The firm has reported a net profit of $471m (Â£294m) in the three months to 8 September.
China contributed more than half of Yum's $3.6bn revenue during the period.
US-based Yum is the biggest Western restaurant operator in China and fears about growth in the country had pushed Yum shares lower in recent weeks.
Profits in Yum's Chinese business had dropped in the second quarter because of higher costs but rebounded in the third quarter, rising by 22%.
Since June, the group has opened 394 new restaurants, of which 192 new units were in China, which contributed to its sales growth.
Globally, profits for the group grew 18% during the period.
The company beat its earnings targets and has raised its full-year outlook.
Yum Brands, which runs the KFC, Pizza Hut and Taco Bell restaurant chains, has seen third quarter profits soar 23%, boosted by strong sales in China.