Sweetgreen reports Q3 EPS (18c), consensus (13c)

Reports Q3 revenue $173.4M, consensus $175.2M. Reports Q3 Same-Store Sales up 6%, up from Same-Store Sales Change of 4% in the prior year period. AUV of $2.9 million was consistent with the prior year period. “Our strong third-quarter performance demonstrates that our focus on menu innovation showcasing seasonal ingredients and driving operational execution is working. Top line revenue grew 13% with positive traffic and mix contributing to same store sales growth of 6% – a testament to the dedication of our teams, the continued loyalty of our guests, and the strength of our brand as we continue to redefine fast food,” said Jonathan Neman, Co-Founder and Chief Executive Officer. “Our expanded menu together with the performance of our 2024 class of new restaurant openings, growth in emerging markets and our successful deployment of the Infinite Kitchen gives us confidence in the reacceleration of our 2025 unit growth.” “In the third quarter, we reported a 20.2% restaurant-level margin, a more than 100 basis point improvement from the third quarter of 2023 and marking our 7th consecutive quarter of year-over-year restaurant-level margin expansion. Adjusted EBITDA for the quarter was $6.8 million, up from $2.5 million from the third quarter of 2023. Our year-to-date Adjusted EBITDA of $19.3 million versus a $1 million loss this time last year continues to demonstrate our focus on profitability,” said Mitch Reback, Chief Financial Officer. “We are encouraged by our performance nine months into the year on both the top and bottom line, which is why we are raising our fiscal year 2024 guidance.”