- Shack Shack (NYSE:SHAK) reports same-shack sales increased 2.0% in Q3 to fall short of the consensus estimate for a gain of 2.9%. Traffic was up 1.2% during the quarter.
- Restaurant-level operating margin fell to 23.1% of sales vs. 25.8% a year ago and 24.1% consensus.
- Average weekly sales for domestic company-operated Shacks decreased to $80K compared to $69K for the same quarter last year, primarily due to the addition of newer Shacks at a broader range of average unit volumes.
- Looking ahead, Shake Shack expects FY19 revenue of $592M to $597M vs. a prior view for $585M to $590M and $600M consensus. The company expects 38 to 40 new company-operated Shack openings.
- Shares of Shake Shack are down 12.08% in AH trading to $74.17.
- Previously: Shake Shack EPS beats by $0.05, beats on revenue (Nov. 4)