Sweetgreen, Inc. (SG) Reports Q2 Loss, Lags Revenue Estimates

Core Viewpoint - Sweetgreen, Inc. reported a quarterly loss of $0.20 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.12, marking an earnings surprise of -66.67% [1][2] Financial Performance - The company posted revenues of $185.58 million for the quarter ended June 2025, missing the Zacks Consensus Estimate by 3.11% and showing a slight increase from $184.64 million a year ago [2] - Over the last four quarters, Sweetgreen has not surpassed consensus EPS estimates and has topped revenue estimates only once [2] Stock Performance - Sweetgreen shares have declined approximately 61.6% since the beginning of the year, contrasting with the S&P 500's gain of 7.9% [3] - The current Zacks Rank for Sweetgreen is 4 (Sell), indicating expected underperformance in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.14 on revenues of $193.25 million, and for the current fiscal year, it is -$0.65 on revenues of $739.04 million [7] - The trend of estimate revisions for Sweetgreen has been unfavorable leading up to the earnings release [6] Industry Context - The Retail - Restaurants industry, to which Sweetgreen belongs, is currently ranked in the bottom 31% of over 250 Zacks industries, suggesting a challenging environment [8] - Empirical research indicates that the top 50% of Zacks-ranked industries outperform the bottom 50% by more than a factor of 2 to 1 [8]