Shake Shack Inc (NYSE: SHAK) shares a plummeting despite reporting a third-quarter earnings beat.
Earnings came in at 26 cents per share, beating estimates by 6 cents. Sales came in at $157.8 million, beating estimates by $144,000. The company also raised 2019 sales guidance, but still fell short of consensus.
"We're pleased to report total revenue grew nearly 32% and the team delivered another quarter of positive Same-Shack sales of 2%, continuing to drive positive traffic of 1.2%. Based on our results to date, we are raising our 2019 revenue guidance, including our licensing revenue guidance," CEO Randy Garutti said in a press release.
"This has been the biggest development year in Shack history as we've grown our presence around the country and internationally in the new markets of Mainland China, Singapore, the Philippines and Mexico. In 2020, we will continue to expand even further within key domestic and international markets."
- Total revenue increased 31.9%
- Shack sales increased 31.5%
- Same-Shack sales increased 2%
- Licensed revenue increased 43.3%
Shake Shack shares are down 13.5% at $72.81 in the after-hours session. The stock closed at $84.21.
Photo by Dustin Blitchok.
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