Papa Johns saw a same-store sales increase of 1% in the fourth quarter ending December 25, 2022, compared to the same quarter in 2021, but same-store sales have risen 26% on a three-year basis, according to Nation’s Restaurant News (NRN).

The three-year look shows “how far [Papa Johns] has climbed since its pre-pandemic low point, even though sales growth now is more of a trickle,” NRN stated.

Papa Johns has dealt with inflation and higher wages by relying on third-party delivery platforms—in contrast to rival Domino’s—and adding new menu items, such as Papa Bowls, Papa Bites and the Crispy Parm Pizza.

Related: Domino’s saw drop in delivery demand in the last quarter

One big advantage of these menu innovations is that they “did not add complexity to the kitchens or ingredient cost,” NRN reported.

In December 2022, the chain also introduced the Oreo Cookie Papa Bites as part of a new line of sweet treats.

“We are introducing menu innovations that offer value and variety to our customers,” Papa Johns CEO Rob Lynch said in a Thursday, February 23 earnings call. “But they also limit added complexity to our restaurant operations and our supply chain. Our menu innovation calendar is expansive, flexible and differentiated and allows us to adjust our offerings to customer preferences nimbly, whether that is extending a limited-time offer or building upon existing platforms.”

The chain will continue to beef up its partnerships with third-party delivery platforms to offset staffing challenges in 2023.

The company expects to open between 270 and 310 net new units in 2023 and predicts a growth rate of 6-8% over the next two years. For the fourth quarter, Papa Johns reported 117 net unit openings in the last quarter, mostly in international markets.

Pizza News, Papa Johns