WINSTON SALEM, N.C. (AP) — Krispy Kreme Doughnuts Inc. delivered some tasty news to investors on Tuesday as it moved to a fourth-quarter profit.
The company stood by its strong full-year forecast, and its shares jumped more than 4 percent after hours on the news.
Krispy Kreme earned $143.5 million, or $2.01 per share, for the quarter that ended Jan. 29. That's compared with a loss of $1.5 million, or 2 cents per share, a year earlier. Excluding one-time items, it earned 6 cents per share in the most recent quarter, meeting the average forecast from Wall Street analysts polled by FactSet.
Revenue rose more than 11 percent to $102 million from $91.7 million as sales and franchise fees rose as it added new stores.
Analysts on average expected revenue of $100.2 million, according to data from FactSet.
CEO James Morgan said managers are pleased with the strong revenue growth.
The key indicator of revenue from company-owned stores open at least a year rose 8.3 percent. This is considered an important measure because it excludes stores that recently opened or closed. The measure rose 7.9 percent at its domestic stores and 16.8 percent outside the U.S., but it fell 9.5 percent excluding the effect of foreign exchange rates. The company got an added boost from franchise fees and its supply chain revenue.
Krispy Kreme plans to strengthen its core line through limited-time offerings and to build on success with its beverages and whole sale products, while also cutting costs.
The company reiterated its outlook for adjusted earnings of 35 cents to 41 cents per share for the current fiscal year, which will have 53 weeks. Analysts forecast earnings of 31 cents per share.
It earned $166.3 million, or $2.33 per share, for fiscal 2012, up from $7.6 million, or 11 cents per share, in the prior year. It said its adjusted earnings amounted to 31 cents per share. Its revenue rose more than 11 percent to $403.2 million.
Krispy Kreme, based in Winston Salem, N.C., operates 694 stores in 21 countries.
Its shares rose 13 cents to close at $8.49 before the company reported its earnings. The stock rose 41 cents, or 4.8 percent, after hours.