Krispy Kreme Partners with McDonald's USA

By Bobby Samwell • Tuesday, March 26 15:17 • Permanent Link

McDonald's USA and Krispy Kreme have announced an expanded national partnership that will bring Krispy Kreme doughnuts to McDonald's restaurants across the country. The phased rollout is set to begin in the second half of 2024, with nationwide availability expected by the end of 2026.

During a successful test at 160 McDonald's restaurants in Kentucky, consumer excitement and demand for Krispy Kreme doughnuts exceeded expectations. This led to the decision to expand the partnership nationwide.

Three of Krispy Kreme's most popular doughnuts will be delivered fresh to McDonald's restaurants every day. These include the iconic Original Glazed® doughnut, the Chocolate Iced with Sprinkles doughnut, and the Chocolate Iced Kreme™ filled doughnut. The doughnuts will be available individually or in boxes of six, starting at breakfast and lasting throughout the day, while supplies last.

McDonald's USA's Chief Marketing and Customer Experience Officer, Tariq Hassan, expressed excitement about the partnership, stating that it presents an opportunity to unlock new business opportunities in the breakfast category and throughout the day.

Krispy Kreme's President and CEO, Josh Charlesworth, highlighted the significance of the partnership, noting that it would more than double the brand's points of access by the end of 2026. This partnership is expected to accelerate the development of Krispy Kreme's existing delivered fresh daily channel, creating operating leverage through distribution density and production utilization.

Both companies will provide more details regarding the nationwide rollout in the coming months.

It's worth noting that 95% of McDonald's approximately 13,500 U.S. restaurants are owned and operated by independent business owners.

Krispy Kreme, headquartered in Charlotte, N.C., operates in more than 35 countries through its network of fresh doughnut shops, partnerships with leading retailers, and a rapidly growing e-commerce and delivery business with more than 14,000 fresh points of access.

As a result of this partnership, consumers can look forward to enjoying Krispy Kreme doughnuts at their local McDonald's restaurants in the near future. Today the company's shares have moved 35.9% to a price of $16.93. For the full picture, make sure to review Krispy Kreme's 8-K report.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.