Krispy Kreme (DNUT) Q2 2026 earnings summary

Executive summary

• Achieved significant progress on the turnaround plan, focusing on balance sheet strength, leverage reduction, and sustainable, profitable growth.

• Net revenue for Q2 2026 was $331.0 million, down 12.8% year-over-year, mainly due to refranchising and strategic closures, including the exit from the McDonald's USA partnership.

• Systemwide sales grew 2.6% year-over-year, excluding the ended McDonald's USA partnership.

• Adjusted EBITDA rose 43.2% to $28.8 million, with margin expanding 340 basis points to 8.7%.

• Net loss attributable to the company improved to $19.8 million from $441.1 million in Q2 2025.

Financial highlights

• Q2 2026 net revenues: $331.0 million (down 12.8% year-over-year); H1 2026 net revenues: $698.0 million (down 7.5%).

• Adjusted EBITDA: $28.8 million in Q2 2026 (margin 8.7%), up from $20.1 million in Q2 2025.

• Free cash flow for the first half of 2026 improved by $101.3 million to $(6.1) million.

• Net leverage ratio improved to 5.4x as of June 28, 2026, down from 6.7x at year-end 2025.

• Cash and cash equivalents at June 28, 2026: $21.8 million; long-term debt: $794.2 million.

Outlook and guidance

• Maintained full-year 2026 guidance: net revenue $1.25–$1.35 billion, systemwide sales growth 2–4%, adjusted EBITDA $140–$150 million, CapEx $50–$60 million.

• Plans to open at least 100 new shops in 2026, nearly all franchised.

• Free cash flow projected above $15 million; net leverage ratio targeted below 5.5x.