Yum China : 2025 Investor Day – People

RGM 3.0

Culture and Talent

The Foundation Behind Growth

2025 Yum China Investor Day

Jerry Ding | Chief People Officer

1

Company Strategy

Restaurant

Frontline Leader

R.G.M. Defines Our Way Forward

in Strategy and People

Resilience

Growth

Moat

General

Manager

1

Embody the RGM No.1 Principle

with Comprehensive Employee Care Programs

Core Benefits

• Medical & Risk Insurance

• Health Check

  
  
  

  Supplementary Benefits

• Critical Illness Coverage for Parents

• Medical Insurance Coverage Up to RMB 1mn

  
  
  

  Flexible Benefits

• Voluntary Top-up Medical Plan

~8.3%

RGM Turnover Rate (Oct 1, 2024 to Sep 30, 2025) (1)

1. RGM turnover rate calculated as the number of RGMs departures divided by the average of the number of RGM during the period. 2

Achieve RGM No.1

Through Centralization and Recognition

Centralized Recruitment & Training Platform

RGM Voice

~89%

Restaurant Crew Hiring Needs Fulfilled by Centralized Recruitment (1)

Centralized New Store

Opening Platform

~100 hours

Saved per RGM, per New Store

80%+

Problems Solved Within One Week (2)

Recognition & Reward

90%+

Store-level

Store-level Employees Recognized & Rewarded Through K-Bean (3)

1. Centralized recruitment fulfillment from Jan 1, 2025 to Sep 30, 2025, calculated as the number of new hires through the Centralized Platform divided by total new hires (incl. full-time, part-time, and flexible workforce, etc.).

2. Problem Solved Within One Week Percentage based on KFC RGM Voice (since the launch of RGM Voice 2.0 in Mar 2025).

3. Over 90% of KFC store-level employees have been recognized and rewarded through K-Bean program 2025 Q3YTD. 3

Transform Employee Management

from Store-level to an AI-enabled, End-to-end Model

Recruitment Onboarding Training Scheduling Workforce

(in development)

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AI-assisted

Interview

E-Offer &

E-Onboarding

Digital

Coaching

Digital

Certification

Intelligent

Scheduling

Flexible

Workforce

Intelligent

Self-Service

Talent Pool

AI Empowerment

Regional Talent Pool

Clear Career Pathways

Empowered & Motivated Workforce

4

Mega RGM Tackles Critical Challenges

in Our Growth Journey

~50%

Mega RGM (1)

Stronger Talent

1

Pipeline

2

for Store Expansion

More Diverse Growth Opportunities

3

for Frontline Employees

Efficiency

Improvement

via Sharing Model

1. As of Sep 30, 2025, Mega RGMs as a percentage of total RGMs 5

Mega RGM Inspires Engagement

and Strengthens People Foundation

5.1% vs

Mega RGM Turnover Rate(1)

8.3%

Overall RGM Turnover Rate

钱多

Higher Pay

20%-30%(2)

事好

Greater Impact

Supported by Centralized

& Digitalized Mid-Platform

离店近

More Accessible

One System Store

Management

1. Mega RGM turnover rate from Oct 1, 2024 to Sep 30, 2025, calculated as the number of Mega RGM departures divided by the average number of Mega RGMs during the period.

2. For 2025 Mega RGMs, up around 20%-30% target total cash (incl. base, performance bonus and allowances), vs. the same group in 2023. 6

RGM No.1 Outlook:

2

3

Enable Seamless Intelligence and Stronger Impact

1

RGM-Centric Empowerment

Franchise Enablement

Competency Evolvement

Streamline Routine |

Optimize Solution

Designated Franchise

Support

Capability Cohesion |

Culture Engagement

Optimize Restaurant Priorities

from All Management to What Matters Most

Restaurant

1"Place" 2"People" 3"Customer" 4"Product" 5"Asset"

New Store Opening Platform

(Rolled out)

End-to-end Employee Management

(Phase One Completed)

Customer Support Center

（In Planning)

Inventory Management

（In Planning)

Equipment Maintenance

（In Planning)

Restaurant Support Center 9