Krispy Kreme, Inc.

Case Overview
47 Days Left to Seek Lead Plaintiff
Lead Plaintiff Deadline: | Lead Plaintiff Deadline: 07/15/2025 |
Status: | Status: Investigating |
Company Name: | Company Name: Krispy Kreme, Inc. |
Court: | Court: Western District of North Carolina |
Case Number: | Case Number: 3:25cv00332 |
Class Period: | Class Period: 02/25/2025 - 05/07/2025 |
Ticker: | Ticker: DNUT |
Related Attorneys: | Lead Attorneys: Thomas W. Elrod |
Related Practices: | Related Practices: Securities |
The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Western District of North Carolina on behalf of those who acquired Krispy Kreme, Inc. (“Krispy Kreme” or the “Company”) (NASDAQ:DNUT) securities during the period from February 25, 2025, through May 7, 2025 (“the Class Period”). Investors have until July 15, 2025, to apply to the Court to be appointed as lead plaintiff in the lawsuit.
On October 26, 2022, Krispy Kreme commenced a small-scale test to offer donuts at McDonald’s Corporation (“McDonald’s”) restaurants in Louisville, Kentucky and the surrounding area. On March 26, 2024, Krispy Kreme and McDonald’s announced they would expand their partnership nationwide beginning in the second half of 2024.
On May 8, 2025, before the market opened, Krispy Kreme released its first quarter 2025 financial results, reporting its “net revenue was $375.2 million…a decline of 15.3%” and a “net loss of $33.4 million, compared to prior year net loss of $6.7 million.” Additionally, the Company announced that it is “reassessing [its] deployment schedule together with McDonald’s” and “withdrawing [its] prior full year outlook and not updating it” due in part to “uncertainty around the McDonald’s deployment schedule.” On this news, the price of Krispy Kreme shares declined by $1.07 per share, or approximately 24%, from $4.33 per share on May 7, 2025, to close at $3.26 on May 8, 2025.
The complaint alleges that defendants, throughout the Class Period, failed to disclose that: (1) that demand for Krispy Kreme products declined materially at McDonald’s locations after the initial marketing launch; (2) that demand at McDonald’s locations was a driver of declining average sales per door per week; (3) that the partnership with McDonald’s was not profitable; (4) that the foregoing posed a substantial risk to maintaining the partnership with McDonalds; and (5) that, as a result, the Company would pause expansion into new McDonald’s locations.
On October 26, 2022, Krispy Kreme commenced a small-scale test to offer donuts at McDonald’s Corporation (“McDonald’s”) restaurants in Louisville, Kentucky and the surrounding area. On March 26, 2024, Krispy Kreme and McDonald’s announced they would expand their partnership nationwide beginning in the second half of 2024.
On May 8, 2025, before the market opened, Krispy Kreme released its first quarter 2025 financial results, reporting its “net revenue was $375.2 million…a decline of 15.3%” and a “net loss of $33.4 million, compared to prior year net loss of $6.7 million.” Additionally, the Company announced that it is “reassessing [its] deployment schedule together with McDonald’s” and “withdrawing [its] prior full year outlook and not updating it” due in part to “uncertainty around the McDonald’s deployment schedule.” On this news, the price of Krispy Kreme shares declined by $1.07 per share, or approximately 24%, from $4.33 per share on May 7, 2025, to close at $3.26 on May 8, 2025.
The complaint alleges that defendants, throughout the Class Period, failed to disclose that: (1) that demand for Krispy Kreme products declined materially at McDonald’s locations after the initial marketing launch; (2) that demand at McDonald’s locations was a driver of declining average sales per door per week; (3) that the partnership with McDonald’s was not profitable; (4) that the foregoing posed a substantial risk to maintaining the partnership with McDonalds; and (5) that, as a result, the Company would pause expansion into new McDonald’s locations.