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Non-Tech : Krispy Kreme Doughnuts, Inc. (KKD)
KKD 21.000.0%Aug 4 5:00 PM EST

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To: Jon Koplik who wrote (564)11/17/2000 3:46:11 PM
From: Kevin Podsiadlik  Read Replies (1) of 1001
 
You said a couple weeks back, "I really do NOT think KREM has to worry about things like narrow margins, pricing power etc ... this sounds like an analysis that might apply to a steak house restaurant, not a donut shop."

Funny, I don't think you'd have made this comparison if you'd bothered to check the basic financial statements.

OSI (Outback Steakhouse): operating margin 13.7%, net margin 7.5%
KREM (first two Q's reported): operating margin 8.0%, net margin 4.7%

And of course, despite income more than fourteen times that of KREM, OSI only sports a market cap roughly twice that of KREM.

Nice try though.
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