Doughnut chain Krispy Kreme (NASDAQ: DNUT) will be announcing earnings results this Thursday before market hours. Here’s what to expect.
Krispy Kreme beat analysts’ revenue expectations last quarter, reporting revenues of $367 million, down 2.2% year on year. It was a mixed quarter for the company, with a solid beat of analysts’ EBITDA estimates but EPS in line with analysts’ estimates.
Is Krispy Kreme a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Krispy Kreme’s revenue to decline 20.3% year on year, a further deceleration from the 13.5% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Krispy Kreme has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Krispy Kreme’s peers in the traditional fast food segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Starbucks’s revenues decreased 1.4% year on year, beating analysts’ expectations by 1.5%, and Yum China reported revenues up 12.6%, topping estimates by 4.2%. Starbucks traded up 1.6% following the results while Yum China was also up 5.1%.
Read our full analysis of Starbucks’s results here and Yum China’s results here.
Investors in the traditional fast food segment have had steady hands going into earnings, with share prices up 1.7% on average over the last month. Krispy Kreme is down 11.2% during the same time and is heading into earnings with an average analyst price target of $4.22 (compared to the current share price of $3.09).
ONE MORE THING: 3 Hidden Platforms Growing 3X Faster than Amazon, Google, and PayPal. Amazon, Google, and Meta all followed the same playbook: Dominate an ignored market. Build an unbeatable moat. Scale until you’re unstoppable.
These three platforms are running that exact playbook right now. The early investors in Amazon made fortunes. The early investors in these could do the same. Get All 3 Stocks Here for FREE.
