Investing.com -- Krispy Kreme Doughnuts Inc (NYSE:KKD) saw its revenues jump 3% over the previous quarter, amid a stellar period by its domestic franchise throughout the U.S., which offset downbeat earnings abroad.
For Krispy Kreme's first quarter of Fiscal Year 2017, the Winston Salem, North Carolina based doughnut chain, earned revenue of $136.5 million, up slightly from sales of $132.5 during the same period 12 months earlier. It came as domestic franchise revenue in the U.S. surged by 12%, while sales at U.S. company-owned stores rose by 3.6% for the quarter. At established stores in the U.S., revenues grew by 1.6% for the period, helping drive overall comparable store sales by 0.7%. Same-store sales internationally, however, plummeted by 7.3% on a currency neutral basis dragging company revenues altogether. As a result, Krispy Kreme reported net profits of $9.4 million or earnings of 0.14 per share, down from profits of $10.7 million or 0.16 per share last year during the same quarter.
Earlier in May, Krispy Kreme announced that it is going private following a $1.35 billion acquisition by German private equity firm JAB Holding, Co. Last quarter, Krispy Kreme reported adjusted EPS of 0.25 when merger-related costs, employee termination benefits and other one-time items were taken into account. Analysts expected to see adjusted EPS of 0.24 on revenue of $137 million.
In addition, Krispy Kreme said its systemwide store count rose 13% over the last year to 1,133 worldwide. Consequently, the company took in $19.5 million in cash provided by operating activities, up from $17.1 million in the opening quarter a year earlier. Krispy Kreme also said on Tuesday that it expects to close the deal with JAB Holding by the end of the third quarter.
Shares in Krispy Kreme closed at 21.38, down 0.01 or 0.05% on the session.