Papa John's (PZZA) Reports Q2 Earnings: What Key Metrics Have to Say

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.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

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 - Papa John's - Company-owned - Domestic: 456 versus the three-analyst average estimate of 447.
• Comparable sales growth - International restaurants: 1.5% versus 3.6% estimated by three analysts on average.
• Number of Restaurants - Papa John's - Company-owned - International: 13 compared to the 13 average estimate based on three analysts.
• Number of Restaurants Opened - Franchised North America: 7 compared to the 10 average estimate based on three analysts.
• Number of Restaurants Opened - International: 41 versus the three-analyst average estimate of 30.
• Number of Restaurants Opened - Total North America: 9 versus the three-analyst average estimate of 11.
• Number of Restaurants - Papa John's - Company-owned(Domestic Company-owned+International Company-owned): 469 versus the three-analyst average estimate of 460.
• Revenues- Franchise royalties and fees: $46.59 million versus $47.2 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -3.6% change.
• Revenues- Advertising funds revenue: $41.35 million versus the four-analyst average estimate of $41.75 million. The reported number represents a year-over-year change of -6.4%.
• Revenues- Other revenues: $21.46 million compared to the $22.1 million average estimate based on four analysts. The reported number represents a change of -7.3% year over year.
• Revenues- Commissary revenues: $230.82 million compared to the $227.17 million average estimate based on four analysts. The reported number represents a change of -1.6% year over year.
• Revenues- Company-owned restaurant sales: $142.18 million versus the four-analyst average estimate of $146.18 million. The reported number represents a year-over-year change of -20.6%.

View all Key Company Metrics for Papa John's here>>>

Shares of Papa John's have returned -12.2% over the past month versus the Zacks S&P 500 composite's +3.3% change. The stock currently has a Zacks Rank #5 (Strong Sell), indicating that it could underperform the broader market in the near term.

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This article originally published on Zacks Investment Research (zacks.com).

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