Shake Shack Serves Up Mixed Q1 Results With Strong Sales Growth, Stock Rises

Zinger Key Points
  • Shake Shack's Q1 revenue of $290.5 million misses the analyst consensus estimate of $290.656 million.
  • Shake Shack held $260.2 million in cash and equivalents as of March 27.

Fast casual restaurant chain Shake Shack Inc SHAK reported first-quarter FY24 sales growth of 14.7% year-on-year to $290.5 million, missing the analyst consensus estimate of $290.656 million.

System-wide sales grew 12.3%, and Same-Shack sales climbed 1.6%.

Operating income for the quarter was $0.0 million compared to an operating loss of $3.2 million.

The company held $260.2 million in cash and equivalents as of March 27. Operating cash flow for three months totaled $30.6 million.

Adjusted EBITDA for the quarter climbed 30.2% to $35.9 million, with the margin expanding 150 basis points to 12.4%.

Shake Shack opened four new company-operated Shacks, including two drive-thru locations, and opened four new licensed Shacks.

Adjusted pro forma EPS was $0.133 for the quarter, beating the consensus estimate of $0.10.

Price Action: SHAK shares are trading higher by 4.6% at $108.16 at the last check Thursday.

Now Read: Federal Reserve Takes Cautious Stand On Inflation, Powell Signals Preference For Rate Cuts Over Hikes

Image generated using artificial intelligence via Midjourney.

Market News and Data brought to you by Benzinga APIs
Posted In: NewsTop StoriesGeneralBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!