Krispy Kreme (NASDAQ:DNUT) Posts Quarterly Earnings Results, Meets Expectations

Krispy Kreme (NASDAQ:DNUT) released its quarterly earnings data on Thursday. The company reported ($0.03) earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of ($0.03), Briefing.com reports. Krispy Kreme had a negative return on equity of 1.15% and a negative net margin of 6.16%.The business had revenue of $331.00 million during the quarter, compared to analyst estimates of $303.35 million. During the same quarter in the previous year, the firm posted ($0.15) EPS. The business’s revenue for the quarter was down 12.8% compared to the same quarter last year.

Here are the key takeaways from Krispy Kreme’s conference call:

• Turnaround momentum continued: Adjusted EBITDA rose 43% to $28.8 million, while the consolidated adjusted EBITDA margin expanded 340 basis points to 8.7%. Management attributed the improvement to productivity initiatives, logistics outsourcing, and corporate cost controls.
• U.S. growth is strengthening: Excluding the discontinued McDonald’s USA partnership, U.S. organic revenue increased 4.4%, digital sales rose 8%, and average weekly sales per U.S. fresh-delivery door climbed 33% to approximately $697. The company added more than 200 strategic-partner doors in the quarter and is expanding its relationship with Target, including availability on Target.com beginning in September.
• Capital intensity and leverage are declining: First-half capital expenditures fell 70% to $16.1 million, improving free cash flow by more than $100 million year over year. Net leverage declined to 5.4 times from 6.7 times at year-end 2025, with further refranchising expected to reduce CapEx and increase royalty-driven cash flow over time.
• Capital-light expansion remains on track: Franchisees opened 59 shops year to date, with the company still targeting at least 100 openings in 2026. Krispy Kreme also added three international franchise markets— the Netherlands, Estonia, and Mauritius—reaching its goal for new markets this year.
• International performance remained mixed: International organic revenue declined 5.1% and adjusted EBITDA fell 22%, primarily due to weakness in the U.K. and Australia and the impact of refranchising Japan. Management cited U.K. door rationalization and unusually hot weather as additional pressure, although it expressed confidence in improvement during the second half.

Krispy Kreme Price Performance

DNUT stock traded up $0.11 on Friday, hitting $3.34. 4,442,487 shares of the company’s stock traded hands, compared to its average volume of 2,672,790. Krispy Kreme has a 1-year low of $2.88 and a 1-year high of $5.11. The stock has a fifty day moving average of $3.46 and a 200-day moving average of $3.41. The stock has a market cap of $575.82 million, a price-to-earnings ratio of -5.96 and a beta of 1.27. The company has a current ratio of 0.42, a quick ratio of 0.36 and a debt-to-equity ratio of 1.31.

More Krispy Kreme News

Here are the key news stories impacting Krispy Kreme this week:

• Positive Sentiment: Krispy Kreme is launching its 2026 Autumn Seasonal Collection on Aug. 11, bringing back Pumpkin Spice and Biscoff Cookie Butter doughnuts alongside new seasonal doughnuts and lattes. The limited-time menu could support customer traffic, brand engagement and near-term sales. Pumpkin Spice is Back! Krispy Kreme Welcomes Fall with New Autumn Seasonal Collection Krispy Kreme launches fall doughnut and latte lineup for 2026
• Neutral Sentiment: Krispy Kreme’s latest quarterly results were mixed: adjusted earnings matched the expected loss of $0.03 per share, while revenue of $331 million exceeded the $303.35 million consensus estimate. However, revenue declined 12.8% year over year, and the company remained unprofitable, limiting the bullish impact of the sales beat. Krispy Kreme 2026 Q2 Results Earnings Call Presentation
• Neutral Sentiment: A temporary Daytona Beach location closure and the company’s mobile operations appear localized and are unlikely to materially affect the overall investment case. Krispy Kreme goes mobile in Daytona Beach
• Negative Sentiment: Zacks Research downgraded Krispy Kreme from “Hold” to “Strong Sell,” adding to pressure on investor sentiment. Wall Street Zen also moved the stock to a Sell rating, reinforcing concerns about profitability, revenue trends and the company’s financial outlook. Krispy Kreme Downgraded by Zacks Research Krispy Kreme Downgraded to Sell Rating by Wall Street Zen

Insider Activity

In related news, Director Bernardo Hees bought 235,875 shares of the firm’s stock in a transaction that occurred on Tuesday, June 2nd. The shares were acquired at an average cost of $3.39 per share, for a total transaction of $799,616.25. Following the acquisition, the director directly owned 1,229,037 shares of the company’s stock, valued at $4,166,435.43. The trade was a 23.75% increase in their position. The transaction was disclosed in a document filed with the SEC, which is available through this link. In the last 90 days, insiders acquired 880,190 shares of company stock valued at $2,973,833. Insiders own 1.60% of the company’s stock.

Hedge Funds Weigh In On Krispy Kreme

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Prudential Financial Inc. purchased a new position in Krispy Kreme in the 2nd quarter worth about $32,000. Russell Investments Group Ltd. lifted its stake in Krispy Kreme by 1,229.5% during the third quarter. Russell Investments Group Ltd. now owns 8,469 shares of the company’s stock valued at $33,000 after buying an additional 7,832 shares in the last quarter. Captrust Financial Advisors acquired a new position in shares of Krispy Kreme in the second quarter worth about $34,000. Raymond James Financial Inc. acquired a new position in shares of Krispy Kreme in the second quarter worth about $37,000. Finally, Oxford Asset Management LLP purchased a new stake in shares of Krispy Kreme in the 2nd quarter valued at approximately $42,000. Institutional investors and hedge funds own 81.72% of the company’s stock.

Wall Street Analyst Weigh In

DNUT has been the topic of several analyst reports. Zacks Research lowered Krispy Kreme from a “hold” rating to a “strong sell” rating in a research report on Thursday. Weiss Ratings restated a “sell (d)” rating on shares of Krispy Kreme in a research report on Wednesday, June 24th. Wall Street Zen lowered shares of Krispy Kreme from a “hold” rating to a “sell” rating in a research report on Saturday. Finally, Evercore set a $4.00 price objective on shares of Krispy Kreme in a report on Friday. Two research analysts have rated the stock with a Buy rating and four have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Reduce” and an average target price of $4.33.

About Krispy Kreme

Krispy Kreme Doughnuts, Inc (NASDAQ: DNUT) is a global retailer and wholesaler renowned for its signature Original Glazed doughnut and a variety of other sweet treats. The company operates through a combination of company-owned stores, franchise outlets and strategic partnerships with supermarkets, convenience stores and other foodservice channels. In addition to its doughnut portfolio, Krispy Kreme offers freshly brewed coffee, assorted beverages and proprietary seasonal items designed to drive traffic and foster brand loyalty.

Founded in 1937 in Winston-Salem, North Carolina, by Vernon Rudolph, Krispy Kreme has grown from a single local shop to a multinational brand.