Here's how bad things are at Papa John's when it comes to workplace culture, business outlook, and more
It's now been over a year since John Schnatter, the founder and ex-CEO of Papa John's ($NASDAQ:PZZA), claimed that NFL players kneeling for the national anthem led to a decrease in same-store sales.
What followed was a turbulent year for the chain pizzeria; Schnatter went from chief executive to ousted pariah locked in a lawsuit over his stake in the place that bears his name as the company lost a major sponsorship with the NFL as well as other key partners. Meanwhile, sales at stores continue to slide and franchisees are grouping up under an association to engage corporate with a specialist lawyer.
In this past quarter, same-store sales were down 9.8%, which for some investors, was a sign of hope; at least it wasn't down 10.7% as analysts predicted. Still, there are plenty of problems that Papa John's is facing, especially when it comes to their social media and employee sentiments.
On Facebook, Papa John's official page is undergoing a slowdown.
In the past two months, Papa John's official Facebook page only went up 15,236 Likes, a far cry from the tens of thousands of Likes it used to pull every day.
Meanwhile on Glassdoor, employees ranging from corporate to people making pizza in stores are anonymously reporting their declining hopes in the company's future. Papa John's business outlook rating is currently 34%, the lowest point since Thinknum began tracking the company in June 2017.
Furthermore, its current CEO Steve Ritchie isn't finding as much success among his subordinates as the ousted Schnatter: his current CEO Approval rating of 55% is just below where Schnatter was in the days leading up to his removal (which is represented by the wild swing in ratings on January 1, 2018).
As buyout firms are looking to wrest control of the company from its disgruntled and disgraced founder, who also owns 30% of the company, Papa John's continues to get tossed about in both financial and alternative metrics.