Krisp kreme full#

So pricing is not the number one feature that someone's walking into Krispy Kreme to order the dozens. Right? So when they're going to use this, it's about a celebration. Again, we're an infrequent brand, right? So the average user visits a Krispy Kreme 2 and 1/2 times a year. But it doesn't look like you saw much resistance, right? And there's pricing power when you end up really thinking about the product, packaging, et cetera.īRIAN SOZZI: And Mike, just given how competitive the environment is, do you- are you surprised that a Krispy Kreme has pricing power in this environment? You mentioned on the release that you did raise prices in September and November. But it's about capturing that opportunity and then making sure the assortment matches. We delivered 12 and 1/2% organic growth and 30% EBITDA for the year. We really absolutely maximize the opportunities when it's around Halloween, when it's around the holiday season, when it's around Valentine's Day- it's actually our number one day in the world- where people use our brand for those celebratory occasions.Īnd in fact, you know, Halloween and holiday season were tremendous. And what that means is we really leverage our hot light shops and then get fresh donuts out in the hub and spoke about daily.Īnd when you can combine that with the seasonal aspect of our brand, this is not a daily ritual where people are coming in and having a donut every day. We flipped it around to a high growth, top line and bottom line focused, very capital efficient as we really run a global omnichannel model.

MIKE TATTERSFIELD: If you think about the business transformation that we've done, Brian, has been pretty phenomenal, right? It took a slow growth business, which is capital intensive, primarily a legacy franchise business in the US. Where are you seeing some of these sales gains the strongest right now? And I would say part of it is just the sales gains you guys have put forward. Mike, good market response to the earnings report today. Joining us now is Krispy Kreme CEO Mike Tattersfield.

Krisp kreme full#

The company did serve up a full year profit outlook for this year that was slightly below some analyst estimates. Margins also rose 290 basis points in the US and Canadian segment. Video TranscriptīRIAN SOZZI: Krispy Kreme saw a double digit sales growth in the fourth quarter in the US and Canada and overseas. Compared with the year-ago period, the company's prices are now up by the high-single digits worldwide, according to Tattersfield.Krispy Kreme CEO Mike Tattersfield joins Yahoo Finance Live to discuss the company's fourth quarter earnings, price increases as inflation rises, and plans for expansion and innovation. In the fourth quarter, Krispy Kreme raised prices twice. The cost of sugar, wheat and oil make up about 12% of the company's sales, and he said that the company has pricing power, too. A year ago, its quarterly net income was not meaningful, according to the company's release.Įxcluding items, the company earned 8 cents per share, missing the 9 cents per share expected by analysts surveyed by Refinitiv.ĬEO Mike Tattersfield said in an interview that Krispy Kreme, like the broader restaurant industry, is seeing labor and commodity inflation, although it's able to hedge against higher ingredient costs. Krispy Kreme reported fourth-quarter net income of $4.3 million, or 1 cent per share. Earnings per share: 8 cents adjusted vs.Here's what the company reported compared with what Wall Street was expecting, based on a survey of analysts by Refinitiv: