WINSTON-SALEM N.C. Krispy Kreme Doughnuts Inc. is testing a line of ice cream desserts at a unit in its hometown here, according to media reports.
Products include “Krispy Kreme Ice Kreme," available in vanilla, chocolate and swirl flavors, as well as a doughnut sundae, a Krispy Kreme doughnut topped with one of the ice cream flavors and a choice of multiple toppings.
CEO Darryl Brewster told shareholders last week that the new initiative was a move to attract more foot traffic. He did not disclose when the company might expand the test to other stores.
Brewster said the company is in the midst of an extensive turnaround that includes opening smaller satellite stores internationally, releasing short television commercials and continuing to develop new products.
Along those lines, the company also announced last month that it was introducing a new frozen beverage line called Krispy Kreme Chillers, available in a variety of flavors. In February it introduced a new 180 calorie whole-wheat glazed doughnut with a sweet caramel flavoring covered in Krispy Kreme's Original Glaze.
Krispy Kreme has been struggling in recent years due to falling sales attributed to the low-carbohydrate craze, as well as lawsuits by shareholders over an investigation in accounting practices. Indeed, it recently reported that its fiscal first-quarter loss widened. In the quarter ended April 29, the net loss was $7.4 million, or 12 cents per share, compared with a net loss of $6 million, or 10 cents per share, in the year-earlier quarter. Revenues were also down at $110.9 million, compared with $119.4 last year.
