Krispy Kreme (KKD) shares fall 8.6% in AH trading on the back of a one cent EPS beat and miss on the top line in FQ3. The results and subsequent reaction appear thus far to be a deja vu of FQ2, when investors who had priced shares to perfection sent them plunging following a mixed quarter.
Comparable same store sales rose 3.7% Y/Y, the 12th consecutive quarterly increase, driven "principally by retail price increases."
Domestic franchise revenue grew 20% to $3M, driven by higher royalties; international franchise revenue was up 3% to $6.2M for the same reason.
Management bumped its FY2014 EPS range to $0.60-$0.63 from $0.59-$0.63 (vs. analyst consensus of $0.63). FY2015 EPS is seen at $0.71-$0.76 (below consensus of $0.77). KKD expects to open 10-15 company stores, 20-25 domestic franchises, and ~85 international franchises in FY2015.
Conference call at 4:30 pm ET, PR