Krispy Kreme Doughnuts Inc., Winston-Salem, N.C., reported that fiscal year 2011, ended Jan. 30, was the first profitable year for the company since 2004. At year end, 646 Krispy Kreme stores were in operation, consisting of 85 company-owned units and 561 franchised locations.
Revenues increased 4.5 percent to $362 million and company same-store sales rose 4 percent, the second consecutive annual increase. In fiscal 2012, Krispy Kreme plans to add 5 to 10 company stores, 5 to 15 domestic franchise stores and more than 30 international locations, according to James Morgan, president and chief executive officer.
In looking ahead to fiscal 2012, Morgan added, “We expect growth in same store sales at domestic stores…Not surprisingly, commodity costs are poised to rise significantly compared to fiscal 2011, and we are therefore implementing various price increases to offset costs.”