Krispy Kreme Financial Analysis - 1790 Words

Professor Agbatutu BUSN 5600 Webster University History In 1937 Vernon Rudolph bought a doughnut recipe from a New Orleans French chef and began selling Krispy Kreme doughnuts to local grocery stores in Winston Salem, N.C. People would pass by these stores smelling the delicious scent of Rudolph’s doughnuts and ask to buy hot doughnuts, so Rudolph cut a hole into the wall of his rented building and began selling the Original Krispy Kreme doughnuts to customers who walked by on the sidewalk (History, 2012). By the 1950s Rudolph and Krispy Kreme were doing well with a few family owned chain stores but the business was not consistent. The doughnuts were made from scratch which took up a lot of time and†¦show more content†¦Executive Summary and Products The company’s mission statement is â€Å"to touch and enhance lives through the joy that is Krispy Kreme† (Krispy Kreme 2012). The Krispy Kreme vision says they want â€Å"to be the worldwide leader in sharing delicious tastes and creating joyful memo ries† (Krispy Kreme, 2012). Krispy Kreme also established values based on the founder of the company Vernon Rudolph which states: ‘We believe’... -Consumers are our lifeblood, the center of the doughnut -There is no substitute for quality in our service to consumers -Impeccable presentation is critical wherever Krispy Kreme is sold -We must produce a collaborative team effort that is unexcelled -We must cast the best possible image in all that we do -We must never settle for second best; we deliver on our commitments -We must coach our team to ever-better results Krispy Kreme offers three categories of products: doughnuts, coffee and beverages, iced drinks and Kool Kreme. Doughnuts consist of original glazed, varieties doughnuts, mini doughnuts, doughnut holes, and featured doughnuts. Coffee and beverages consist of coffee roasts, espresso drinks, and hot chocolate. Iced drinks and Kool Kreme consist of chillers, iced beverages, flavor syrups, doughnut sundaes, classic sundaes, arctic avalanche, cones, milkshakes, and toppings. Krispy Kreme is sureShow MoreRelatedKrispy Kreme Financial Analysis2485 Words   |  10 PagesFinancial Analysis: Krispy Kreme Doughnuts, Inc. operates as a branded retailer and wholesaler of doughnuts and coffee. It engages in the ownership and franchising of Krispy Kreme doughnut stores, which make and sell approximately 20 varieties of doughnuts. These stores also offer a wide variety of coffees and other beverages. As of January 31, 2010, there were 224 Krispy Kreme stores operated domestically in 37 U.S. states and in the District of Columbia and 358 shops in other countries internationallyRead MoreFinancial Analysis : Krispy Kreme767 Words   |  4 PagesFinancial Summary Krispy Kreme uses a fiscal year, which ends on the Sunday closest to January 31st. For fiscal year 2015, the year ended on February 1, 2015 and the year had 52 weeks. It is important to note that the 2013 tax year had 53 weeks and should be taken into account when comparing financial data from 2013 fiscal year. The following company information is from the 2015 Krispy Kreme annual report. Krispy Kreme has 111 domestic company stores. They have a total of 876 franchise storesRead MoreEssay on Financial Statement Analysis: Krispy Kreme1328 Words   |  6 PagesFinancial Statement Analysis Case Analysis: Krispy Kreme Doughnuts 1. Analysts are predicting that Krispy Kreme will be able to perform highly effectively and continue to grow rapidly in the coming two years. What are the key factors underlying the growth (at least 2)? Do you agree with their analysis? What are some potential concerns (at least 2)? Analysts are predicting that Krispy Kreme will be able to perform highly effectively and continue to grow rapidly in the upcoming two yearsRead MoreAnalysis Of Grand Strategy Matrix. The Grand Strategy Matrix1443 Words   |  6 Pages Analysis of Grand Strategy Matrix The Grand Strategy Matrix is a newer tool used for formulating alternative strategies (David David, 2017). Similar to the BCG matrix, the Grand Strategy Matrix is places the business or the business divisions into one of four quadrants based on two evaluation dimension 1) competitive position on the x-axis and 2) market growth on the y-axis (David David, 2017). The franchise segment would be located in Quadrant II, which would indicate this segment shouldRead MoreCase Study1366 Words   |  6 PagesKrispy Kreme Doughnuts Case Study Solution Financial Statement Analysis The Krispy Kreme Doughnuts case study solution solves the case on financial statement analysis.   The structure of the solution is outlined below and answers the questions included in the outline Krispy Kreme Doughnuts, Inc. Background   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Corporate Profile   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Company Stores   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Domestic Franchise   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   International Franchise   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Supply Chain Business Segment    Problem Statement   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   What is theRead MoreKrispy Kreme Inc Case Study Essay1683 Words   |  7 PagesKrispy Kreme Doughnuts, Inc. 1. What can the historical income statements (case Exhibit 1) and balance sheets (case Exhibit 2) tell you about the financial health and current condition of Krispy Kreme Doughnuts, Inc.? The company’s financial performance looks quite good at the end of Feb 1, 2004. From the exhibit 1, income statement, we can see that Krispy Kreme was growing from the year ended Jan 30, 2000 to the year ended Feb 1, 2004. Total revenue increased significantly 202% from US$Read MoreKrispy Kremes Financial Health Essay1314 Words   |  6 PagesKrispy Kreme’s Financial Health Looking at the financial reports of a company for the first time can be overwhelming if not intimidating. Analyzing the financial reports to determine the health of a company is much that same but different aspect must be looked at properly in order to predict and assess the health and wellness of a company. The different aspect in assessing the health of a company include the depreciation analysis, stock analysis, cash flow statement analysis, income statement trendRead MoreFinancial Health of Krispy Kreme1433 Words   |  6 PagesKrispy Kreme Financial Health Analysis ACC 226 Depreciation Analysis: Depreciation is the term used for the decline of an object value over time. Krispy Kreme’s depreciation is calculated using the straight line method. Benefits from asset are more likely to be constant over its live, thus making straight line method of depreciation more appropriate as it results in a constant annual depreciation change. Krispy Kreme uses SFAS-142 for accounting of intangible assets. Per thisRead MoreKRISPY KREME1044 Words   |  5 Pagesï » ¿ Krispy Kreme Doughnuts: Financial Analysis and Forecasting 1. What can the historical income statements (case Exhibit 1) and balance sheets (case Exhibit 2) tell you about the financial health and current condition of Krispy Kreme Doughnuts, Inc.? The historical financial statements can tell us a lot about the financial health and condition about Krispy Kreme or any other company. By utilizing some key financial ratios we can determine how the company compares year over year as well as againstRead MoreKrispy Kreme Doughnuts, Inc.1736 Words   |  7 PagesCase Study in Corporate Finance Krispy Kreme Doughnuts, Inc. Presented by – Group A2 Timeline Krispy Kreme Doughnuts, Inc. Ratio Analysis Liquidity Ratios As shown in Exhibit 1, quick ratio for Krispy Kreme gradually rose from 1.05 to 2.72, during 2000 to 2004. And current ratio changed with the similar pattern. Generally, a quick ratio of 1 is considered good in most industries. As for Krispy Kreme, the quick ratio is always higher than 1, and the highest point is 3.25 in 2004. This means