(NewsNation) — Krispy Kreme is “reassessing” its partnership with McDonald’s, which aimed to offer doughnuts at the burger chain’s U.S. restaurants nationwide.
In Thursday’s quarterly earnings report, the doughnut chain said it will be pausing a “phased market rollout” of Krispy Kreme doughnuts to McDonald’s restaurants nationwide.
Krispy Kreme said its net revenue declined $59.4 million, 20.1%, primarily due to a $64.3 million “reduction associated with the sale of a majority stake in Insomnia Cookies.”
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As of March, Krispy Kreme doughnuts are currently available in 2,400 McDonald’s restaurants. Last year, Krispy Kreme and McDonald’s announced the deal, with the intention of the treats being fully available at all McDonald’s U.S. restaurants by the end of 2026.
Krispy Kreme said the hiatus will help the chain “achieve a profitable business model for all parties.”
“Krispy Kreme continues to believe in the long-term opportunity of profitable growth through the US nationwide expansion including McDonald’s,” the company said.
