Papa John's down after annual sales forecast cut
BUZZ-Papa John's down after annual sales forecast cut Updates
** Papa John's International PZZA.O shares down as much as 17.88% at $24.43
** Stock set for its worst day since March 2020, if losses hold
** Co cuts annual sales forecast, citing lower volumes and pressured consumer environment in North America that it expects will continue throughout the year
** Sees annual global system-wide restaurant sales forecast to decline in the range of 2% to 4%, compared to its prior expectations of flat-to-low single digits
** Says it expects 2026 North America comparable sales to decline between 6% and 8% vs its prior expectations of a 2% to 4% decline
** "Looking ahead, we're taking a targeted approach to improving our value proposition rather than engaging in sustained extreme discounting at the national level as we've seen some of our competitors do," CEO Todd Penego says on an earnings call
** PZZA, however, beats second-quarter revenue, profit estimates on continued momentum in international business
** As of last close, PZZA down ~23% YTD
(Reporting by Sanskriti Shekhar in Bengaluru)
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Papa John's down after annual sales forecast cut