Operations

Papa John's beats earnings estimates by 1 cent

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August 4, 2022

Papa John's International Inc. has announced its Q2 earnings ending June 26. The pizza chain reported second-quarter earnings of $25.4 million. On a per-share basis, Papa John's said it had profit of 70 cents, but earnings adjusted for gains and costs came to 74 cents per share, beating Wall Street expectations by one cent, according to a press release.

The brand posted revenue of $522.7 million during Q2, falling short of expectations of $530.1 million.

Other highlights included:

Total revenues increased 1.5% to $522.7 million in the second quarter versus prior year second quarter. Revenues increased 5.2% excluding the impact of refranchising 90 restaurants in the first quarter of 2022.
Comparable sales increased 0.9% in North America and decreased 8.0% Internationally, lapping prior year gains of 5.2% and 21.2%, respectively.
Global system-wide restaurant sales were $1.2 billion, a 2.6%1 increase over the prior year second quarter.
47 net unit openings in the second quarter driven by international openings; expected net unit openings in 2022 remain 280 to 320 units.
Earnings per diluted share of $0.70; non-GAAP adjusted diluted earnings per share of $0.74 excluding Special items, compared with $0.93 a year ago.
Announced 20% increase in annual dividend rate to $1.68 per share; declared third quarter dividend of $0.42 per share.

"Papa Johns delivered a 12th consecutive quarter of positive North American comparable sales in the second quarter, building on gains of more than 30% over the two years prior," Rob Lynch, president and CEO of Papa John's, said in the release. "Our momentum over the past three years is the direct result of our differentiated brand, menu innovations and digital investments which focus on delivering premium value for our customers. The proven agility of our business model, our scale and our data advantage give us confidence in our ability to sustain positive North American comps in the second half of this year and into the future as we continue to navigate a dynamic macroeconomic environment."