Papa John’s continues to improve their financial outlook and performance despite the disastrous economic effects of COVID-19 on the restaurant industry. The Louisville, Ky.-based pizza chain announced that same-store sales have been up 24% in North America over a five week period ended on June 28, and that international same-store sales — which have been a sore spot for Papa John’s since the pandemic began — saw a 6% uptick.
The company is also estimating that preliminary sales for the second quarter ended on June 28 will see a 28% increase in North American same-store sales and 5.3% increase in same-store sale internationally, a growth period which includes May, during which the company reported that had “the best sales period in company history” with 26.9% same-store sales growth.
“In June Papa John’s delivered a third consecutive month of double-digit sales growth in North America and strong growth internationally,” Papa John’s president and CEO Rob Lynch said in a statement. “The events of the past few months have accelerated Papa John’s transformation into an innovation-driven organization, contributing to our strong business momentum today. This focus on innovation has enabled initiatives like ‘No Contact Delivery’ and Papadias, as well as an exciting pipeline of upcoming products.”
In addition to the introduction of the fold-over Papadias menu item earlier this year, Papa John’s just announced the introduction of the first pizza creation collaboration with investor and board member Shaquille O’Neal, who helped to bring to life the “Shaq-a-Roni Pizza” with extra cheese, extra pepperoni, with the company’s “largest slice size to date.”
Lynch also addressed Papa John’s efforts to build a more diverse, equality-driven company, particularly in light of the Black Lives Matter movement. He said that they have increased their investments through the company’s nonprofit arm, the Papa John’s Foundation.
“While we still have much work to do, we are building the kind of company that is positioned for outstanding performance in the future,” Lynch said.
Papa John’s is part of a pattern of delivery-focused national pizza chains, including Domino’s, that have seen sales stability and growth during a period when many restaurant companies are struggling to keep up during a pandemic.
“We entered the pandemic with strong growth and momentum and are fortunate that our delivery and carry-out model has enabled us to meet an essential need for high quality food, safely delivered to consumers’ homes.”
In North America, nearly all Papa John’s restaurants remain open and operating normally, while the number of temporarily closed restaurants overseas declined to 225, or just over 10%.
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