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DNUT
Benzinga
175 days

Krispy Kreme Stock Tumbles On Q4 Performance Lag, Weak Annual Outlook

1. Krispy Kreme reported worse-than-expected Q4 earnings. Sales dropped 10.4% YoY. 2. U.S. revenue declined 17.2% year-on-year. Insomnia Cookies sale hurt results. 3. A cybersecurity incident cost 280 bps in revenue. Remediation expenses reached about $3M. 4. Operating loss widened to $11.5M. EBITDA fell 28.4% YoY. 5. FY25 outlook trails analyst estimates. Shares dropped 23.4% to $6.98.

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FAQ

Why Bearish?

DNUT’s disappointing earnings and revenue decline, compounded by cybersecurity costs, create downward pressure. Historical Q4 misses in retail similarly led to significant share devaluations.

How important is it?

Significant revenue misses, elevated incident costs, and a stark share price fall indicate a material and immediate impact on DNUT.

Why Short Term?

The negative quarterly performance triggered an immediate 23.4% stock drop. Past earnings misses have typically driven short-term volatility.

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