Papa John’s newest CEO, Steve Ritchie said that the company still needs to continue working towards winning customers’ trust. However, Steve Ritchie said that this company is on its way to recovery.
Despite a third-quarter earnings report revealing a decline in same-store sales, revenue, and earnings per share, Steve Ritchie is optimistic regarding the steps Papa John is taking for progress. Steps that Papa John has taken are rebranding and focusing more on their employees. Ritchie noted that this had a positive influence on consumers’ attitude towards the business. Ritchie mentioned that data has shown that after they launched their “Voices” campaign, customer’s view of Papa John started to change from a negative view to a more positive one.
Nonetheless, the business did report an unfortunate third-quarter report where they missed analysts’ expectations in revenue, earnings per share, and same-store sales. Papa John reported a revenue of $364 million which is below Yahoo analysts’ prediction of $394 million. They also reported an earning per share of 20 cents, but that missed the average analysts’ prediction by 2 cents per share. The same-store sales in North America have also decreased by 10 percent. However, the same-store sales in international sales have increased by 10 percent due to the opening of new restaurants.
In a post from the Biz Journals, despite the recent reports, Steve Ritchie believes that the new executive appointments that were made in October of 2018 will lead the company to focus more on their customers. The executive suite restructure is led by vice president and chief operator Mike Nettles. the business has appointed Justin Falciola, Anne Fischer, Paul Fabre, and Melissa Richards as senior VP. They have also opened new positions amongst the VP which are chief analytics and technology officer, customer experience, menu strategy and innovation, and chief brand officer. Ritchie believes that these new positions and appointees will guide Papa John to focus on the key focuses that they made back in May this year.
As the fourth-quarter earnings report approaching, Steve Ritchie Papa John’s is feeling optimistic despite the challenges the company still has to overcome.
Recommended reading: https://www.qsrmagazine.com/pizza/reeling-papa-johns-ramps-diversity-efforts