Fast food chain operator Yum! Brands says profit for the first quarter has grown 18 per cent from its rebounding China performance.

Net earnings increased to $399 million for the three months to March 22, up from last year’s $337 million.

Same store sales in China rose nine per cent including 11 per cent growth at KFC and eight per cent at Pizza Hut, demonstrating that the damage caused by the Avian flu outbreak and poultry supply scandal is now waning.

Given the strength at both KFC and Pizza Hut, Yum! Brands expects to open at least 700 new restaurants in China this year.

“We have significant building blocks in place in China and each of our divisions to drive sales and profit growth this year and beyond,” said CEO David Novak.

Yum! Brands, with more than 40,000 restaurants worldwide, expects profits for this year to soar 20 per cent.