Food safety and product contamination
The business sells fresh food under a strong consumer brand, so any illness or contamination event could quickly hurt demand and reputation.
- Scope
- All consumer-facing channels
- Materiality
- high
Krispy Kreme, Inc.
Krispy Kreme, Inc. makes and sells fresh doughnuts and related sweet treats through a global omni-channel network of shops, fresh delivery routes, and digital ordering. The company combines company-operated locations with franchised shops and uses a hub-and-spoke production model to keep products fresh while expanding internationally.
−21,8 %
−33,9 %
−8,6 %
0.38
0.32
| % | |
|---|---|
| Retail doughnuts and sweet treats | 45% Fresh doughnuts and other indulgent bakery items sold directly to consumers in shops and kiosks. |
| Fresh delivery | 30% Delivered doughnuts sold through grocery, club, convenience, drug, and restaurant partners. |
| Digital channels | 10% Online and app-based pickup and delivery orders through Krispy Kreme and third-party platforms. |
| Franchise and royalty revenue | 10% Fees, royalties, and related income from franchise partners operating Krispy Kreme shops. |
| Supply and equipment sales | 5% Sales of doughnut mix, concentrate, ingredients, and equipment to franchisees and partners. |
Krispy Kreme sells to individual consumers seeking fresh, branded indulgent treats, but a meaningful share of revenue...
- Consumer retail shoppersprimary
Individuals buying doughnuts in Hot Light Theater Shops, Fresh Shops, or online because the brand is tied to freshness and impulse indulgence.
- Fresh delivery retail partnersprimary
Grocery, club, convenience, and drug stores that buy doughnuts for resale in branded cabinets and merchandising units.
- Foodservice partnerssecondary
QSR and fast-casual operators that carry Krispy Kreme products to add traffic and dessert offerings.
- Franchise operatorsprimary
Domestic and international franchisees that buy mix, equipment, and brand access to operate shops.
- Digital customersemerging
Consumers ordering pickup or delivery through Krispy Kreme's own platforms or third-party apps.
Krispy Kreme operates in 42 countries and reported more than 40 countries in recent filings, with a mix of...
- •Operates in 42 countries with a global shop and delivery network
- •U.S. is the main company-operated market and core revenue base
- •International markets are being refranchised to reduce capital intensity
- •Mix concentrate is made in Winston-Salem, North Carolina
- •Domestic mix production also uses a third-party facility in California
Krispy Kreme is shifting toward a more franchised, capital-light model while keeping the brand visible through shops,...
01
Refranchise international and selected U.S. assetsmedium-term
A more franchised model shifts capital and operating responsibility to partners and should improve scalability.
02
Scale digital and third-party deliveryshort-term
Digital is the fastest-growing U.S. channel and can raise convenience and order frequency.
03
Expand fresh delivery distributionmedium-term
Fresh delivery broadens access points and supports brand visibility in high-traffic retail channels.
04
Protect freshness and product consistency
The brand depends on a consistent hot-off-the-line experience and reliable supply chain execution.
Krispy Kreme faces execution risk from refranchising, international expansion, and the need to keep fresh product...
Key customer concentration in fresh delivery
Retail partners are not committed to fixed volumes and can reduce purchases or reallocate shelf space.
- Scope
- Fresh delivery channel
- Materiality
- high
Supply chain concentration
Krispy Kreme is the exclusive or primary supplier of doughnut mixes and key ingredients, with production concentrated in a few facilities.
- Scope
- Mix, concentrate, and ingredient supply
- Materiality
- high
Cybersecurity and IT disruption
Digital ordering, retail operations, and internal controls depend on functioning systems and secure data handling.
- Scope
- Digital and enterprise systems
- Materiality
- medium
International and refranchising execution
The company is changing its operating model across markets, which can create partner, regulatory, and currency complexity.
- Scope
- International operations
- Materiality
- high
Revenue recognition for franchise fees and royalties
Changes the timing and mix of reported revenue
Goodwill and other asset impairment
Can sharply reduce net income without affecting cash
Lease accounting and sale-leaseback transactions
Affects operating expenses, gains, and leverage presentation
Insurance recoveries and cyber incident costs
Can distort comparability between periods
Interest rate swaps and variable-rate debt
Affects interest expense and earnings volatility
: 28.4.2026