Krispy Kreme Shares Plunge After Company Misses Targets

By Claudia AssisMarketWatch Pulse

Krispy Kreme Doughnuts Inc. said Wednesday it earned $5.9 million, or 9 cents a share, in the fiscal second quarter, compared with $5.8 million, or 8 cents a share, a year ago. Revenue rose 5.7% to $127.3 million in the quarter, the doughnut maker said. Adjusted for one-time items, Krispy Kreme reported an adjusted net income of 15 cents a share. Analysts polled by FactSet had expected the company to report adjusted earnings of 18 cents a share on sales of $131.2 million. The company said its U.S. same-store sales rose 5.5% in the quarter, while international franchise same-store sales were down 2.7%. Shares of Krispy Kreme plunged after the revenue and earnings miss and were down as much as 17% in after-hours trading after ending the regular session down 0.8%.

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