First Watch Restaurant (US:FWRG)2025-11-04 12:02Revenue Growth - Total revenues increased by 25.6% to $316.0 million compared to $251.6 million in Q3 2024[6] - System-wide sales increased by 20.9% to $352.7 million compared to $291.8 million in Q3 2024[6] - Total revenues for the thirty-nine weeks ended September 28, 2025, reached $906,149,000, up from $752,619,000 in 2024, reflecting a growth of 20.4%[36] Same-Restaurant Performance - Same-restaurant sales growth was 7.1%, with same-restaurant traffic growth of 2.6%[6] - Restaurant sales for the thirteen weeks ended September 28, 2025, were $313,636,000, compared to $248,965,000 in 2024, representing a 26.0% increase[37] Profitability Metrics - Net income rose to $3.0 million, or $0.05 per diluted share, compared to $2.1 million, or $0.03 per diluted share in Q3 2024[6] - Adjusted EBITDA increased to $34.1 million from $25.6 million in the same period of 2024[6] - Adjusted EBITDA for the thirteen weeks ended September 28, 2025, was $34,099,000, compared to $25,624,000 in 2024, marking a 33.2% increase[25] - Restaurant level operating profit for the thirty-nine weeks ended September 28, 2025, was $164,573,000, up from $152,799,000 in 2024, indicating a growth of 7.7%[33] - Restaurant-level operating profit margin improved to 19.7% from 18.9% in the same period of 2024[6] - Adjusted EBITDA margin for the thirteen weeks ended September 28, 2025, was 10.8%, compared to 10.2% in 2024, showing an improvement of 0.6 percentage points[25] - The company reported a net income margin of 0.9% for the thirteen weeks ended September 28, 2025, compared to 0.8% in 2024, reflecting a slight improvement[36] Expenses and Costs - General and administrative expenses for the thirteen weeks ended September 28, 2025, totaled $33,746,000, compared to $27,680,000 in 2024, an increase of 22.0%[37] - The company incurred transaction expenses of $428,000 for the thirteen weeks ended September 28, 2025, compared to $375,000 in 2024, an increase of 14.1%[37] Expansion Plans - The company opened 21 new system-wide restaurants in 14 states, bringing the total to 620 restaurants across 32 states[6] - The company plans to open 60 to 61 new system-wide restaurants in FY25, net of closures[11] - Capital expenditures are projected to be approximately $150.0 million, primarily for new restaurant projects and remodels[11] Guidance - The updated guidance for FY25 includes an adjusted EBITDA of approximately $123 million[3][7] Income from Operations - Income from operations margin for the thirty-nine weeks ended September 28, 2025, was 2.1%, down from 4.7% in 2024, indicating a decline of 2.6 percentage points[33]