- Papa John’s CEO’s net worth fell $70 million in one day. John Schnatter blamed NFL leadership and players’ national-anthem protests for the chain’s subpar sales in the most recent quarter. Papa John’s shares took a hit following his comments.
The CEO and founder of Papa John’s saw his net worth drop by millions after the pizza chain reported worse-than-expected sales, which he blamed on the NFL.
John Schnatter’s net worth dropped $70 million between Tuesday afternoon and Wednesday afternoon, Forbes reported. As of Wednesday, Schnatter was worth $801 million.
Schnatter owns roughly 25% of Papa John’s – so when the company suffers, he is directly affected.
Papa John’s shares plummeted after the company reported on Tuesday that same-store sales increased 1% in the most recent quarter, falling short of expectations. The company additionally lowered its forecast for North American same-store sales for the year to 1.5%, down from 2 to 4%.
- Markets Insider
Shares fell further after the company’s earnings all on Wednesday morning, during which Schnatter blamed NFL leadership for failing to resolve the controversy over players protesting during the national anthem.
The San Francisco 49ers quarterback Colin Kaepernick started kneeling during the anthem last year to protest racial injustice and police brutality. The controversy over the protests was renewed in September after President Donald Trump said players who did so should be fired.
“We are totally disappointed that the NFL and its leadership did not resolve the ongoing situation to the satisfaction of all parties long ago,” Schnatter said. “This should have been nipped in the bud a year and a half ago.”
Papa John’s shares have since recovered somewhat, trading at $61.50 as of 10:05 a.m. on Thursday.