Yum Brands, the owner of well-known fast food chains such as Pizza Hut and KFC, has reported a higher-than-expected earnings for its first quarter.
Boost in China sales
The 18% increase in profit was highlighted by a rebound in sales in China.
The company earned $399 million during the period, higher from $337 million a year earlier.
Yum Brands said that sales at established locations in China have increased by 9% for the period, with those at KFC up by 11%.
‘Strong bounce-back year’
According to Yum’s chief executive, David Novak, the latest profit and the recovery in China was a positive sign that the company is “clearly on its way to a strong bounce-back year.”
“Given the strength at both KFC and Pizza Hut, we expect to open at least 700 new restaurants in China this year as we further capitalize on our leading position in the number-one retail opportunity in the world,” he added in a statement.