Krispy Kreme: Reports Strong First Quarter 2023 Results

Charlotte / NC. (kkd) Krispy Kreme Doughnuts Inc., since May 2016 indirect member of Luxembourg’s JAB Holding Company, reported strong financial results for the first quarter ended April 2, 2023. Net revenue grew 12.5 percent year-over-year to USD 419.0 million and organic revenue grew 14.4 percent led by robust performances in the U.S. and Market Development segments. Sales per Hub in the U.S. increased 9 percent to USD 4.6 million, driven by an 12 percent increase in points of access and an 8 percent increase in U.S. sales per Delivered Fresh Daily (DFD) door.

GAAP Net Income for the quarter was USD 1.6 million compared to Net Income of USD 6.5 million a year ago while GAAP diluted EPS for the quarter was USD 0.00 compared to diluted EPS of USD 0.02 last year. Adjusted diluted EPS increased 12.5 percent to USD 0.09 for the quarter, compared to USD 0.08 last year in the same period. Adjusted Ebitda grew 12.3 percent in the quarter to USD 54.9 million led by a 60 basis point improvement in U.S. margins.

Global Points of Access, which reflect all locations where fresh doughnuts and cookies can be purchased, increased by nearly 600 during the quarter, providing consumers with access to Krispy Kreme and Insomnia Cookies through more than 12,400 locations around the world.

Commenting on the Company’s performance, CEO Mike Tattersfield stated, «I’m proud of our performance in the first quarter that continued to demonstrate the strength of our omni-channel model, which allows us to meet consumer demand with premium, fresh doughnuts in a capital efficient manner. Our global Valentine’s Day and St. Patrick’s Day campaigns and specialty offerings such as Biscoff® Doughnuts resonated with consumers, showcasing the opportunities for premiumization as well as the gifting and sharing power of our brand.»

Mike continued, «We also achieved our best ever quarter of Ecommerce revenue, representing a higher mix of revenue than during the pandemic and we see a long runway for further growth in this channel. Krispy Kreme continues to be well-positioned to deliver another year of strong growth driven by our capital efficient DFD model and our global expansion plans.»

For additional information please read the Company’s PDF file below (98 KB):