Shake Shack(US:SHAK) ZACKS·2026-02-23 15:01Core Insights - Shake Shack Inc. (SHAK) is set to report its fourth-quarter 2025 financial results on February 26, with earnings expected to be 36 cents per share, reflecting a 38.5% year-over-year increase [2][4] - Revenue estimates for the quarter are projected at $402.4 million, indicating a 22.4% growth compared to the previous year [2][7] - The company has experienced downward revisions in earnings estimates by 4 cents over the past 60 days [2] Financial Performance Expectations - The Zacks Consensus Estimate for fourth-quarter 2025 earnings is 36 cents per share, with revenues expected to reach $402.4 million [2][7] - Preliminary results suggest revenues of $400.5 million, impacted by weather-related disruptions, particularly in the Northeast [4] - Same-Shack sales are anticipated to increase by 2.1% during the quarter [4][7] Growth Drivers - Shake Shack's performance is likely to benefit from positive traffic trends, menu innovation, and value-oriented digital promotions [3] - The company has been investing in digital transformation, with significant contributions from kiosks and digital ordering channels to comparable sales growth [3] - Increased media investments and brand visibility initiatives are expected to enhance customer engagement [3] Profitability Outlook - The company is projected to maintain resilient margins, with restaurant-level profit expected in the mid-22% range [5] - Adjusted EBITDA for the full year 2025 is estimated to be between $208 million and $212 million, indicating improved cost leverage and balanced growth [5] - Unit expansion remains a key growth catalyst, with a meaningful number of company-operated and licensed Shacks added during the year [5] Earnings Prediction Model - The Zacks model indicates that Shake Shack is unlikely to beat earnings estimates this quarter, with an Earnings ESP of -2.98% and a Zacks Rank of 5 (Strong Sell) [6]