NASDAQ$PZZA

Papa John's International Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Papa John's Q3 2024 earnings were announced, revealing a challenging consumer environment with earnings meeting expectations amidst strategic initiatives to refine key areas.

Papa John's International, Inc. reported a 3% decrease in global system-wide restaurant sales, totaling $1.19 billion, driven by lower comparable sales. Total revenues decreased by 3% to $507 million. Diluted earnings per common share were $1.27, while adjusted diluted earnings per common share was $0.43. The company experienced a decline in North America comparable sales by 6% and International comparable sales by 3%.

  • North America comparable sales decreased by 6%, with Domestic Company-owned restaurants down 7% and North America franchised restaurants down 5%.
  • International comparable sales decreased by 3% compared to the prior year period.
  • Global system-wide restaurant sales were $1.19 billion, a 3% decrease compared to the prior year, impacted by lower comparable sales.
  • Total revenues decreased by 3% to $507 million, driven by lower International revenues and sales at Domestic Company-owned restaurants.

Headline financials

Total Revenue

$507M

Previous: $523M-3.1%
EPS

$1.27

Previous: $0.53+139.6%
Domestic Comp Sales Growth

-6.7%

Previous: 5.9%-213.6%
NA Franchised Comp Growth

-5.3%

Previous: 2.2%-340.9%
NA Comp Sales Growth

-5.6%

Previous: 2.9%-293.1%
International Comp Growth

-2.8%

Previous: -0.3%-833.3%
Total Comp Sales Growth

-4.9%

Previous: 2.2%-322.7%
Global System-wide Growth

-3.0%

Previous: 5.1%-158.8%
NA System-wide Growth

-4.0%

Previous: 3.9%-202.6%
International System-wide Growth

0.0%

No prior period
Capital Expenditures

-$46.9M

Previous: -$50.9M+7.8%
Free Cash Flow

-$5.12M

Previous: -$35M+85.4%
Net Income

$41.8M

Previous: $15.9M+163.6%
Operating Income

$65.2M

Previous: $31.9M+104.7%
Gross Profit

$2.7M

Previous: $2.3M+17.4%
Cash & Equivalents

$17.6M

Previous: $37.5M-53.2%
Total Assets

$861M

Previous: $878M-1.9%
Stock-Based Comp

$3.36M

Previous: $4.73M-28.9%

Revenue & EPS history

Papa John's · Revenue · Quarterly

$507M

Q3 2024-3.1%vs Q3 2023
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Papa John's · $460M total across 4 segments · Q3 2023

  • North America Commissaries
    $205M-5.2%
  • Domestic Company-owned
    $177M+6.7%
  • International
    $42.9M+39.7%
  • North America Franchising
    $35M+3.9%

Forward guidance

North America remains on track for more than 100 gross restaurant openings in fiscal year 2024, while International anticipated gross openings increases to between 170 and 190 restaurants.

Tailwinds

  • North America is on track for more than 100 gross restaurant openings in fiscal year 2024.
  • International anticipated gross openings increases to between 170 and 190 restaurants.
  • The company is making progress to improve its value perception.
  • The company is improving its digital and loyalty experience.
  • The company is confident it can return to sustainable, profitable growth.

Headwinds

  • The company is operating in a very challenging consumer environment.
  • North America comparable sales were down 6% from a year ago.
  • Domestic Company-owned restaurants were down 7%.
  • North America franchised restaurants were down 5%.
  • International comparable sales were down 3% compared with the prior year period.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+0.9%

Avg return

Earnings day

+0.7%

Avg return

5 days after

+0.6%

Avg return

30 days after

60%

44 / 73 earnings

Positive

+17.6%

Q1 2012

Best reaction

-17.2%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.7%+0.9%-5.6%
Q4 2025-8.6%-5.4%-6.1%
Q3 2025+3.7%+2.4%-0.2%
Q1 2025+15.9%+24.5%+49.9%
Q4 2024+1.4%+0.8%-13.8%
Q3 2024-5.4%-12.4%-16.3%
Q2 2024+5.6%+9.2%+10.4%
Q1 2024-6.7%-8.0%-17.7%
Q4 2023-0.3%+0.8%-5.1%
Q3 2023+4.2%+3.6%+3.7%
Q2 2023-0.6%+0.2%-5.5%
Q1 2023+3.1%+3.3%-4.6%
Q4 2022-7.3%-9.1%-17.4%
Q3 2022+2.7%+3.9%+13.1%
Q2 2022-5.0%-6.2%-18.1%
Q1 2022-5.8%-7.2%-5.3%
Q4 2021+0.6%+2.2%-5.8%
Q3 2021+7.3%+7.1%+0.8%
Q2 2021+4.1%+4.4%+13.3%
Q1 2021+5.7%+3.2%+0.8%
Q4 2020-12.1%-12.1%-13.9%
Q3 2020+9.7%+4.7%+6.2%
Q2 2020-1.0%-5.5%-8.8%
Q1 2020+6.1%+9.1%+3.8%
Q4 2019-13.6%+6.0%+45.0%
Q3 2019+9.4%+9.5%+5.7%
Q2 2019+3.6%+7.7%+15.7%
Q1 2019-2.3%-1.9%-5.4%
Q4 2018+2.1%+3.5%+24.1%
Q3 2018+3.4%+1.3%-16.0%
Q2 2018-8.0%-4.9%+9.1%
Q1 2018-4.3%-11.1%-12.2%
Q4 2017+0.8%+5.9%+0.1%
Q3 2017-7.1%-8.3%-12.8%
Q2 2017+9.3%+7.9%+4.9%
Q1 2017+0.7%+3.2%+4.2%
Q4 2016-7.5%-8.5%-13.6%
Q3 2016+4.0%+2.7%+15.7%
Q2 2016+4.3%+1.8%+1.3%
Q1 2016+4.4%
Q4 2015+12.3%
Q3 2015-17.2%
Q2 2015-6.4%
Q1 2015+2.4%
Q4 2014-1.8%
Q3 2014+7.1%
Q2 2014-4.9%
Q1 2014-2.9%
Q4 2013+7.2%
Q3 2013+0.5%
Q2 2013+3.8%
Q1 2013+1.9%
Q4 2012-8.1%
Q3 2012-5.4%
Q2 2012+1.7%
Q1 2012+17.6%
Q4 2011-7.0%
Q3 2011+6.6%
Q2 2011-1.5%
Q1 2011-0.8%
Q4 2010+0.5%
Q3 2010-2.6%
Q2 2010-5.5%
Q1 2010+2.1%
Q4 2007+7.3%
Q4 2009+7.3%
Q3 2008+0.7%
Q3 2009+0.7%
Q2 2009+7.0%
Q1 2008+6.8%
Q4 2008+6.8%
Q2 2008+6.8%
Q1 2009+6.8%

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