Papa John's Profit Tops View, Outlook Raised

According to Reuters news service, “Papa John’s International Inc (PZZA.O) reported quarterly profit that topped analysts’ view, but its shares were unchanged after its raised 2009 earnings forecast still fell short of Wall Street’s target.”

“The company, which competes with Domino’s Pizza Inc (DPZ.N) and Yum Brands Inc’s (YUM.N) Pizza Hut, said on Tuesday that third-quarter net income grew to $11.7 million, or 42 cents per share, helped by lower food prices and cost controls. In the year earlier quarter, it earned $7.7 million, or 28 cents per share. Excluding a gain from its BIBP cheese purchasing unit, the company earned 30 cents per share, topping consensus expectations of 26 cents a share, according to Thomson Reuters I/B/E/S. Revenue fell 5.7 percent in the quarter to $263.9 million, missing analysts call for revenue of $270.8 million. Part of the decline in quarterly revenue was due to the sale of 62 underperforming company restaurants to franchisees. Domestic system-wide sales at established Papa John’s restaurants were flat for the quarter.”