Papa John’s Earnings: PZZA Stock Higher Despite Q4 Sales Falling 20%

Papa John’s (NASDAQ:PZZA) reported its latest quarterly earnings results after hours Tuesday, which included an earnings miss, while revenue also disappointed and fell about 20% year-over-year.

Papa John's EarningsThe Louisville, Ky.-based pizza chain brought in fourth-quarter net losses of $13.8 million, or 44 cents per share following a profit of $28.5 million, or 81 cents per share during its year-ago quarter. The company also reported adjusted earnings of 15 cents per share, below the 17 cents per share that Wall Street called for, according to data compiled in a Refinitiv survey of analysts.

Papa John’s added that revenue for the period tallied up to $374 million, below the $390.1 million that Wall Street called for. This also marked a 20% decline when compared to the chain’s same period in the year-ago quarter.

The restaurant operator added that its same-store sales in North America were down about 8.1% year-over-year, while this figure was down roughly 2.6% outside of its North America operations. Papa John’s predicts that North American sales will continue sliding during its fiscal 2019 as the company sees its same-store sales felling somewhere between 1% and 5%.

The company also sees its international same-store sales as being flat or gaining roughly up to 3%.

PZZA stock took a 0.2% hit during regular trading Tuesday as the chain prepared itself to report for its last period of 2018. Shares then edged 0.5% after hours despite a fourth quarter that underwhelmed in every major financial metric.

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