Noodles & Company’s turnaround gains momentum

Core Insights - Noodles & Company has reported sequential improvements in same-store sales and traffic for the quarter ending September 30, driven by operational enhancements and the introduction of a new value menu [1][2] Sales Performance - For Q3, same-store sales increased by 4%, with a notable rise from 1.6% in July to 4.5% in August and 5.5% in September, continuing into October with an 8% growth [2] - Average unit volumes rose by 5.4% to $1.34 million, while average checks increased by 4.6%, which included a 2% price hike [6] Menu Innovations - The launch of the Delicious Duos value platform on July 30, offering a small entrée with a side starting at $9.99, contributed to the sales growth [3] - The introduction of the Chili Garlic Ramen as a limited-time offer at $8.95 in October also played a significant role in boosting sales [3][4] Digital Sales - Digital sales experienced a 12% increase, primarily driven by third-party delivery services, highlighting the importance of digital channels for growth [5][6] Financial Results - Despite the sales improvements, the company reported a net loss of $9.2 million, or 20 cents per share, compared to a loss of $6.8 million, or 15 cents per share, in Q3 of 2024 [7]