• The Starbucks of doughnuts.
• The Ben & Jerry's of doughnuts.
• The Shake Shack of doughnuts.

• Doughnuts: A wide variety of freshly made doughnuts, most famously their Original Glazed doughnut.
• Coffee: A selection of hot and iced coffee beverages, often paired with their doughnuts.
• Other Beverages: A range of cold drinks, milk, and specialty beverages available in their shops.

Krispy Kreme (symbol: DNUT) operates a hybrid business model. While it sells directly to individual consumers through its company-owned and franchised shops, a significant and growing portion of its business involves wholesale sales to other companies. This is primarily through its "Delivered Fresh Daily" (DFD) model, where fresh doughnuts are delivered to various retail locations, and through the distribution of packaged sweet treats.

Given the substantial sales to other businesses for resale, Krispy Kreme's major customers include the following categories of companies:

Grocery Store Chains

These large national and regional retailers purchase Krispy Kreme's fresh doughnuts via the DFD model and packaged sweet treats for sale in their stores, making them key distribution partners and customers.

• Walmart Inc. (Symbol: WMT)
• The Kroger Co. (Symbol: KR)
• Target Corporation (Symbol: TGT)

Convenience Store Chains

Convenience store operators are also significant wholesale customers, distributing Krispy Kreme's fresh doughnuts and packaged products across thousands of locations.

• Seven & i Holdings Co., Ltd. (Symbol: SIFBY) - The parent company of 7-Eleven.
• Alimentation Couche-Tard Inc. (Symbol: ATD.B on TSX, also traded as ANCTF on OTC) - Operates the Circle K brand, among others.

Josh Charlesworth, President and Chief Executive Officer

Josh Charlesworth has served as President and Chief Executive Officer of Krispy Kreme since January 2024. Prior to this role, he held several key positions within the company, including Global President from June 2022 to December 2023, Chief Operating Officer from May 2019 to December 2023, Chief Financial Officer from April 2017 to January 2023, and Corporate Secretary from July 2018 to August 2020. Before joining Krispy Kreme in 2017, Mr. Charlesworth spent nearly 15 years at Mars, Inc., where he held various leadership roles such as CFO, Vice President Global Chocolate, Regional Finance Director, and CFO for Wrigley Europe and Wrigley Germany. He also held positions at JAB Holding, serving as President, Chief Operating Officer, and Chief Financial Officer. His background at JAB Holding, a private equity firm, indicates a pattern of managing companies backed by private equity. He holds a Bachelor of Science degree in Economics and Economic History from The London School of Economics and Political Science.

Raphael Duvivier, Chief Financial Officer

Raphael Duvivier has served as Krispy Kreme's Chief Financial Officer since July 2025. He joined the company in January 2019 and has held multiple leadership roles, including President, International, Chief Development Officer, and Chief Financial and Strategy Officer, International. Before his tenure at Krispy Kreme, Mr. Duvivier held various senior leadership positions at Restaurant Brands International Inc. across different regions, and also worked at Opus Investments. He holds a B.Sc. in Industrial Engineering from the Pontifícia Universidade Católica do Rio de Janeiro, Brazil, and an M.B.A. from INSEAD.

Nicola Steele, Chief Operating Officer

Nicola Steele has served as Krispy Kreme's Chief Operating Officer since March 2025. She has over 15 years of experience with Krispy Kreme, having previously served as President and Director of Krispy Kreme Australia & New Zealand from September 2023 to March 2025, Chief Operating Officer for Krispy Kreme subsidiaries from March 2022 to August 2023, and Retail Director from January 2019 to February 2022. Ms. Steele began her career with the company in October 2006 as a crew member and has held progressively more senior leadership positions in store and operations management.

Alison Holder, Chief Brand and Product Officer

Alison Holder became Krispy Kreme's Chief Brand and Product Officer effective July 11, 2025. She has worked with Krispy Kreme for 25 years, previously serving as Chief Product Officer and, at one point, as Senior Director of Consumer Insights.

Atiba Adams, Chief Legal Officer and Corporate Secretary

Atiba Adams has served as Krispy Kreme's Chief Legal Officer and Corporate Secretary since June 2024. Prior to joining Krispy Kreme, Mr. Adams was Senior Vice President, Deputy General Counsel at Bausch + Lomb from January 2022 to June 2024. He also held various roles at Mars, Incorporated, including General Counsel of Mars Global Petcare from July 2017 to January 2022 and General Counsel of Mars Global Chocolate from February 2015 to July 2017.

1. Financial Health and Profitability: Krispy Kreme is currently under significant financial pressure, reporting GAAP net losses and experiencing declining net revenue. The company also grapples with high operating expenses and a notable debt-to-equity ratio, which led to the suspension of its dividend in May 2025. This financial strain raises concerns about potential financial instability.
2. Execution of Growth and Omni-channel Strategy: The company is undergoing a substantial strategic shift, moving towards a "Delivered Fresh Daily (DFD) model" and a "capital-light model." This involves closing underperforming locations and concentrating on profitable expansion. There is acknowledged "execution risk" associated with successfully implementing this pivot, as past strategic decisions, such as the fallout from the McDonald's partnership, have negatively impacted performance.
3. Cybersecurity Incidents: Krispy Kreme has experienced cybersecurity issues, including a 2024 Cybersecurity Incident that resulted in operational inefficiencies and impacted financial results. The company acknowledges the ongoing risk of cybersecurity threats and potential disruptions to its information technology systems.

The addressable markets for Krispy Kreme's main products and services include the global and U.S. markets for doughnuts, sweet baked goods, and coffee/coffee shops.

Doughnuts

• The global doughnut market was valued at approximately USD 44.7 billion in 2024 and is anticipated to reach around USD 66.8 billion by 2033, growing at a compound annual growth rate (CAGR) of 5.5% from 2025 to 2033.
• In the U.S. alone, the doughnut market is estimated at USD 9.6 billion in 2025.

Sweet Baked Goods (including doughnuts, cakes, pastries, cookies, and muffins)

• The global sweet baked goods market is projected to grow from USD 265 billion in 2024 to USD 380 billion by 2033, at a CAGR of 4.3%.
• The U.S. bakery products market, which encompasses sweet baked goods, is projected to reach an estimated value of USD 148.98 billion by 2032.

Coffee and Coffee Shops

• The global coffee shop market was valued at USD 220.41 billion in 2024 and is expected to grow to nearly USD 290.24 billion by 2032, at a CAGR of 3.5%.
• The U.S. coffee shop market grew to $49.5 billion as of late 2024.
• The broader U.S. coffee industry generates an annual revenue of $88.5 billion.

Krispy Kreme (DNUT) is expected to drive future revenue growth over the next two to three years through several key strategies:

• Expansion of Global Points of Access (POA): The company is focused on significantly expanding its fresh delivery door network across various channels, including grocery stores, convenience stores, club wholesalers, and quick-service restaurants, both domestically and internationally. This includes adding profitable doors with strategic partners.
• International Market Expansion and Capital-Light Franchising: Krispy Kreme is accelerating its global expansion efforts, with plans to sign three to five international development deals annually and explore new markets such as Uzbekistan and Brazil. The international segment has demonstrated strong organic revenue growth in key markets like Canada, Japan, and Mexico, and the company is increasingly adopting a capital-light international franchise model, alongside refranchising initiatives.
• Growth in Delivered Fresh Daily (DFD) and Digital Sales: Krispy Kreme continues to leverage its Delivered Fresh Daily network and digital sales channels, which have been significant contributors to organic revenue growth. Digital sales in the U.S. have shown substantial year-over-year increases, now representing over 20% of U.S. retail sales.
• Product Innovation and Menu Refresh: The company aims to capture opportunities through its iconic brand by driving innovation, including impactful Limited Time Offers and premium products. Krispy Kreme is also refreshing its everyday donut menu with trending flavors, fan favorites, and returning popular options to enhance variety for consumers.
• Strategic U.S. Growth with Key Retail Partners: While strategically exiting some unprofitable locations, Krispy Kreme is concentrating on profitable expansion within the U.S. through partnerships with high-volume strategic customers such as Walmart, Target, Costco, Sam's Club, Kroger, and Publix.

Share Repurchases

• Krispy Kreme planned to utilize IPO proceeds to repurchase shares from certain executive officers.
• A cash deficit of $10.1 million was observed after accounting for dividends and buybacks in Q1 FY 2025.

Share Issuance

• Krispy Kreme completed its initial public offering (IPO) on July 1, 2021, offering 29,411,765 shares at $17.00 per share.
• The IPO raised approximately $500 million, falling short of its initial estimated target.
• JAB Holding, the controlling shareholder, aimed to purchase up to $100 million worth of shares in the 2021 IPO.

Inbound Investments

• JAB Holding Co. took Krispy Kreme private in 2016 for $1.35 billion and remained the controlling shareholder after the 2021 IPO.
• JAB Holding indicated an intent to purchase up to $100 million in shares during Krispy Kreme's 2021 IPO.

Outbound Investments

• Krispy Kreme divested a majority stake in Insomnia Cookies during the third quarter of fiscal 2024.
• The company is prioritizing a capital-light international franchise model for global expansion, including a joint venture for its entry into Spain.

Capital Expenditures

• Capital expenditures for Q1 2025 were $25.9 million, primarily allocated to support U.S. nationwide expansion.
• For the full year 2024, capital expenditures were projected to be between 7% and 8% of net revenue.
• Krispy Kreme plans to reduce capital spending in 2026 compared to 2025 as part of its turnaround strategy, focusing on improving return on invested capital through existing assets and franchise development.