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9h ago

McDonald’s, Krispy Kreme to End US Donut Partnership by July 2025

They said they could not bring costs in line with demand, making the deal untenable.

A Krispy Kreme Doughnuts logo is pictured in Burbank, California, U.S., July 1, 2021. REUTERS/Mario Anzuoni/File Photo
Signage outside a McDonald's restaurant in Washington, DC, U.S., November 25, 2024. REUTERS/Benoit Tessier/File Photo
A McDonald's; Krispy Kreme doughnuts.

Overview

  • The venture, announced in March 2024, saw Krispy Kreme donuts introduced in roughly 2,400 of McDonald’s 14,000 US restaurants.
  • Krispy Kreme CEO Josh Charlesworth said efforts to rein in costs relative to demand failed, rendering the partnership unsustainable.
  • Under the deal, Krispy Kreme agreed not to supply donuts to any other US quick-service chain through the end of 2026.
  • Krispy Kreme shares have plunged about 70% this year as the company paused expansion and withdrew its annual forecast in May.
  • Krispy Kreme will refocus on its own high-volume retail channels, prioritizing international franchise expansion after exiting the US quick-service market deal.