Since its founding in 1984, Papa Johns Pizza has emerged as one of America’s favorite restaurants. High-quality ingredients combined with innovative menu items keep that reputation alive, and the brand has even expanded internationally, becoming a top purveyor of pizza around the world. It’s no surprise, then, that the company grew massively after going public in 1993. In a few years, the number of stores quickly multiplied from 500 to 1,500, and Papa Johns stock became a hot commodity. The company has weathered many changes since that time, though, and many investors might wonder what the Papa Johns financial profile looks like now.
Who’s In Charge?
In order to fully understand Papa Johns financials, you should understand who’s currently in charge of the company. Of course, one of the biggest changes that’s affected Papa Johns is the major shift in leadership that occurred in 2018. After the resignation of founder John Schnatter, company president Steve Ritchie was promoted to CEO. He, too, would resign, though — and the CEO position was filled by Robert “Rob” Lynch in 2019. Lynch had previously served as the president of Arby’s as vice president of marketing at Taco Bell.
Despite these changes in corporate leadership, the company has been backed by a consistent group of stockholders. At the top of this list is the brand’s top investor, T. Rowe Price Associates, Inc., followed by The Vanguard Group, Inc, and BlackRock Institutional Trust Company, N.A. T. Rowe Price, Inc. is notable because it is the top Papa Johns investor, and it increased its stocks in 2018, becoming a major shareholder in the company. This move was seen by many as a demonstration of trust in the company’s future and growth.
What Changes Are Rob Lynch Planning to Make?
Rob Lynch came to the helm of Papa Johns in a moment of turmoil — a fact that’s made his success all the most impressive. Much of the revenue CEO Papa Johns has generated can be attributed to the brand’s newfound emphasis on innovative menu items. Indeed, this has become one of Rob Lynch’s most promising changes, with new product offerings such as garlic Parmesan crust and Shaq-A-Roni drawing in new customers. The restaurant’s menu continues to expand with new products such as the Papadias quickly becoming a popular selection. These flatbread-style sandwiches come in several flavors, including buffalo chicken, Philly cheesesteak, meatball and pepperoni, grilled BBQ chicken and bacon, and Italian.
New products aren’t the only innovation Lynch is bringing to the brand, though. Under the new CEO’s leadership, there will be increased support offered to franchisees. In October 2021, Papa Johns once again reached new heights by signing the largest U.S. franchise agreement in its corporate history. The deal includes plans for the development of 100 new stores throughout Texas. Lynch promises to continue his track record of advocacy for franchisees by providing store owners with the resources and support they need to succeed. If the time since Lynch’s appointment is any indication, fans of Papa Johns can expect a future full of growth and increased profits.