Operations

Papa John's marks 9 consecutive quarters of global growth

Provided

November 4, 2021

Papa John's total company revenues increased 8.4%, to $512.8 million, in Q3, and comparable sales were up 6.9% in North American and 8.3% internationally, according to a press release.

The company maintained its eighth straight quarter of comp sales outperformance in the pizza industry, marking nine consecutive quarters of global growth.

Global systemwide restaurant sales were$1.2 billion, up 11.2% driven by continued benefit from innovation strategies and accelerating unit growth.

The company opened 46 stores, driving by strong international acceleration.

Earnings per diluted share of $0.79; Adjusted earnings per diluted share grew to $0.83 from $0.35 a year ago.

For first nine months of 2021, cash flow from operations of $193.6 million, up from $168.5 million a year ago; free cash flow of $145.9 million up from $134.0 million

The company also authorized a $425 million share repurchase program.

"With hard work, dedication and the support of our customers, Papa John's team members and franchisees delivered another quarter of industry outperformance in Q3, as system-wide sales grew 11.2% and adjusted EPS more than doubled. Comparable sales inNorth Americaand internationally grew 6.9% and 8.3%, respectively, on top of last year's tremendous results, as our innovation strategy continues to attract new customers and engage our loyal ones, while also driving sustainable ticket growth," President and CEORob Lynchsaid in the release. "Escalating interest and excitement among new and existing franchisees continues to accelerate unit growth and led to signing our largest international and domestic development deals ever last quarter."

"We also are delivering on our commitment to optimize our capital structure and allocation priorities to support long-term value creation and growth. Last quarter we strategically refinanced our debt and this morning announced a new$425 millionshare repurchase program. Now, more than two years into our brand's return to positive results, with the foundations of our business stronger than ever, Papa John's has passed the inflection point from turn-around to long-term growth story. I'm excited to say that we are all firmly focused on the future and realizing our enormous global opportunity."

Papa John's had a 52-week range of $76.50 to $132.37, according to Seeking Alpha.