LOUISVILLE - Papa John's International, Inc. (NASDAQ:PZZA) reported second quarter earnings that beat analyst expectations, but revenue fell short of estimates.
Shares of Papa John's were down 1.19% following the mixed earnings report.
The pizza chain posted adjusted earnings per share of $0.61, surpassing the analyst consensus of $0.53. However, revenue came in at $507.9 million, below Wall Street's forecast of $520.1 million.
Papa John's said comparable sales in North America declined 3.6% year-over-year, while international comparable sales were flat. The company cited a "highly promotional QSR environment and a more value-conscious consumer" as factors impacting demand.
"Papa John's commitment to maintaining the quality of our product and brand as well as managing our costs drove continued improvement in restaurant-level margins and Adjusted operating income, helping to offset our softer sales in the second quarter," said CFO Ravi Thanawala.
The company closed a net 31 restaurants globally during the quarter, including 43 company-owned locations in the UK as part of a strategic restructuring.
Looking ahead, Papa John's said it is "actively pursuing opportunities that sharpen our focus, improve unit economics, drive unit development and provide an excellent consumer experience."
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