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Papa John's (PZZA) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

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For the quarter ended September 2023, Papa John's (PZZA - Free Report) reported revenue of $522.81 million, up 2.4% over the same period last year. EPS came in at $0.53, compared to $0.54 in the year-ago quarter.

The reported revenue represents a surprise of -0.87% over the Zacks Consensus Estimate of $527.42 million. With the consensus EPS estimate being $0.56, the EPS surprise was -5.36%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Papa John's performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Number of Restaurants - System-wide: 5,825 compared to the 5,829 average estimate based on six analysts.
  • Number of Restaurants - Domestic Company Owned: 526 compared to the 545 average estimate based on six analysts.
  • Number of Restaurants - Franchised North America: 2,871 compared to the 2,881 average estimate based on six analysts.
  • Number of Restaurants - Total Franchised: 5,181 compared to the 5,208 average estimate based on five analysts.
  • Comparable sales growth - Domestic company-owned restaurants: 5.9% versus 3% estimated by five analysts on average.
  • Comparable sales growth - System-wide North America restaurants: 2.9% versus the five-analyst average estimate of 1.2%.
  • Comparable sales growth - System-wide International restaurants: -0.3% versus the five-analyst average estimate of 1.1%.
  • Revenues- North America franchise royalties and fees: $35.04 million versus the seven-analyst average estimate of $35 million. The reported number represents a year-over-year change of +3.9%.
  • Revenues- International revenues: $42.93 million versus $39.95 million estimated by seven analysts on average. Compared to the year-ago quarter, this number represents a +39.7% change.
  • Revenues- Other revenues: $62.76 million versus $64.42 million estimated by seven analysts on average. Compared to the year-ago quarter, this number represents a -1.8% change.
  • Revenues- North America commissary revenues: $204.89 million versus $212.61 million estimated by seven analysts on average. Compared to the year-ago quarter, this number represents a -5.2% change.
  • Revenues- Domestic Company-owned restaurants: $177.20 million compared to the $172.89 million average estimate based on seven analysts. The reported number represents a change of +6.7% year over year.
View all Key Company Metrics for Papa John's here>>>

Shares of Papa John's have returned +0.3% over the past month versus the Zacks S&P 500 composite's -1.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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