Shake Shack released its first earnings report as a public company after closing bell tonight, posting adjusted losses of 1 cent per share on $34.8 million in revenue, a 51.5% year over year increase. Analysts had been expecting losses of 3 cents per share on $33.1 million in revenue.
Key metrics from Shake Shack’s earnings report
Net losses were 5 cents per share or $1.4 million. That included about 4 cents per share or $1.1 million in expenses related to the company’s initial public offering in January.
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Shake Shack reported a 51.6% increase in Shack sales and a 7.2% increase in Same-Shack sales, excluding sales from the extra week. Non-GAAP operating profits rose 49.2% to $7.4 million in the fourth quarter. Adjusted EBITDA rose 58.5% to $4.8 million for the quarter.
The chain reported 10 new Shack openings, five of which were domestic company-owned Shacks and five of which were international licensed Shacks.
Shake Shack’s full year results
For the full 2014 fiscal year, Shake Shack reported a 43.7% increase in revenue, which increased to $118.5 million. Shack sales rose 42.6% to $112 million, while same-Shack sales rose 4.1%, not counting the extra week of the fiscal year.
Non-GAAP operating profit increased 31.5% to $26.9 million. Adjusted EBITDA for the full year rose 30.6% to $18.9 million. In the full fiscal year, Shake Shack opened 23 new Shacks, 10 of which were domestic company-owned Shacks, one of which was a domestic licensed location and 12 of which were international licensed Shacks. The company increased its Shack count by 57.5% during the fiscal year.
Shake Shack to continue growing
In a statement tonight, Shake Shack CEO Randy Garutti said they intend to keep rapidly expanding. They’re looking to open at least 10 new domestic company-owned Shacks per year. Within the next three years, they want to double the number of domestic company-operated stores they have, and in the next five years, they want to triple it.
In the long term, they’re aiming for at least 450 domestic company-operated stores.