Papa John's International lowered its 2026 outlook, now projecting a global system-wide sales decline of 2% to 4% and consolidated adjusted EBITDA between $180 million and $190 million. The company also announced its board intends to suspend the quarterly dividend beginning in August, redirecting capital toward an incremental $18 million of investment to support franchisees and accelerate its transformation. Interim CFO Christopher Collins stated that for the second quarter, global system-wide restaurant sales were $1.2 billion, down 5% in constant currency, while total consolidated revenue fell 9% to $482 million. CEO Todd Penegor noted that North America comparable sales declined 8.3% in the quarter, and the company now expects full-year North America comparable sales to be down 6% to 8%, with international comparable sales increasing between 1% and 3%. Collins added, "We now plan to invest approximately $35 million in total supplemental marketing and franchisee subsidies... We expect that elevated investment to continue into 2027."
Papa John's International IncCompany lowers 2026 outlook, suspends dividend, and reports declining sales.
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