Is Yum China Holdings, Inc. (YUMC) halal? Halal. Based on AAOIFI screening, Yum China Holdings, Inc. passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 67/100 (Grade: B).

Yum China Holdings, Inc.

YUMC: Is Yum China Holdings, Inc. Halal?

Halal

Yum China Holdings, Inc.

NYSEConsumer CyclicalCN

$44.25

-0.85%

Purify ~2.6% of income

About Yum China Holdings, Inc.

Yum China Holdings, Inc. is a prominent player in China's restaurant sector, engaging in the ownership, operation, and franchising of various dining establishments. Its core operations are structured around two primary segments: KFC and Pizza Hut. The company manages a diverse portfolio of restaurant brands, including popular names like KFC (known for chicken), Pizza Hut (pizza), Little Sheep (hot pot), Huang Ji Huang (simmer pot), Lavazza (Italian coffee), COFFii & JOY (specialty coffee), Taco Bell (Mexican-style cuisine), and East Dawning (Chinese food), operating and franchising these brands across the nation. Beyond its dining ventures, Yum China also runs V-Gold Mall, a mobile e-commerce platform offering a broad array of products. This includes electronics, home and kitchen accessories, and other general merchandise, alongside prepared meals such as fried rice, steak, and pasta, as well as coffee capsules. As of March 31, 2022, Yum China's extensive network comprised 12,117 restaurants situated across approximately 1,700 cities. Established in 2016, Yum China Holdings, Inc. maintains its headquarters in Shanghai, China.

Sector: Consumer Cyclical · Industry: Restaurants

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 16, 2026
B

Acceptable

Acceptable but room for improvement

67Score

Business Activity Screen

Passed

Checks if the business is involved in prohibited activities (alcohol, gambling, pork, conventional banking, etc.)

Peripheral exposure (still halal, purify this share)
2.0%

Primary business is permissible. AAOIFI allows up to 5% revenue from incidental non-compliant sources, provided the share is purified.

  • •Restaurants: estimated 2.0% peripheral exposure (AAOIFI industry average)

Use the Purification Calculator to compute exactly how much of your dividend income to donate.

Financial Ratio Screen

Passed

Financial ratios must be below AAOIFI thresholds

Debt / Market Cap15.2% / 30.0%

Compliance History

Halal, unchanged since May 2026.

No status changes recorded since we began tracking.

Tracked since May 2026. Updates automatically on each re-screen.

Screened: Jun 16, 2026Fiscal: Q1 2026Source: FMP

Purify Your YUMC Dividends

0.6% non-compliant income

YUMC has 0.6% prohibited income. Calculate exactly how much of your dividends to donate.

Financial Overview

Market Cap

15.4B

Price

$44.25

Sector

Consumer Cyclical

Industry

Restaurants

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Frequently Asked Questions

Is Yum China Holdings, Inc. (YUMC) halal to invest in?
Based on AAOIFI Standard 21 screening, Yum China Holdings, Inc. (YUMC) is rated Halal with a compliance grade of B (Acceptable). It passes both the business activity screen (no primary involvement in prohibited sectors) and the quantitative financial ratio screen (debt, interest deposits, and prohibited income all below AAOIFI thresholds).
Why did Yum China Holdings, Inc. get a B compliance rating?
Yum China Holdings, Inc. (YUMC) received a grade of B (Acceptable) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 15.2% (limit 30%); interest-bearing deposits of 9.0% (limit 30%); prohibited income of 0.62% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Yum China Holdings, Inc.'s Shariah verdict?
Yum China Holdings, Inc.'s verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.
How often is Yum China Holdings, Inc. re-screened for Shariah compliance?
Yum China Holdings, Inc. (YUMC) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Jun 16, 2026.

Screened according to AAOIFI Standard No. 21 · For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.