Krispy Kreme (DNUT) Q3 2026 earnings summary

Executive summary

• Turnaround advanced through refranchising, lower capital intensity, logistics outsourcing and debt reduction; FY26 revenue guidance increased.

• Q3 systemwide sales rose 1.0% to $490.2M in constant currency; organic revenue declined 0.1%.

• Adjusted EBITDA margin expanded 240 bps YoY excluding the prior-year $9.3M cyber insurance recovery.

Financial highlights

• Q3 net revenue was $328.8M, down 12.4% YoY, mainly due to $53.8M of refranchising impact; organic revenue declined 0.1%.

• Q3 Adjusted EBITDA was $35.3M, down 13.1% reported; it rose 12.7% excluding the prior-year cyber recovery.

• Q3 net loss narrowed to $13.3M from $20.1M; Adjusted net income was $9.9M versus $1.4M and Adjusted EPS was $0.06 versus $0.01.

• 9M Adjusted EBITDA rose 14.7% to $97.2M; free cash flow improved $82M YoY to $(10.0)M.

Outlook and guidance

• FY26 net revenue guidance raised and narrowed to $1.35B–$1.40B from $1.25B–$1.35B; systemwide sales growth outlook remains 2%–4% in constant currency.

• FY26 Adjusted EBITDA guidance is $140M–$150M; this is $25M–$35M above FY25 excluding its $14.1M cyber recovery and estimated refranchised-operation contribution.

• FY26 CapEx guidance reduced to $40M–$45M from $50M–$60M; free cash flow is expected above $15M and net leverage below 5.5x.

• Plan calls for at least 100 shop openings in 2026, nearly all franchised.