KRISPY KREME, INC., 10-Q filed on 11/8/2024
Quarterly Report
v3.24.3
Cover Page - shares
shares in Millions
 9 Months Ended
Sep. 29, 2024
Nov. 01, 2024
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Sep. 29, 2024  
Document Transition Report false  
Entity File Number 001-40573  
Entity Registrant Name Krispy Kreme, Inc.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 37-1701311  
Entity Address, Address Line One 2116 Hawkins Street  
Entity Address, City or Town Charlotte  
Entity Address, State or Province NC  
Entity Address, Postal Zip Code 28203  
City Area Code 800  
Local Phone Number 457-4779  
Title of 12(b) Security Common stock, $0.01 par value per share  
Entity Trading Symbol DNUT  
Security Exchange Name NASDAQ  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   170.0
Entity Central Index Key 0001857154  
Current Fiscal Year End Date --12-29  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q3  
Amendment Flag false  
v3.24.3
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Total net revenues $ 379,867 $ 407,367 $ 1,261,374 $ 1,235,199
Product and distribution costs 95,840 101,353 310,701 330,292
Operating expenses 192,027 195,380 609,726 575,953
Selling, general and administrative expense 71,110 68,305 207,150 192,355
Marketing expenses 10,680 12,478 35,211 32,101
Pre-opening costs 619 1,059 2,691 2,927
Other income, net (5,781) (1,102) (6,430) (6,051)
Depreciation and amortization expense 31,376 32,007 99,562 89,142
Operating (loss)/income (16,004) (2,113) 2,763 18,480
Interest expense, net 16,280 12,807 44,468 36,858
Gain on divestiture of Insomnia Cookies (87,128) 0 (87,128) 0
Other non-operating (income)/expense, net 407 (971) (1,115) (3,031)
Income/(loss) before income taxes 55,251 (15,891) 44,308 (21,409)
Income tax expense 17,679 24,367 18,330 17,121
Net income/(loss) 37,572 (40,258) 25,978 (38,530)
Net (loss)/income attributable to noncontrolling interest (1,991) 199 440 2,005
Net income/(loss) attributable to Krispy Kreme, Inc. $ 39,563 $ (40,457) $ 25,538 $ (40,535)
Net income/(loss) per share:        
Common stock — Basic (in dollars per share) $ 0.23 $ (0.24) $ 0.15 $ (0.24)
Common stock — Diluted (in dollars per share) $ 0.23 $ (0.24) $ 0.15 $ (0.24)
Weighted average shares outstanding:        
Basic (in shares) 169,596,000 168,224,000 169,125,000 168,183,000
Diluted (in shares) 171,486,000 168,224,000 171,384,000 168,183,000
Product sales        
Total net revenues $ 370,662 $ 398,745 $ 1,233,585 $ 1,209,767
Royalties and other revenues        
Total net revenues $ 9,205 $ 8,622 $ 27,789 $ 25,432
v3.24.3
Condensed Consolidated Statements of Comprehensive Income/(Loss) (Unaudited) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Statement of Comprehensive Income [Abstract]        
Net income/(loss) $ 37,572 $ (40,258) $ 25,978 $ (38,530)
Other comprehensive income/(loss), net of income taxes:        
Foreign currency translation adjustment 13,118 (12,834) (895) 7,552
Unrealized loss on cash flow hedges, net of income taxes (1) [1] (9,574) (2,615) (15,762) (5,110)
Total other comprehensive income/(loss) 3,544 (15,449) (16,657) 2,442
Comprehensive income/(loss) 41,116 (55,707) 9,321 (36,088)
Net (loss)/income attributable to noncontrolling interest (1,991) 199 440 2,005
Foreign currency translation adjustment attributable to noncontrolling interest 226 (148) (135) 807
Total comprehensive (loss)/income attributable to noncontrolling interest (1,765) 51 305 2,812
Comprehensive income/(loss) attributable to Krispy Kreme, Inc. $ 42,881 $ (55,758) $ 9,016 $ (38,900)
[1] Net of income tax benefit of $3.2 million and $5.3 million for the quarter and three quarters ended September 29, 2024, respectively, and $0.9 million and $1.7 million for the quarter and three quarters ended October 1, 2023, respectively.
v3.24.3
Condensed Consolidated Statements of Comprehensive Income/(Loss) (Unaudited) (Parenthetical) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Statement of Comprehensive Income [Abstract]        
Unrealized income on cash flow hedges, tax expense (benefit) $ 3.2 $ 0.9 $ 5.3 $ 1.7
v3.24.3
Condensed Consolidated Balance Sheets - USD ($)
$ in Thousands
Sep. 29, 2024
Dec. 31, 2023
Current assets:    
Cash and cash equivalents $ 25,410 $ 38,185
Restricted cash 474 429
Accounts receivable, net 62,019 59,362
Inventories 31,486 34,716
Taxes receivable 19,406 15,526
Prepaid expense and other current assets 25,531 25,363
Total current assets 164,326 173,581
Property and equipment, net 489,782 538,220
Goodwill 1,060,393 1,101,939
Other intangible assets, net 831,735 946,349
Operating lease right of use asset, net 409,425 456,964
Investments in unconsolidated entities 91,033 2,806
Other assets 18,430 20,733
Total assets 3,065,124 3,240,592
Current liabilities:    
Current portion of long-term debt 47,577 54,631
Current operating lease liabilities 45,767 50,365
Accounts payable 123,125 156,488
Accrued liabilities 119,832 134,005
Structured payables 139,170 130,104
Total current liabilities 475,471 525,593
Long-term debt, less current portion 804,638 836,615
Noncurrent operating lease liabilities 406,726 454,583
Deferred income taxes, net 119,291 123,925
Other long-term obligations and deferred credits 49,858 36,093
Total liabilities 1,855,984 1,976,809
Commitments and contingencies
Shareholders’ equity:    
Common stock, $0.01 par value; 300,000 shares authorized as of both September 29, 2024 and December 31, 2023; 169,799 and 168,628 shares issued and outstanding as of September 29, 2024 and December 31, 2023, respectively 1,698 1,686
Additional paid-in capital 1,460,416 1,443,591
Shareholder note receivable (1,924) (3,850)
Accumulated other comprehensive (loss)/income, net of income tax (9,276) 7,246
Retained deficit (271,238) (278,990)
Total shareholders’ equity attributable to Krispy Kreme, Inc. 1,179,676 1,169,683
Noncontrolling interest 29,464 94,100
Total shareholders’ equity 1,209,140 1,263,783
Total liabilities and shareholders’ equity $ 3,065,124 $ 3,240,592
v3.24.3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares
shares in Thousands
Sep. 29, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 300,000 300,000
Common stock, shares issued (in shares) 169,799 168,628
Common stock, shares outstanding (in shares) 169,799 168,628
v3.24.3
Condensed Consolidated Statements of Changes in Shareholders’ Equity (Unaudited) - USD ($)
shares in Thousands, $ in Thousands
Total
Common Stock
Additional Paid-in Capital
Shareholder Note Receivable
Foreign Currency Translation Adjustment
Unrealized (Loss)/Income on Cash Flow Hedges
Unrealized Loss on Employee Benefit Plans
Retained (Deficit)/Earnings
Noncontrolling Interest
Beginning balance (in shares) at Jan. 01, 2023   168,137              
Beginning balance at Jan. 01, 2023 $ 1,298,875 $ 1,681 $ 1,426,105 $ (4,813) $ (23,028) $ 14,251 $ (374) $ (217,490) $ 102,543
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net (loss) income 1,644             (301) 1,945
Other comprehensive income/(loss), before reclassifications 10,311       11,200 (781)     (108)
Reclassification from AOCI (2,186)         (2,186)      
Share-based compensation 5,545   5,545            
Dividends declared on common stock and equivalents (5,884)             (5,884)  
Distribution to noncontrolling interest (1,139)     0         (1,139)
Issuance of common stock upon settlement of RSUs, net of shares withheld (in shares)   39              
Issuance of common stock upon settlement of RSUs, net of shares withheld 0 $ 1 (1)            
Other (16)   0 (17)       1  
Ending balance (in shares) at Apr. 02, 2023   168,176              
Ending balance at Apr. 02, 2023 1,307,150 $ 1,682 1,431,649 (4,830) (11,828) 11,284 (374) (223,674) 103,241
Beginning balance (in shares) at Jan. 01, 2023   168,137              
Beginning balance at Jan. 01, 2023 1,298,875 $ 1,681 1,426,105 (4,813) (23,028) 14,251 (374) (217,490) 102,543
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net (loss) income (38,530)                
Ending balance (in shares) at Oct. 01, 2023   168,594              
Ending balance at Oct. 01, 2023 1,249,010 $ 1,686 1,437,488 (3,820) (16,283) 9,141 (374) (275,698) 96,870
Beginning balance (in shares) at Apr. 02, 2023   168,176              
Beginning balance at Apr. 02, 2023 1,307,150 $ 1,682 1,431,649 (4,830) (11,828) 11,284 (374) (223,674) 103,241
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net (loss) income 84             223 (139)
Other comprehensive income/(loss), before reclassifications 10,212       8,231 918     1,063
Reclassification from AOCI (446)         (446)      
Capital contribution from shareholders, net of loans issued 631   0 631          
Share-based compensation 4,824   4,824            
Dividends declared on common stock and equivalents (5,889)             (5,889)  
Distribution to noncontrolling interest (10,107)   (4,176) 426         (6,357)
Issuance of common stock upon settlement of RSUs, net of shares withheld (in shares)   8              
Issuance of common stock upon settlement of RSUs, net of shares withheld (147) $ 0 (147)            
Other (37)     (36) (1) 0      
Ending balance (in shares) at Jul. 02, 2023   168,184              
Ending balance at Jul. 02, 2023 1,306,275 $ 1,682 1,432,150 (3,809) (3,598) 11,756 (374) (229,340) 97,808
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net (loss) income (40,258)             (40,457) 199
Other comprehensive income/(loss), before reclassifications (12,503)       (12,686) 331     (148)
Reclassification from AOCI (2,946)         (2,946)      
Share-based compensation 7,452   7,452            
Dividends declared on common stock and equivalents (5,901)             (5,901)  
Distribution to noncontrolling interest (1,637)   (649)           (988)
Issuance of common stock upon settlement of RSUs, net of shares withheld (in shares)   410              
Issuance of common stock upon settlement of RSUs, net of shares withheld (1,462) $ 4 (1,466)            
Other (10)   1 (11) 1       (1)
Ending balance (in shares) at Oct. 01, 2023   168,594              
Ending balance at Oct. 01, 2023 $ 1,249,010 $ 1,686 1,437,488 (3,820) (16,283) 9,141 (374) (275,698) 96,870
Beginning balance (in shares) at Dec. 31, 2023 168,628 168,628              
Beginning balance at Dec. 31, 2023 $ 1,263,783 $ 1,686 1,443,591 (3,850) 1,985 5,629 (368) (278,990) 94,100
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net (loss) income (6,663)             (8,534) 1,871
Other comprehensive income/(loss), before reclassifications (5,702)       (5,770) 367     (299)
Reclassification from AOCI (3,051)         (3,051)      
Capital contribution from shareholders, net of loans issued 232   0 232          
Share-based compensation 6,986   6,986            
Dividends declared on common stock and equivalents [1] (5,905)             (5,905)  
Distribution to noncontrolling interest (977)               (977)
Issuance of common stock upon settlement of RSUs, net of shares withheld (in shares)   103              
Issuance of common stock upon settlement of RSUs, net of shares withheld (804) $ 1 (805)            
Other (12)   1 (11)       (1) (1)
Ending balance (in shares) at Mar. 31, 2024   168,731              
Ending balance at Mar. 31, 2024 $ 1,247,887 $ 1,687 1,449,773 (3,629) (3,785) 2,945 (368) (293,430) 94,694
Beginning balance (in shares) at Dec. 31, 2023 168,628 168,628              
Beginning balance at Dec. 31, 2023 $ 1,263,783 $ 1,686 1,443,591 (3,850) 1,985 5,629 (368) (278,990) 94,100
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net (loss) income $ 25,978                
Ending balance (in shares) at Sep. 29, 2024 169,799 169,799              
Ending balance at Sep. 29, 2024 $ 1,209,140 $ 1,698 1,460,416 (1,924) 1,225 (10,133) (368) (271,238) 29,464
Beginning balance (in shares) at Mar. 31, 2024   168,731              
Beginning balance at Mar. 31, 2024 1,247,887 $ 1,687 1,449,773 (3,629) (3,785) 2,945 (368) (293,430) 94,694
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net (loss) income (4,931)             (5,491) 560
Other comprehensive income/(loss), before reclassifications (8,432)       (7,882) (488)     (62)
Reclassification from AOCI (3,016)         (3,016)      
Capital contribution from shareholders, net of loans issued 687   0 687          
Share-based compensation 7,648   7,648            
Dividends declared on common stock and equivalents (5,919)             (5,919)  
Distribution to noncontrolling interest (1,169)   0 105         (1,274)
Issuance of common stock upon settlement of RSUs, net of shares withheld (in shares)   626              
Issuance of common stock upon settlement of RSUs, net of shares withheld (3,471) $ 6 (3,477)            
Other (27) $ 1   (28)          
Ending balance (in shares) at Jun. 30, 2024   169,357              
Ending balance at Jun. 30, 2024 1,229,257 $ 1,694 1,453,944 (2,865) (11,667) (559) (368) (304,840) 93,918
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Net (loss) income 37,572             39,563 (1,991)
Other comprehensive income/(loss), before reclassifications 4,447       12,892 (8,671)     226
Reclassification from AOCI (903)         (903)      
Share-based compensation 9,969   9,969            
Purchase of shares by noncontrolling interest 364               364
Dividends declared on common stock and equivalents [1] (5,960)             (5,960)  
Noncontrolling interest from divestiture of Insomnia Cookies 32,634     (945)         33,579
Distribution to noncontrolling interest (32,889)   (3,414)           (29,475)
Issuance of common stock upon settlement of RSUs, net of shares withheld (in shares)   442              
Issuance of common stock upon settlement of RSUs, net of shares withheld (91) $ 4 (95)            
Other $ 8   12 (4) 0     (1) 1
Ending balance (in shares) at Sep. 29, 2024 169,799 169,799              
Ending balance at Sep. 29, 2024 $ 1,209,140 $ 1,698 $ 1,460,416 $ (1,924) $ 1,225 $ (10,133) $ (368) $ (271,238) $ 29,464
[1] Includes a $0.035 cash dividend per common share declared in the third quarter of fiscal 2024 and paid in the fourth quarter of fiscal 2024.
v3.24.3
Condensed Consolidated Statements of Changes in Shareholders’ Equity (Parenthetical) (Unaudited) - $ / shares
 3 Months Ended
Sep. 29, 2024
Jun. 30, 2024
Mar. 31, 2024
Oct. 01, 2023
Jul. 02, 2023
Apr. 02, 2023
Statement of Stockholders' Equity [Abstract]            
Dividends declared on common stock and equivalents (in dollars per share) $ 0.035 $ 0.035 $ 0.035 $ 0.035 $ 0.035 $ 0.035
v3.24.3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
CASH FLOWS PROVIDED BY OPERATING ACTIVITIES:    
Net income/(loss) $ 25,978 $ (38,530)
Adjustments to reconcile net income/(loss) to net cash provided by operating activities:    
Depreciation and amortization expense 99,562 89,142
Deferred and other income taxes (22) 12,634
Loss on extinguishment of debt 0 472
Impairment and lease termination charges 368 7,711
Loss/(gain) on disposal of property and equipment 470 (168)
Gain on divestiture of Insomnia Cookies (87,128) 0
Gain on remeasurement of equity method investment (5,579) 0
Gain on sale-leaseback 0 (9,646)
Share-based compensation 24,603 17,821
Change in accounts and notes receivable allowances 433 504
Inventory write-off 1,731 10,522
Settlement of interest rate swap derivatives 0 7,657
Amortization related to settlement of interest rate swap derivatives (5,910) (7,334)
Other 263 566
Change in operating assets and liabilities, excluding business acquisitions and divestitures, and foreign currency translation adjustments (35,982) (47,319)
Net cash provided by operating activities 18,787 44,032
CASH FLOWS PROVIDED BY/(USED FOR) INVESTING ACTIVITIES:    
Purchase of property and equipment (86,877) (88,605)
Proceeds from sale-leaseback 0 10,025
Acquisition of shops and franchise rights from franchisees, net of cash acquired (26,612) 0
Purchase of equity method investment (3,506) 0
Net proceeds from divestiture of Insomnia Cookies 117,646 0
Principal payment received from loan to Insomnia Cookies 45,000 0
Disbursement for loan receivable (1,086) 0
Other investing activities 180 222
Net cash provided by/(used for) investing activities 44,745 (78,358)
CASH FLOWS (USED FOR)/PROVIDED BY FINANCING ACTIVITIES:    
Proceeds from the issuance of debt 490,000 1,044,698
Repayment of long-term debt and lease obligations (545,692) (965,250)
Payment of financing costs 0 (5,000)
Proceeds from structured payables 298,551 145,099
Payments on structured payables (264,346) (159,571)
Payment of contingent consideration related to a business combination 0 (925)
Capital contribution by shareholders, net of loans issued 919 631
Proceeds from sale of noncontrolling interest in subsidiary 364 0
Distribution to shareholders (17,743) (17,657)
Payments for repurchase and retirement of common stock (4,366) (1,609)
Distribution to noncontrolling interest (35,035) (12,883)
Net cash (used for)/provided by financing activities (77,348) 27,533
Effect of exchange rate changes on cash, cash equivalents and restricted cash 1,086 (2,796)
Net decrease in cash, cash equivalents and restricted cash (12,730) (9,589)
Cash, cash equivalents and restricted cash at beginning of period 38,614 35,730
Cash, cash equivalents and restricted cash at end of period 25,884 26,141
Supplemental schedule of non-cash investing and financing activities:    
Increase in accrual for property and equipment 12,362 30,616
Accrual for distribution to shareholders (5,943) (5,901)
Reconciliation of cash, cash equivalents and restricted cash at end of period:    
Cash and cash equivalents 25,410 25,711
Restricted cash 474 430
Total cash, cash equivalents and restricted cash $ 25,884 $ 26,141
v3.24.3
Description of Business and Summary of Significant Accounting Policies
 9 Months Ended
Sep. 29, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Description of Business and Summary of Significant Accounting Policies Description of Business and Summary of Significant Accounting Policies
Description of Business
Krispy Kreme, Inc. (“KKI”) and its subsidiaries (collectively, the “Company” or “Krispy Kreme”) operates through its omni-channel business model to produce doughnuts and deliver fresh doughnut experiences for Doughnut Shops, Delivered Fresh Daily (“DFD”) outlets, and digital channels, expanding consumer access to the Krispy Kreme brand.
The Company has three reportable operating segments: 1) U.S., which includes all Krispy Kreme Company-owned operations in the U.S., and Insomnia Cookies Bakeries globally through the date of deconsolidation (refer to Note 2, Acquisitions and Divestitures for further information); 2) International, which includes all Krispy Kreme Company-owned operations in the U.K., Ireland, Australia, New Zealand, Mexico, Canada, and Japan; and 3) Market Development, which includes franchise operations across the globe. Unallocated corporate costs are excluded from the Company’s measurement of segment performance.
Basis of Presentation and Consolidation
The Company operates and reports financial information on a 52 or 53-week year with the fiscal year ending on the Sunday closest to December 31. The data periods contained within fiscal years 2023 and 2024 reflect the results of operations for the 52-week periods ended December 31, 2023 and ending December 29, 2024, respectively. The quarters ended September 29, 2024 and October 1, 2023 were both 13-week periods.
The unaudited Condensed Consolidated Financial Statements include the accounts of KKI and subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Accordingly, these interim financial statements do not include all information and footnotes required under GAAP for complete financial statements. In the opinion of management, the accompanying unaudited Condensed Consolidated Financial Statements contain all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of results of operations, balance sheet, cash flows, and shareholders’ equity for the periods presented. All significant intercompany balances and transactions among KKI and subsidiaries have been eliminated in consolidation. Investments in entities over which the Company has the ability to exercise significant influence but which it does not control and whose financial statements are not otherwise required to be consolidated, are accounted for using the equity method.
These Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto as of and for the year ended December 31, 2023, included in the Annual Report on Form 10-K. The Condensed Consolidated Balance Sheet as of December 31, 2023 was derived from audited annual financial statements but does not contain all of the footnote disclosures from the annual financial statements. The results of operations for the quarter ended September 29, 2024 are not necessarily indicative of the results of operations that may be achieved for the entire fiscal year ending December 29, 2024.
Noncontrolling interest in the Company’s Condensed Consolidated Financial Statements represents the interest in subsidiaries held by joint venture partners and employee shareholders. The joint venture partners hold noncontrolling interests in the Company’s consolidated subsidiaries W.K.S. Krispy Kreme, LLC (“WKS Krispy Kreme”) and Krispy K Canada, Inc. (“KK Canada”). Employee shareholders hold noncontrolling interests in the consolidated subsidiaries Krispy Kreme Holding U.K. Ltd. (“KK U.K.”), Krispy Kreme Holdings Pty Ltd. (“KK Australia”), and Krispy Kreme Mexico Holding S.A.P.I. de C.V. (“KK Mexico”). Since the Company consolidates the financial statements of these subsidiaries, the noncontrolling owners’ share of each subsidiary’s net assets and results of operations are deducted and reported as noncontrolling interest in the Condensed Consolidated Balance Sheets and as net income attributable to noncontrolling interest in the Condensed Consolidated Statements of Operations and comprehensive income attributable to noncontrolling interest in the Condensed Consolidated Statements of Comprehensive Income/(Loss).
Summary of Significant Accounting Policies
The Company’s significant accounting policies are described in Note 1, “Description of Business and Summary of Significant Accounting Policies” to the Consolidated Financial Statements for the year ended December 31, 2023 included in the Annual Report on Form 10-K. There have been no material changes to the significant accounting policies during the quarter ended September 29, 2024.
Reclassifications
Segment information is prepared on the same basis on which the Company’s management reviews financial information for operational decision-making purposes. Effective January 1, 2024, the Company realigned its segment reporting structure such that the Company-owned Canada and Japan businesses have moved from the Market Development reportable operating segment to the International reportable operating segment. All segment information for comparative periods has been restated to be consistent with current presentation.
In the Condensed Consolidated Balance Sheets, Investments in unconsolidated entities in the comparative period have been reclassified (formerly presented within Other assets) to be consistent with current quarter presentation. This reclassification does not have a significant impact on the reported financial position and does not impact the results of operations or cash flows.
Recent Accounting Pronouncements
In November 2023, the FASB issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which requires a public entity to disclose significant segment expenses and other segment items on an annual and interim basis and provide in interim periods all disclosures about a reportable segment’s profit or loss and assets that are currently required annually. Additionally, it requires a public entity to disclose the title and position of the Chief Operating Decision Maker. The ASU does not change how a public entity identifies its operating segments, aggregates them, or applies the quantitative thresholds to determine its reportable segments. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. A public entity should apply the amendments in this ASU retrospectively to all prior periods presented in the financial statements. When adopted, we expect this ASU to impact our segment disclosures, but with no impacts to our results of operations, cash flows, and financial condition.
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which focuses on the rate reconciliation and income taxes paid disclosures. The ASU requires a public business entity (“PBE”) to disclose, on an annual basis, a tabular rate reconciliation using both percentages and currency amounts, broken out into specified categories with certain reconciling items further disaggregated by nature and jurisdiction to the extent those items exceed a specified threshold. In addition, all entities are required to disclose income taxes paid, net of refunds received disaggregated by federal, state, and foreign and by individual jurisdiction if the amount is at least 5% of total income tax payments, net of refunds received. For PBEs, the ASU is effective for annual periods beginning after December 15, 2024, with early adoption permitted. An entity should apply the amendments in this ASU prospectively, with retrospective application permitted. When adopted, we expect this ASU to impact our income tax disclosures, but with no impacts to our results of operations, cash flows, and financial condition.
Business Relationship Agreement with McDonald’s
On March 22, 2024 (the “Effective Date”), the Company entered into a Business Relationship Agreement (the “Agreement”) with McDonald’s USA, LLC (“McDonald’s”). The Agreement provides, among other things, that the parties will work together to develop a deployment schedule for a U.S. national rollout of the sale of Krispy Kreme doughnuts at McDonald’s restaurants to be implemented by McDonald’s. The deployment schedule will set forth the anticipated launch period for each McDonald’s business unit (“BU”) in the U.S. McDonald’s agreed to introduce and make available certain Krispy Kreme products to McDonald’s restaurants in the U.S. for one year post-conclusion of such rollout. The Agreement does not guarantee Krispy Kreme any particular level of BU deployment, sales, or profits. From the Effective Date through December 31, 2026 (unless the Agreement is earlier terminated), the Company agreed not to (i) supply any doughnuts to any other quick service or fast casual restaurant (“QSR”) in the U.S. for sale or distribution by such QSR, (ii) assist any other person or entity to do the foregoing or any QSR to make or have made doughnuts, or (iii) license or authorize any other QSR in the U.S. to use any Krispy Kreme brand on or in connection with the sale of doughnuts. McDonald’s agreed to not sell within the U.S. any third-party branded, fresh doughnuts or McDonald’s branded, white-labeled or unbranded doughnuts (subject to certain carve-outs). The Agreement does not grant McDonald’s any exclusivity outside of the U.S. The initial term of the Agreement begins on the Effective Date and ends one year following the last BU rollout and automatically renews for consecutive one-year periods (unless the Agreement is earlier terminated). Either party may terminate for cause under certain circumstances during the initial term or any renewal term and upon six months’ prior notice during any renewal term.
v3.24.3
Acquisitions and Divestitures
 9 Months Ended
Sep. 29, 2024
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Acquisitions and Divestitures Acquisitions and Divestitures
2024 Acquisitions and Divestitures
Acquisition of Krispy Kreme Shops
In the quarter ended September 29, 2024, the Company acquired the business and operating assets of two franchisees, consisting of nine Krispy Kreme shops in the U.S. and one Krispy Kreme shop in Canada. Prior to the acquisition, the Company was a minority investor in the shops via its equity method investments in KremeWorks USA, LLC and KremeWorks Canada, L.P. The Company paid consideration of $31.4 million, consisting of $26.7 million of cash (exclusive of $6.7 million proceeds for the Company’s equity method investments), $2.1 million of consideration payable to the sellers, and $2.6 million settlement of amounts related to pre-existing relationships, to acquire substantially all of the shops’ assets. Consideration payable of $2.1 million was withheld primarily to cover indemnification claims that could arise after closing. Absent any claims, these amounts are payable quarterly over the 18 months following the acquisition date. The settlement of pre-existing relationships included in the purchase consideration includes the settlement of accounts and notes receivable, net of deferred revenue, of $0.6 million. It also includes the disposal of the franchise intangible asset related to the franchisees with a cumulative net book value of $2.0 million at the acquisition date. The Company accounted for the transaction as a business combination.
Immediately prior to the acquisition, the Company recognized a gain of $5.6 million related to remeasurement of its equity method investments to a cumulative fair value of $6.7 million. The gain is recorded within Other income, net in the Condensed Consolidated Statements of Operations.
The following table summarizes the preliminary fair values of assets acquired and liabilities assumed as of the date of acquisition for the acquisition above.
KK U.S. Shops
KK Canada ShopTotal Purchase
Price Allocation
for Acquisitions
Assets acquired: 
Cash and cash equivalents$5 $1 $6 
Prepaid expense and other current assets308 63 371 
Property and equipment, net10,358 971 11,329 
Other intangible assets, net10,248 6,871 17,119 
Operating lease right of use asset, net10,308 322 10,630 
Deferred income taxes, net—2323 
Total identified assets acquired31,227 8,251 39,478 
Liabilities assumed:
Accrued liabilities(115)— (115)
Current operating lease liabilities(1,153)(61)(1,214)
Noncurrent operating lease liabilities(9,155)(261)(9,416)
Deferred income taxes, net(514)— (514)
Total liabilities assumed(10,937)(322)(11,259)
Goodwill6,258 3,625 9,883 
Net assets acquired26,548 11,554 38,102 
Less: Fair value of former equity method investments (4,254)(2,460)(6,714)
Purchase consideration, net$22,294 $9,094 $31,388 
Transaction costs in 2024 $1,787 $589 $2,376 
Transaction costs in 2023 102 — 102 
Reportable segmentU.S.International
The results of the acquired franchise businesses were reported within the Market Development segment prior to the acquisition date and are reported within the segments noted above following the acquisition date. During the measurement period, the Company will continue to obtain information to assist in determining the fair value of net assets acquired, which may differ materially from these preliminary estimates. Measurement period adjustments, if applicable, will be applied in the reporting period in which the adjustment amounts are determined.
Equity Method Investments in KK Brazil and KK Spain
In the quarter ended June 30, 2024, the Company acquired a 45% noncontrolling ownership interest in the newly formed entity Krispy Kreme Doughnuts Brasil S.A. (“KK Brazil”), for approximately $2.7 million in cash, and a 25% noncontrolling ownership interest in the newly formed entity Glaseadas Originales S.L. (“KK Spain”), for approximately $0.8 million in cash. As the Company has the ability to exercise significant influence over both KK Brazil and KK Spain, but does not have the ability to exercise control, the investments are accounted for using the equity method, and equity method earnings are recognized within Other income, net in the Condensed Consolidated Statements of Operations.
Acquisition of Additional Units in Consolidated Subsidiary Awesome Doughnut
In the quarter ended September 29, 2024, the Company purchased all units held by the noncontrolling interest holders in the consolidated subsidiary Awesome Doughnut, LLC (“Awesome Doughnut”) for $32.9 million in cash. The purchase increased the Company’s ownership interest in Awesome Doughnut from 70% to 100%. The Company financed the purchase via an existing structured payables program whereby the structured payable will mature within 180 days of August 20, 2024.
Divestiture of Insomnia Cookies
On July 17, 2024, the Company entered into an agreement to sell a portion of its shares of Insomnia Cookies Holdings, LLC (“Insomnia Cookies”) for cash proceeds of $120.9 million. On August 1, 2024, the Company received additional cash of $45.0 million from Insomnia Cookies related to the settlement of an intercompany loan. The transaction resulted in the Company’s ownership of Insomnia Cookies declining from 75.0% to 34.7% with a loss of control. Accordingly, the Company deconsolidated Insomnia Cookies from the Company’s Condensed Consolidated Financial Statements and recorded a gain on divestiture of $87.1 million (gross of income taxes) which is included within Gain on divestiture of Insomnia Cookies in the Condensed Consolidated Statements of Operations. The gain was calculated as follows:
July 17, 2024
Cash proceeds$120,870 
Fair value of retained noncontrolling interest in Insomnia Cookies85,086 
Carrying value of former noncontrolling interest in Insomnia Cookies33,579 
Less: Carrying value of net assets of Insomnia Cookies, including cash and cash equivalents(152,407)
Gain on divestiture of Insomnia Cookies$87,128 
As the Company has the ability to exercise significant influence over Insomnia Cookies, but does not have the ability to exercise control, the investment is accounted for using the equity method. The fair value of the equity method investment of $85.1 million was estimated using a Monte Carlo simulation in a risk-neutral framework to model the likelihood of the Company’s potential future sale of its noncontrolling interest in Insomnia Cookies. The valuation methodology includes assumptions and judgments regarding probability weighting, discount rates, operating results of Insomnia Cookies, and expected timing of a future exit by the investors. Equity method earnings are recognized within Other non-operating (income)/expense, net in the Condensed Consolidated Statements of Operations.
2023 Acquisitions and Divestitures
In the quarter and three quarters ended October 1, 2023, there were no acquisitions or divestitures.
v3.24.3
Inventories
 9 Months Ended
Sep. 29, 2024
Inventory Disclosure [Abstract]  
Inventories Inventories
The components of Inventories are as follows:
September 29, 2024December 31, 2023
Raw materials$22,018 $21,000 
Work in progress429 211 
Finished goods and purchased merchandise9,039 13,505 
Total inventories$31,486 $34,716 
v3.24.3
Goodwill and Other Intangible Assets, net
 9 Months Ended
Sep. 29, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Other Intangible Assets, net Goodwill and Other Intangible Assets, net
Goodwill
Changes in the carrying amount of goodwill by reportable segment are as follows:
U.S.
International
Market Development
Total
Balance as of December 31, 2023$677,956 $294,468 $129,515 $1,101,939 
Acquisitions
21,974 4,270 (16,361)9,883 
Divestiture of Insomnia Cookies(54,803)— — (54,803)
Foreign currency impact
— 3,374 — 3,374 
Balance as of September 29, 2024$645,127 $302,112 $113,154 $1,060,393 
Other Intangible Assets, net
Other intangible assets consist of the following:
 September 29, 2024December 31, 2023
Gross
Carrying
Amount
Accumulated
Amortization
Net Amount
Gross
Carrying
Amount  
Accumulated
Amortization
Net Amount
Intangible assets with indefinite lives   
 
 
Trade names and trademarks (1)
$553,400 $— $553,400 $657,980 $— $657,980 
Intangible assets with definite lives
Franchise agreements27,401 (10,825)16,576 30,390 (10,744)19,646 
Customer relationships15,000 (7,062)7,938 15,000 (6,413)8,587 
Reacquired franchise rights (2)
412,586 (158,765)253,821 397,279 (137,143)260,136 
Total intangible assets with definite lives454,987 (176,652)278,335 442,669 (154,300)288,369 
Total intangible assets$1,008,387 $(176,652)$831,735 $1,100,649 $(154,300)$946,349 
(1)Trade names and trademarks were impacted by a reduction of $104.6 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
(2)Reacquired franchise rights include the impact of foreign currency fluctuations associated with the respective countries.
Amortization expense related to intangible assets included in depreciation and amortization expense was $7.8 million and $22.6 million for the quarter and three quarters ended September 29, 2024, and $7.4 million and $22.0 million for the quarter and three quarters ended October 1, 2023.
v3.24.3
Leases
 9 Months Ended
Sep. 29, 2024
Leases [Abstract]  
Leases Leases
The Company included the following amounts related to operating and finance lease assets and liabilities within the Condensed Consolidated Balance Sheets:
As of
  September 29, 2024December 31, 2023
AssetsClassification  
Operating lease (1)
Operating lease right of use asset, net$409,425 $456,964 
Finance leaseProperty and equipment, net48,201 41,411 
Total leased assets$457,626 $498,375 
Liabilities 
Current 
Operating lease (2)
Current operating lease liabilities$45,767 $50,365 
Finance leaseCurrent portion of long-term debt10,077 8,631 
Noncurrent 
Operating lease (3)
Noncurrent operating lease liabilities406,726 454,583 
Finance leaseLong-term debt, less current portion44,472 38,486 
Total leased liabilities$507,042 $552,065 
(1)Operating lease right of use asset, net was impacted by a reduction of $62.6 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
(2)Current operating lease liabilities were impacted by a reduction of $8.6 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
(3)Noncurrent operating lease liabilities were impacted by a reduction of $58.7 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
Lease costs were as follows:
Quarter Ended Three Quarters Ended
  September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Lease costClassification  
Operating lease costSelling, general and administrative expense$838 $875 $2,652 $2,752 
Operating lease costOperating expenses22,227 21,777 70,615 66,352 
Short-term lease costOperating expenses1,478 1,512 3,828 4,057 
Variable lease costsOperating expenses6,553 7,709 21,384 23,940 
Sublease incomeRoyalties and other revenues(85)(35)(155)(105)
Finance lease cost:
 
 
Amortization of right of use assetsDepreciation and amortization expense$3,051 $2,020 $8,839 $5,385 
Interest on lease liabilitiesInterest expense, net873 796 2,615 1,860 
Supplemental disclosures of cash flow information related to leases were as follows:
Three Quarters Ended
September 29, 2024October 1, 2023
Other information
Cash paid for leases:
Operating cash flows for operating leases (1)
$83,956 $88,101 
Operating cash flows for finance leases
2,607 1,815 
Financing cash flows for finance leases
8,442 7,552 
Right of use assets obtained in exchange for new lease liabilities:
Operating leases
$40,182 $57,469 
Finance leases
15,019 13,435 
(1)Operating cash flows from operating leases include variable rent payments which are not included in the measurement of lease liabilities. Variable rent payments were $21.4 million and $23.9 million for the three quarters ended September 29, 2024 and October 1, 2023, respectively.
There were no sale-leaseback transactions completed in the three quarters ended September 29, 2024. In the quarter ended April 2, 2023, the Company completed a sale-leaseback transaction whereby it disposed of the land at one real estate property for proceeds of $10.0 million. The Company subsequently leased back the property, which is accounted for as an operating lease. The Company recognized a gain on sale related to this transaction of $9.6 million, which is included in Other income, net in the Condensed Consolidated Statement of Operations.
Leases Leases
The Company included the following amounts related to operating and finance lease assets and liabilities within the Condensed Consolidated Balance Sheets:
As of
  September 29, 2024December 31, 2023
AssetsClassification  
Operating lease (1)
Operating lease right of use asset, net$409,425 $456,964 
Finance leaseProperty and equipment, net48,201 41,411 
Total leased assets$457,626 $498,375 
Liabilities 
Current 
Operating lease (2)
Current operating lease liabilities$45,767 $50,365 
Finance leaseCurrent portion of long-term debt10,077 8,631 
Noncurrent 
Operating lease (3)
Noncurrent operating lease liabilities406,726 454,583 
Finance leaseLong-term debt, less current portion44,472 38,486 
Total leased liabilities$507,042 $552,065 
(1)Operating lease right of use asset, net was impacted by a reduction of $62.6 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
(2)Current operating lease liabilities were impacted by a reduction of $8.6 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
(3)Noncurrent operating lease liabilities were impacted by a reduction of $58.7 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
Lease costs were as follows:
Quarter Ended Three Quarters Ended
  September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Lease costClassification  
Operating lease costSelling, general and administrative expense$838 $875 $2,652 $2,752 
Operating lease costOperating expenses22,227 21,777 70,615 66,352 
Short-term lease costOperating expenses1,478 1,512 3,828 4,057 
Variable lease costsOperating expenses6,553 7,709 21,384 23,940 
Sublease incomeRoyalties and other revenues(85)(35)(155)(105)
Finance lease cost:
 
 
Amortization of right of use assetsDepreciation and amortization expense$3,051 $2,020 $8,839 $5,385 
Interest on lease liabilitiesInterest expense, net873 796 2,615 1,860 
Supplemental disclosures of cash flow information related to leases were as follows:
Three Quarters Ended
September 29, 2024October 1, 2023
Other information
Cash paid for leases:
Operating cash flows for operating leases (1)
$83,956 $88,101 
Operating cash flows for finance leases
2,607 1,815 
Financing cash flows for finance leases
8,442 7,552 
Right of use assets obtained in exchange for new lease liabilities:
Operating leases
$40,182 $57,469 
Finance leases
15,019 13,435 
(1)Operating cash flows from operating leases include variable rent payments which are not included in the measurement of lease liabilities. Variable rent payments were $21.4 million and $23.9 million for the three quarters ended September 29, 2024 and October 1, 2023, respectively.
There were no sale-leaseback transactions completed in the three quarters ended September 29, 2024. In the quarter ended April 2, 2023, the Company completed a sale-leaseback transaction whereby it disposed of the land at one real estate property for proceeds of $10.0 million. The Company subsequently leased back the property, which is accounted for as an operating lease. The Company recognized a gain on sale related to this transaction of $9.6 million, which is included in Other income, net in the Condensed Consolidated Statement of Operations.
v3.24.3
Fair Value Measurements
 9 Months Ended
Sep. 29, 2024
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
The following table presents assets and liabilities that are measured at fair value on a recurring basis as of September 29, 2024 and December 31, 2023:
September 29, 2024
Level 2
Assets:
Foreign currency derivatives
$292 
Total Assets$292 
Liabilities:
Interest rate derivatives
$13,511 
Commodity derivatives
110 
Total Liabilities$13,621 
December 31, 2023
Level 2
Assets:
Interest rate derivatives
$1,596 
Total Assets$1,596 
Liabilities:
Foreign currency derivatives$345 
Commodity derivatives
113 
Total Liabilities$458 
There were no assets or liabilities measured using Level 1 and Level 3 inputs and no transfers of financial assets or liabilities among the levels within the fair value hierarchy during the three quarters ended September 29, 2024 and fiscal year ended December 31, 2023. The Company’s derivatives are valued using discounted cash flow analyses that incorporate observable market parameters, such as interest rate yield curves and currency rates.
v3.24.3
Derivative Instruments
 9 Months Ended
Sep. 29, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments Derivative Instruments
Commodity Price Risk
The Company uses forward contracts to protect against the effects of commodity price fluctuations in the cost of ingredients of its products, of which flour, sugar, and shortening are the most significant, and the cost of gasoline used by its delivery vehicles. Management has not designated these forward contracts as hedges. As of September 29, 2024 and December 31, 2023, the total notional amount of commodity derivatives was 1.2 million and 1.8 million gallons of fuel, respectively. They are scheduled to mature between September 2024 and September 2025 and January 2024 and December 2024, respectively. As of both September 29, 2024 and December 31, 2023, the Company recorded liabilities of $0.1 million related to the fair market values of its commodity derivatives. The settlement of commodity derivative contracts is reported in the Condensed Consolidated Statements of Cash Flows as a cash flow from operating activities.
Interest Rate Risk
The Company uses interest rate swaps to manage its exposure to interest rate volatility from its debt arrangements. Management has designated the swap agreements as cash flow hedges and recognized the changes in the fair value of these swaps in other comprehensive income. As of September 29, 2024 and December 31, 2023, the Company has recorded a liability of $13.5 million and an asset of $1.6 million, respectively, related to the fair market values of its interest rate derivatives. The cash flows associated with the interest rate swaps are reflected in operating activities in the Condensed Consolidated Statements of Cash Flows, which is consistent with the classification as operating activities of the interest payments on the term loan.
In the quarter ended June 30, 2024, existing interest rate swap agreements (the “prior agreements”) with an aggregate notional amount of $505.0 million matured. The Company then entered into new interest rate swap agreements (the “new agreements”) with an aggregate notional amount of $500.0 million as of September 29, 2024. The primary difference between the new agreements and the prior agreements included the setting of new rates on the fixed component of the swaps (weighted average of approximately of 4.0%). The new agreements have a benchmark rate on the floating component of the swaps of one-month Secured Overnight Financing Rate (“SOFR”) and are scheduled to mature in March 2028.
The net effect of the interest rate swap arrangements will be to fix the variable interest rate on the term loan under the 2023 Facility (as defined in Note 9, Long-Term Debt) up to the notional amount outstanding at the rates payable under the swap agreements plus the Applicable Rate (as defined by the 2023 Facility), through the swap maturity dates in March 2028.
In the quarter ended April 2, 2023, the Company cancelled certain interest rate swap agreements with an aggregate notional amount of $265.0 million, collecting $7.7 million in cash proceeds, and entered into new agreements with the same counterparties. The cash flows are reflected in operating activities in the Condensed Consolidated Statements of Cash Flows.
Foreign Currency Exchange Rate Risk
The Company is exposed to foreign currency risk primarily from its investments in consolidated subsidiaries that operate in Canada, the U.K., Ireland, Australia, New Zealand, Mexico, and Japan. In order to mitigate the impact of foreign exchange fluctuations on commercial and financial transactions with these subsidiaries, the Company enters into foreign exchange forward contracts. Management has not designated these forward contracts as hedges. As of September 29, 2024 and December 31, 2023, the total notional amount of foreign exchange derivatives was $76.8 million and $49.8 million, respectively. The majority matured in October 2024 and January 2024, respectively. The Company recorded assets of $0.3 million and liabilities of $0.3 million as of September 29, 2024 and December 31, 2023, respectively, related to the fair market values of its foreign exchange derivatives.
Quantitative Summary of Derivative Positions and Their Effect on Results of Operations
The following tables present the fair values of derivative instruments included in the Condensed Consolidated Balance Sheets as of September 29, 2024 and December 31, 2023, for derivatives not designated as hedging instruments and derivatives designated as hedging instruments, respectively. The Company only has cash flow hedges that are designated as hedging instruments.
Derivatives Fair Value
Derivatives Not Designated as Hedging
Instruments
September 29,
2024		December 31,
2023
Balance Sheet Location
Foreign currency derivatives
$292 $— Prepaid expense and other current assets
Total Assets$292 $— 
Foreign currency derivatives
$— $345 Accrued liabilities
Commodity derivatives 110 113 Accrued liabilities
Total Liabilities$110 $458 
Derivatives Fair Value
Derivatives Designated as Hedging
Instruments
September 29,
2024		December 31,
2023		Balance Sheet Location
Interest rate derivatives (current)
$— $1,596 Prepaid expense and other current assets
Total Assets$— $1,596 
Interest rate derivatives (current)
$3,805 $— 
Accrued liabilities
Interest rate derivatives (noncurrent)
9,706 — 
Other long-term obligations and deferred credits
Total Liabilities$13,511 $— 
The effect of derivative instruments in the Condensed Consolidated Statements of Operations for the quarter and three quarters ended September 29, 2024 and October 1, 2023 is as follows:
 
Derivative Gain Recognized in Income for the Quarter Ended
Derivative Gain Recognized in Income for the Three Quarters Ended
 
Derivatives Designated as Hedging InstrumentsSeptember 29, 2024October 1, 2023September 29, 2024October 1, 2023
Location of Derivative Gain Recognized in Income
Gain on interest rate derivatives$903 $2,946 $6,970 $5,578 Interest expense, net
 $903 $2,946 $6,970 $5,578  
 
Derivative Gain/(Loss) Recognized in Income for the Quarter Ended
Derivative Gain/(Loss) Recognized in Income for the Three Quarters Ended
 
Derivatives Not Designated as Hedging InstrumentsSeptember 29, 2024October 1, 2023September 29, 2024October 1, 2023
Location of Derivative Gain/(Loss) Recognized in Income
Gain on foreign currency derivatives$700 $599 $637 $661 Other non-operating (income)/expense, net
(Loss)/gain on commodity derivatives(263)233 3 (151)Other non-operating (income)/expense, net
 $437 $832 $640 $510  
v3.24.3
Vendor Finance Programs
 9 Months Ended
Sep. 29, 2024
Payables and Accruals [Abstract]  
Vendor Finance Programs Vendor Finance Programs
The following table presents liabilities related to vendor finance programs which the Company participates in as a buyer as of September 29, 2024 and December 31, 2023:
 September 29, 2024December 31, 2023
Balance Sheet Location
Supply chain financing programs (1)
$8,682 $51,239 Accounts payable
Structured payables programs (2)
139,170 130,104 Structured payables
Total Liabilities$147,852 $181,343 
(1)SCF program liabilities were impacted by a reduction of $23.2 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
(2)Structured payables program liabilities were impacted by a reduction of $25.6 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
Supply Chain Financing (“SCF”) Programs
The Company has an agreement with a third-party administrator which allows participating vendors to track the Company’s payments, and if voluntarily elected by the vendor, to sell payment obligations from the Company to financial institutions as part of the SCF program. The Company’s typical payment terms for trade payables range up to 180 days outside of the SCF program, depending on the type of vendors and the nature of the supplies or services. For vendors under the SCF program, the Company has established payable terms ranging up to, but not exceeding, 360 days. When participating vendors elect to sell one or more of the Company’s payment obligations, the Company’s rights and obligations to settle the payables on their contractual due date are not impacted. The Company has no economic or commercial interest in a vendor’s decision to enter into these agreements and the financial institutions do not provide the Company with incentives such as rebates or profit sharing under the SCF program. The Company agrees on commercial terms with vendors for the goods and services procured, which are consistent with payment terms observed at other peer companies in the industry, and as the terms are not impacted by the SCF program, such obligations are classified as Accounts payable in the Condensed Consolidated Balance Sheets and the associated cash flows are included in operating activities in the Condensed Consolidated Statements of Cash Flows.
Structured Payables Programs
The Company utilizes various card products issued by financial institutions to facilitate purchases of goods and services. By using these products, the Company may receive differing levels of rebates based on timing of repayment. The payment obligations under these card products are classified as Structured payables in the Condensed Consolidated Balance Sheets and the associated cash flows are included in financing activities in the Condensed Consolidated Statements of Cash Flows.
v3.24.3
Long-Term Debt
 3 Months Ended
Sep. 29, 2024
Debt Disclosure [Abstract]  
Long-Term Debt Long-Term Debt
The Company’s long-term debt obligations consists of the following:
September 29, 2024December 31, 2023
2023 Facility — term loan$656,250 $682,500 
2023 Facility — revolving credit facility142,500 155,000 
Short-term lines of credit2,500 11,000 
Less: Debt issuance costs(3,584)(4,371)
Finance lease obligations54,549 47,117 
Total long-term debt852,215 891,246 
Less: Current portion of long-term debt(47,577)(54,631)
Long-term debt, less current portion$804,638 $836,615 
2023 Secured Credit Facility
The Company is party to a credit agreement (the “2023 Facility”) consisting of a $300.0 million senior secured revolving credit facility and a term loan with an original principal amount of $700.0 million. The 2023 Facility is secured by a first priority lien on substantially all of the Company’s personal property assets, certain real properties, and all of the Company’s domestic wholly owned subsidiaries. Loans made pursuant to the 2023 Facility may be used for general corporate purposes of the Company (including, but not limited to, financing working capital needs, capital expenditures, acquisitions, other investments, dividends, and stock repurchases) and for any other purpose not prohibited under the related loan documents.
Borrowings under the 2023 Facility are generally subject to an interest rate of adjusted term SOFR plus a credit spread adjustment of 0.10% plus (i) 2.25% if the Company’s leverage ratio (as defined in the 2023 Facility) equals or exceeds 4.00 to 1.00, (ii) 2.00% if the Company’s leverage ratio is less than 4.00 to 1.00 but greater than or equal to 3.00 to 1.00, or (iii) 1.75% if the Company’s leverage ratio is less than 3.00 to 1.00. As of September 29, 2024 and December 31, 2023, the unhedged interest rates were 6.95% and 7.46% under the 2023 Facility, respectively. As of September 29, 2024 and December 31, 2023, $500.0 million out of the $656.3 million term loan balance and $505.0 million out of the $682.5 million term loan balance, respectively, was hedged. As of September 29, 2024 and December 31, 2023, the effective interest rates on the term loan were approximately 6.32% and 6.80%, respectively. The Company is required to make equal installments of 1.25% of the aggregate closing date principal amount of the term loan on the last day of each fiscal quarter. All remaining term loan and revolving loan balances are to be due at maturity in March 2028.
Short-Term Lines of Credit
The Company is party to two agreements with existing lenders providing for short-term, uncommitted lines of credit up to $25.0 million. Borrowings under these short-term lines of credit are payable to the lenders on a revolving basis for tenors up to a maximum of three months and are subject to an interest rate of adjusted term SOFR plus a credit spread adjustment of 0.10% plus a margin of 1.75%.
v3.24.3
Share-based Compensation
 9 Months Ended
Sep. 29, 2024
Share-Based Payment Arrangement [Abstract]  
Share-based Compensation Share-based Compensation
Restricted Stock Units (“RSUs”) and Performance Stock Units (“PSUs”)
The Company and certain of its subsidiaries issue time-vested RSUs and PSUs under their respective executive ownership plans and long-term incentive plans.
Excluding the Insomnia Cookies plan which was removed from the table below due to the divestiture, RSU and PSU activity under the Company’s various plans during the periods presented is as follows:
(in thousands, except per share amounts)Non-vested shares outstanding at December 31,
2023		GrantedVestedForfeitedNon-vested shares outstanding at September 29,
2024
KKI
RSUs and PSUs
6,785 1,738 1,524 388 6,611 
Weighted Average Grant Date Fair Value
$14.54 14.53 14.93 15.00 $14.53 
KK U.K.
RSUs
7 — — — 7 
Weighted Average Grant Date Fair Value
$29.80 — — — $29.80 
KK Australia
RSUs
185 — 22 — 163 
Weighted Average Grant Date Fair Value
$1.57 — 1.61 — $1.57 
KK Mexico
RSUs
20 — 2 — 18 
Weighted Average Grant Date Fair Value
$30.18 — 29.21 — $30.01 
The Company recorded total non-cash compensation expense related to RSUs and PSUs under the plans of $9.2 million and $22.1 million for the quarter and three quarters ended September 29, 2024, respectively, and $6.5 million and $15.1 million for the quarter and three quarters ended October 1, 2023, respectively, which is included in Selling, general and administrative expenses in the Condensed Consolidated Statements of Operations.
The unrecognized compensation cost related to the unvested RSUs and PSUs and the weighted average period over which such cost is expected to be recognized are as follows:
 As of September 29, 2024
 Unrecognized Compensation Cost
Recognized Over a
Weighted Average
Period of
KKI$59,519 3.0 years
KK U.K.77 1.7 years
KK Australia52 1.0 years
KK Mexico108 0.9 years
The estimated fair value of restricted stock is calculated using a market approach (i.e., market multiple is used for the KK U.K. plan and an agreed-upon EBITDA buyout multiple is used for KK Australia and KK Mexico plans).
Time-Vested Stock Options
KKI issues time-vested stock options under its Omnibus Incentive Plan. The fair value of time-vested stock options was estimated on the date of grant using the Black-Scholes option pricing model.
A summary of the status of the time-vested stock options as of December 31, 2023 and changes during the first three quarters of fiscal 2024 is presented below:
Share options outstanding atShare options outstanding at
(in thousands, except per share amounts)December 31,
2023		GrantedExercisedForfeited or ExpiredSeptember 29,
2024
KKI
Options2,993 — — 166 2,827
Weighted Average Grant Date Fair Value$5.90 — — 6.10 $5.89
Weighted Average Exercise Price$14.30 — — 14.61 $14.29
The Company recorded total non-cash compensation expense related to the time-vested stock options of $0.8 million and $2.6 million for the quarter and three quarters ended September 29, 2024, respectively, and $0.9 million and $2.7 million for the quarter and three quarters ended October 1, 2023, respectively, which is included in Selling, general and administrative expenses in the Condensed Consolidated Statements of Operations.
The unrecognized compensation cost related to the stock options and the weighted average period over which such cost is expected to be recognized are as follows:
As of September 29, 2024
Unrecognized Compensation Cost
Recognized Over a
Weighted Average
Period of
KKI$5,036 1.5 years
During the three quarters ended September 29, 2024, 1.5 million time-vested stock options vested. No time-vested stock options vested during the quarter ended September 29, 2024 or the quarter and three quarters ended October 1, 2023.
v3.24.3
Income Taxes
 9 Months Ended
Sep. 29, 2024
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
For interim tax reporting, the Company estimates a worldwide annual effective tax rate and applies that rate to the year-to-date ordinary (loss)/income. The tax effects of significant unusual or infrequently occurring items are excluded from the estimated annual effective tax rate calculation and recognized in the interim period in which they occur.
The Company’s effective income tax rates were 32.0% and 41.4% for the quarter and three quarters ended September 29, 2024, respectively, and -153.3% and -80.0% for the quarter and three quarters ended October 1, 2023, respectively. The Company’s effective income tax rate for the quarter and three quarters ended September 29, 2024 differed from the respective statutory rates primarily due to disallowed executive compensation expense, the mix of income and taxes attributable to foreign jurisdictions, and noncontrolling interest in domestic joint ventures. Additionally, the Company recorded an income tax benefit in the quarter ended September 29, 2024 related to the release of valuation allowances on state net operating losses associated with the divestiture of Insomnia Cookies. The Company’s effective income tax rate for the quarter and three quarters ended October 1, 2023 differed from the respective statutory rates primarily due to the mix of income and taxes attributable to foreign jurisdictions, the recognition of previously unrecognized tax benefits, disallowed executive compensation expense, noncontrolling interest in domestic joint ventures, and a discrete tax benefit unrelated to ongoing operations
v3.24.3
Commitments and Contingencies
 9 Months Ended
Sep. 29, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Pending Litigation
In March 2023, an employee filed a lawsuit on behalf of himself and all others similarly situated against the Company, alleging violations of the Illinois Biometric Information Privacy Act. In October 2024, the Company negotiated a settlement of this lawsuit, subject to court approval, which would require the Company to pay an amount immaterial to the Company’s Condensed Consolidated Financial Statements.
Other Legal Matters
The Company also is engaged in various legal proceedings arising in the normal course of business. The Company maintains insurance policies against certain kinds of such claims and suits, including insurance policies for workers’ compensation and personal injury, all of which are subject to deductibles. While the ultimate outcome of these matters could differ from management’s expectations, management currently does not believe their resolution will have a material adverse effect on the Company’s Condensed Consolidated Financial Statements.
Other Commitments and Contingencies
The Company’s primary banks issued letters of credit on its behalf totaling $20.3 million and $15.4 million as of September 29, 2024 and December 31, 2023, respectively, a majority of which secure the Company’s reimbursement obligations to insurers under its self-insurance arrangements.
v3.24.3
Related Party Transactions
 9 Months Ended
Sep. 29, 2024
Related Party Transactions [Abstract]  
Related Party Transactions Related Party Transactions
As of September 29, 2024 the Company held minority equity interests in four entities, Krispy Kreme Doughnuts France SAS (“KK France”) (33% ownership), KK Brazil (45% ownership), KK Spain (25% ownership), and Insomnia Cookies (35% ownership), with an aggregate carrying value of $91.0 million. As of December 31, 2023 the Company held minority equity interests in three entities, KremeWorks USA, LLC (20% ownership), KremeWorks Canada, L.P. (25% ownership), and KK France (33% ownership), with an aggregate carrying value of $2.8 million. Refer to Note 2, Acquisitions and Divestitures for further information.
In the quarter ended September 29, 2024, the Company purchased all units held by the noncontrolling interest holders in the consolidated subsidiary Awesome Doughnut. Refer to Note 2, Acquisitions and Divestitures for further information.
v3.24.3
Revenue Recognition
 9 Months Ended
Sep. 29, 2024
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
Disaggregation of Revenues
Revenues are disaggregated as follows:
Quarter Ended
Three Quarters Ended
September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Company Shops, DFD and Branded Sweet Treats$358,110 $385,810 $1,192,071 $1,166,052 
Mix and equipment revenue from franchisees12,552 12,935 41,514 43,715 
Franchise royalties and other9,205 8,622 27,789 25,432 
Total net revenues$379,867 $407,367 $1,261,374 $1,235,199 
Other revenues include advertising fund contributions from franchisees, rental income, development and franchise fees, and licensing royalties from customers for use of the Krispy Kreme brand, such as Keurig coffee cups.
Contract Balances
Deferred revenue and related receivables are as follows:
 September 29, 2024December 31, 2023
Balance Sheet Location
Trade receivables, net of allowances of $622 and $564, respectively
$55,336 $45,858 Accounts receivables, net
Deferred revenue:
Current$14,240 $22,066 Accrued liabilities
Noncurrent8,629 6,005 Other long-term obligations and deferred credits
Total deferred revenue$22,869 $28,071 
Trade receivables relate primarily to payments due for royalties, franchise fees, advertising fees, sale of products, and licensing fees. Deferred revenue primarily represents the Company’s remaining performance obligations under gift cards and franchise and development agreements for which consideration has been received or is receivable and is generally recognized on a straight-line basis over the remaining term of the related agreement. The noncurrent portion of deferred revenue primarily relates to the remaining performance obligations in the franchise and development agreements.
v3.24.3
Net Loss per Share
 9 Months Ended
Sep. 29, 2024
Earnings Per Share [Abstract]  
Net Loss per Share Net Earnings/(Loss) per Share
The following table presents the calculations of basic and diluted EPS:
 
Quarter Ended
Three Quarters Ended
(in thousands, except per share amounts)September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Net income/(loss) attributable to Krispy Kreme, Inc.$39,563 $(40,457)$25,538 $(40,535)
Additional income attributed to noncontrolling interest due to subsidiary potential common shares(4)(7)(28)(14)
Net income/(loss) attributable to common shareholders - Diluted$39,559 $(40,464)$25,510 $(40,549)
Basic weighted average common shares outstanding169,596 168,224 169,125 168,183 
Dilutive effect of outstanding common stock options, RSUs, and PSUs1,890 — 2,259 — 
Diluted weighted average common shares outstanding171,486 168,224 171,384 168,183 
Earnings/(loss) per share attributable to common shareholders:
 
 
Basic$0.23 $(0.24)$0.15 $(0.24)
Diluted$0.23 $(0.24)$0.15 $(0.24)
Potential dilutive shares consist of unvested RSUs and PSUs, calculated using the treasury stock method. The calculation of dilutive shares outstanding excludes certain unvested RSUs granted under certain subsidiaries’ executive ownership plans and long-term incentive plans, because their inclusion would have been antidilutive.
The following table summarizes the gross number of potential dilutive unvested RSUs and PSUs excluded due to antidilution (unadjusted for the treasury stock method):
Quarter Ended Three Quarters Ended
(in thousands)September 29, 2024October 1, 2023September 29, 2024October 1, 2023
KKI2,807 6,444 2,807 6,444 
KK U.K.7 7 7 — 
Insomnia Cookies— 37 — 37 
KK Australia— — — — 
KK Mexico— — — — 
For the quarter and three quarters ended September 29, 2024 and October 1, 2023, all 2.8 million and 3.0 million time-vested stock options, respectively, were excluded from the computation of diluted weighted average common shares outstanding based on application of the treasury stock method.
v3.24.3
Segment Reporting
 9 Months Ended
Sep. 29, 2024
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
The Company conducts business through the three reportable segments: U.S., International, and Market Development. Unallocated corporate costs are excluded from the Company’s measurement of segment performance. These costs include general corporate expenses.
As discussed in Note 1, Description of Business and Summary of Significant Accounting Policies, effective January 1, 2024, the Company realigned its segment reporting structure such that the Company-owned Canada and Japan businesses have moved from the Market Development reportable operating segment to the International reportable operating segment. All segment information for comparative periods has been restated to be consistent with current presentation.
As discussed in Note 2, Acquisitions and Divestitures, the Company entered into an agreement to sell shares in Insomnia Cookies on July 17, 2024. Upon completion of the divestiture, the Company’s ownership interest decreased from 75.0% to 34.7%. The Company’s investment in Insomnia Cookies is now accounted for using the equity method, and results are no longer included within the U.S. reportable operating segment on a prospective basis from the date of the divestiture. Historical results for Insomnia Cookies have not been restated and are included within the results of the U.S. reportable operating segment through the date of the divestiture.
The reportable segment results are as follows:
 Quarter Ended Three Quarters Ended
 September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Net revenues:
 
 
 
 
U.S.$228,376 $260,177 $813,615 $808,938 
International130,697 126,077 380,716 358,653 
Market Development20,794 21,113 67,043 67,608 
Total net revenues$379,867 $407,367 $1,261,374 $1,235,199 
Quarter Ended Three Quarters Ended
September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Segment Adjusted EBITDA:
U.S.$13,922 $22,258 $89,206 $88,878 
International22,779 24,961 64,970 68,645 
Market Development11,271 9,816 36,046 31,862 
Corporate(13,273)(13,294)(42,609)(41,902)
Adjusted EBITDA34,699 43,741 147,613 147,483 
Interest expense, net16,280 12,807 44,468 36,858 
Income tax expense17,679 24,367 18,330 17,121 
Depreciation and amortization expense31,376 32,007 99,562 89,142 
Share-based compensation9,969 7,452 24,603 17,821 
Employer payroll taxes related to share-based compensation49 96 299 310 
Gain on divestiture of Insomnia Cookies(87,128)—(87,128)—
Other non-operating (income)/expense, net (1)
(407)971 1,115 3,031 
Strategic initiatives (2)
11,426 5,895 20,434 23,841 
Acquisition and integration expenses (3)
1,938 49 3,037 479 
New market penetration expenses (4)
156 678 1,194 1,013 
Shop closure expenses/(income), net (5)
21 (449)788 356 
Restructuring and severance expenses (6)
631 552 769 2,799 
Gain on remeasurement of equity method investment (7)
(5,579)— (5,579)— 
Gain on sale-leaseback— — — (9,646)
Other (8)
716 (426)(257)2,888 
Net income/(loss)$37,572 $(40,258)$25,978 $(38,530)
(1)Primarily foreign translation gains and losses in each period.
(2)The quarter and three quarters ended September 29, 2024 consist primarily of costs associated with the divestiture of the Insomnia Cookies business, preparing for the McDonald’s U.S. expansion, and global transformation. The quarter and three quarters ended October 1, 2023 consist primarily of costs associated with global transformation and U.S. initiatives such as the decision to exit the Branded Sweet Treats business, including property, plant and equipment impairments, inventory write-offs, employee severance, and other related costs.
(3)Consists of acquisition and integration-related costs in connection with the Company’s business and franchise acquisitions, including legal, due diligence, and advisory fees incurred in connection with acquisition and integration-related activities for the applicable period.
(4)Consists of start-up costs associated with entry into new countries for which the Company’s brands have not previously operated, including Brazil and Spain.
(5)Includes lease termination costs, impairment charges, and loss on disposal of property, plant and equipment. The quarter and three quarters ended October 1, 2023 include gains related to the termination of leases at certain Krispy Kreme shops in the U.S. where the Company had already recognized impairment of the corresponding right of use assets in a prior period.
(6)The quarter and three quarters ended September 29, 2024 consists primarily of costs associated with the restructuring of the KK U.K. executive team. The quarter and three quarters ended October 1, 2023 consists primarily of costs associated with restructuring of the global executive team.
(7)Consists of a gain related to the remeasurement of the equity method investments in KremeWorks USA, LLC and KremeWorks Canada, L.P. to fair value immediately prior to the acquisition of the shops. Refer to Note 2, Acquisitions and Divestitures for further information.
(8)The quarter and three quarters ended September 29, 2024 and October 1, 2023 consist primarily of legal and other regulatory expenses incurred outside the ordinary course of business. The three quarters ended September 29, 2024 also include a gain from insurance proceeds received related to a shop in the U.S. that was destroyed and subsequently rebuilt.
v3.24.3
Description of Business and Summary of Significant Accounting Policies (Policies)
 9 Months Ended
Sep. 29, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation
The Company operates and reports financial information on a 52 or 53-week year with the fiscal year ending on the Sunday closest to December 31. The data periods contained within fiscal years 2023 and 2024 reflect the results of operations for the 52-week periods ended December 31, 2023 and ending December 29, 2024, respectively. The quarters ended September 29, 2024 and October 1, 2023 were both 13-week periods.
The unaudited Condensed Consolidated Financial Statements include the accounts of KKI and subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Accordingly, these interim financial statements do not include all information and footnotes required under GAAP for complete financial statements. In the opinion of management, the accompanying unaudited Condensed Consolidated Financial Statements contain all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of results of operations, balance sheet, cash flows, and shareholders’ equity for the periods presented. All significant intercompany balances and transactions among KKI and subsidiaries have been eliminated in consolidation. Investments in entities over which the Company has the ability to exercise significant influence but which it does not control and whose financial statements are not otherwise required to be consolidated, are accounted for using the equity method.
Consolidation
These Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto as of and for the year ended December 31, 2023, included in the Annual Report on Form 10-K. The Condensed Consolidated Balance Sheet as of December 31, 2023 was derived from audited annual financial statements but does not contain all of the footnote disclosures from the annual financial statements. The results of operations for the quarter ended September 29, 2024 are not necessarily indicative of the results of operations that may be achieved for the entire fiscal year ending December 29, 2024.
Noncontrolling interest in the Company’s Condensed Consolidated Financial Statements represents the interest in subsidiaries held by joint venture partners and employee shareholders. The joint venture partners hold noncontrolling interests in the Company’s consolidated subsidiaries W.K.S. Krispy Kreme, LLC (“WKS Krispy Kreme”) and Krispy K Canada, Inc. (“KK Canada”). Employee shareholders hold noncontrolling interests in the consolidated subsidiaries Krispy Kreme Holding U.K. Ltd. (“KK U.K.”), Krispy Kreme Holdings Pty Ltd. (“KK Australia”), and Krispy Kreme Mexico Holding S.A.P.I. de C.V. (“KK Mexico”). Since the Company consolidates the financial statements of these subsidiaries, the noncontrolling owners’ share of each subsidiary’s net assets and results of operations are deducted and reported as noncontrolling interest in the Condensed Consolidated Balance Sheets and as net income attributable to noncontrolling interest in the Condensed Consolidated Statements of Operations and comprehensive income attributable to noncontrolling interest in the Condensed Consolidated Statements of Comprehensive Income/(Loss).
Reclassifications
Reclassifications
Segment information is prepared on the same basis on which the Company’s management reviews financial information for operational decision-making purposes. Effective January 1, 2024, the Company realigned its segment reporting structure such that the Company-owned Canada and Japan businesses have moved from the Market Development reportable operating segment to the International reportable operating segment. All segment information for comparative periods has been restated to be consistent with current presentation.
In the Condensed Consolidated Balance Sheets, Investments in unconsolidated entities in the comparative period have been reclassified (formerly presented within Other assets) to be consistent with current quarter presentation. This reclassification does not have a significant impact on the reported financial position and does not impact the results of operations or cash flows.
Recent Accounting Pronouncements
Recent Accounting Pronouncements
In November 2023, the FASB issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which requires a public entity to disclose significant segment expenses and other segment items on an annual and interim basis and provide in interim periods all disclosures about a reportable segment’s profit or loss and assets that are currently required annually. Additionally, it requires a public entity to disclose the title and position of the Chief Operating Decision Maker. The ASU does not change how a public entity identifies its operating segments, aggregates them, or applies the quantitative thresholds to determine its reportable segments. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. A public entity should apply the amendments in this ASU retrospectively to all prior periods presented in the financial statements. When adopted, we expect this ASU to impact our segment disclosures, but with no impacts to our results of operations, cash flows, and financial condition.
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which focuses on the rate reconciliation and income taxes paid disclosures. The ASU requires a public business entity (“PBE”) to disclose, on an annual basis, a tabular rate reconciliation using both percentages and currency amounts, broken out into specified categories with certain reconciling items further disaggregated by nature and jurisdiction to the extent those items exceed a specified threshold. In addition, all entities are required to disclose income taxes paid, net of refunds received disaggregated by federal, state, and foreign and by individual jurisdiction if the amount is at least 5% of total income tax payments, net of refunds received. For PBEs, the ASU is effective for annual periods beginning after December 15, 2024, with early adoption permitted. An entity should apply the amendments in this ASU prospectively, with retrospective application permitted. When adopted, we expect this ASU to impact our income tax disclosures, but with no impacts to our results of operations, cash flows, and financial condition.
v3.24.3
Acquisitions and Divestitures (Tables)
 9 Months Ended
Sep. 29, 2024
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Schedule of Business Acquisitions, by Acquisition
The following table summarizes the preliminary fair values of assets acquired and liabilities assumed as of the date of acquisition for the acquisition above.
KK U.S. Shops
KK Canada ShopTotal Purchase
Price Allocation
for Acquisitions
Assets acquired: 
Cash and cash equivalents$5 $1 $6 
Prepaid expense and other current assets308 63 371 
Property and equipment, net10,358 971 11,329 
Other intangible assets, net10,248 6,871 17,119 
Operating lease right of use asset, net10,308 322 10,630 
Deferred income taxes, net—2323 
Total identified assets acquired31,227 8,251 39,478 
Liabilities assumed:
Accrued liabilities(115)— (115)
Current operating lease liabilities(1,153)(61)(1,214)
Noncurrent operating lease liabilities(9,155)(261)(9,416)
Deferred income taxes, net(514)— (514)
Total liabilities assumed(10,937)(322)(11,259)
Goodwill6,258 3,625 9,883 
Net assets acquired26,548 11,554 38,102 
Less: Fair value of former equity method investments (4,254)(2,460)(6,714)
Purchase consideration, net$22,294 $9,094 $31,388 
Transaction costs in 2024 $1,787 $589 $2,376 
Transaction costs in 2023 102 — 102 
Reportable segmentU.S.International
Schedule of Divestitures The gain was calculated as follows:
July 17, 2024
Cash proceeds$120,870 
Fair value of retained noncontrolling interest in Insomnia Cookies85,086 
Carrying value of former noncontrolling interest in Insomnia Cookies33,579 
Less: Carrying value of net assets of Insomnia Cookies, including cash and cash equivalents(152,407)
Gain on divestiture of Insomnia Cookies$87,128 
v3.24.3
Inventories (Tables)
 9 Months Ended
Sep. 29, 2024
Inventory Disclosure [Abstract]  
Schedule of Inventory
The components of Inventories are as follows:
September 29, 2024December 31, 2023
Raw materials$22,018 $21,000 
Work in progress429 211 
Finished goods and purchased merchandise9,039 13,505 
Total inventories$31,486 $34,716 
v3.24.3
Goodwill and Other Intangible Assets, net (Tables)
 9 Months Ended
Sep. 29, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill by Reportable Segment
Changes in the carrying amount of goodwill by reportable segment are as follows:
U.S.
International
Market Development
Total
Balance as of December 31, 2023$677,956 $294,468 $129,515 $1,101,939 
Acquisitions
21,974 4,270 (16,361)9,883 
Divestiture of Insomnia Cookies(54,803)— — (54,803)
Foreign currency impact
— 3,374 — 3,374 
Balance as of September 29, 2024$645,127 $302,112 $113,154 $1,060,393 
Schedule of Indefinite-Lived Intangible Assets
Other intangible assets consist of the following:
 September 29, 2024December 31, 2023
Gross
Carrying
Amount
Accumulated
Amortization
Net Amount
Gross
Carrying
Amount  
Accumulated
Amortization
Net Amount
Intangible assets with indefinite lives   
 
 
Trade names and trademarks (1)
$553,400 $— $553,400 $657,980 $— $657,980 
Intangible assets with definite lives
Franchise agreements27,401 (10,825)16,576 30,390 (10,744)19,646 
Customer relationships15,000 (7,062)7,938 15,000 (6,413)8,587 
Reacquired franchise rights (2)
412,586 (158,765)253,821 397,279 (137,143)260,136 
Total intangible assets with definite lives454,987 (176,652)278,335 442,669 (154,300)288,369 
Total intangible assets$1,008,387 $(176,652)$831,735 $1,100,649 $(154,300)$946,349 
Schedule of Finite-Lived Intangible Assets
Other intangible assets consist of the following:
 September 29, 2024December 31, 2023
Gross
Carrying
Amount
Accumulated
Amortization
Net Amount
Gross
Carrying
Amount  
Accumulated
Amortization
Net Amount
Intangible assets with indefinite lives   
 
 
Trade names and trademarks (1)
$553,400 $— $553,400 $657,980 $— $657,980 
Intangible assets with definite lives
Franchise agreements27,401 (10,825)16,576 30,390 (10,744)19,646 
Customer relationships15,000 (7,062)7,938 15,000 (6,413)8,587 
Reacquired franchise rights (2)
412,586 (158,765)253,821 397,279 (137,143)260,136 
Total intangible assets with definite lives454,987 (176,652)278,335 442,669 (154,300)288,369 
Total intangible assets$1,008,387 $(176,652)$831,735 $1,100,649 $(154,300)$946,349 
v3.24.3
Leases (Tables)
 9 Months Ended
Sep. 29, 2024
Leases [Abstract]  
Schedule of Supplemental Balance Sheet Information Related to Leases
The Company included the following amounts related to operating and finance lease assets and liabilities within the Condensed Consolidated Balance Sheets:
As of
  September 29, 2024December 31, 2023
AssetsClassification  
Operating lease (1)
Operating lease right of use asset, net$409,425 $456,964 
Finance leaseProperty and equipment, net48,201 41,411 
Total leased assets$457,626 $498,375 
Liabilities 
Current 
Operating lease (2)
Current operating lease liabilities$45,767 $50,365 
Finance leaseCurrent portion of long-term debt10,077 8,631 
Noncurrent 
Operating lease (3)
Noncurrent operating lease liabilities406,726 454,583 
Finance leaseLong-term debt, less current portion44,472 38,486 
Total leased liabilities$507,042 $552,065 
(1)Operating lease right of use asset, net was impacted by a reduction of $62.6 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
(2)Current operating lease liabilities were impacted by a reduction of $8.6 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
(3)Noncurrent operating lease liabilities were impacted by a reduction of $58.7 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
Schedule of Lease Costs and Supplemental Cash Flow Information Related to Leases
Lease costs were as follows:
Quarter Ended Three Quarters Ended
  September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Lease costClassification  
Operating lease costSelling, general and administrative expense$838 $875 $2,652 $2,752 
Operating lease costOperating expenses22,227 21,777 70,615 66,352 
Short-term lease costOperating expenses1,478 1,512 3,828 4,057 
Variable lease costsOperating expenses6,553 7,709 21,384 23,940 
Sublease incomeRoyalties and other revenues(85)(35)(155)(105)
Finance lease cost:
 
 
Amortization of right of use assetsDepreciation and amortization expense$3,051 $2,020 $8,839 $5,385 
Interest on lease liabilitiesInterest expense, net873 796 2,615 1,860 
Supplemental disclosures of cash flow information related to leases were as follows:
Three Quarters Ended
September 29, 2024October 1, 2023
Other information
Cash paid for leases:
Operating cash flows for operating leases (1)
$83,956 $88,101 
Operating cash flows for finance leases
2,607 1,815 
Financing cash flows for finance leases
8,442 7,552 
Right of use assets obtained in exchange for new lease liabilities:
Operating leases
$40,182 $57,469 
Finance leases
15,019 13,435 
(1)Operating cash flows from operating leases include variable rent payments which are not included in the measurement of lease liabilities. Variable rent payments were $21.4 million and $23.9 million for the three quarters ended September 29, 2024 and October 1, 2023, respectively.
v3.24.3
Fair Value Measurements (Tables)
 9 Months Ended
Sep. 29, 2024
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The following table presents assets and liabilities that are measured at fair value on a recurring basis as of September 29, 2024 and December 31, 2023:
September 29, 2024
Level 2
Assets:
Foreign currency derivatives
$292 
Total Assets$292 
Liabilities:
Interest rate derivatives
$13,511 
Commodity derivatives
110 
Total Liabilities$13,621 
December 31, 2023
Level 2
Assets:
Interest rate derivatives
$1,596 
Total Assets$1,596 
Liabilities:
Foreign currency derivatives$345 
Commodity derivatives
113 
Total Liabilities$458 
v3.24.3
Derivative Instruments (Tables)
 9 Months Ended
Sep. 29, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments in Condensed Consolidated Balance Sheets, Fair Value
The following tables present the fair values of derivative instruments included in the Condensed Consolidated Balance Sheets as of September 29, 2024 and December 31, 2023, for derivatives not designated as hedging instruments and derivatives designated as hedging instruments, respectively. The Company only has cash flow hedges that are designated as hedging instruments.
Derivatives Fair Value
Derivatives Not Designated as Hedging
Instruments
September 29,
2024		December 31,
2023
Balance Sheet Location
Foreign currency derivatives
$292 $— Prepaid expense and other current assets
Total Assets$292 $— 
Foreign currency derivatives
$— $345 Accrued liabilities
Commodity derivatives 110 113 Accrued liabilities
Total Liabilities$110 $458 
Derivatives Fair Value
Derivatives Designated as Hedging
Instruments
September 29,
2024		December 31,
2023		Balance Sheet Location
Interest rate derivatives (current)
$— $1,596 Prepaid expense and other current assets
Total Assets$— $1,596 
Interest rate derivatives (current)
$3,805 $— 
Accrued liabilities
Interest rate derivatives (noncurrent)
9,706 — 
Other long-term obligations and deferred credits
Total Liabilities$13,511 $— 
Schedule of Derivative Instruments in Condensed Consolidated Statements of Operations, Gain (Loss)
The effect of derivative instruments in the Condensed Consolidated Statements of Operations for the quarter and three quarters ended September 29, 2024 and October 1, 2023 is as follows:
 
Derivative Gain Recognized in Income for the Quarter Ended
Derivative Gain Recognized in Income for the Three Quarters Ended
 
Derivatives Designated as Hedging InstrumentsSeptember 29, 2024October 1, 2023September 29, 2024October 1, 2023
Location of Derivative Gain Recognized in Income
Gain on interest rate derivatives$903 $2,946 $6,970 $5,578 Interest expense, net
 $903 $2,946 $6,970 $5,578  
 
Derivative Gain/(Loss) Recognized in Income for the Quarter Ended
Derivative Gain/(Loss) Recognized in Income for the Three Quarters Ended
 
Derivatives Not Designated as Hedging InstrumentsSeptember 29, 2024October 1, 2023September 29, 2024October 1, 2023
Location of Derivative Gain/(Loss) Recognized in Income
Gain on foreign currency derivatives$700 $599 $637 $661 Other non-operating (income)/expense, net
(Loss)/gain on commodity derivatives(263)233 3 (151)Other non-operating (income)/expense, net
 $437 $832 $640 $510  
v3.24.3
Vendor Finance Programs (Tables)
 9 Months Ended
Sep. 29, 2024
Payables and Accruals [Abstract]  
Liabilities Related to Vendor Finance Programs
The following table presents liabilities related to vendor finance programs which the Company participates in as a buyer as of September 29, 2024 and December 31, 2023:
 September 29, 2024December 31, 2023
Balance Sheet Location
Supply chain financing programs (1)
$8,682 $51,239 Accounts payable
Structured payables programs (2)
139,170 130,104 Structured payables
Total Liabilities$147,852 $181,343 
(1)SCF program liabilities were impacted by a reduction of $23.2 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
(2)Structured payables program liabilities were impacted by a reduction of $25.6 million in the quarter ended September 29, 2024 related to the divestiture of Insomnia Cookies.
v3.24.3
Long-Term Debt (Tables)
 3 Months Ended
Sep. 29, 2024
Debt Disclosure [Abstract]  
Schedule of Long-Term Debt
The Company’s long-term debt obligations consists of the following:
September 29, 2024December 31, 2023
2023 Facility — term loan$656,250 $682,500 
2023 Facility — revolving credit facility142,500 155,000 
Short-term lines of credit2,500 11,000 
Less: Debt issuance costs(3,584)(4,371)
Finance lease obligations54,549 47,117 
Total long-term debt852,215 891,246 
Less: Current portion of long-term debt(47,577)(54,631)
Long-term debt, less current portion$804,638 $836,615 
v3.24.3
Share-based Compensation (Tables)
 9 Months Ended
Sep. 29, 2024
Share-Based Payment Arrangement [Abstract]  
Schedule of Nonvested Restricted Stock Units Activity RSU and PSU activity under the Company’s various plans during the periods presented is as follows:
(in thousands, except per share amounts)Non-vested shares outstanding at December 31,
2023		GrantedVestedForfeitedNon-vested shares outstanding at September 29,
2024
KKI
RSUs and PSUs
6,785 1,738 1,524 388 6,611 
Weighted Average Grant Date Fair Value
$14.54 14.53 14.93 15.00 $14.53 
KK U.K.
RSUs
7 — — — 7 
Weighted Average Grant Date Fair Value
$29.80 — — — $29.80 
KK Australia
RSUs
185 — 22 — 163 
Weighted Average Grant Date Fair Value
$1.57 — 1.61 — $1.57 
KK Mexico
RSUs
20 — 2 — 18 
Weighted Average Grant Date Fair Value
$30.18 — 29.21 — $30.01 
Share-based Payment Arrangement, Nonvested Award, Cost
The unrecognized compensation cost related to the unvested RSUs and PSUs and the weighted average period over which such cost is expected to be recognized are as follows:
 As of September 29, 2024
 Unrecognized Compensation Cost
Recognized Over a
Weighted Average
Period of
KKI$59,519 3.0 years
KK U.K.77 1.7 years
KK Australia52 1.0 years
KK Mexico108 0.9 years
The unrecognized compensation cost related to the stock options and the weighted average period over which such cost is expected to be recognized are as follows:
As of September 29, 2024
Unrecognized Compensation Cost
Recognized Over a
Weighted Average
Period of
KKI$5,036 1.5 years
Share-based Payment Arrangement, Option, Activity
A summary of the status of the time-vested stock options as of December 31, 2023 and changes during the first three quarters of fiscal 2024 is presented below:
Share options outstanding atShare options outstanding at
(in thousands, except per share amounts)December 31,
2023		GrantedExercisedForfeited or ExpiredSeptember 29,
2024
KKI
Options2,993 — — 166 2,827
Weighted Average Grant Date Fair Value$5.90 — — 6.10 $5.89
Weighted Average Exercise Price$14.30 — — 14.61 $14.29
v3.24.3
Revenue Recognition (Tables)
 9 Months Ended
Sep. 29, 2024
Revenue from Contract with Customer [Abstract]  
Disaggregation of Revenue
Revenues are disaggregated as follows:
Quarter Ended
Three Quarters Ended
September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Company Shops, DFD and Branded Sweet Treats$358,110 $385,810 $1,192,071 $1,166,052 
Mix and equipment revenue from franchisees12,552 12,935 41,514 43,715 
Franchise royalties and other9,205 8,622 27,789 25,432 
Total net revenues$379,867 $407,367 $1,261,374 $1,235,199 
Summary of Contract Balances with Customers
Deferred revenue and related receivables are as follows:
 September 29, 2024December 31, 2023
Balance Sheet Location
Trade receivables, net of allowances of $622 and $564, respectively
$55,336 $45,858 Accounts receivables, net
Deferred revenue:
Current$14,240 $22,066 Accrued liabilities
Noncurrent8,629 6,005 Other long-term obligations and deferred credits
Total deferred revenue$22,869 $28,071 
v3.24.3
Net Loss per Share (Tables)
 9 Months Ended
Sep. 29, 2024
Earnings Per Share [Abstract]  
Schedule of Net Loss Per Share, Basic and Diluted
The following table presents the calculations of basic and diluted EPS:
 
Quarter Ended
Three Quarters Ended
(in thousands, except per share amounts)September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Net income/(loss) attributable to Krispy Kreme, Inc.$39,563 $(40,457)$25,538 $(40,535)
Additional income attributed to noncontrolling interest due to subsidiary potential common shares(4)(7)(28)(14)
Net income/(loss) attributable to common shareholders - Diluted$39,559 $(40,464)$25,510 $(40,549)
Basic weighted average common shares outstanding169,596 168,224 169,125 168,183 
Dilutive effect of outstanding common stock options, RSUs, and PSUs1,890 — 2,259 — 
Diluted weighted average common shares outstanding171,486 168,224 171,384 168,183 
Earnings/(loss) per share attributable to common shareholders:
 
 
Basic$0.23 $(0.24)$0.15 $(0.24)
Diluted$0.23 $(0.24)$0.15 $(0.24)
Schedule of Antidilutive Unvested RSUs Excluded from Computation of Net Loss per Share
The following table summarizes the gross number of potential dilutive unvested RSUs and PSUs excluded due to antidilution (unadjusted for the treasury stock method):
Quarter Ended Three Quarters Ended
(in thousands)September 29, 2024October 1, 2023September 29, 2024October 1, 2023
KKI2,807 6,444 2,807 6,444 
KK U.K.7 7 7 — 
Insomnia Cookies— 37 — 37 
KK Australia— — — — 
KK Mexico— — — — 
v3.24.3
Segment Reporting (Tables)
 9 Months Ended
Sep. 29, 2024
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment
The reportable segment results are as follows:
 Quarter Ended Three Quarters Ended
 September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Net revenues:
 
 
 
 
U.S.$228,376 $260,177 $813,615 $808,938 
International130,697 126,077 380,716 358,653 
Market Development20,794 21,113 67,043 67,608 
Total net revenues$379,867 $407,367 $1,261,374 $1,235,199 
Quarter Ended Three Quarters Ended
September 29, 2024October 1, 2023September 29, 2024October 1, 2023
Segment Adjusted EBITDA:
U.S.$13,922 $22,258 $89,206 $88,878 
International22,779 24,961 64,970 68,645 
Market Development11,271 9,816 36,046 31,862 
Corporate(13,273)(13,294)(42,609)(41,902)
Adjusted EBITDA34,699 43,741 147,613 147,483 
Interest expense, net16,280 12,807 44,468 36,858 
Income tax expense17,679 24,367 18,330 17,121 
Depreciation and amortization expense31,376 32,007 99,562 89,142 
Share-based compensation9,969 7,452 24,603 17,821 
Employer payroll taxes related to share-based compensation49 96 299 310 
Gain on divestiture of Insomnia Cookies(87,128)—(87,128)—
Other non-operating (income)/expense, net (1)
(407)971 1,115 3,031 
Strategic initiatives (2)
11,426 5,895 20,434 23,841 
Acquisition and integration expenses (3)
1,938 49 3,037 479 
New market penetration expenses (4)
156 678 1,194 1,013 
Shop closure expenses/(income), net (5)
21 (449)788 356 
Restructuring and severance expenses (6)
631 552 769 2,799 
Gain on remeasurement of equity method investment (7)
(5,579)— (5,579)— 
Gain on sale-leaseback— — — (9,646)
Other (8)
716 (426)(257)2,888 
Net income/(loss)$37,572 $(40,258)$25,978 $(38,530)
(1)Primarily foreign translation gains and losses in each period.
(2)The quarter and three quarters ended September 29, 2024 consist primarily of costs associated with the divestiture of the Insomnia Cookies business, preparing for the McDonald’s U.S. expansion, and global transformation. The quarter and three quarters ended October 1, 2023 consist primarily of costs associated with global transformation and U.S. initiatives such as the decision to exit the Branded Sweet Treats business, including property, plant and equipment impairments, inventory write-offs, employee severance, and other related costs.
(3)Consists of acquisition and integration-related costs in connection with the Company’s business and franchise acquisitions, including legal, due diligence, and advisory fees incurred in connection with acquisition and integration-related activities for the applicable period.
(4)Consists of start-up costs associated with entry into new countries for which the Company’s brands have not previously operated, including Brazil and Spain.
(5)Includes lease termination costs, impairment charges, and loss on disposal of property, plant and equipment. The quarter and three quarters ended October 1, 2023 include gains related to the termination of leases at certain Krispy Kreme shops in the U.S. where the Company had already recognized impairment of the corresponding right of use assets in a prior period.
(6)The quarter and three quarters ended September 29, 2024 consists primarily of costs associated with the restructuring of the KK U.K. executive team. The quarter and three quarters ended October 1, 2023 consists primarily of costs associated with restructuring of the global executive team.
(7)Consists of a gain related to the remeasurement of the equity method investments in KremeWorks USA, LLC and KremeWorks Canada, L.P. to fair value immediately prior to the acquisition of the shops. Refer to Note 2, Acquisitions and Divestitures for further information.
(8)The quarter and three quarters ended September 29, 2024 and October 1, 2023 consist primarily of legal and other regulatory expenses incurred outside the ordinary course of business. The three quarters ended September 29, 2024 also include a gain from insurance proceeds received related to a shop in the U.S. that was destroyed and subsequently rebuilt.
v3.24.3
Description of Business and Summary of Significant Accounting Policies (Details)
 9 Months Ended
Sep. 29, 2024
segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Number of reportable segments 3
v3.24.3
Acquisitions and Divestitures - Narrative (Details)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
USD ($)
store
franchisee
Jun. 30, 2024
USD ($)
Oct. 01, 2023
USD ($)
franchisee
Sep. 29, 2024
USD ($)
store
Oct. 01, 2023
USD ($)
franchisee
Business Acquisition [Line Items]          
Number of businesses acquired | franchisee     0   0
Gain on remeasurement of equity method investment $ 5,579   $ 0 $ 5,579 $ 0
Purchase of equity method investment       3,506 0
Payments to acquire businesses, net of cash acquired       $ 26,612 $ 0
Krispy Kreme Brazil          
Business Acquisition [Line Items]          
Ownership percentage 45.00%     45.00%  
Krispy Kreme Spain          
Business Acquisition [Line Items]          
Ownership percentage 25.00%     25.00%  
Krispy Kreme US Shops 2024          
Business Acquisition [Line Items]          
Number of businesses acquired | franchisee 2        
Consideration transferred $ 31,400        
Consideration transferred, cash 26,700        
Proceeds from equity method investment, distribution 6,700        
Consideration transferred, amount withheld to cover indemnification claims 2,100        
Consideration transferred, settlement of liabilities 2,600        
Deferred revenue 600     $ 600  
Indefinite-lived intangible assets 2,000     2,000  
Fair value of former equity method investments $ 6,714     $ 6,714  
Krispy Kreme US Shops 2024          
Business Acquisition [Line Items]          
Number of stores | store 9     9  
Fair value of former equity method investments $ 4,254     $ 4,254  
Krispy Kreme Canada Shops 2024          
Business Acquisition [Line Items]          
Number of stores | store 1     1  
Fair value of former equity method investments $ 2,460     $ 2,460  
Krispy Kreme Brazil          
Business Acquisition [Line Items]          
Purchase of equity method investment   $ 2,700      
Krispy Kreme Spain          
Business Acquisition [Line Items]          
Purchase of equity method investment   $ 800      
Awesome Doughnut, LLC          
Business Acquisition [Line Items]          
Payments to acquire businesses, net of cash acquired $ 32,900        
Awesome Doughnut, LLC | Awesome Doughnut, LLC, Pre-Buyout          
Business Acquisition [Line Items]          
Ownership percentage 70.00%     70.00%  
Awesome Doughnut, LLC | Awesome Doughnut, LLC, Post-Buyout          
Business Acquisition [Line Items]          
Ownership percentage 100.00%     100.00%  
v3.24.3
Acquisitions and Divestitures - Schedule of Business Acquisitions, by Acquisition (Details) - USD ($)
$ in Thousands
Sep. 29, 2024
Dec. 31, 2023
Oct. 01, 2023
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract]      
Goodwill $ 1,060,393 $ 1,101,939  
Krispy Kreme Canada Shops 2024      
Assets acquired:      
Cash and cash equivalents 1    
Prepaid expense and other current assets 63    
Property and equipment, net 971    
Other intangible assets, net 6,871    
Operating lease right of use asset, net 322    
Deferred income taxes, net 23    
Total identified assets acquired 8,251    
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract]      
Accrued liabilities 0    
Current operating lease liabilities (61)    
Noncurrent operating lease liabilities (261)    
Deferred income taxes, net 0    
Total liabilities assumed (322)    
Goodwill 3,625    
Purchase consideration, net 11,554    
Less: Fair value of former equity method investments (2,460)    
Purchase consideration, net 9,094    
Transaction Costs 589   $ 0
Krispy Kreme US Shops 2024      
Assets acquired:      
Cash and cash equivalents 5    
Prepaid expense and other current assets 308    
Property and equipment, net 10,358    
Other intangible assets, net 10,248    
Operating lease right of use asset, net 10,308    
Deferred income taxes, net 0    
Total identified assets acquired 31,227    
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract]      
Accrued liabilities (115)    
Current operating lease liabilities (1,153)    
Noncurrent operating lease liabilities (9,155)    
Deferred income taxes, net (514)    
Total liabilities assumed (10,937)    
Goodwill 6,258    
Purchase consideration, net 26,548    
Less: Fair value of former equity method investments (4,254)    
Purchase consideration, net 22,294    
Transaction Costs 1,787   102
Krispy Kreme US Shops 2024      
Assets acquired:      
Cash and cash equivalents 6    
Prepaid expense and other current assets 371    
Property and equipment, net 11,329    
Other intangible assets, net 17,119    
Operating lease right of use asset, net 10,630    
Deferred income taxes, net 23    
Total identified assets acquired 39,478    
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities [Abstract]      
Accrued liabilities (115)    
Current operating lease liabilities (1,214)    
Noncurrent operating lease liabilities (9,416)    
Deferred income taxes, net (514)    
Total liabilities assumed (11,259)    
Goodwill 9,883    
Purchase consideration, net 38,102    
Less: Fair value of former equity method investments (6,714)    
Purchase consideration, net 31,388    
Transaction Costs $ 2,376   $ 102
v3.24.3
Acquisitions and Divestitures - Schedule of Divestitures (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Aug. 01, 2024
Jul. 17, 2024
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Jul. 16, 2024
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]                
Gain on divestiture of Insomnia Cookies       $ 87,128 $ 0 $ 87,128 $ 0  
Insomnia Cookies                
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]                
Ownership percentage, parent     34.70%         75.00%
Disposal Group, Disposed of by Sale, Not Discontinued Operations                
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]                
Gain on divestiture of Insomnia Cookies           $ 87,100    
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Insomnia Cookies                
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]                
Cash proceeds     $ 120,870          
Additional cash   $ 45,000            
Gain on divestiture of Insomnia Cookies     87,128          
Fair value of retained noncontrolling interest in Insomnia Cookies $ 85,100   85,086          
Carrying value of former noncontrolling interest in Insomnia Cookies     33,579          
Less: Carrying value of net assets of Insomnia Cookies, including cash and cash equivalents     $ (152,407)          
v3.24.3
Inventories (Details) - USD ($)
$ in Thousands
Sep. 29, 2024
Dec. 31, 2023
Inventory Disclosure [Abstract]    
Raw materials $ 22,018 $ 21,000
Work in progress 429 211
Finished goods and purchased merchandise 9,039 13,505
Inventories $ 31,486 $ 34,716
v3.24.3
Inventories - Narrative (Details) - USD ($)
$ in Thousands
 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Inventory Disclosure [Abstract]    
Inventory write-off $ 1,731 $ 10,522
v3.24.3
Goodwill and Other Intangible Assets, net - Schedule of Goodwill (Details)
$ in Thousands
 9 Months Ended
Sep. 29, 2024
USD ($)
Goodwill [Roll Forward]  
Beginning balance $ 1,101,939
Acquisitions 9,883
Divestiture of Insomnia Cookies (54,803)
Foreign currency impact 3,374
Ending balance 1,060,393
U.S.  
Goodwill [Roll Forward]  
Beginning balance 677,956
Acquisitions 21,974
Divestiture of Insomnia Cookies (54,803)
Foreign currency impact 0
Ending balance 645,127
International  
Goodwill [Roll Forward]  
Beginning balance 294,468
Acquisitions 4,270
Divestiture of Insomnia Cookies 0
Foreign currency impact 3,374
Ending balance 302,112
Market Development  
Goodwill [Roll Forward]  
Beginning balance 129,515
Acquisitions (16,361)
Divestiture of Insomnia Cookies 0
Foreign currency impact 0
Ending balance $ 113,154
v3.24.3
Goodwill and Other Intangible Assets, net - Schedule of Other Intangible Assets (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Dec. 31, 2023
Intangible assets with definite lives          
Gross Carrying Amount $ 454,987   $ 454,987   $ 442,669
Accumulated Amortization (176,652)   (176,652)   (154,300)
Net Amount 278,335   278,335   288,369
Intangible Assets, Net (Excluding Goodwill) [Abstract]          
Gross Carrying Amount 1,008,387   1,008,387   1,100,649
Accumulated Amortization (176,652)   (176,652)   (154,300)
Net Amount 831,735   831,735   946,349
Amortization of intangible assets 7,800 $ 7,400 22,600 $ 22,000  
Insomnia Cookies          
Intangible assets with indefinite lives          
Indefinite-lived intangible assets, written off related to sale of business unit 104,600        
Trade names and trademarks (1)          
Intangible assets with indefinite lives          
Trade names and trademarks 553,400   553,400   657,980
Franchise agreements          
Intangible assets with definite lives          
Gross Carrying Amount 27,401   27,401   30,390
Accumulated Amortization (10,825)   (10,825)   (10,744)
Net Amount 16,576   16,576   19,646
Intangible Assets, Net (Excluding Goodwill) [Abstract]          
Accumulated Amortization (10,825)   (10,825)   (10,744)
Customer relationships          
Intangible assets with definite lives          
Gross Carrying Amount 15,000   15,000   15,000
Accumulated Amortization (7,062)   (7,062)   (6,413)
Net Amount 7,938   7,938   8,587
Intangible Assets, Net (Excluding Goodwill) [Abstract]          
Accumulated Amortization (7,062)   (7,062)   (6,413)
Reacquired franchise rights          
Intangible assets with definite lives          
Gross Carrying Amount 412,586   412,586   397,279
Accumulated Amortization (158,765)   (158,765)   (137,143)
Net Amount 253,821   253,821   260,136
Intangible Assets, Net (Excluding Goodwill) [Abstract]          
Accumulated Amortization $ (158,765)   $ (158,765)   $ (137,143)
v3.24.3
Leases - Schedule of Supplemental Balance Sheet Information Related to Leases (Details) - USD ($)
$ in Thousands
Sep. 29, 2024
Dec. 31, 2023
Assets    
Operating lease $ 409,425 $ 456,964
Finance lease $ 48,201 $ 41,411
Finance lease assets, statement of financial position [Extensible Enumeration] Property and equipment, net Property and equipment, net
Total leased assets $ 457,626 $ 498,375
Current    
Current operating lease liabilities 45,767 50,365
Current finance lease liabilities $ 10,077 $ 8,631
Finance lease liabilities, current, statement of financial position [Extensible Enumeration] Current portion of long-term debt Current portion of long-term debt
Noncurrent    
Noncurrent operating lease liabilities $ 406,726 $ 454,583
Noncurrent finance lease liabilities $ 44,472 $ 38,486
Finance lease liabilities, noncurrent, statement of financial position [Extensible Enumeration] Long-term debt, less current portion Long-term debt, less current portion
Total leased liabilities $ 507,042 $ 552,065
Insomnia Cookies    
Assets    
Operating lease 62,600  
Current    
Current operating lease liabilities 8,600  
Noncurrent    
Noncurrent operating lease liabilities $ 58,700  
v3.24.3
Leases - Schedule of Lease Costs (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Operating lease cost        
Short-term lease cost $ 1,478 $ 1,512 $ 3,828 $ 4,057
Variable lease costs 6,553 7,709 21,384 23,940
Sublease income (85) (35) (155) (105)
Amortization of right of use assets 3,051 2,020 8,839 5,385
Interest on lease liabilities 873 796 2,615 1,860
Selling, general and administrative expense        
Operating lease cost        
Operating lease cost 838 875 2,652 2,752
Operating expenses        
Operating lease cost        
Operating lease cost $ 22,227 $ 21,777 $ 70,615 $ 66,352
v3.24.3
Leases - Schedule of Supplemental Cash Flow Information Related to Leases (Details) - USD ($)
$ in Thousands
 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Cash paid for leases:    
Operating cash flows for operating leases $ 83,956 $ 88,101
Operating cash flows for finance leases 2,607 1,815
Financing cash flows for finance leases 8,442 7,552
Right of use assets obtained in exchange for new lease liabilities:    
Operating leases 40,182 57,469
Finance leases 15,019 13,435
Variable lease, payment $ 21,400 $ 23,900
v3.24.3
Leases - Additional Information (Details)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
USD ($)
Oct. 01, 2023
USD ($)
Apr. 02, 2023
USD ($)
property
Sep. 29, 2024
USD ($)
Oct. 01, 2023
USD ($)
Leases [Abstract]          
Number of real estate properties | property     1    
Proceeds from sale-leaseback     $ 10,000 $ 0 $ 10,025
Gain on sale-leaseback $ 0 $ 0 $ 9,600 $ 0 $ 9,646
v3.24.3
Fair Value Measurements (Details) - Fair value, recurring - USD ($)
Sep. 29, 2024
Dec. 31, 2023
Level 2    
Assets:    
Total Assets $ 292,000 $ 1,596,000
Liabilities:    
Total Liabilities 13,621,000 458,000
Level 2 | Interest rate derivatives    
Assets:    
Derivative assets   1,596,000
Liabilities:    
Derivative liabilities 13,511,000  
Level 2 | Commodity derivatives    
Liabilities:    
Derivative liabilities 110,000 113,000
Level 2 | Foreign currency derivatives    
Assets:    
Derivative assets 292,000  
Liabilities:    
Derivative liabilities   345,000
Level 3    
Assets:    
Total Assets 0 0
Level 1    
Assets:    
Total Assets $ 0 $ 0
v3.24.3
Derivative Instruments - Additional Information (Details)
$ in Thousands, gal in Millions
 3 Months Ended 9 Months Ended
Sep. 29, 2024
USD ($)
gal
Dec. 31, 2023
USD ($)
gal
Apr. 02, 2023
USD ($)
Sep. 29, 2024
USD ($)
Oct. 01, 2023
USD ($)
Jun. 30, 2024
USD ($)
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Settlement of interest rate swap derivatives     $ 7,700 $ 0 $ 7,657  
2023 Facility | Term Loan            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative, amount of hedged item $ 500,000 $ 505,000   500,000    
Derivatives Not Designated as Hedging Instruments            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative liability, fair value 110 458   110    
Derivative asset, fair value 292 0   292    
Derivatives Designated as Hedging Instruments            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative liability, fair value 13,511 0   13,511    
Derivative asset, fair value $ 0 $ 1,596   0    
Commodity derivatives | Derivatives Not Designated as Hedging Instruments            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative, notional amount (in gallons) | gal 1.2 1.8        
Derivative liability, fair value $ 100 $ 100   100    
Interest rate derivatives | Derivatives Designated as Hedging Instruments            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative, notional amount     $ 265,000      
Interest rate derivatives | Derivatives Designated as Hedging Instruments | Prior debt agreements            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative, notional amount           $ 505,000
Interest rate derivatives | Derivatives Designated as Hedging Instruments | Interest Rate Contract, New Interest Rate Swap Agreement            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative, notional amount 500,000     500,000    
Interest rate derivatives | Derivatives Designated as Hedging Instruments | Cash Flow Hedging            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative liability, fair value 13,500     13,500    
Derivative asset, fair value   1,600        
Foreign currency derivatives | Derivatives Not Designated as Hedging Instruments            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative liability, fair value   300        
Derivative asset, fair value 300     300    
Derivative, notional amount $ 76,800 $ 49,800   $ 76,800    
Interest Rate Contract, New Interest Rate Swap Agreement | Derivatives Designated as Hedging Instruments            
Derivative Instruments and Hedging Activities Disclosures [Line Items]            
Derivative, fixed interest rate 4.00%     4.00%    
v3.24.3
Derivative Instruments - Schedule of Derivative Instruments in Condensed Consolidated Balance Sheets, Fair Value (Details) - USD ($)
$ in Thousands
Sep. 29, 2024
Dec. 31, 2023
Derivatives Not Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative asset, fair value $ 292 $ 0
Derivative liability, fair value 110 458
Derivatives Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative asset, fair value 0 1,596
Derivative liability, fair value 13,511 0
Commodity derivatives | Derivatives Not Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative liability, fair value 100 100
Foreign currency derivatives | Derivatives Not Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative asset, fair value 300  
Derivative liability, fair value   300
Prepaid expense and other current assets | Foreign currency derivatives | Derivatives Not Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative asset, fair value 292 0
Prepaid expense and other current assets | Interest rate derivatives | Derivatives Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative asset, fair value 0 1,596
Accrued liabilities | Commodity derivatives | Derivatives Not Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative liability, fair value 110 113
Accrued liabilities | Foreign currency derivatives | Derivatives Not Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative liability, fair value 0 345
Accrued liabilities | Interest rate derivatives | Derivatives Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative liability, fair value 3,805 0
Other long-term obligations and deferred credits | Interest rate derivatives | Derivatives Designated as Hedging Instruments    
Derivatives, Fair Value [Line Items]    
Derivative liability, fair value $ 9,706 $ 0
v3.24.3
Derivative Instruments - Schedule of Derivative Instruments in Condensed Consolidated Statements of Operations, Gain (Loss) (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Derivative gain (loss) recognised in income, derivatives designated as hedging instruments $ 903 $ 2,946 $ 6,970 $ 5,578
Derivative gain (loss) recognised in income, derivatives not designated as hedging instruments 437 832 640 510
Interest rate derivatives | Interest expense, net        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Derivative gain (loss) recognised in income, derivatives designated as hedging instruments 903 2,946 6,970 5,578
Foreign currency derivatives | Other non-operating (income)/expense, net        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Derivative gain (loss) recognised in income, derivatives not designated as hedging instruments 700 599 637 661
Commodity derivatives | Other non-operating (income)/expense, net        
Derivative Instruments and Hedging Activities Disclosures [Line Items]        
Derivative gain (loss) recognised in income, derivatives not designated as hedging instruments $ (263) $ 233 $ 3 $ (151)
v3.24.3
Vendor Finance Programs (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Sep. 29, 2024
Dec. 31, 2023
Supplier Finance Program [Line Items]      
Vendor finance program $ 147,852 $ 147,852 $ 181,343
Supply Chain Financing Programs      
Supplier Finance Program [Line Items]      
Vendor finance program 8,682 $ 8,682 51,239
Supply Chain Financing Programs | Insomnia Cookies      
Supplier Finance Program [Line Items]      
Vendor finance program, obligation, period increase (decrease) (23,200)    
Supply Chain Financing Programs | KKI      
Supplier Finance Program [Line Items]      
Period of trade payables payment   180 days  
Supply Chain Financing Programs | Vendors Under SCF Program      
Supplier Finance Program [Line Items]      
Period of trade payables payment   360 days  
Structured Payables Programs      
Supplier Finance Program [Line Items]      
Vendor finance program 139,170 $ 139,170 $ 130,104
Structured Payables Programs | Insomnia Cookies      
Supplier Finance Program [Line Items]      
Vendor finance program, obligation, period increase (decrease) $ (25,600)    
v3.24.3
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($)
$ in Thousands
Sep. 29, 2024
Dec. 31, 2023
Debt Instrument [Line Items]    
Less: Debt issuance costs $ (3,584) $ (4,371)
Finance lease obligations 54,549 47,117
Total long-term debt 852,215 891,246
Less: Current portion of long-term debt (47,577) (54,631)
Long-term debt, less current portion 804,638 836,615
Credit Facility    
Debt Instrument [Line Items]    
Short-term lines of credit 2,500 11,000
Term Loan | 2023 Facility    
Debt Instrument [Line Items]    
Long-term debt, gross 656,250 682,500
Credit Facility | 2023 Facility | Revolving Credit Facility    
Debt Instrument [Line Items]    
Long-term debt, gross $ 142,500 $ 155,000
v3.24.3
Long-Term Debt - Narrative (Details)
 9 Months Ended
Sep. 29, 2024
USD ($)
agreement
Sep. 29, 2024
USD ($)
Dec. 31, 2023
USD ($)
Mar. 31, 2023
USD ($)
Credit Facility        
Debt Instrument [Line Items]        
Line of credit facility, maximum borrowing capacity $ 25,000,000 $ 25,000,000    
Debt instrument, basis spread on variable rate 1.75%      
Number of agreements | agreement 2      
Secured Overnight Financing Rate (SOFR) | Credit Facility        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate 0.10%      
2023 Facility | Secured Overnight Financing Rate (SOFR)        
Debt Instrument [Line Items]        
Debt instrument, interest rate, stated percentage 6.95% 6.95% 7.46%  
2023 Facility | Credit Spread Adjustment        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   0.10%    
2023 Facility | Leverage Ratio equal to or exceeds 4.00 to 1.00 | Secured Overnight Financing Rate (SOFR)        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   2.25%    
2023 Facility | Leverage Ratio less than 4.00 to 1.00 but greater than or equal to 3.00 to 1.00 | Secured Overnight Financing Rate (SOFR)        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   2.00%    
2023 Facility | Leverage Ratio less than 3.00 to 1.00 | Secured Overnight Financing Rate (SOFR)        
Debt Instrument [Line Items]        
Debt instrument, basis spread on variable rate   1.75%    
2023 Facility | Term Loan        
Debt Instrument [Line Items]        
Line of credit facility, maximum borrowing capacity       $ 700,000,000
Derivative, amount of hedged item $ 500,000,000.0 $ 500,000,000.0 $ 505,000,000.0  
Debt instrument, interest rate, effective percentage 6.32% 6.32% 6.80%  
Revolving Credit Facility | 2023 Facility        
Debt Instrument [Line Items]        
Line of credit facility, maximum borrowing capacity       $ 300,000,000
v3.24.3
Share-based Compensation - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock option plan expense $ 0.8 $ 0.9 $ 2.6 $ 2.7
KKI        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Stock options vested (in shares) 0 0 1,500,000 0
Stock option exercised (in shares)     0  
Restricted Stock Units (RSUs) and Performance Stock Units (PSUs)        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Restricted stock unit expense $ 9.2 $ 6.5 $ 22.1 $ 15.1
Restricted Stock Units (RSUs) and Performance Stock Units (PSUs) | KKI        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Granted (in shares)     1,738,000  
Granted (in shares)     1,738,000  
v3.24.3
Share-based Compensation - Schedule of RSU Activity (Details)
shares in Thousands
 9 Months Ended
Sep. 29, 2024
$ / shares
shares
Restricted Stock Units (RSUs) | KK U.K.  
RSUs and PSUs  
Beginning balance, non-vested shares outstanding (in shares) | shares 7
Granted (in shares) | shares 0
Vested (in shares) | shares 0
Forfeited (in shares) | shares 0
Ending balance, non-vested shares outstanding (in shares) | shares 7
Weighted Average Grant Date Fair Value  
Beginning balance, non-vested shares outstanding (in USD per share) | $ / shares $ 29.80
Granted, weighted average grant date fair value (in USD per share) | $ / shares 0
Vested, weighted average grant date fair value (in USD per share) | $ / shares 0
Forfeited, weighted average grant date fair value (in USD per share) | $ / shares 0
Ending balance, non-vested shares outstanding (in USD per share) | $ / shares $ 29.80
Restricted Stock Units (RSUs) | KK Australia  
RSUs and PSUs  
Beginning balance, non-vested shares outstanding (in shares) | shares 185
Granted (in shares) | shares 0
Vested (in shares) | shares 22
Forfeited (in shares) | shares 0
Ending balance, non-vested shares outstanding (in shares) | shares 163
Weighted Average Grant Date Fair Value  
Beginning balance, non-vested shares outstanding (in USD per share) | $ / shares $ 1.57
Granted, weighted average grant date fair value (in USD per share) | $ / shares 0
Vested, weighted average grant date fair value (in USD per share) | $ / shares 1.61
Forfeited, weighted average grant date fair value (in USD per share) | $ / shares 0
Ending balance, non-vested shares outstanding (in USD per share) | $ / shares $ 1.57
Restricted Stock Units (RSUs) | KK Mexico  
RSUs and PSUs  
Beginning balance, non-vested shares outstanding (in shares) | shares 20
Granted (in shares) | shares 0
Vested (in shares) | shares 2
Forfeited (in shares) | shares 0
Ending balance, non-vested shares outstanding (in shares) | shares 18
Weighted Average Grant Date Fair Value  
Beginning balance, non-vested shares outstanding (in USD per share) | $ / shares $ 30.18
Granted, weighted average grant date fair value (in USD per share) | $ / shares 0
Vested, weighted average grant date fair value (in USD per share) | $ / shares 29.21
Forfeited, weighted average grant date fair value (in USD per share) | $ / shares 0
Ending balance, non-vested shares outstanding (in USD per share) | $ / shares $ 30.01
Restricted Stock Units (RSUs) and Performance Stock Units (PSUs) | KKI  
RSUs and PSUs  
Beginning balance, non-vested shares outstanding (in shares) | shares 6,785
Granted (in shares) | shares 1,738
Vested (in shares) | shares 1,524
Forfeited (in shares) | shares 388
Ending balance, non-vested shares outstanding (in shares) | shares 6,611
Weighted Average Grant Date Fair Value  
Beginning balance, non-vested shares outstanding (in USD per share) | $ / shares $ 14.54
Granted, weighted average grant date fair value (in USD per share) | $ / shares 14.53
Vested, weighted average grant date fair value (in USD per share) | $ / shares 14.93
Forfeited, weighted average grant date fair value (in USD per share) | $ / shares 15.00
Ending balance, non-vested shares outstanding (in USD per share) | $ / shares $ 14.53
v3.24.3
Share-based Compensation - Schedule of RSU Unrecognized Compensation Expense (Details)
$ in Thousands
 9 Months Ended
Sep. 29, 2024
USD ($)
Restricted Stock Units (RSUs) | KK U.K.  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Unrecognized Compensation Cost $ 77
Recognized Over a Weighted-Average Period of 1 year 8 months 12 days
Restricted Stock Units (RSUs) | KK Australia  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Unrecognized Compensation Cost $ 52
Recognized Over a Weighted-Average Period of 1 year
Restricted Stock Units (RSUs) | KK Mexico  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Unrecognized Compensation Cost $ 108
Recognized Over a Weighted-Average Period of 10 months 24 days
Restricted Stock Units (RSUs) and Performance Stock Units (PSUs) | KKI  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Unrecognized Compensation Cost $ 59,519
Recognized Over a Weighted-Average Period of 3 years
v3.24.3
Share-based Compensation - Schedule of Stock Option Activity (Details) - KKI - $ / shares
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Options        
Beginning balance, share options outstanding (in shares)     2,993,000  
Granted (in shares)     0  
Exercised (in shares)     0  
Forfeited or expired (in shares)     166,000  
Ending balance, share options outstanding (in shares) 2,827,000   2,827,000  
Forfeited or expired (in USD per share)     $ 6.10  
Exercised (in USD per share)     0  
Granted (in USD per share)     0  
Weighted Average Grant Date Fair Value        
Beginning balance, share options outstanding (in USD per share)     5.90  
Ending balance, share options outstanding (in USD per share) $ 5.89   5.89  
Forfeited or expired (in USD per share)     14.61  
Exercised (in USD per share)     0  
Granted (in USD per share)     0  
Weighted Average Exercise Price        
Beginning balance, share options outstanding (in USD per share)     14.30  
Ending balance, share options outstanding (in USD per share) $ 14.29   $ 14.29  
Stock options vested (in shares) 0 0 1,500,000 0
v3.24.3
Share-based Compensation - Schedule of Stock Option Unrecognized Compensation Expense (Details) - Share-based Payment Arrangement, Option - KKI
$ in Thousands
 9 Months Ended
Sep. 29, 2024
USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Unrecognized Compensation Cost $ 5,036
Recognized Over a Weighted-Average Period of 1 year 6 months
v3.24.3
Income Taxes (Details)
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Income Tax Disclosure [Abstract]        
Effective income tax rate 32.00% (153.30%) 41.40% (80.00%)
v3.24.3
Commitments and Contingencies (Details) - USD ($)
$ in Millions
Sep. 29, 2024
Dec. 31, 2023
Loss Contingencies [Line Items]    
Letters of credit outstanding $ 20.3 $ 15.4
v3.24.3
Related Party Transactions (Details)
$ in Thousands
Sep. 29, 2024
USD ($)
equity_method_investment
Dec. 31, 2023
USD ($)
Related Party Transaction [Line Items]    
Number of franchisees | equity_method_investment 4,000,000  
Investments in unconsolidated entities $ 91,033 $ 2,806
Equity Method Investee    
Related Party Transaction [Line Items]    
Investments in unconsolidated entities $ 91,000 $ 2,800
Krispy Kreme France    
Related Party Transaction [Line Items]    
Ownership percentage 33.00%  
Krispy Kreme Brazil    
Related Party Transaction [Line Items]    
Ownership percentage 45.00%  
Krispy Kreme Spain    
Related Party Transaction [Line Items]    
Ownership percentage 25.00%  
Insomnia Cookies    
Related Party Transaction [Line Items]    
Ownership percentage 35.00%  
KremeWorks USA, LLC    
Related Party Transaction [Line Items]    
Ownership percentage   20.00%
KremeWorks Canada, L.P.    
Related Party Transaction [Line Items]    
Ownership percentage   25.00%
v3.24.3
Revenue Recognition - Summary of Disaggregation of Revenues (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Disaggregation of Revenue [Line Items]        
Total net revenues $ 379,867 $ 407,367 $ 1,261,374 $ 1,235,199
Company Shops, DFD and Branded Sweet Treats        
Disaggregation of Revenue [Line Items]        
Total net revenues 358,110 385,810 1,192,071 1,166,052
Mix and equipment revenue from franchisees        
Disaggregation of Revenue [Line Items]        
Total net revenues 12,552 12,935 41,514 43,715
Franchise royalties and other        
Disaggregation of Revenue [Line Items]        
Total net revenues $ 9,205 $ 8,622 $ 27,789 $ 25,432
v3.24.3
Revenue Recognition - Summary of Contract Balances with Customers (Details) - USD ($)
$ in Thousands
Sep. 29, 2024
Dec. 31, 2023
Revenue from Contract with Customer [Abstract]    
Trade receivables, net of allowances of $622 and $564, respectively $ 55,336 $ 45,858
Trade receivables, allowance for credit loss 622 564
Deferred revenue:    
Current 14,240 22,066
Noncurrent 8,629 6,005
Total deferred revenue $ 22,869 $ 28,071
v3.24.3
Net Loss per Share - Schedule of Net Loss Per Share, Basic and Diluted (Details) - USD ($)
$ / shares in Units, $ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Earnings Per Share [Abstract]        
Net income/(loss) attributable to Krispy Kreme, Inc. $ 39,563 $ (40,457) $ 25,538 $ (40,535)
Additional income attributed to noncontrolling interest due to subsidiary potential common shares (4) (7) (28) (14)
Net income/(loss) attributable to common shareholders - Diluted $ 39,559 $ (40,464) $ 25,510 $ (40,549)
Basic weighted average common shares outstanding (in shares) 169,596,000 168,224,000 169,125,000 168,183,000
Dilutive effect of outstanding common stock options and RSUs (in shares) 1,890,000 0 2,259,000 0
Diluted weighted average common shares outstanding (in shares) 171,486,000 168,224,000 171,384,000 168,183,000
Net income/(loss) per share:        
Basic earnings/(loss) per share (in dollars per shares) $ 0.23 $ (0.24) $ 0.15 $ (0.24)
Diluted earnings/(loss) per share (in dollars per shares) $ 0.23 $ (0.24) $ 0.15 $ (0.24)
v3.24.3
Net Loss per Share - Schedule of Antidilutive Unvested RSUs Excluded from Computation of Net Loss per Share (Details) - Restricted Stock Units (RSUs) - shares
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
KKI        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of net loss per share 2,807,000 6,444,000 2,807,000 6,444,000
KK U.K.        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of net loss per share 7,000 7,000 7,000 0
Insomnia Cookies        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of net loss per share 0 37,000 0 37,000
KK Australia        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of net loss per share 0 0 0 0
KK Mexico        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of net loss per share 0 0 0 0
v3.24.3
Net Loss per Share - Additional Information (Details) - shares
shares in Millions
 3 Months Ended 9 Months Ended
Sep. 29, 2024
Oct. 01, 2023
Sep. 29, 2024
Oct. 01, 2023
Share-based Payment Arrangement, Option | KKI        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Antidilutive securities excluded from computation of net loss per share 2.8 3.0 2.8 3.0
v3.24.3
Segment Reporting (Details)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 29, 2024
USD ($)
Jun. 30, 2024
USD ($)
Mar. 31, 2024
USD ($)
Oct. 01, 2023
USD ($)
Jul. 02, 2023
USD ($)
Apr. 02, 2023
USD ($)
Sep. 29, 2024
USD ($)
segment
Oct. 01, 2023
USD ($)
Jul. 17, 2024
Jul. 16, 2024
Segment Reporting Information [Line Items]                    
Number of reportable segments | segment             3      
Total net revenues $ 379,867     $ 407,367     $ 1,261,374 $ 1,235,199    
Segment adjusted EBITDA 34,699     43,741     147,613 147,483    
Interest expense, net 16,280     12,807     44,468 36,858    
Income tax expense 17,679     24,367     18,330 17,121    
Depreciation and amortization expense 31,376     32,007     99,562 89,142    
Share-based compensation 9,969     7,452     24,603 17,821    
Employer payroll taxes related to share-based compensation 49     96     299 310    
Gain on divestiture of Insomnia Cookies (87,128)     0     (87,128) 0    
Other non-operating (income)/expense, net (407)     971     1,115 3,031    
Strategic initiatives 11,426     5,895     20,434 23,841    
Acquisition and integration expenses 1,938     49     3,037 479    
New market penetration expenses 156     678     1,194 1,013    
Shop closure expenses 21     (449)     788 356    
Restructuring and severance expenses 631     552     769 2,799    
Gain on remeasurement of equity method investment (5,579)     0     (5,579) 0    
Gain on sale-leaseback 0     0   $ (9,600) 0 (9,646)    
Other 716     (426)     (257) 2,888    
Net income/(loss) 37,572 $ (4,931) $ (6,663) (40,258) $ 84 $ 1,644 25,978 (38,530)    
Insomnia Cookies                    
Segment Reporting Information [Line Items]                    
Ownership percentage, parent                 34.70% 75.00%
Corporate                    
Segment Reporting Information [Line Items]                    
Segment adjusted EBITDA (13,273)     (13,294)     (42,609) (41,902)    
U.S.                    
Segment Reporting Information [Line Items]                    
Total net revenues 228,376     260,177     813,615 808,938    
U.S. | Operating Segments                    
Segment Reporting Information [Line Items]                    
Segment adjusted EBITDA 13,922     22,258     89,206 88,878    
International                    
Segment Reporting Information [Line Items]                    
Total net revenues 130,697     126,077     380,716 358,653    
International | Operating Segments                    
Segment Reporting Information [Line Items]                    
Segment adjusted EBITDA 22,779     24,961     64,970 68,645    
Market Development                    
Segment Reporting Information [Line Items]                    
Total net revenues 20,794     21,113     67,043 67,608    
Market Development | Operating Segments                    
Segment Reporting Information [Line Items]                    
Segment adjusted EBITDA $ 11,271     $ 9,816     $ 36,046 $ 31,862