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Well shares of Krispy Kreme are taking today after a disappointing -- -- something for investors to hunger for about -- analysts are saying that.
It's all an emotional -- action so what are investors missing here let's bring in Jim Morgan the chairman of president.
Krispy -- Jim it's great to have you here and that really is the question.
You know what analysts telling us this was all emotional reaction.
And that the stock is being unfairly punished what are we missing.
-- -- -- -- I'm probably not the most objective person -- essay question too -- just.
But I I do thank goodness in the -- I would tell you didn't in many ways.
I think this might have been in many positive -- might have been the most inept reporter we've reported since I came to Chris degrade so it's interesting we we missed a consensus -- earnings.
By about a penny and yet there were some unusual items in there that would have changed -- comparison about three cents -- so we we feel pretty good and -- percent same store sales like that's probably close to industry leading.
A lot of momentum in an accord brought a lot left to do.
Well one of the things that you've been doing it's kind of changing the mix up of the stores and now you're having some stores where it's more about coffee and -- is up wondering if you -- Kind of sort of potentially gravitate towards the Dunkin' Donuts model.
Because Duncan is really it's as our coffee business has become so successful.
For them you know of the -- almost secondary is that something they're kind of saying it may be -- want.
That is really not and -- -- misled the dog has done a great job with that model and I had my armed rightly.
We are intentionally -- -- the -- is -- what we're doing with beverage.
Right now I'm beverage and doughnut mixes -- percents donuts in the ballots 1213%.
Is beverage so we're just trying to make -- beverage a little bit of big apart.
Of the guess we -- guy coming in and Bob bringing them to call July -- the -- is in heaven -- -- -- etc.
We -- as a complement to our donuts but not not the major thrust.
And we should also -- that the stock is down today up more than 200% over the last year -- do want to point that out to our viewers this is.
One day vs one year I'm -- I remember very well when you went back public back in 2000 in the stock was about 21 dollars and there was so much fanfare and and coverage of the company itself and then you have to -- about.
The head went YouTube.
Customers we get -- criticize the fact that the doughnuts worked frankly coming out warm enough that that.
That -- the thing that was so wonderful about the Chris -- and -- was that hot fresh start -- at the -- -- -- -- the stores the quality control the stores was not keeping up.
To time in it for what you as a company had wanted do you feel like you've moved past that.
That that negative time the company.
Show lover to do -- I don't -- -- your observations -- they expect a lot of us and they deserve a lot of the brand in the product and does not affect our operations people and done -- incredible job of aluminum market and people to have.
Movers for the last 45 years and and ride on the land you just mentioned we have now developed a -- what -- -- small store model.
What we can bring the full factory experience to the guest in about twenty -- borders where fate which means less -- -- -- myself when he calls.
So that we just kind of -- that.
For our franchisees this quarter that was -- the result of the quarter was important and so that's we're excited we think that that increases the number and if we can have globally about dramatic number.
-- -- doesn't bring up the fact that you are global look at Gerrard 21 countries you've got 700 I think -- starts right -- And you're looking relates to expand especially in India talked about -- -- at the international plant here where do you really see the biggest bright spot -- -- India -- and -- Asia.
-- -- is going to be big and we just open in southern and northern India just first few jobs.
Now we open in Moscow.
On September 12 and that's that's a forty store agreement with the wonderful franchisee there.
And then not long after that mid -- late October will be open and settle for -- -- you'll see isn't probably a Latin American country before too long.
Another UR franchise company but one of the things that we've seen this week as these fast food workers have been protesting across the country they want higher wages and some.
Some cities they want double the wages of they're making now do you worry about things like that when you see this movement for wage growth.
At the fast food yes -- restaurants and it could that happen -- Krispy -- You know it's a great question and we do have money something coming extortion massively where have fully franchised internationally so we have direct store employees and -- I've sort of two reactions of that -- one is.
Already do all -- -- thousand understand they're they're what they're concerned about.
I think however.
That what we -- it without team members is is might get loud kind of -- allows them to move above minimum wage and more importantly.
Give them opportunities to advance within the store and quite frankly we've got a good number of people in corporate.
They came out of our stores and -- like that's probably a better solution and one time Jon Johnston iPhone.
So and are you hiring -- We are absolutely every time we open at least a -- we're probably hello Howard forty to sixty people depending on -- the store.
Okay -- in the next year domestic expansion didn't have a number in minder in the plan is what you're gonna open.
We did Cheryl between now and -- and -- fiscal -- -- January.
For five more coming stores probably -- like number of domestic franchisees.
We had eighteen or nineteen international stores have in this quarter that's probably a little above average of the next few quarters but I go big quite simple as this we have 200.
Fifty domestic stores -- we think that'll be 400.
By January 7 saying we have about 550 international we think that'll be 900 by January -- seventy.
Several hundred jobs being created in this country and overseas but certainly this is this is good as we need jobs -- at crane inspector.
Jim organic crispy cream chairman CEO president Jim thank you very much for being on the show.
My -- -- going to the hand me.
Well let's take.
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