along with the reconciliation to Core Operating Profit, is presented below:

Quarter ended

% Change

Year to Date Ended

% Change

6/30/2025

6/30/2024

B/(W)

6/30/2025

6/30/2024

B/(W)

Operating Profit

$

304

$

266

14

$

703

$

640

10

Special Items, Operating Profit

Adjusted Operating Profit

$

304

$

266

14

$

703

$

640

10

Items Affecting Comparability

F/X impact

(1)

5

Core Operating Profit

$

303

$

266

14

$

708

$

640

11

Total revenues

2,787

2,679

4

5,768

5,637

2

F/X impact

(7)

31

Total revenues, excluding the impact of F/X

$

2,780

$

2,679

4

$

5,799

$

5,637

3

Core OP margin

10.9

%

9.9

%

1.0

ppts.

12.2

%

11.4

%

0.8

ppts.

 

 

Yum China Holdings, Inc.

Segment Results

(in US$ million)

(unaudited)

Quarter Ended 6/30/2025

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

Company sales

$         2,059

$            545

$                       9

$                     —

$                  —

$         2,613

Franchise fees and income

19

2

3

24

Revenues from transactions with franchisees(2)

17

1

17

80

115

Other revenues

1

6

172

17

(161)

35

Total revenues

$         2,096

$            554

$                   201

$                     97

$              (161)

$         2,787

Company restaurant expenses

1,710

472

9

2,191

General and administrative expenses

61

26

8

36

131

Franchise expenses

9

1

10

Expenses for transactions with franchisees(2)

15

1

16

78

110

Other operating costs and expenses

1

5

168

17

(161)

30

Closures and impairment expenses, net

8

3

1

12

Other income, net

(1)

(1)

Total costs and expenses, net

1,804

508

202

130

(161)

2,483

Operating Profit (Loss)

$            292

$              46

$                     (1)

$                   (33)

$                  —

$            304

Reconciliation of GAAP Operating Profit to Restaurant Profit is as follows:

Quarter Ended 6/30/2025

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

GAAP Operating Profit (Loss)

$            292

$              46

$                     (1)

$                   (33)

$                  —

$            304

Less:

Franchise fees and income

19

2

3

24

Revenues from transactions with franchisees(2)

17

1

17

80

115

Other revenues

1

6

172

17

(161)

35

Add:

General and administrative expenses

61

26

8

36

131

Franchise expenses

9

1

10

Expenses for transactions with franchisees(2)

15

1

16

78

110

Other operating costs and expenses

1

5

168

17

(161)

30

Closures and impairment expenses, net

8

3

1

12

Other income, net

(1)

(1)

Restaurant profit

$            349

$              73

$                     —

$                     —

$                  —

$            422

Company sales

2,059

545

9

2,613

Restaurant margin

16.9 %

13.3 %

(11.5) %

N/A

N/A

16.1 %

Reconciliation of GAAP Operating Profit to Core Operating Profit is as follows:

Quarter Ended 6/30/2025

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

GAAP Operating Profit (Loss)

$            292

$              46

$                     (1)

$                   (33)

$                  —

$            304

Special Items, Operating Profit 

Adjusted Operating Profit (Loss)

$            292

$              46

$                     (1)

$                   (33)

$                  —

$            304

Items Affecting Comparability

F/X impact

(1)

(1)

Core Operating Profit (Loss)

$            291

$              46

$                     (1)

$                   (33)

$                  —

$            303

Quarter Ended 6/30/2024

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

Company sales

$         1,983

$            530

$                     15

$                     —

$                  —

$         2,528

Franchise fees and income

16

2

4

22

Revenues from transactions with franchisees(2)

12

1

16

67

96

Other revenues

3

7

144

16

(137)

33

Total revenues

$         2,014

$            540

$                   179

$                     83

$              (137)

$         2,679

Company restaurant expenses

1,663

460

14

2,137

General and administrative expenses

60

27

10

36

133

Franchise expenses

8

1

9

Expenses for transactions with franchisees(2)

11

1

14

66

92

Other operating costs and expenses

2

6

142

16

(137)

29

Closures and impairment expenses, net

6

5

2

13

Total costs and expenses, net

1,750

500

182

118

(137)

2,413

Operating Profit (Loss)

$            264

$              40

$                     (3)

$                   (35)

$                  —

$            266

Reconciliation of GAAP Operating Profit to Restaurant Profit is as follows:

Quarter Ended 6/30/2024

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

GAAP Operating Profit (Loss)

$            264

$              40

$                     (3)

$                   (35)

$                  —

$            266

Less:

Franchise fees and income

16

2

4

22

Revenues from transactions with franchisees(2)

12

1

16

67

96

Other revenues

3

7

144

16

(137)

33

Add:

General and administrative expenses

60

27

10

36

133

Franchise expenses

8

1

9

Expenses for transactions with franchisees(2)

11

1

14

66

92

Other operating costs and expenses

2

6

142

16

(137)

29

Closures and impairment expenses, net

6

5

2

13

Restaurant profit

$            320

$              70

$                       1

$                     —

$                  —

$            391

Company sales

1,983

530

15

2,528

Restaurant margin

16.2 %

13.2 %

5.9 %

N/A

N/A

15.5 %

Reconciliation of GAAP Operating Profit to Core Operating Profit is as follows:

Quarter Ended 6/30/2024

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

GAAP Operating Profit (Loss)

$            264

$              40

$                     (3)

$                   (35)

$                  —

$            266

Special Items, Operating Profit 

Adjusted Operating Profit (Loss)

$            264

$              40

$                     (3)

$                   (35)

$                  —

$            266

Items Affecting Comparability

F/X impact

Core Operating Profit (Loss)

$            264

$              40

$                     (3)

$                   (35)

$                  —

$            266

Year to Date Ended 6/30/2025

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

Company sales

$         4,267

$         1,129

$                     18

$                     —

$                  —

$         5,414

Franchise fees and income

40

4

7

51

Revenues from transactions with franchisees(2)

33

3

36

164

236

Other revenues

2

13

342

34

(324)

67

Total revenues

$         4,342

$         1,149

$                   403

$                   198

$              (324)

$         5,768

Company restaurant expenses

3,481

972

20

(1)

4,472

General and administrative expenses

120

52

16

81

269

Franchise expenses

19

2

21

Expenses for transactions with franchisees(2)

29

3

33

162

227

Other operating costs and expenses

2

11

335

34

(323)

59

Closures and impairment expenses, net

13

3

2

18

Other income, net

(1)

(1)

Total costs and expenses, net

3,664

1,043

406

276

(324)

5,065

Operating Profit (Loss)

$            678

$            106

$                     (3)

$                   (78)

$                  —

$            703

Reconciliation of GAAP Operating Profit to Restaurant Profit is as follows:

Year to Date Ended 6/30/2025

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

GAAP Operating Profit (Loss)

$            678

$            106

$                     (3)

$                   (78)

$                  —

$            703

Less:

Franchise fees and income

40

4

7

51

Revenues from transactions with franchisees(2)

33

3

36

164

236

Other revenues

2

13

342

34

(324)

67

Add:

General and administrative expenses

120

52

16

81

269

Franchise expenses

19

2

21

Expenses for transactions with franchisees(2)

29

3

33

162

227

Other operating costs and expenses

2

11

335

34

(323)

59

Closures and impairment expenses, net

13

3

2

18

Other income, net

(1)

(1)

Restaurant profit (loss)

$            786

$            157

$                     (2)

$                     —

$                    1

$            942

Company sales

4,267

1,129

18

5,414

Restaurant margin

18.4 %

13.9 %

(16.0) %

N/A

N/A

17.4 %

Reconciliation of GAAP Operating Profit to Core Operating Profit is as follows:

Year to Date Ended 6/30/2025

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

GAAP Operating Profit (Loss)

$            678

$            106

$                     (3)

$                   (78)

$                  —

$            703

Special Items, Operating Profit 

Adjusted Operating Profit (Loss)

$            678

$            106

$                     (3)

$                   (78)

$                  —

$            703

Items Affecting Comparability

F/X impact

4

1

5

Core Operating Profit (Loss)

$            682

$            107

$                     (3)

$                   (78)

$                  —

$            708

Year to Date Ended 6/30/2024

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

Company sales

$         4,176

$         1,117

$                     29

$                     —

$                  —

$         5,322

Franchise fees and income

34

4

9

47

Revenues from transactions with franchisees(2)

26

2

36

139

203

Other revenues

8

12

308

31

(294)

65

Total revenues

$         4,244

$         1,135

$                   382

$                   170

$              (294)

$         5,637

Company restaurant expenses

3,434

974

31

(1)

4,438

General and administrative expenses

121

54

20

78

273

Franchise expenses

17

2

19

Expenses for transactions with franchisees(2)

23

2

33

138

196

Other operating costs and expenses

6

11

304

30

(293)

58

Closures and impairment expenses, net

7

5

2

14

Other income, net

(1)

(1)

Total costs and expenses, net

3,608

1,048

390

245

(294)

4,997

Operating Profit (Loss)

$            636

$              87

$                     (8)

$                   (75)

$                  —

$            640

Reconciliation of GAAP Operating Profit to Restaurant Profit is as follows:

Year to Date Ended 6/30/2024

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

GAAP Operating Profit (Loss)

$            636

$              87

$                     (8)

$                   (75)

$                  —

$            640

Less:

Franchise fees and income

34

4

9

47

Revenues from transactions with franchisees(2)

26

2

36

139

203

Other revenues

8

12

308

31

(294)

65

Add:

General and administrative expenses

121

54

20

78

273

Franchise expenses

17

2

19

Expenses for transactions with franchisees(2)

23

2

33

138

196

Other operating costs and expenses

6

11

304

30

(293)

58

Closures and impairment expenses, net

7

5

2

14

Other income, net

(1)

(1)

Restaurant profit (loss)

$            742

$            143

$                     (2)

$                     —

$                    1

$            884

Company sales

4,176

1,117

29

5,322

Restaurant margin

17.8 %

12.8 %

(11.1) %

N/A

N/A

16.6 %

Reconciliation of GAAP Operating Profit to Core Operating Profit is as follows:

Year to Date Ended 6/30/2024

KFC

Pizza Hut

All Other
Segments

Corporate
and
Unallocated(1)

Elimination

Total

GAAP Operating Profit (Loss)

$            636

$              87

$                     (8)

$                   (75)

$                  —

$            640

Special Items, Operating Profit 

Adjusted Operating Profit (Loss)

$            636

$              87

$                     (8)

$                   (75)

$                  —

$            640

Items Affecting Comparability

F/X impact

Core Operating Profit (Loss)

$            636

$              87

$                     (8)

$                   (75)

$                  —

$            640

The above tables reconcile segment information, which is based on management responsibility, with our Condensed Consolidated Statements of Income.  

(1) Amounts have not been allocated to any segment for purpose of making operating decision or assessing financial performance as the transactions are deemed corporate revenues
and expenses in nature.

(2) Primarily includes revenues and associated expenses of transactions with franchisees derived from the Company’s central procurement model whereby the Company centrally purchases
substantially all food and paper products from suppliers and then sells and delivers to KFC and Pizza Hut restaurants, including franchisees.

 

Accelerating Intelligent Education at APAN60 & Huawei Intelligent Education Forum 2025

HONG KONG, Aug. 5, 2025 /PRNewswire/ — During the APAN60 held from July 28 to August 1, Huawei as a diamond sponsor, showcased its latest digital and intelligent education technologies at the renowned education event in Asia-Pacific region. Huawei also hosted the Huawei Intelligent Education Forum, under the theme “Accelerate Education Intelligence”, with more than 100 APAC National Research and Education Network (NREN) leaders, university presidents, IT leaders to explore the future of intelligent education together.

Aaron Wang, General Manager of Enterprise Business of Huawei Hong Kong, delivering his speech
Aaron Wang, General Manager of Enterprise Business of Huawei Hong Kong, delivering his speech

Aaron Wang, General Manager of Enterprise Business of Huawei Hong Kong, kicked off the forum with his welcome speech. He emphasized that “The digital transformation of education is a collaborative journey—where global expertise meets regional needs to build an inclusive, future-ready ecosystem. At Huawei, we believe in co-creating solutions that bridge gaps between innovation and accessibility, ensuring technology serves as a force for equitable education.”

Tang Fei, MH, Member of the Legislative Council, Vice President of the Hong Kong Federation of Education Workers, stated that “Over 77% of teachers in Hong Kong have already used AI tools in their teaching. A large majority believe that AI significantly enhances teaching efficiency, reduces their workload, and boosts student engagement. AI is a powerful assistant, not a replacement. It cannot replicate the inspiration, ethical guidance, and human connection that teachers bring. Moving forward, we must strengthen teacher training, develop localized AI tools, and promote digital literacy and responsible AI use.”

Wilson Kwok, Chairman of APAN60 LOC, Director of JUCC, kicked off the forum by introducing JUCC and its mission to enhance collaboration across universities in Hong Kong. He extended that “The main objective for JUCC is to coordinate and provide IT services to facilitate teaching, research, and administration for its members and Hong Kong’s education community.”

Peter Zhang, Vice President of Global Public Sector BU of Huawei, highlighted in his speech, “Huawei has more than 30 years of ICT experience and is the only one supplier with full-stack ICT solutions. With the support of our partners, Huawei has established a well-developed talent development network around the world and accumulated rich experience. Huawei is willing to work closely with the education industry to build a perfect ICT talent development system and contribute to the sustainable development of society.”

Xin Yao, Vice President (Research and Innovation) and the Tong Tin Sun Chair Professor of Machine Learning, Lingnan University, expressed that “Lingnan University (LU) has adopted a holistic and human-centric approach to Trustworthy AI (TAI), placing human well-being at the core of its research efforts. LU believes that technology should serve society and contribute to the betterment of humankind. Building on its strong liberal arts foundation, LU emphasizes interdisciplinary collaboration in its TAI research.”

Justin Mendes, Director of Applied & Technical English and Cross-Cultural Communications, Shenyang Institute of Technology, shared the collaboration with Huawei. “Huawei and Shenyang Institute of Technology jointly pioneer industry-education integration through co-created industrial colleges. Featuring dual-teacher instruction (Huawei engineers + SIT faculty) and hands-on training with Huawei’s full-stack technologies—Kunpeng, Ascend AI, 5G, and HarmonyOS—alongside DeepSeek AI models, this collaboration builds employment pipelines for industry-certified ‘professional + language’ talent, transforming classrooms into innovation engines for an increasingly digital and intelligent world.”

During the panel sessions, under the topic “Sovereign AI Accelerating Intelligent Education and Research”, Flora Ng, CIO & University Librarian, The University of Hong Kong, addressed that “AI is not only a transformative force for teaching, learning, and research, but also a catalyst for rethinking administrative processes and institutional strategies. The importance of responsible and ethical AI adoption, as well as building a collaborative ecosystem among universities, industry partners like Huawei, and policy-makers.”

Roshan G. Ragel, Consultant CEO, Lanka Research and Education Network (LEARN), shared his thought, “The Huawei Intelligent Education Forum was an excellent platform to share Sri Lanka’s journey in building an inclusive and responsible AI-enabled education ecosystem. It was encouraging to see our vision resonate across the Asia-Pacific, reaffirming that the future of education lies in connecting infrastructure, intelligence, and people—ensuring every learner can thrive in a digitally empowered and ethically grounded world.”

The use of AI has significantly transformed people’s lives, stimulated innovation and enhancing efficiency. Puklao Sithithavorn, Deputy CEO of UniNet, mentioned that “AI isn’t just about algorithms — it’s about impact. AI isn’t just about technology — it’s about people. From classrooms to communities, Thailand is using AI to make life smarter, fairer, and more connected. We believe AI should be accessible, ethical, and made for everyone — not just tech experts. Together with right partners, we’re not just talking about the future — we’re building it.”

Hong-Eng Koh, Global Chief Public Services Industry Scientist of Huawei, wrapped up for the panel discussions. “In Asia-Pacific, as elaborated by our panel of experts, sovereign AI is accelerating the intelligent transformation of education and research. From knowledge instructions to coaching and capability development, from uniformity teaching to personalized learning, and from linear hypothesis based to AI-led interdisciplinary research. We also agreed on the various AI implementation critical success factors, especially in the digital and AI training for all,” he said.

Dilan Huang, Vice President of Government & Public Sector for Huawei APAC Enterprise Sales Department, expressed his gratitude at the Huawei Intelligent Education Forum Gala Night, stating that “Over the past few years, thanks to our customers’ trust and our partners’ support, Huawei Asia Pacific has kept growing fast in education. Together, we’ve set a new benchmark in the industry one after another. Looking ahead, Huawei will keep creating more innovative and competitive solutions and products, always aiming to deliver more value to our customers.”

To date, we have served more than 7,800 customers in the education sector across over 120 countries and regions. Huawei will continuously apply ICT technologies in the education sector to cultivate ICT professionals, bridge the digital divide, and drive equity in education.

Fapon Biopharma Announces the enrollment of the First Patient in the Phase I Clinical Trial of FP008, A First-in-Class Immunotherapy for Solid Tumors

DONGGUAN, China, Aug 5, 2025 /PRNewswire/ — Fapon Biopharma, a biotech in developing therapeutic antibodies and fusion proteins, is delighted to announce the completion of the first patient enrollment  in China for its Phase I clinical trial of FP008 , a first-in-class immunotherapy for solid tumors, at Zhejiang Cancer Hospital. The patient has completed the Dose Limiting Toxicity (DLT) observation period with a favorable safety profile. The trial aims to evaluate the safety and tolerability of FP008 in patients with advanced solid tumors. 

As the latest next generation of immuno-oncology (IO) approach, FP008 is a novel anti-PD-1 × IL-10M fusion protein designed to overcome the limitations of current PD-1 inhibitors by using a proprietary IL-10 mutant that eliminates the toxicity associated with the wild-type protein. It represents a potential new therapeutic option for patients who are refractory to or relapsed from anti-PD-1/PD-L1 therapies. Preclinical studies demonstrated that FP008 significantly reduces PD-1 antibody-mediated CD8⁺ T-cell exhaustion and exhibits potent anti-tumor efficacy. Key findings include: 

– Enhanced infiltration of CD8⁺ T-cells into tumors;
– Reduced terminal exhaustion differentiation of CD8⁺ T-cells;
– Increased secretion of IFN-γ and GZMB in terminally exhausted CD8⁺ T-cells.

Additionally, FP008 showed favorable safety and pharmacokinetic (PK) profiles in cynomolgus monkey studies, supporting its clinical potential. FP008 has received Investigational New Drug (IND) approval from both the U.S. FDA and China’s NMPA.

The multi-center Phase I trial in China is led by Zhejiang Cancer Hospital, with two additional sites participating. Professor Zhengbo Song, Principal Investigator at Zhejiang Cancer Hospital, stated: “FP008 offers a promising therapeutic strategy for solid tumor patients resistant to anti-PD-1 antibodies. Its unique mechanism could address a critical unmet clinical need in immuno-oncology. We look forward to further evaluating its safety and efficacy in the clinic.” 

About FP008

FP008 is a novel anti-PD-1×IL-10M fusion protein with a unique mechanism of action (MOA) and therapeutic potential for anti-PD-1 naïve or resistant patients. IL-10 monomer (IL-10M) engineering significantly reduces its hematologic toxicity, while the anti-PD-1 antibody enhances IL-10M activity by PD-1 targeted enrichment and cis-activation. This breakthrough offers a new treatment choice for patients who have limited options and could potentially transform the treatment paradigm for solid tumors. Fapon Biopharma is actively seeking strategic partnerships with biopharmaceutical companies worldwide to co-develop FP008 through clinical trials or further commercialization. 

About Fapon Biopharma 

Fapon Biopharma specializes in discovering and developing biologics for cancer treatment, autoimmune diseases and other diseases where there are unmet medical needs. Leveraging cutting-edge technologies, we have built advanced drug discovery platforms, including an antibody discovery platform based on the globally leading mammalian cell display technology, a platform for generating IL-10M fusion proteins, a TCE platform based on cross-species CD3 nanobody of human and monkey. With a differentiated pipeline of leading drug candidates, we have established capabilities that cover the entire drug development process from drug discovery, preclinical research, Chemistry, Manufacturing and Controls (CMC) to early clinical development. Committed to innovation, we strive to deliver safer, more efficacious, affordable, and accessible biologics for everyone.

For more information about FP008 and partnership opportunities, please visit our website (https://en.faponbiopharma.com/) or contact our Business Development team.
Max Wang: max.wang@fapon.com;
Liyan Gao: liyan.gao@fapon.com

Vietnam Allows All Women to Access Fertility Treatments by Choice

Vietnam Allows All Women to Access Fertility Treatments by Choice
This image is used only for representational purpose (photo credit: Pexels)

Starting on 1 October, Vietnam will allow all women to access assisted reproductive technologies (ART), including egg freezing and in vitro fertilization (IVF), based on their personal choice.

Sharjah Records $7.3B Real Estate Transactions in First Half of 2025, up 48.1%

PEOPLE FROM 109 COUNTRIES INVEST IN SHARJAH IN H1 – INDIAN, SYRIAN INVESTORS LEAD

SHARJAH, UAE, Aug. 5, 2025 /PRNewswire/ — Real estate transactions in the emirate of Sharjah surged to $7.3 billion in the first half of 2025, up 48.1% from $4.9 billion in the same period last year, according to Sharjah Real Estate Registration Department.

The number of transactions rose to over 48,000, a 3.3% increase from 2024. Investors from 109 nationalities participated, reflecting Sharjah’s growing appeal as a global real estate destination, driven by diverse property offerings, advanced infrastructure, and rising investor confidence. 

Emirati investors led investments with $3.3 billion in transactions. Other Gulf nationals added $0.3 billion, bringing total GCC investments to $3.6 billion.

India recorded a significant increase with nearly $1 billion in investments. Among Arab nationalities, Syrian investors recorded the highest value at $405 million, followed by investors from Pakistan, Jordan, Iraq, and Egypt.

Britain Leads European Investments
The United Kingdom ranked ninth overall, leading European investors with $123 million in transactions. It was followed by France, Germany, the Netherlands, and Sweden, along with Italy, Ukraine, Greece, Switzerland, Ireland, and Belgium. The US, Canada, and Australia collectively invested $191 million.

Abdulaziz Al Shamsi, Director General of the Sharjah Real Estate Registration Department, credited the government’s commitment to a modern legislative framework for strong performance.

“Current indicators are promising for a prosperous future in the real estate sector”, he said. “We are also continuing our efforts to reinforce Sharjah’s position as a leading economic and real estate hub both regionally and globally.”

The full article can be found here.

–  Image is available at AP –

Hussain Al Mulla
Media Relations Executive – Sharjah Government Media Bureau
+971563980067
Hussain.almulla@sgmb.ae

CoinW Unveils Upgraded Fee Structure and Reward Ecosystem to Boost Crypto Utility and Earnings

HONG KONG, Aug. 5, 2025 /PRNewswire/ — CoinW, a global leading cryptocurrency asset trading platform, has unveiled a major upgrade to its spot trading fee structure, alongside additional user benefits and global payment perks. This initiative marks a significant step toward building a trade-to-earn-driven asset ecosystem, offering users more flexibility, efficiency, and profitability.

Spot Fee System Fully Upgraded
Spot Fee System Fully Upgraded

Lower Fees, More Benefits 

The upgraded spot trading fee structure introduces a nine-level system (Lv1–Lv9),  based on either a user’s 30-day trading volume or average daily asset holdings. No applications or manual reviews are needed—tiers are updated daily.

With maker and taker fees dropping as low as 0.020% and 0.030%, CoinW’s rates are well below industry averages—offering strong value without compromising liquidity or capital efficiency. This streamlined model lowers entry barriers for new users while better rewarding active traders and long-term holders alike.

“The update isn’t simply a fee adjustment—it’s a pivotal step in advancing the CoinW asset experience,” said Nassar Achkar, CoinW’s Chief Strategy Officer. “We’re building an inclusive crypto financial ecosystem where users can grow their assets and spend them globally, all within one platform. This reflects our commitment to both technological progress and the long-term promise of democratized crypto finance.”

Seamless Global Payments with CoinW Card

As part of the upgrade, CoinW is also rolling out the CoinW Card—a global crypto payment solution that links your digital assets to everyday spending.

Users can apply for a virtual or physical SGD-denominated card and pay with USDT directly—no need for manual withdrawals. Highlights include:

  • Free virtual card issuance with zero monthly fees
  • Physical cards support global ATM withdrawals with single transaction limits up to $20,000
  • Support for online and offline purchases worldwide
  • Up to 50% off physical card fees during the launch period

More than a payment tool, CoinW Card connects digital assets to real-world spending, advancing crypto adoption worldwide. Whether shopping online or withdrawing cash abroad, users enjoy a truly borderless payment experience.

As part of the Fast-Track Access Program, eligible users can unlock CoinW Card privileges, tiered fee discounts, and extra incentive coupons—all in one go.

Limited-Time Campaigns to Celebrate the Upgrade

To mark this milestone, CoinW will run three user-centric campaigns from August 4 to August 31, providing easier access to discounted trading fees, enhanced reward opportunities, and exclusive benefits:

  • Tier Access at Half Threshold: Trade or hold 50% of usual requirements to enjoy tiered fee discounts for 30 days.
  • 7-Day Fee Trial for New Users: New or migrating users can submit proof of trading or holdings from other platforms to receive Lv3 fee rates (Maker 0.070%, Taker 0.075%) for 7 days.
  • 100% Win Mystery Box Draw: Complete daily tasks for up to 4 chances to win prizes such as discounted fee cards, CoinW Cards, reward coupons, and popular tokens like SOL and PEPE.

These campaigns make CoinW’s asset ecosystem more accessible, providing users with opportunities to engage and transact more efficiently.

By lowering fees, enhancing trading conditions, and enabling real-world spending options, CoinW continues to expand the practical use of cryptocurrencies—turning digital assets into everyday lifestyle tools and making crypto finance more accessible and user-friendly for everyone.

About CoinW

Founded in 2017, CoinW has grown into one of the world’s leading cryptocurrency asset trading platforms, serving a vast and diverse global user base. The platform offers intelligent trading services, with a daily trading volume exceeding $5 billion and a consistent top 4 ranking in CoinMarketCap’s futures markets. With over 10 million registered users, CoinW is deeply committed to advancing wealth creation and blockchain innovation, continually enhancing its product ecosystem with innovations. Since 2022, CoinW has significantly expanded its global brand presence through international sports sponsorships, including a high-profile partnership with football legend Andrea Pirlo. In addition to its commercial growth, CoinW is actively engaged in corporate social responsibility — from donating supplies to orphanages in Africa to supporting animal welfare in Taiwan. Looking ahead, CoinW aims to promote financial inclusion on a global scale, continue leading the cryptocurrency sector, and accelerate the adoption of blockchain technology and digital assets worldwide. To learn more about CoinW, you can visit the website, and follow CoinW’s X Account, and Telegram Group.

Sunshine Lake Pharma Co., Ltd. (06887.HK) Completes Listing, Market Capitalisation Expected to Rapidly Surpass RMB 50 Billion

GUANGZHOU, China, Aug. 5, 2025 /PRNewswire/ — Sunshine Lake Pharma Co., Ltd. (06887.HK) announced that the company will officially list on the Hong Kong Stock Exchange on August 7th. Through this integration, the company has effectively combined its expertise in drug R&D with the mature nationwide sales network resources of Sunshine Lake Pharma Co., Ltd. This forms an R&D-manufacturing-sales closed loop to accelerate global operations, thereby driving value reshaping and laying a more solid foundation for future sustainable development, including international expansion.

This year, propelled by policy support, increased capital investment, and the industry trend of innovative drug globalization, the company’s innovative drug segment has demonstrated significant value.

Market analysis indicates that the company’s current commercial pipeline products show considerable commercial potential. The anti-infective pediatric line represented by oseltamivir phosphate, the new drug line represented by hepatitis C, the chronic disease line represented by diabetes, and the centralized drug procurement and new retail lines are expected to bring an annual sales peak of RMB 20 billion.

Innovation and R&D are the core driving force for the long-term development of enterprises. First, we have a rich pipeline of high-potential innovative drugs, with numerous successful results: 3 original innovative drugs have been launched, 49 Class 1 innovative drugs are under development, one of which is about to be launched, and 10 have entered Phase II and III clinical trials; Second, our Sunshine Lake Pharma has many star products. Yinfenidone is the first domestically produced new drug to enter Phase III clinical trials for the treatment of IPF. It also has the potential to expand its indications to include PF-ILD and liver fibrosis. It has the potential to become a best-in-class product in the global fibrosis field. Compared with previous cases, it is a potential blockbuster BD transaction product; Insulin glargine injection has been applied for marketing approval in the United States. Insulin Aspart is about to begin overseas clinical trials; Third, there are dozens of reserve projects with overseas BD potential, many of which have licensing values exceeding US$1 billion.

Chunghwa Telecom Reports Un-Audited Consolidated Operating Results for the Second Quarter of 2025

TAIPEI, Aug. 5, 2025 /PRNewswire/ — Chunghwa Telecom Co., Ltd. (TAIEX: 2412, NYSE: CHT) (“Chunghwa” or “the Company”) today reported its un-audited operating results for the second quarter of 2025. All figures were prepared in accordance with Taiwan-International Financial Reporting Standards (“T-IFRSs”) on a consolidated basis.

(Comparisons throughout the press release, unless otherwise stated, are made with regard to the prior year period.)

Second Quarter 2025 Financial Highlights

  • Total revenue increased by 4.8% to NT$ 56.73 billion.
  • Consumer Business Group revenue increased by 1.4% to NT$ 34.07 billion.
  • Enterprise Business Group revenue increased by 12.4% to NT$ 18.98 billion.
  • International Business Group revenue decreased by 16.8% to NT$ 2.20 billion.
  • Total operating costs and expenses increased by 4.8% to NT$ 44.19 billion.
  • Operating income increased by 5.2% to NT$ 12.54 billion.
  • EBITDA increased by 3.5% to NT$ 22.58 billion.
  • Net income attributable to stockholders of the parent increased by 3.5% to NT$ 10.17 billion.
  • Basic earnings per share (EPS) was NT$1.31.
  • Total revenue, operating income, net income attributable to stockholders of the parent and EPS all exceeded the upper end of our proposed guidance.

“We’re proud to deliver another outstanding quarter, with results exceeding the upper end of our guidance across revenue, operating income, net income attributable to stockholders of the parent, and EPS,” stated Mr. Chih-Cheng Chien, Chairman and CEO of Chunghwa Telecom. “Second quarter revenue reached a ten-year high for the same period, driven by robust growth in our core telecom services and enterprise ICT business. Despite ongoing global economic uncertainty, evolving geopolitical risks, and the rapid pace of digital transformation, our performance underscores the strength of our business model, the agility of our organization, and our ability to capitalize on emerging opportunities.”

“Chunghwa continued to lead the mobile market, achieving record highs in both subscriber and revenue share,” said Mr. Rong-Shy Lin, President of Chunghwa Telecom. “In fixed broadband, higher-speed plan adoption and bundled service offerings drove further ARPU expansion. We also saw broad-based growth across consumer allocation services, including multi-play packages, video content, and cybersecurity solutions. Our Enterprise Business Group delivered a standout quarter, with total ICT revenue up 37% year-over-year, fueled by strong demand for IDC, cloud, AIoT, and 5G private networks. While our International Business Group faced temporary headwinds due to project timing, demand in Southeast Asia remained solid with new ICT contracts secured in Vietnam and Singapore. We remain focused on expanding our presence in high-growth overseas markets.”

“Looking ahead, we remain confident in our strategy to position Chunghwa as a leading digital enabler in the AI era,” added Mr. Lin. “From launching major submarine cable systems and scaling LEO satellite connectivity, to being upgraded to MSCI ESG ‘AAA’ and receiving prestigious data center awards, we are building a future-ready infrastructure that ensures resilient, secure, and intelligent connectivity—both in Taiwan and globally. These advancements reinforce our industry leadership and create sustainable, long-term value for our shareholders.”

Revenue
Chunghwa Telecom’s total revenues for the second quarter of 2025 increased by 4.8% to NT$ 56.73 billion.

Consumer Business Group’s revenue for the second quarter of 2025 increased by 1.4% YoY to NT$ 34.07 billion, with its income before tax increased 4.8% YoY. The remarkable performance was mainly driven by steady growth in both mobile and fixed broadband ARPU. In addition to stable performance of core service revenues, CBG also benefited from higher smartphone sales, as consumers accelerated purchases in anticipation of potential tariff fluctuations.

Enterprise Business Group’s revenue for the second quarter of 2025 increased 12.4% YoY to NT$ 18.98 billion, mainly driven by our robust growth in ICT business, which saw a 37% year-over-year increase in revenue, fueled by the strong performance of our emerging services. As a result, EBG reported a robust 5.4% increase in income before tax during the quarter.

International Business Group’s revenue for the second quarter of 2025 decreased by 16.8% to NT$ 2.20 billion, while its income before tax decreased 11.9% YoY. The decline was mainly due to reduced demand for international fixed voice services and softening international roaming revenues.

Operating Costs and Expenses 
Total operating costs and expenses for the second quarter of 2025 increased by 4.8% to NT$ 44.19 billion, mainly due to higher manpower cost and the growing ICT business.

Operating Income and Net Income
Operating income for the second quarter of 2025 increased by 5.2% to NT$ 12.54 billion. The operating margin was 22.1%, as compared to 22.0% in the same period of 2024. Net income attributable to stockholders of the parent increased by 3.5% to NT$ 10.17 billion. Basic earnings per share was NT$1.31.

Cash Flow and EBITDA
Cash flow from operating activities, as of June 30th, 2025, decreased by 0.2% year over year to NT$ 29.16 billion.

Cash and cash equivalents, as of June 30th, 2025, decreased by 7.1% to NT$ 35.05 billion as compared to that as of June 30th, 2024.

EBITDA for the second quarter of 2025 was NT$ 22.58 billion, increasing by 3.5% year over year. EBITDA margin was 39.80%, as compared to 40.31% in the same period of 2024.

Business Highlights

Mobile
As of June 30th, 2025, Chunghwa Telecom had 13.13 million mobile subscribers, representing a 2.2% year-over-year decrease. In the second quarter, total mobile service revenue increased by 2.0% to NT$ 17.06 billion, while mobile post-paid ARPU excluding IoT SIMs maintained stable and flat year over year at NT$ 556.

Fixed Broadband/HiNet
As of June 30th, 2025, the number of broadband subscribers slightly increased by 0.7% to 4.44 million. The number of HiNet broadband subscribers increased by 1.3% to 3.77 million. In the second quarter, total fixed broadband revenue grew 1.8% year over year to NT$ 11.59 billion, while ARPU increased 1.9% to NT$ 804.

Fixed line
As of June 30th, 2025, the number of fixed-line subscribers was 8.77 million.

Financial Statements
Financial statements and additional operational data can be found on the Company’s website at http://www.cht.com.tw/en/home/cht/investors/financials/quarterly-earnings

NOTE CONCERNING FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements. These statements constitute “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. Statements that are not historical facts, including statements about Chunghwa’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Investors are cautioned that actual events and results could differ materially from those statements as a result of a number of factors including, but not limited to the risks outlined in Chunghwa’s filings with the U.S. Securities and Exchange Commission on Forms F-1, F-3, 6-K and 20-F, in each case as amended. The forward-looking statements in this press release reflect the current belief of Chunghwa as of the date of this press release and Chunghwa undertakes no obligation to update these forward-looking statements for events or circumstances that occur subsequent to such date, except as required under applicable law.

This press release is not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or selling security holder and that will contain detailed information about the company and management, as well as financial statements.

NON-GAAP FINANCIAL MEASURES
To supplement the Company’s consolidated financial statements presented in accordance with International Financial Reporting Standards pursuant to the requirements of the Financial Supervisory Commission, or T-IFRSs, Chunghwa Telecom also provides EBITDA, which is a “non-GAAP financial measure”. EBITDA is defined as consolidated net income (loss) excluding (i) depreciation and amortization, (ii) total net comprehensive financing cost (which is comprised of net interest expense, exchange gain or loss, monetary position gain or loss and other financing costs and derivative transactions), (iii) other income, net, (iv) income tax, (v) (income) loss from discontinued operations.

In managing the Company’s business, Chunghwa Telecom relies on EBITDA as a means of assessing its operating performance because it excludes the effect of (i) depreciation and amortization, which represents a non-cash charge to earnings, (ii) certain financing costs, which are significantly affected by external factors, including interest rates, foreign currency exchange rates and inflation rates, which have little or no bearing on our operating performance, (iii) income tax (iv) other expenses or income not related to the operation of the business. 

CAUTIONS ON USE OF NON-GAAP FINANCIAL MEASURES
In addition to the consolidated financial results prepared under T-IFRSs, Chunghwa Telecom also provide non-GAAP financial measures, including “EBITDA”. The Company believes that the non-GAAP financial measures provide investors with another method for assessing its operating results in a manner that is focused on the performance of its ongoing operations.

Chunghwa Telecom’s management believes investors will benefit from greater transparency in referring to these non-GAAP financial measures when assessing the Company’s operating results, as well as when forecasting and analyzing future periods. However, the Company recognizes that:

  • these non-GAAP financial measures are limited in their usefulness and should be considered only as a supplement to the Company’s T-IFRSs financial measures;
  • these non-GAAP financial measures should not be considered in isolation from, or as a substitute for, the Company’s T-IFRSs financial measures;
  • these non-GAAP financial measures should not be considered to be superior to the Company’s T-IFRSs financial measures; and
  • these non-GAAP financial measures were not prepared in accordance with T-IFRSs and investors should not assume that the non-GAAP financial measures presented in this earnings release were prepared under a comprehensive set of rules or principle.

Further, these non-GAAP financial measures may be unique to Chunghwa Telecom, as they may be different from non-GAAP financial measures used by other companies. As such, this presentation of non-GAAP financial measures may not enhance the comparability of the Company’s results to the results of other companies. Readers are cautioned not to view non-GAAP results as a substitute for results under T-IFRSs, or as being comparable to results reported or forecasted by other companies.

About Chunghwa Telecom
Chunghwa Telecom (TAIEX 2412, NYSE: CHT) (“Chunghwa” or “the Company”) is Taiwan’s largest integrated telecommunications services company that provides fixed-line, mobile, broadband, and internet services. The Company also provides information and communication technology services to corporate customers with its big data, information security, cloud computing and IDC capabilities, and is expanding its business into innovative technology services such as IoT, AI, etc. Chunghwa has been actively and continuously implemented environmental, social and governance (ESG) initiatives with the goal to achieve sustainability and has won numerous international and domestic awards and recognitions for its ESG commitments and best practices. For more information, please visit our website at www.cht.com.tw

Contact: Angela Tsai
Phone: +886 2 2344 5488
Email: chtir@cht.com.tw