Fast food restaurant chains McDonald’s and Yum China posted growth in the Chinese market in 2025, boosted by aggressive expansion, same-store sales growth, and an increasing reliance on delivery services. McDonald’s International Developmental Licensee segment, which covers the Chinese market performance, saw particularly strong growth in comparable sales, increasing by 4.6% for the full year and 4.5% in the fourth quarter. Currently, McDonald’s holds a 48% stake in McDonald’s China, with the remaining 52% held by the CITIC Consortium led by CITIC Capital. The company saw over 1,000 new restaurant openings in China in 2025 and plans to open a further 1,000 new restaurants this year. Ian Borden, McDonald’s Chief Financial Officer (CFO), said that the company was able to maintain its market share in the country. “We now have a presence in every province,” Borden said. As of the end of 2025, McDonald’s operated over 7,740 restaurants in China. The company also continues to expand, with plans to reach 10,000 restaurants in the country by 2028. Globally, McDonald's opened 2,275 new restaurants in 2025.
Competitor Yum China posted a 9% increase in total revenue for the fourth quarter of 2025, reaching USD2.8 billion, with systemwide sales growing by 7%. Same-store sales increased by 3% and operating profit surged 25% to USD187 million. For the full year, Yum China’s total revenue grew by 4% to USD11.8 billion, with systemwide sales rising by 4% and same-store sales up by 1%. One of the standout trends for Yum China has been the rapid expansion of its delivery business, which grew by 25% year-on-year and now represents nearly 48% of the company’s restaurant revenue, up from 39% in 2024. Its KFC and Pizza Hut brands both saw significant delivery growth in 2025, with KFC’s delivery sales increasing by 26% and Pizza Hut’s by 22% compared to a year earlier.
According to a survey conducted by the China Chain Store and Franchise Association in early January, nearly half of the enterprises in the chain catering industry rely heavily on delivery orders. Among the surveyed companies, 44.6% reported that delivery orders accounted for over 30% of their total orders, while 17.4% even saw delivery orders exceed 50%. An excessively high proportion of delivery orders poses a potential risk of diverting revenue from dine-in services, the report said. Yum's Lavazza coffee chain continued to expand, reaching 146 locations by year-end, up from 112 the previous year. As of December 31, Yum China had a total of 18,101 restaurants in operation and is on track to expand its store count to over 30,000 by 2030, the China Daily reports.
