Papa John’s (NASDAQ:PZZA) reported its latest quarterly earnings results after the bell on Tuesday, which were below what analysts were calling for, sending shares dropping late in the day.
The pizza giant said that for its second quarter of fiscal 2018, it brought in net income of $11.7 million, roughly amounting to 36 cents per share. In the year-ago quarter, the company brought in net income of $24.1 million, or 65 cents per share.
On an adjusted basis, Papa John’s amassed earnings of 49 cents per share, which was weaker than the 54 cents per share that analysts polled by FactSet were calling for in their consensus estimate.
The company’s revenue was also disappointing as it raked in sales of $408 million for its second quarter, below the $434.8 million from the year-ago quarter. Analysts were projecting Papa John’s to bring in $424.4 million in revenue.
The pizza maker also reduced its full-year 2018 guidance to a range of $1.30 to $1.80 per share. Analysts see this figure as being around $2.05 per share for the fiscal year.
Papa John’s has been mired in controversy following racist statements from its founder John Schattner, who apologized for his misguided words, but it appears as if his words are costing the company customers.
PZZA stock was down about 3% on Tuesday during regular trading hours in anticipation of its latest quarterly earnings results. The earnings miss caused shares to fall about 9.2% after the bell.
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