Sweetgreen(US:SG)2024-08-08 23:53Revenue Performance - Revenue for the thirteen weeks ended June 30, 2024, was $184,641 thousand, compared to $152,525 thousand for the same period in 2023, representing a year-over-year increase of 21%[16] - Revenue for the twenty-six weeks ended June 30, 2024, was $342,491,000, an increase of $64,904,000 or 23% from $277,587,000 in the prior year[124] - The in-store channel revenue for the thirteen weeks ended June 30, 2024, was $81.760 million, up from $63.202 million in the prior year, marking a 29% increase[31] - The marketplace channel revenue increased to $46.533 million for the thirteen weeks ended June 30, 2024, compared to $32.698 million in the same period last year, reflecting a growth of 42%[31] - Same-store sales increased by 9% for the thirteen weeks ended June 30, 2024, compared to 3% for the same period in 2023, driven by a 5% benefit from menu price increases and a 4% increase due to traffic and favorable product mix[125] Cost and Expenses - Total restaurant operating costs for the thirteen weeks ended June 30, 2024, were $143,122 thousand, up from $121,436 thousand in the same period last year, reflecting an 18% increase[16] - Labor and related expenses for the thirteen weeks ended June 30, 2024, were $49,668,000, a 14% increase from $43,513,000 in the same period last year[130] - Food, beverage, and packaging costs for the thirteen weeks ended June 30, 2024, were $49,883,000, a 22% increase from $40,992,000 in the prior year, remaining at 27% of total revenue[128] - General and administrative expenses were $39,202 for the thirteen weeks ended June 30, 2024, slightly down from $40,350 in the prior year[101] - Occupancy and related expenses for the thirteen weeks ended June 30, 2024, increased to $15,021,000, an 11% rise from $13,526,000 for the same period in 2023, primarily due to 36 net new restaurant openings[134] Profit and Loss - Net loss for the thirteen weeks ended June 30, 2024, was $14,460 thousand, compared to a net loss of $27,258 thousand for the same period in 2023, indicating a 47% improvement in losses[16] - Loss from operations for the thirteen weeks ended June 30, 2024, was $16,184, compared to a loss of $31,246 for the same period in 2023, representing a 48.3% improvement[101] - Adjusted EBITDA for the thirteen weeks ended June 30, 2024, was $12,357, significantly up from $3,269 in the same period last year, marking a 277.5% increase[103] - The net loss margin improved to (8)% for the thirteen weeks ended June 30, 2024, compared to (18)% for the same period in 2023[103] Cash Flow and Liquidity - Cash and cash equivalents as of June 30, 2024, were $244,583 thousand, a decrease from $257,230 thousand as of December 31, 2023[15] - Cash flows from operating activities provided $22,542 thousand for the twenty-six weeks ended June 30, 2024, compared to $4,821 thousand for the same period in 2023, indicating a significant increase[23] - The company reported a net decrease in cash and cash equivalents of $12.2 million for the twenty-six weeks ended June 30, 2024[158] - The company’s liquidity and capital requirements are primarily for new restaurant development and initiatives to improve customer experience[153] Restaurant Expansion - The company opened 10 net new restaurants during the twenty-six weeks ended June 30, 2024, bringing the total to 231 restaurants across 20 states and Washington, D.C.[25] - The company had 13 facilities under construction as of June 30, 2024, compared to 7 facilities as of December 31, 2023, indicating expansion efforts[40] - The company opened 10 new restaurants during the twenty-six weeks ended June 30, 2024, with property and equipment purchases totaling $32.7 million[161] Stock and Compensation - The company reported a weighted average of 113,580,674 shares used in computing net loss per share for the thirteen weeks ended June 30, 2024[16] - Stock-based compensation expense decreased to $20,529 thousand for the twenty-six weeks ended June 30, 2024, from $28,667 thousand in the same period of 2023, reflecting a 28.5% reduction[23] - The company has $22.4 million in unrecognized compensation expense related to unvested stock-based compensation arrangements, expected to be recognized over a weighted average period of 2.14 years[65] Future Outlook - The company expects revenue to increase as it focuses on opening additional restaurants and expanding its menu offerings[104] - Labor and related expenses are anticipated to grow in line with revenue increases, influenced by minimum wage legislation and labor market conditions[109] - The company plans to increase investments in its Owned Digital Channels to attract new customers and enhance order frequency[105] - Pre-opening costs are expected to rise in fiscal year 2025 as the company accelerates its new restaurant growth rate[114]