How did DNUT's Q4 earnings surprise impact investor confidence?

Krispy Kreme's (DNUT) Q4 earnings surprise had a negative impact on investor confidence, as evidenced by the following points:

1. **Missed Earnings Expectations**: DNUT reported an adjusted loss of -$0.01 per share for Q3, missing the consensus estimate of $0.01 earnings per share. This shortfall contributed to a decline in investor confidence.
2. **Revenue Falls Short**: Although revenue came in at $379.9 million, slightly below analysts' expectations of $380.33 million, the fact that it missed expectations contributed to the negative sentiment.
3. **Organic Revenue Growth Masked by Non-Recurring Items**: The company's organic revenue increased by 3.5% year-over-year, driven by growth in digital and DFD sales. However, this positive aspect was likely overshadowed by the negative impacts of the Insomnia Cookies sale and underperformance in the U.S. and U.K. markets.
4. **Full-Year Guidance Adjustment**: DNUT adjusted its full-year guidance, expecting adjusted EPS of $0.18 to $0.22, compared to the analyst consensus of $0.25. This adjustment likely raised concerns among investors about the company's financial outlook.
5. **Stock Price Reaction**: Following the earnings release, DNUT's shares experienced a decline, reflecting investor disappointment and a loss of confidence in the company's short-term prospects.

In conclusion, DNUT's Q4 earnings surprise, with a reported loss and missed expectations, along with a decline in revenue and full-year guidance adjustments, collectively contributed to a negative impact on investor confidence.