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Japanese-style ramen noodle chain Ajisen (China) Holdings Ltd. has returned to the black last year after losing money in 2022, due to its 2-year streamlining campaign which involves closing more than 100 underperforming stores across many Chinese cities while boosting the revenues of the remaining outlets. Ajisen only added 2 new restaurants in Hong Kong.
In addition, customer traffic has also rebounded after China lifted its strict Covid restrictions at the end of 2022.
Ajisen’s trimming of its operation contrasts many other established restaurant operators in China which are rapidly expanding their stores especially to the lower-tier cities. One example is Yum China which is rapidly expanding its KFC and Pizza Hut chains in the country.
