Yummy-Town KY emerges from the haze of losses and introduces AI to enter American stadiums

2020-04-28 00:00

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(中央社記者江明晏台北7日電)

Taiwanesehandcrafted beverage brand Yummy Town-KY achieved its first-quarter turnaroundin core business profitability. Coupled with the sale of its 70% equity stakein the Chinese business, the company reported a historic high in quarterlyearnings per share (EPS). The newly appointed General Manager, Jiang Xiyi,revealed that the company’s strategic focus includes implementing AI to enhanceoperational efficiency and aiming to secure management rights in multiple U.S.stadiums to deepen its market presence in the United States.

Atthe corporate briefing held today, the Yummy Town -KY chain of tea beverageoutlets emerged from a challenging period in the first quarter. The profit fromthe sale of the 70% equity stake in the Chinese business, along with the corebusiness returning to profitability after a three-year hiatus, led to aprofitable first quarter. The company achieved NT$129 million in quarterlyrevenue and NT$95.55 million in after-tax net profit, resulting in an earningsper share (EPS) of NT$3.69—a historical high for a single quarter. This setsthe foundation for sustained growth in operational performance throughout theyear.

YummyTown -KY has strategically positioned its handcrafted beverage brand globally.In late January, it divested 70% of its equity stake in the Chinese business.The company also announced the strategic partnership with the Crown Group,known as the “King of Cross-Strait Travel Suitcases.” Initially, the CrownGroup holds approximately 10% of the shares. Jiang Xiyi, formerly the GeneralManager of the Crown Group, assumed the role of General Manager at Yummy Town -KY.

Inan interview today, Jiang Xiyi explained that the Chinese business now retainsonly 30% of the equity stake. Going forward, the company will recognize profitsindependently without consolidation in financial statements. It awaits marketrecovery in the broader environment while directing its primary resourcestoward the more promising growth trajectory of the U.S. market.

YummyTown -KY plans to relaunch its Chinese business under a licensing model afterthe transformation. Simultaneously, it continues to expand the Happy Lemonhandcrafted beverage brand in the U.S. and overseas markets, aiming for stableprofitability throughout the year.

JiangXiyi emphasized the implementation of digital AI tools both internally andexternally this year. These tools will significantly enhance marketing andproduction efficiency, creating an all-in-one intelligent beverage solution. Inthe context of global labor and material shortages, this approach can save atleast half of the workforce and reduce education and training time. Manyinternational distributors have expressed interest in adopting the newAI-powered and intelligent tea beverage equipment.

Furthermore,Yummy Town -KY is strategically focusing on the U.S. market this year. Itactively expands diverse commercial channels and will soon establish directlyoperated stores at the T-Mobile Arena in Las Vegas, a prominent sports andconcert venue. The company aims to become a significant partner for theT-Mobile Arena and anticipates further expansion into different stadiums,contributing to brand visibility and franchise business promotion across theUnited States.

Currently,Yummy Town -KY operates 130 to 140 stores in the U.S., with plans to open 20 to30 more this year. It also continues to establish new locations in countriessuch as France, Portugal, Australia, the United Kingdom, the Middle East, andAfrica.

Yummy Town -KY remains optimistic about three key growth pillars thisyear: expanding the global market presence of the Happy Lemon brand in the teabeverage core business, building a robust global supply chain platform, andstrengthening operational foundations. Additionally, the company aims todevelop a restaurant alliance platform, invest in mergers and acquisitions, andsupport overseas business development, further expanding its alliance network.With these three pillars in place, Yummy Town -KY is poised for a positiveoperational trajectory in the future.



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