Krispy Kreme Falls 10% After In-Line Results

in-line results were not enough to appease investors Monday afternoon. The doughnut producer and retail chain announced that its third quarter EPS came in at $0.16 -- the same number predicted by Wall Street. Earnings per share were up 33 percent from the year-ago period. Revenue arrived at $114.2 million versus the Street estimate of $117.67 million. Sales were up seven percent year-over-year. "Our relentless focus on executing our long-term strategic plan is enabling us to strengthen our Company, gradually unlock our brand's full potential and create value for our shareholders," James H. Morgan, Chairman, President and Chief Executive Officer of Krispy Kreme, said in a

. "During the third quarter, we extended our track record of positive same store sales at Company stores to 20 consecutive quarters. We believe this is a remarkable distinction. We are pleased to have increased our top-line at a healthy pace despite the tepid consumer spending environment. Most importantly, we demonstrated the attractive leverage opportunities inherent within our business model as evidenced by achieving a higher rate of growth in operating income and adjusted EPS than in revenues." Krispy Kreme also raised its FY2013 EPS guidance from $0.59 - $0.63 to $0.60 -$0.63. The new projection compares more favorably with Wall Street's estimate of $0.62. "If achieved, this would represent growth of from 28% to 34% compared to last year on a 52-week basis," Morgan continued. "Our preliminary expectation of adjusted EPS for fiscal 2015 is in the range of $0.71 to $0.76 per share. "We are fortunate to have several means at our disposal through which to optimize returns, including deploying capital on Company store development, supporting domestic and international franchise growth, and repurchasing outstanding shares. We believe these attributes both set us apart, and provide Krispy Kreme with a uniquely bright long-term future. We will continue working hard every day for the benefit of our franchisees, our customers and guests, and our shareholders." Krispy Kreme closed at $24.56 this afternoon, down 3.23 percent. The firm is currently down more than 10 percent in after hours trading. Disclosure: