Papa Johns Announces Second Quarter 2023 Financial Results; Increases Cash Dividend by 10%

About this update from Papa John's International, Inc.

[{"type":"text","content":" LOUISVILLE, Ky.--(BUSINESS WIRE)--\nPapa John’s International, Inc. (NASDAQ: PZZA) (“Papa Johns®”) today announced financial results for the second quarter ended June 25, 2023.\n\n\nHighlights\n\n\n\nNorth America comparable sales were down 1% compared with the second quarter of 2022 as the strength of Domestic Company-owned restaurants was offset by lower North America franchised restaurant comparable sales; International comparable sales were down 1% from a year ago and improved 5% from the first quarter.\n\n\n\n47 net unit openings in the second quarter driven by International growth; On track to achieve 270 to 310 net new units in 2023.\n\n\n\nGlobal system-wide restaurant sales were $1.22 billion, a 2%(a) increase from the prior year second quarter.\n\n\n\nTotal revenues of $515 million were down 2% from the second quarter a year ago driven by lower revenues in our North American commissary segment due to commodity price declines.\n\n\n\nDiluted earnings per common share was $0.54, compared with $0.70 for the second quarter of 2022; Adjusted diluted earnings per common share(b) was $0.59, compared with $0.74 for the second quarter a year ago.\n\n\n\nAnnounced 10% increase in annual dividend rate to $1.84 per share; declared third quarter dividend of $0.46.\n\n\n\n“We are pleased with the solid execution that our teams have demonstrated in what continues to be a challenging operating environment,” said Rob Lynch, President and CEO. “Our company restaurants continued their strong performance with positive comp sales growth and year-over-year margin improvement above and beyond the benefits of moderating food costs. However, this solid performance was not enough to offset the lower-than-anticipated comps our franchisees experienced during the quarter. That being said, our entire system saw sequential sales improvement throughout the quarter with positive North America comp sales in June. This positive momentum has carried over, and accelerated, into the third quarter and we expect it to continue as we optimize our system’s revenue management strategies and expand one of our most popular pizza platforms with the recent introduction of Garlic Epic Stuffed Crust Pizza.”\n\n\nCommenting on the Company’s International operations, Lynch stated, “Our international business is a long-term growth driver for Papa Johns. We’ve recently ...

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