Did you analyze how Krispy Kreme (DNUT Quick QuoteDNUT - Free Report) fared in its international operations for the quarter ending March 2025? Given the widespread global presence of this doughnut wholesaler and retailer, scrutinizing the trends in international revenues becomes imperative to assess its financial strength and future growth possibilities.

In the current global economy, which is more interconnected than ever, a company's success in penetrating international markets is crucial for its financial health and growth journey. Investors must understand a company's dependence on overseas markets, as this offers a window into the company's earnings stability, its ability to benefit from varied economic cycles and its potential for long-term growth.

Being present in foreign markets serves as protection against local economic declines and helps benefit from more rapidly expanding economies. Yet, such expansion also introduces challenges related to currency fluctuations, geopolitical uncertainties and varied market behaviors.

In our recent assessment of DNUT's quarterly performance, we discovered notable trends in its overseas revenue sections, which are typically modeled and scrutinized by Wall Street analysts.

The company's total revenue for the quarter amounted to $375.18 million, marking a decrease of 15.3% from the year-ago quarter. We will next turn our attention to dissecting DNUT's international revenue to get a clearer picture of how significant its operations are outside its main base.

A Look into DNUT's International Revenue Streams

Of the total revenue, $19.01 million came from Market Development during the last fiscal quarter, accounting for 5.07%. This represented a surprise of -12.33% as analysts had expected the region to contribute $21.68 million to the total revenue. In comparison, the region contributed $20.52 million, or 5.08%, and $22.01 million, or 4.97%, to total revenue in the previous and year-ago quarters, respectively.

International generated $119.64 million in revenues for the company in the last quarter, constituting 31.89% of the total. This represented a surprise of -6.18% compared to the $127.51 million projected by Wall Street analysts. Comparatively, in the previous quarter, International accounted for $138.39 million (34.25%), and in the year-ago quarter, it contributed $124.75 million (28.18%) to the total revenue.

International Revenue Predictions

Wall Street analysts expect Krispy Kreme to report $383.09 million in total revenue for the current fiscal quarter, indicating a decline of 12.7% from the year-ago quarter. Market Development and International are expected to contribute 6.2% ($23.85 million) and 33.6% ($128.63 million) to the total revenue, respectively.

For the full year, a total revenue of $1.6 billion is expected for the company, reflecting a decline of 3.6% from the year before. The revenues from Market Development and International are expected to make up 5.5% and 33.3% of this total, corresponding to $87.73 million and $534.23 million respectively.

In Conclusion

Relying on international markets for revenues, Krispy Kreme faces both prospects and perils. Thus, tracking the company's international revenue trends is essential for accurately projecting its future trajectory.

In an era of growing international interdependencies and escalating geopolitical disputes, Wall Street analysts are vigilant in tracking these trends for businesses with a global reach, in order to refine their predictions of earnings. It should be noted, however, that a multitude of other elements, such as a company's domestic position, also play a significant role in shaping the earnings forecasts.

Emphasizing a company's shifting earnings prospects is a key aspect of our approach at Zacks, especially since research has proven its substantial influence on a stock's price in the short run. This correlation is positively aligned, meaning that improved earnings projections tend to boost the stock's price.

Boasting a remarkable track record that's been externally verified, the Zacks Rank, our unique stock rating system, leverages changes in earnings projections to function as a reliable gauge for predicting short-term stock price movements.

At present, Krispy Kreme holds a Zacks Rank #4 (Sell). This ranking implies that its near-term performance might underperform the overall market movement. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Examining the Latest Trends in Krispy Kreme's Stock Value

Over the preceding four weeks, the stock's value has diminished by 27.8%, against an upturn of 9.1% in the Zacks S&P 500 composite. In parallel, the Zacks Consumer Staples sector, which counts Krispy Kreme among its entities, has depreciated by 0.4%. Over the past three months, the company's shares have seen a decline of 63.9% versus the S&P 500's 3.1% decline. The sector overall has witnessed an increase of 2.9% over the same period.