KFC and Pizza Hut owner Yum Brands has decreased its profit expectations for the full year after a food scare in China impacted on sales.

A former supplier to the group has been accused of selling expired meat, hitting sales in the quarter and leading Yum to cut its forecasts for earnings per share increase to 10% from 20% previously. It added that it was taking legal action against the company.

China is Yum Brands’ biggest market, accounting for approximately 75% of its revenue.