Financial Data and Key Metrics Changes - Revenue from continuing operations increased by 3.1% in Q4 2025 compared to Q4 2024, while consolidated adjusted EBITDA rose by 7.8% [9][18] - For the full year 2025, revenue was $54.9 million, up from $52.2 million in 2024, and consolidated net income increased to $2.9 million from a loss of $5.8 million in 2024 [21][22] Business Line Data and Key Metrics Changes - System-wide sales decreased by 3.9% to $130 million in Q4 2025, with comp sales down 3.8% [18] - The total clinic count at year-end was 960, down from 967 the previous year, with 29 new clinics opened and 41 refranchised during 2025 [19] Market Data and Key Metrics Changes - The company is focusing on improving new patient acquisition through enhanced marketing strategies, shifting from local to national advertising to increase brand awareness [12][34] - New patient acquisition trends have shown improvement each month since the launch of the new marketing initiatives, although they remain lower than the previous year [14][54] Company Strategy and Development Direction - The company is on track to complete the first phase of its transformation journey, Joint 2.0, by the end of 2025, transitioning to a pure-play franchisor model [5][27] - Future growth strategies include expanding operations into new channels and markets, focusing on integrated treatments and leveraging data from wearable technology [28] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving long-term goals despite current challenges, emphasizing the importance of improving marketing effectiveness and patient retention [27][62] - The company anticipates that the second half of 2026 will show improved comp sales due to easier comparisons and traction from current initiatives [51][66] Other Important Information - The company repurchased 1.1 million shares for $9 million in Q4 2025, with a total of 1.3 million shares repurchased for $11.3 million throughout the year [9][22] - The company expects system-wide sales for 2026 to range from $519 million to $552 million, with comp sales projected between -3% to 3% [22] Q&A Session Summary Question: Can you share the attrition and new patient add metrics? - Management noted that new patient flow has been the weakest component of active member growth, but early signs from new marketing efforts are positive [31][32] Question: How are you evolving marketing initiatives for 2026? - The focus remains on shifting investment from local to national marketing, improving creative messaging, and addressing changes in search behaviors due to AI [34][35] Question: How did the three-tiered pricing pilot go? - The $10 pricing increase showed more benefit compared to the $2 increase, and further testing is ongoing before broader rollout [38][39] Question: What specific leading indicators give confidence that comps will improve in 2026? - Management highlighted early signs of improvement in leads and new patients, with expectations for better performance in the second half of the year [51][52] Question: Does your guidance include a pricing increase? - No, the guidance does not include any pricing increase as the results from recent tests were still uncertain [67]

Financial Data and Key Metrics Changes - Revenue from continuing operations increased by 3.1% in Q4 2025 compared to Q4 2024, reaching $15.2 million, while consolidated adjusted EBITDA rose by 7.8% to $3.6 million [9][20] - For the full year 2025, revenue was $54.9 million, up from $52.2 million in 2024, and consolidated net income improved to $2.9 million from a loss of $5.8 million in 2024 [21][22] - Unrestricted cash and cash equivalents at the end of Q4 2025 stood at $23.6 million, down from $25.1 million in the prior year [22] Business Line Data and Key Metrics Changes - System-wide sales decreased by 3.9% to $130 million in Q4 2025, while comp sales were down 3.8% [18] - For the full year, system-wide sales were flat at $532 million, with comp sales declining by 0.4% [18] Market Data and Key Metrics Changes - The total clinic count at year-end 2025 was 960, down from 967 clinics in the prior year, with 885 franchise clinics and 75 company-owned clinics [19] - The company refranchised 41 clinics and closed 36 clinics during 2025 [19] Company Strategy and Development Direction - The company is on track to complete the first phase of its transformation journey, Joint 2.0, by the end of 2026, transitioning to a pure-play franchisor model [5][28] - Future growth strategies include expanding operations into new channels and markets, focusing on health trends and integrated treatments [29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in improving operating leverage and financial position through refranchising and cost-saving initiatives [28] - The company anticipates that 2026 will be more profitable than 2025 due to refranchising efforts and realignment of corporate costs [24] Other Important Information - The company repurchased 1.1 million shares for $9 million in Q4 2025 and a total of 1.3 million shares for $11.3 million in 2025 [9][22] - The company expects system-wide sales in 2026 to range from $519 million to $552 million, with comp sales projected between -3% to 3% [22] Q&A Session Summary Question: Can you share the attrition and new patient add metrics? - Management noted that new patient flow has been the weakest component of active member growth, but early signs from new marketing efforts are positive [33][34] Question: How are you evolving marketing initiatives for 2026? - The focus remains on shifting investment from local to national marketing to amplify brand awareness, with ongoing adjustments to creative messaging and addressing shifts in search behaviors due to AI [36][37] Question: How did the three-tiered pricing pilot go? - The $10 pricing increase showed more benefit compared to the $2 increase, and further testing is ongoing before broader rollout [39][40] Question: How did comp sales progress throughout the quarter? - Comp sales were down the most in November but improved in December, with expectations for better performance in the second half of the year [46][47] Question: What specific leading indicators give confidence that comps will improve in 2026? - Management highlighted early signs of improvement in leads and new patient acquisition, with expectations for better performance in the second half of the year due to easier comparisons [52][55] Question: Can you elaborate on growth initiatives and capital allocation? - Investments will focus on technology improvements and user interface enhancements for Wellness Coordinators, with ongoing negotiations for RD territory buybacks [70][73]

Q4 & Full Year 2025 Financial Results As of December 31, 2025, reported on March 12, 2026 NASDAQ: JYNT | © 2026 The Joint Corp. All Rights Reserved. | 1 Safe Harbor Statements This press release contains statements about future events and expectations that constitute forward-looking statements. Forward-looking statements are based on our beliefs, assumptions and expectations of industry trends, our future financial and operating performance and our growth plans, taking into account the information currently ...

Core Insights - Restaurant Brands International (QSR) has seen a year-to-date increase of 6.7%, trading at $73.36, nearing its 52-week high of $74.42, but retail investor sentiment remains neutral at 58 out of 100, indicating skepticism about the company's growth targets for 2028 [1] Financial Performance - Popeyes experienced a sales decline of 3.2%, while Burger King in the US saw a net restaurant count drop of 2.9%. Conversely, Burger King Japan reported a 22% increase, and the international AOI surged by 30.5% [1] - Comparable sales for the full year 2025 were reported at 2.4%, falling short of the 3%+ annual target, amidst a consumer sentiment index of 56.4 in January 2026, indicating recessionary conditions [1] Strategic Initiatives - The refranchising strategy has exceeded 2025 guidance with over 100 units completed, marking significant progress towards a nearly fully franchised model [1] - The international segment showed strong performance, with AOI increasing by 30.5% in Q4 and Burger King Japan achieving 22% same-store sales growth in 2025 [1] Market Sentiment - Retail investor sentiment is cautious, with discussions on Reddit reflecting skepticism about the achievability of QSR's 2028 targets due to the underperformance of Popeyes and the declining net restaurant count for Burger King US [1] - Analysts maintain a more optimistic outlook, with a consensus target price of $79.86 and a majority of buy ratings, indicating a divergence between retail sentiment and Wall Street expectations [1]

Core Insights - Papa Johns has announced a series of cost-saving measures and financial improvements for 2026 and beyond, including the closure of 300 underperforming stores by 2027, with 200 closures planned for this year, and a 7% reduction in corporate workforce [1][2][4] Cost-Saving Measures - The company aims to achieve at least $25 million in cost savings outside of marketing through 2027, with approximately $13 million expected to be realized in 2026 [3] - A comprehensive review of non-customer facing costs and corporate resources has been conducted to enhance flexibility and support long-term growth [3] Store Performance and Strategy - Papa Johns reported a 2% decline in North America same-store sales, attributed to underperformance in company-owned stores, while international same-store sales increased by 5% [3] - The company plans to accelerate its refranchising program, targeting a reduction of company-owned stores to mid-single digit percentages of its total portfolio [3][4] Restaurant Portfolio Optimization - Approximately 300 underperforming restaurants have been identified for closure, primarily franchise-owned, over a decade old, and generating average unit volumes (AUVs) of under $600,000 [4] - The long-term goal includes improving franchisee profitability and focusing on international growth, with plans to open 180 to 220 new restaurants across all markets in 2026 [4] Menu Simplification - In addition to cost-saving measures, the company is simplifying its menu by phasing out the Papadias and Papa Bites platforms [5] - This menu revision is expected to create near-term pressure on 2026 North America comparable sales but is anticipated to benefit the brand in the long run as operations improve and sales of core products grow [6]

Financial Data and Key Metrics Changes - In 2025, the company generated $2 billion in system-wide sales, with an expected growth of 2%-4% in 2026 [5] - Adjusted EBITDA for the fourth quarter was $55.6 million, a 21% year-over-year increase and a 37% quarter-over-quarter increase [18] - Net revenue for the fourth quarter was $392.4 million, representing a decrease of 2.9% [18] - The net leverage ratio improved to 6.7x, down 0.6x quarter-over-quarter, with expectations to be at or below 6x by the end of Q1 2026 [19] Business Line Data and Key Metrics Changes - U.S. organic revenue growth declined 5.8% year-over-year, attributed to the exit of approximately 1,400 underperforming doors [20] - U.S. adjusted EBITDA increased 39.1% to $32.8 million, up from $23.6 million in Q4 2024 [21] - International segment adjusted EBITDA rose 4.1% to $26.8 million, driven by growth in Mexico and Japan [23] Market Data and Key Metrics Changes - The company operates over 1,700 international shops across more than 40 countries, with plans to open more than 100 shops globally in 2026 [10] - The market development segment saw organic revenue decline of 4.9%, but strong sales performance was noted in Brazil, the Middle East, India, and South Korea [24] Company Strategy and Development Direction - The company’s turnaround plan focuses on refranchising, improving returns on capital, expanding margins, and driving sustainable U.S. growth [6][27] - A strategic refranchising agreement with Unison Capital for operations in Japan is expected to close in March, with cash proceeds of approximately $65 million [8] - The company plans to reduce ownership to a minority stake in its joint venture in the Western U.S. [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to deliver sustainable, profitable growth while continuing to deleverage the balance sheet [26] - The company is well-positioned amid a dynamic consumer environment, with affordable offerings designed for gifting and sharing [16] - Management expects system-wide sales to grow 2%-4% in constant currency for 2026, with a CapEx of $50 million-$60 million [25] Other Important Information - The company’s digital sales grew 15% year-over-year, representing 22.5% of U.S. retail sales in Q4 [16] - The loyalty platform surpassed 17 million members in the U.S., enhancing consumer engagement [16] Q&A Session Summary Question: Potential U.S. hub growth - Management indicated that there are opportunities for U.S. hub growth without significant investment, focusing on under-penetrated customers [30] Question: Future shop closures - Management clarified that they are not making further closures but optimizing production and delivery to improve efficiency [34]

Financial Data and Key Metrics Changes - In Q4 2025, adjusted EBITDA reached $55.6 million, a 21% year-over-year increase and a 37% quarter-over-quarter increase, despite net revenue decreasing by 2.9% to $392.4 million [18][19] - The net leverage ratio improved by 0.6x quarter-over-quarter to 6.7x, with expectations to be at or below 6x by the end of Q1 2026 [19] - Free cash flow improved significantly, rising by $34.8 million year-over-year to $27.9 million in Q4 2025 [20] Business Line Data and Key Metrics Changes - U.S. organic revenue growth declined by 5.8% year-over-year, attributed to the exit of approximately 1,400 underperforming doors, which were replaced with over 1,100 new, higher volume doors [20][21] - U.S. adjusted EBITDA increased by 39.1% to $32.8 million, benefiting from cost controls and efficiencies [21] - International segment adjusted EBITDA rose by 4.1% to $26.8 million, driven by growth in Mexico and Japan [22] Market Data and Key Metrics Changes - The market development segment saw organic revenue decline by 4.9%, but adjusted EBITDA rose by 2.1% to $12.1 million, supported by a higher mix of priority revenue [24] - Strong sales performance was noted in Brazil, the Middle East, India, and South Korea, with plans to open 3-4 new international franchise markets [24] Company Strategy and Development Direction - The company is focused on a turnaround plan that includes refranchising, improving returns on capital, expanding margins, and driving sustainable U.S. growth [5][27] - A strategic refranchising agreement with Unison Capital for operations in Japan is expected to close in March, with cash proceeds of approximately $65 million [7] - The company plans to reduce ownership to a minority stake in its joint venture in the Western U.S., which currently represents about 15% of U.S. revenues [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to execute its turnaround strategy and deliver sustainable, profitable growth amid a dynamic consumer environment [16][27] - The company expects system-wide sales growth of 2%-4% in 2026, with plans to open at least 100 shops globally [25] Other Important Information - The company has a strong digital presence, with U.S. digital sales growing 15% year-over-year, representing 22.5% of U.S. retail sales in Q4 [16] - The loyalty platform has surpassed 17 million members in the U.S., enhancing consumer engagement and driving incremental transactions [16] Q&A Session Summary Question: Is the company considering potential U.S. hub growth? - Management indicated that there are opportunities for growth in under-penetrated customers like Walmart and Target, with plans to expand access without significant investment in new production [29][30] Question: What is the outlook for shop closure expenses in 2026? - Management clarified that they are not making further closures but are focusing on optimizing production and delivery efficiency [34] Question: Will EBITDA continue to grow in 2026? - Management expects EBITDA to grow in Q1 2026 compared to the same quarter a year ago, as part of their turnaround efforts [35]

Core Viewpoint - Krispy Kreme is undergoing a significant turnaround plan focused on profitability, refranchising, and improving operational efficiency after exiting unprofitable partnerships, notably with McDonald's [2][7][23]. Group 1: Turnaround Strategy - The company has launched a turnaround plan aimed at boosting profitability, reducing leverage, and improving cash flow, with a focus on sustainable income streams [4][6][24]. - Krispy Kreme ended its partnership with McDonald's due to unprofitability and is now concentrating on profitable channels and refranchising efforts, particularly in international markets [2][7][23]. - The company is actively refranchising its operations in Japan and exploring similar opportunities in other markets like the U.K., Australia, and Mexico to enhance operational efficiency [9][16]. Group 2: Financial Performance - The third-quarter results showed positive trends, with higher adjusted EBITDA and a focus on generating positive cash flow to pay down debt [4][24]. - The company has stopped delivery operations in 1,400 locations that were not profitable while still adding new profitable ones, demonstrating a decisive approach to cost management [23]. - The goal for 2026 is to stabilize operations and show continuous improvement in EBITDA and cash flows, with a potential shift to long-term growth strategies in 2027 [25][26]. Group 3: Operational Efficiency - Krispy Kreme is outsourcing logistics to improve delivery efficiency and reduce costs, allowing the company to focus on its core competencies in doughnut production and retail [13][15]. - The company maintains strict quality control over its doughnut production process, ensuring consistency across international markets by using a concentrated mix from its North Carolina facilities [19][20][21]. - The brand is leveraging excess doughnut capacity in the U.S. to avoid the need for new shop openings domestically, focusing instead on expanding through established franchise partners internationally [10][11].

Financial Data and Key Metrics Changes - The company has not yet released its 2025 results, but it is expected to announce its fourth quarter and full-year 2025 results in late February [2] - The company operates in over 40 countries with approximately 2,100 company-owned and franchise shops, selling more than 1 billion donuts annually [2] Business Line Data and Key Metrics Changes - The company is focusing on a capital-light growth strategy, emphasizing refranchising and off-premise distribution to grocery and convenience stores [4][5] - A recent hub opened in Minneapolis achieved $1 million in profitable sales from one donut shop in just 17 days, marking a record-breaking opening for the company [11] Market Data and Key Metrics Changes - The company has seen significant growth in digital commerce, which now represents about 20% of retail sales, with a 17% growth in digital sales in the third quarter of the previous year [34][35] - The company is in less than half of the store networks of major partners like Target and Walmart, indicating substantial growth opportunities [24] Company Strategy and Development Direction - The company has implemented a turnaround plan focused on refranchising, driving returns on invested capital (ROIC), expanding margins, and achieving quality growth [5][10] - The company aims to leverage existing production capacity and reduce capital expenditures while improving free cash flow generation [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the brand's growth potential, citing high brand awareness and a relatively low penetration rate in the U.S. market [3] - The leadership team is focused on sustainable and profitable growth while deleveraging the balance sheet [41][42] Other Important Information - The company has a loyalty program with 16 million members in the U.S., which helps engage customers and promote new product offerings [37][38] - The company is continuously innovating its product offerings, including limited-time offerings and seasonal menu items, to maintain consumer interest [28][29] Q&A Session Summary Question: Why is Krispy Kreme evolving to a capital-light international franchise model? - The company has a proven global franchise model and aims to grow faster using outside capital [6] Question: What are the implications for average weekly sales of the doors added versus those eliminated? - New doors are performing better in average weekly sales compared to the eliminated ones, with Walmart locations achieving over $1,000 in weekly sales [25] Question: How is the company approaching digital sales and its loyalty program? - Digital sales represent about 20% of retail sales, and the loyalty program has been effective in engaging customers and promoting new products [34][37]

Company Overview - Krispy Kreme operates in over 40 countries with approximately 2,100 shops[6] - The company sells over 1 billion doughnuts annually[6] - Doughnuts account for over 90% of sales[6] - Krispy Kreme has generated over 100 billion media impressions[8] U.S. Sales Channel - Retail accounts for 76% of U.S sales[8] - Fresh Delivery accounts for 24% of U.S sales[8] - Digital sales are part of the Retail channel[8] - U.S. household penetration is approximately 13%[8, 9] Turnaround Plan - The company expects approximately $65 million in proceeds from refranchising in Japan, which will be used for debt reduction[12] - U.S. network utilization is approximately 25%[17] - 54% of U.S. logistics have been outsourced[19]