Dunkin' Profit Surges, But Revenue Comes Up Short


Dunkin' Brands Group Inc's (NASDAQ:DNKN) profit quadrupled, topping Wall Street estimates, but revenue fell short of forecasts as sales cooled at established U.S. Dunkin' Donuts cafes.

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Domestic Dunkin' Donuts shops account for almost 75 percent of the company's revenue and more than 80 percent of its profit.

During the third quarter, the business reported a 2.8 percent rise in same-store sales compared with 6 percent growth a year earlier.

The Canton, Massachusetts-based company, which also owns the Baskin-Robbins ice cream brand, said net income rose to $29.5 million from $7.4 million a year earlier.

Excluding one-time items, the company earned 37 cents per share.

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Revenue rose 5 percent to $171.7 million.

Analysts on average were expecting earnings of 35 cents per share on revenue of $174.9 million, according to Thomson Reuters I/B/E/S.

Dunkin' shares closed at $30.81 on Wednesday on the Nasdaq.

The stock sold at $19 per share last July in one of the restaurant industry's most successful initial public offerings.