The level of Papa John’s delivery driver staff is getting ‘progressively better’, says the CEO

Pope John’s is recording an improvement in the number of staff for delivery drivers, CEO Rob Lynch told CNBC’s Jim Cramer on Monday.

“April was a challenging month, but our staffing situation was progressively getting better. We’re starting to get drivers to come and take orders. … Our demand is still high, and it was a challenge to serve those orders,” Lynch said in interview with Mad Money, adding that partnerships with DoorDash, GrubHub and Uber Eats have helped mitigate work challenges.

Pope John’s reported earnings and revenues better than expected in the last quarter. The company said the availability of supply and lack of manpower are some of the major obstacles for the company.

Shares of the pizza company fell 4.37 percent on Monday, reaching a new low of 52 weeks earlier in the day.

As for other obstacles to Papa John’s business, Lynch said that while inflation increases costs for the company, it is wary of rising prices. Pope John’s raised prices by an average of about 7% in its business stores last quarter.

“We haven’t seen this level of food inflation in about 40 years. … We’re looking at it here in the long run. We keep bringing in new customers,” he said.

“So we’re not taking as many prices as we need to cover the entire cost, because we want to make sure that when we get through these challenging times and get back to a more normalized cost rate, we’ll have those customers,” he added.

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