Sweetgreen(SG) - 2025 Q2 - Quarterly Results

Financial Performance - Total revenue for Q2 2025 was $185.6 million, a slight increase of 0.5% compared to $184.6 million in Q2 2024[5] - Net loss for Q2 2025 was $(23.2) million, compared to $(14.5) million in the prior year[9] - Adjusted EBITDA was $6.4 million, down from $12.4 million in the prior year, with an Adjusted EBITDA Margin of 3.5% compared to 6.7%[10] - The net loss for the thirteen weeks ended June 29, 2025, was $23,158,000, compared to a net loss of $14,460,000 for the same period in 2024, reflecting an increase in losses of approximately 60.5%[30] - Net loss for the twenty-six weeks ended June 29, 2025, was $48,197,000, compared to a net loss of $40,527,000 for the same period in 2024, representing an increase of 41.2%[35] Sales and Revenue Metrics - Same-Store Sales Change decreased by 7.6%, compared to an increase of 9.3% in the prior year period[5] - Average Unit Volume (AUV) was $2.8 million, down from $2.9 million in the prior year period[5] - Sweetgreen reported revenue of $185,583,000 for the thirteen weeks ended June 29, 2025, a slight increase from $184,641,000 for the same period in 2024, representing a year-over-year growth of 0.5%[30] - For the twenty-six weeks ended June 29, 2025, Sweetgreen reported revenue of $351,887,000, up from $342,491,000 in the same period of 2024, indicating a growth of 2.0%[33] - Future Same-Store Sales Change is projected to be between (6)% to (4%) for FY 2025[13] Operational Costs and Profitability - Loss from operations was $(26.4) million, with a loss from operations margin of (14.2)%, compared to $(16.2) million and (8.8)% in the prior year[5] - Restaurant-Level Profit was $35.1 million, with a Restaurant-Level Profit Margin of 18.9%, down from $41.5 million and 22.5% in the prior year[5] - Total restaurant operating costs for the same period were $150,458,000, which accounted for 81.1% of revenue, compared to 77.5% in the prior year[30] - Restaurant-Level Profit for the twenty-six weeks ended June 29, 2025, was $64,812,000, down from $70,056,000 in the same period of 2024, a decrease of 7.7%[38] Digital Revenue - Total Digital Revenue Percentage increased to 60.8%, while Owned Digital Revenue Percentage rose to 33.4%, compared to 55.7% and 30.5% respectively in the prior year[5] - Total Digital Revenue Percentage for the twenty-six weeks ended June 29, 2025, was 60.3%, up from 57.2% in the same period of 2024[37] Cash and Liabilities - The total liabilities as of June 29, 2025, were $408,585,000, a slight decrease from $410,613,000 as of December 29, 2024[28] - Sweetgreen's accumulated deficit increased to $923,555,000 as of June 29, 2025, compared to $875,358,000 at the end of the previous year[28] - The company had cash and cash equivalents of $168,452,000 as of June 29, 2025, down from $214,789,000 as of December 29, 2024[28] Expenses - General and administrative expenses for the thirteen weeks ended June 29, 2025, were $34,505,000, which is 18.6% of revenue, compared to 21.2% in the prior year[30] Future Plans - The company plans to open at least 40 Net New Restaurants in FY 2025, with a revenue guidance of $700 million to $715 million[13] - The company opened 14 new restaurants in the twenty-six weeks ended June 29, 2025, compared to 10 new openings in the same period of 2024[37] Cash Flow - Cash flows from operating activities resulted in a net cash used of $2,665,000 for the twenty-six weeks ended June 29, 2025, compared to net cash provided of $22,542,000 in the same period of 2024[35] - Net cash used in investing activities was $44,533,000 for the twenty-six weeks ended June 29, 2025, compared to $36,275,000 in the same period of 2024, an increase of 22.8%[35] - The net decrease in cash and cash equivalents and restricted cash for the twenty-six weeks ended June 29, 2025, was $44,778,000, compared to a decrease of $12,197,000 in the same period of 2024[35] Supply Chain and Mission - The company continues to focus on building a transparent supply chain and investing in local farmers, which aligns with its mission to connect people to real food[24]