The company, which currently operates 2,978 Papa John's restaurants in 49 states and 25 countries, said it has also inked a 10-year development agreement to open 100 restaurants in northern India, and will develop an additional 75 restaurants in southern and western India in the next six years.
The firm said it also acquired 11 franchised restaurants in the Raleigh, NC market at the start of the fourth quarter. News of the firm's international expansion plans came as the company announced that profits jumped 21% for the third quarter.
The fast-food retailer said net income for the period ended Sept. 24 reached $13.1 million, or 40 cents per share, $2.3 million more than the $10.8 million, or 31 cents per share, earned in the same quarter last year. Sales for the quarter were also up at $239.7 million, 2.8% more than the prior year's third quarter.
"Our third quarter results were very good, with our system continuing to outperform the competition in a very challenging environment, while we continue to make both domestic and international investments to sustain our longer-term growth," said Nigel Travis, Papa John's president and chief executive officer.
A 1.8% drop in October sales at established domestic stores sent the firm's stock plummeting more than 8%, however, ending 23 months of positive sales growth for the pizza maker. Papa John's International sales were up 21.4% for the four weeks ended Oct. 22, 2006,
Revenues for the nine month period ended Sept. 24 were flat at $723.6 million while net income for the first nine months of the year was $44.4 million, or $1.33 per share. Last year, net income for the period was $31.6 million, or 92 cents per share.
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