Dutch Bros(US:BROS)2025-11-05 21:09Revenue Growth - Total revenues increased by 25.2% to $423.6 million compared to $338.2 million in Q3 2024[4] - Company-operated shops revenue rose by 27.4% to $392.8 million from $308.3 million in the same period of 2024[4] - Systemwide sales for the nine months ended September 30, 2025, were $1.64 billion, a 21.9% increase from $1.34 billion in the same period of 2024[26] - Full-year revenue guidance is raised to between approximately $1.61 billion and $1.615 billion[7] Same Shop Sales - Systemwide same shop sales grew by 5.7%, with company-operated same shop sales increasing by 7.4% year-over-year[4] - Same shop sales growth is now expected to be approximately 5% for the full year[7] - Same shop sales for company-operated shops increased by 7.4% in Q3 2025 compared to a 4.0% increase in Q3 2024[26] Net Income and Profitability - Net income reached $27.3 million, up from $21.7 million in Q3 2024[7] - Net income for the nine months ended September 30, 2025, was $88.1 million, compared to $60.1 million for the same period in 2024, reflecting a 46.6% year-over-year increase[27] - For the three months ended September 30, 2025, net income was $27,283,000, compared to $21,712,000 for the same period in 2024, representing a year-over-year increase of 25.5%[60] EBITDA - Adjusted EBITDA grew by 22.3% to $78.0 million compared to $63.8 million in the same period of 2024[7] - Adjusted EBITDA for the nine months ended September 30, 2025, was $229,912,000, or 19.2% of revenue, up from $181,461,000 and 19.3% in the same period of 2024[59] - The company expects continued growth in adjusted EBITDA and net income margins in the upcoming quarters, driven by operational efficiencies and market expansion strategies[58] Shop Openings and Growth - The company opened 38 new shops, 34 of which were company-operated, across 17 states[4] - Total system shop openings for 2025 are targeted to be 160, with an additional 175 planned for 2026[6] - The total number of company-operated shops increased to 759 by the end of Q3 2025, up from 645 at the end of Q3 2024, marking a 17.6% growth[26] Cash Flow and Financial Position - The company reported a net cash provided by operating activities of $215.9 million for the nine months ended September 30, 2025, compared to $184.2 million in 2024[21] - Cash and cash equivalents at the end of Q3 2025 were $267.2 million, down from $293.4 million at the beginning of the period[21] Cost Management - Selling, general, and administrative expenses for the three months ended September 30, 2025, were $65,289,000, which is 15.4% of total revenue, compared to $57,536,000 or 17.0% in 2024[60] - Adjusted selling, general, and administrative expenses were $57,639,000 for the three months ended September 30, 2025, representing 13.6% of total revenue, down from 14.9% in 2024[60] - Total organization realignment and restructuring costs for Q3 2025 amounted to $2,650,000, or 0.6% of revenue, down from $4,191,000 and 1.3% in Q3 2024[59] Shareholder Metrics - The weighted-average shares of Class A and Class D common stock outstanding - diluted increased to 127,379,000 in Q3 2025 from 114,252,000 in Q3 2024[61] - Adjusted net income per fully exchanged share of diluted common stock was $0.19 for the three months ended September 30, 2025, compared to $0.16 in 2024, indicating a 18.8% increase[61] Customer Engagement - Dutch Rewards transactions accounted for 71.8% of total transactions in Q3 2025, up from 67.2% in Q3 2024, indicating increased customer loyalty[26]