Operations

Shake Shack's Q4 results inch past expectations

Provided

February 16, 2023

Shake Shack reported Wednesday that it barely beat analysts' estimates for Q4, ending Dec. 28, 2022. Revenue was $238.5 million, inching past the $238.2 million expected by Wall Street, and adjusted earnings per share came in at -6 cents compared to the -11 expected.

CEO Randy Garutti said during Wednesday's earnings call he was thrilled with the progress and that the company was growing strong in 2023, including testing its drive-thru model in Dubai and opening its first hotel resort location in Atlantis in the Bahamas.

"We are spending a lot of time considering new countries, territories and formats," he said during the call.

Q4 highlights:

• Total revenue of $238.5 million, up 17.4%, including $229.9 million of Shack sales and $8.6 million of licensing revenue.
• Systemwide sales of $364.1 million, up 15.8%
• Same-Shack sales up 5.1%
• Operating loss of $6.3 million.
• Opened 13 licensed Shacks, including locations in China, Japan and Mexico.

Highlights for the fiscal year 2022:

• Total revenue of $900.5 million, up 21.7%, including $869.3 million of Shack sales and $31.2 million of licensing revenue.
• Systemwide sales of $1,378.5 million, up 22.7% versus 2021.
• Same-Shack sales up 7.8%
• Operating loss of $26.9 million.
• Shack-level operating profit of $151.0 million, or 17.4% of Shack sales.
• Opened 36 domestic company-operated Shacks and 33 licensed Shacks, including locations in four new markets in China.

Since the original Shack opened in 2004 in NYC's Madison Square Park, the company has expanded to over 440 locations systemwide, including about 290 in 32 U.S. and the District of Columbia, and over 150 international locations across London, Hong Kong, Shanghai, Singapore, Mexico City, Istanbul, Dubai, Tokyo, Seoul and more.