Krispy Kreme Results Miss Estimate; Stock Down 5%

(RTTNews) - Krispy Kreme Doughnuts Inc (KKD) Tuesday reported a higher third-quarter profit, led a more than seven percent increase in revenue. Quarterly earnings, however, missed Wall Street estimates by a penny and revenues also fell short of expectations.

Krispy Kreme reaffirmed its earnings guidance for the full year 2015.

The Winston-Salem, North Carolina-based company posted quarterly net earnings of $8 million or $0.12 per share compared with $6.8 million or $0.09 per share last year.

Excluding items, adjusted earnings for the quarter were $0.18 per share compared with $0.16 per share a year ago.

Revenues for the quarter were up 7.6 percent at $122.9 million compared with $114.2 million in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $0.19 per share on revenues of $124.4 million for the quarter. Analysts' estimates typically exclude special items.

Systemwide domestic same store sales for the quarter rose 3.7 percent, including a 3.3 percent gain at company shops; constant-currency international franchise same store sales declined 2.9 percent.

For the full year 2015, the company still expects adjusted earnings of $0.69 to $0.74 per share, while analysts expect $0.72 per share.

KKD closed Tuesday at $20.18, up $0.10 or 0.50%, on a volume of 1.4 million shares on the NYSE. In after hours, the stock dropped $1.08 or 5.35%.