Latest news with #HajimeUba
Business Insider
09-07-2025
- Business
- Business Insider
Kura Sushi reports Q3 adjusted EPS 5c, consensus (1c)
Reports Q3 revenue $73.97M, consensus $71.82M. Comparable restaurant sales decreased 2.1%. Hajime Uba, president and CEO of Kura Sushi (KRUS), stated, 'The third quarter was a very busy one for us, between rolling out the new reservation system, investigating new market opportunities, and building out our IP pipeline and strategizing on how to get the most out of our Bikkurapon collaborations. I'm extremely pleased with the results on all three fronts, and very proud of the efforts by our team members to capture the full opportunity of the summer season and set ourselves up for a great fiscal 2026.' Don't Miss TipRanks' Half-Year Sale Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Yahoo
08-07-2025
- Business
- Yahoo
Kura Sushi USA Announces Fiscal Third Quarter 2025 Financial Results
IRVINE, Calif., July 08, 2025 (GLOBE NEWSWIRE) -- Kura Sushi USA, Inc. ('Kura Sushi' or the 'Company') (NASDAQ: KRUS), a technology-enabled Japanese restaurant concept, today announced financial results for the fiscal third quarter ended May 31, 2025. Fiscal Third Quarter 2025 Highlights Total sales were $74.0 million, compared to $63.1 million in the third quarter of 2024; Comparable restaurant sales decreased 2.1% for the third quarter of 2025 as compared to the third quarter of 2024; Operating loss was $0.2 million, compared to an operating loss of $1.2 million in the third quarter of 2024; Net income was $0.6 million, or $0.05 per diluted share, compared to net loss of $0.6 million, or $(0.05) per diluted share, in the third quarter of 2024; Adjusted net income* was $0.6 million, or $0.05 per diluted share, compared to an adjusted net income* of four thousand dollars or $0.00 per diluted share, in the third quarter of 2024; Restaurant-level operating profit* was $13.5 million, or 18.2% of sales; Adjusted EBITDA* was $5.4 million; and Three new restaurants opened during the fiscal third quarter of 2025. *Adjusted net income (loss), Restaurant-level operating profit and Adjusted EBITDA are non-GAAP measures and are defined below under 'Key Financial Definitions.' Please see the reconciliation of non-GAAP measures accompanying this release. See also 'Non-GAAP Financial Measures' below. Hajime Uba, President and Chief Executive Officer of Kura Sushi, stated, 'The third quarter was a very busy one for us, between rolling out the new reservation system, investigating new market opportunities, and building out our IP pipeline and strategizing on how to get the most out of our Bikkurapon collaborations. I'm extremely pleased with the results on all three fronts, and very proud of the efforts by our team members to capture the full opportunity of the summer season and set ourselves up for a great fiscal 2026.' Review of Fiscal Third Quarter 2025 Financial Results Total sales were $74.0 million compared to $63.1 million in the third quarter of 2024. Comparable restaurant sales decreased 2.1%, consisting of negative traffic of 2.9% and price/mix of 0.8% for the third quarter of 2025 as compared to the third quarter of 2024. Food and beverage costs as a percentage of sales were 28.3% compared to 29.2% in the third quarter of 2024. The decrease is primarily due to increases in menu prices and supply chain initiatives, partially offset by food cost inflation. Labor and related costs as a percentage of sales were 33.1% compared to 32.6% in the third quarter of 2024. The increase is primarily due to increases in wage rates, partially offset by increases in menu prices and operational efficiencies. Occupancy and related expenses were $5.5 million compared to $4.3 million in the third quarter of 2024. The increase is primarily due to thirteen new restaurants opening since the third quarter of 2024. Other costs as a percentage of sales were 14.7% compared to 14.1% the third quarter of 2024. The increase is primarily driven by utilities, repairs and maintenance, partially offset by lower marketing expenses. General and administrative expenses were $8.7 million compared to $8.9 million in the third quarter of 2024. As a percentage of sales, general and administrative expenses decreased to 11.8%, as compared to 14.0% in the third quarter of 2024, primarily due to sales leverage and a decrease in professional fees and litigation expenses. Operating loss was $0.2 million compared to an operating loss of $1.2 million in the third quarter of 2024. Income tax expense was $55 thousand compared to income tax expense of $60 thousand in the third quarter of 2024. Net income was $0.6 million, or $0.05 per diluted share, compared to net loss of $0.6 million, or $(0.05) per diluted share, in the third quarter of 2024. Adjusted net income* was $0.6 million, or $0.05 per diluted share, compared to adjusted net income* of four thousand dollars or $0.00 per diluted share, in the third quarter of 2024. Restaurant-level operating profit* was $13.5 million, or 18.2% of sales, compared to $12.6 million, or 20.0% of sales, in the third quarter of 2024. Adjusted EBITDA* was $5.4 million compared to $4.5 million in the third quarter of 2024. Restaurant Development During the fiscal third quarter of 2025, the Company opened three new restaurants in Scottsdale, Arizona; Lynnwood, Washington; and McKinney, Texas. Subsequent to May 31, 2025, the Company opened two new restaurants in The Woodlands, Texas and Salt Lake City, Utah. Fiscal Year 2025 Outlook For the full fiscal year of 2025, the Company updates the following annual guidance: Total sales of approximately $281 million; 15 new restaurants, maintaining an annual unit growth rate above 20%, with average net capital expenditures per unit of approximately $2.5 million; and General and administrative expenses as a percentage of sales to be below 13.0% exclusive of legal settlements. Conference Call A conference call and webcast to discuss Kura Sushi's financial results is scheduled for 5:00 p.m. EDT today. Hosting the conference call and webcast will be Hajime 'Jimmy' Uba, President and Chief Executive Officer, Jeff Uttz, Chief Financial Officer, and Benjamin Porten, SVP Investor Relations & System Development. Interested parties may listen to the conference call via telephone by dialing 201-689-8471. A telephone replay will be available shortly after the call has concluded and can be accessed by dialing 412-317-6671; the passcode is 13751708. The webcast will be available at under the investor relations section and will be archived on the site shortly after the call has concluded. About Kura Sushi USA, Inc. Kura Sushi USA, Inc. is a leading technology-enabled Japanese restaurant concept with 78 locations across 21 states and Washington DC. The Company offers guests a distinctive dining experience built on authentic Japanese cuisine and an engaging revolving sushi service model. Kura Sushi USA, Inc. was established in 2008 as a subsidiary of Kura Sushi, Inc., a Japan-based revolving sushi chain with more than 650 restaurants internationally and 45 years of brand history. For more information, please visit Key Financial Definitions a non-GAAP measure, is defined as net income (loss) before certain items, such as litigation expenses, that the Company believes are not indicative of its core operating results. Adjusted net income (loss) per diluted share represents adjusted net income (loss) divided by the number of diluted shares. a non-GAAP measure, is defined as net income (loss) before interest, income taxes and depreciation and amortization expenses. a non-GAAP measure, is defined as EBITDA plus stock-based compensation expense, non-cash lease expense and asset disposals, closure costs and restaurant impairments, as well as certain items, such as litigation expenses that the Company believes are not indicative of its core operating results. Adjusted EBITDA margin is defined as adjusted EBITDA divided by sales. a non-GAAP measure, is defined as operating income (loss) plus depreciation and amortization expenses; stock-based compensation expense; pre-opening costs and general and administrative expenses which are considered normal, recurring, cash operating expenses and are essential to supporting the development and operations of restaurants; non-cash lease expense; and asset disposals, closure costs and restaurant impairments; less corporate-level stock-based compensation expense recognized within general and administrative expenses. Restaurant-level operating profit (loss) margin is defined as restaurant-level operating profit (loss) divided by sales. refers to the percent change in year-over-year sales for the comparable restaurant base. The Company includes restaurants in the comparable restaurant base that have been in operation for at least 18 full calendar months by the end of the accounting period presented due to new restaurants experiencing a period of higher sales upon opening. For restaurants that were temporarily closed the comparative period was also adjusted accordingly. Non-GAAP Financial Measures To supplement the financial statements presented in accordance with U.S. generally accepted accounting principles ('GAAP'), the Company presents certain financial measures, such as adjusted net income (loss), EBITDA, adjusted EBITDA, adjusted EBITDA margin, restaurant-level operating profit (loss) and restaurant-level operating profit (loss) margin ('non-GAAP measures') that are not recognized under GAAP. These non-GAAP measures are intended as supplemental measures of its performance that are neither required by, nor presented in accordance with, GAAP. The Company is presenting these non-GAAP measures because the Company believes that they provide useful information to management and investors regarding certain financial and business trends relating to its financial condition and operating results. These measures also may not provide a complete understanding of the operating results of the Company as a whole and such measures should be reviewed in conjunction with its GAAP financial results. Additionally, the Company presents restaurant-level operating profit (loss) because it excludes the impact of general and administrative expenses which are not incurred at the restaurant-level. The Company also uses restaurant-level operating profit (loss) to measure operating performance and returns from opening new restaurants. The Company believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends and in comparing the Company's financial measures with those of comparable companies, which may present similar non-GAAP financial measures to investors. However, you should be aware that restaurant-level operating profit (loss) and restaurant-level operating profit (loss) margin are financial measures which are not indicative of overall results for the Company, and restaurant-level operating profit (loss) and restaurant-level operating profit (loss) margin do not accrue directly to the benefit of stockholders because of corporate-level and certain other expenses excluded from such measures. In addition, you should be aware when evaluating these non-GAAP financial measures that in the future the Company may incur expenses similar to those excluded when calculating these measures. The Company's presentation of these measures should not be construed as an inference that its future results will be unaffected by unusual or non-recurring items. The Company's computation of these non-GAAP financial measures may not be comparable to other similarly titled measures computed by other companies, because all companies may not calculate these non-GAAP financial measures in the same fashion. Because of these limitations, these non-GAAP financial measures should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP. The Company compensates for these limitations by relying primarily on its GAAP results and using these non-GAAP financial measures on a supplemental basis. Forward-Looking Statements Except for historical information contained herein, the statements in this press release or otherwise made by the Company's management in connection with the subject matter of this press release are forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995) and involve risks and uncertainties and are subject to change based on various important factors. This press release includes forward-looking statements that are based on management's current estimates or expectations of future events or future results. These statements are not historical in nature and can generally be identified by such words as 'target,' 'may,' 'might,' 'will,' 'objective,' 'intend,' 'should,' 'could,' 'can,' 'would,' 'expect,' 'believe,' 'design,' 'estimate,' 'continue,' 'predict,' 'potential,' 'plan,' 'anticipate' or the negative of these terms, and similar expressions. Management's expectations and assumptions regarding future results are subject to risks, uncertainties and other factors that could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements included in this press release. These risks and uncertainties include but are not limited to: the Company's ability to successfully maintain increases in our comparable restaurant sales; the Company's ability to successfully execute our growth strategy and open new restaurants that are profitable; the Company's ability to expand in existing and new markets; the Company's projected growth in the number of its restaurants; macroeconomic conditions and other economic factors; the Company's ability to compete with many other restaurants; the Company's reliance on vendors, suppliers and distributors, including its majority stockholder Kura Sushi, Inc.; changes in food and supply costs, including the impact of inflation and tariffs; concerns regarding food safety and foodborne illness; changes in consumer preferences and the level of acceptance of the Company's restaurant concept in new markets; minimum wage increases and mandated employee benefits that could cause a significant increase in labor costs, as well as the impact of labor availability; the failure of the Company's automated equipment or information technology systems or the breach of its network security; the loss of key members of the Company's management team; the impact of governmental laws and regulations; volatility in the price of the Company's common stock; and other risks and uncertainties as described in the Company's filings with the Securities and Exchange Commission ('SEC'). These and other factors that could cause results to differ materially from those described in the forward-looking statements contained in this press release can be found in the Company's other filings with the SEC. Undue reliance should not be placed on forward-looking statements, which are only current as of the date they are made. The Company assumes no obligation to update or revise its forward-looking statements, except as may be required by applicable law. Investor Relations Contact:Jeff Priester or Steven Boediarto(657) 333-4010investor@ Kura Sushi USA, of Operations and Comprehensive Income (Loss)(in thousands, except for per share data; unaudited) Three Months Ended May 31, Nine Months Ended May 31, 2025 2024 2025 2024 Sales $ 73,965 $ 63,082 $ 203,315 $ 171,848 Restaurant operating costs: Food and beverage costs 20,928 18,391 58,225 50,691 Labor and related costs 24,478 20,534 68,306 55,712 Occupancy and related expenses 5,538 4,318 15,391 12,179 Depreciation and amortization expenses 3,450 3,124 9,827 8,294 Other costs 10,883 8,920 29,004 24,720 Total restaurant operating costs 65,277 55,287 180,753 151,596 General and administrative expenses 8,741 8,857 28,459 25,634 Depreciation and amortization expenses 109 107 328 318 Total operating expenses 74,127 64,251 209,540 177,548 Operating loss (162 ) (1,169 ) (6,225 ) (5,700 ) Other expense (income): Interest expense 30 15 56 35 Interest income (812 ) (686 ) (2,236 ) (2,280 ) Income (loss) before income taxes 620 (498 ) (4,045 ) (3,455 ) Income tax expense 55 60 132 148 Net income (loss) $ 565 $ (558 ) $ (4,177 ) $ (3,603 ) Net income (loss) income per Class A and Class B shares Basic $ 0.05 $ (0.05 ) $ (0.35 ) $ (0.32 ) Diluted $ 0.05 $ (0.05 ) $ (0.35 ) $ (0.32 ) Weighted average Class A and Class B shares outstanding Basic 12,086 11,188 11,855 11,167 Diluted 12,311 11,188 11,855 11,167 Other comprehensive income (loss): Unrealized loss on short-term investments $ (8 ) (76 ) $ (8 ) (43 ) Comprehensive income (loss) $ 557 $ (634 ) $ (4,185 ) $ (3,646 ) Kura Sushi USA, Balance Sheet Data and Selected Operating Data(in thousands, except restaurants and percentages; unaudited) May 31, 2025 August 31, 2024 Selected Balance Sheet Data: Cash and cash equivalents $ 47,132 $ 50,986 Total assets $ 419,373 $ 328,522 Total liabilities $ 192,369 $ 165,984 Total stockholders' equity $ 227,004 $ 162,538 Three Months Ended May 31, Nine Months Ended May 31, 2025 2024 2025 2024 Selected Operating Data: Restaurants at the end of period 76 63 76 63 Comparable restaurant sales performance (2.1 )% 0.6 % (1.9 )% 2.4 % EBITDA $ 3,397 $ 2,062 $ 3,930 $ 2,912 Adjusted EBITDA $ 5,410 $ 4,451 $ 11,656 $ 9,068 Adjusted EBITDA margin 7.3 % 7.1 % 5.7 % 5.3 % Operating loss $ (162 ) $ (1,169 ) $ (6,225 ) $ (5,700 ) Operating loss margin (0.2 )% (1.9 )% (3.1 )% (3.3 )% Restaurant-level operating profit $ 13,492 $ 12,604 $ 36,423 $ 33,874 Restaurant-level operating profit margin 18.2 % 20.0 % 17.9 % 19.7 % Kura Sushi USA, of Net Income (Loss) and Net Income (Loss) Per Diluted Share toAdjusted Net Income (Loss) and Adjusted Net Income (Loss) Per Diluted Share(in thousands, except for per share data; unaudited) Three Months Ended May 31, Nine Months Ended May 31, 2025 2024 2025 2024 Net income (loss) $ 565 $ (558 ) $ (4,177 ) $ (3,603 ) Litigation(3) — 562 2,105 767 Adjusted net income (loss) $ 565 $ 4 $ (2,072 ) $ (2,836 ) Net income (loss) per Class A and Class B diluted shares $ 0.05 $ (0.05 ) $ (0.35 ) $ (0.32 ) Litigation(3) — 0.05 0.18 0.07 Adjusted net income (loss) per Class A and Class B diluted shares $ 0.05 $ 0.00 $ (0.17 ) $ (0.25 ) Weighted average Class A and Class B shares outstanding Diluted shares 12,311 11,188 11,855 11,167 Adjusted diluted shares 12,311 11,531 11,855 11,167 Kura Sushi USA, of Net Income (Loss) to EBITDA and Adjusted EBITDA(in thousands; unaudited) Three Months Ended May 31, Nine Months Ended May 31, 2025 2024 2025 2024 Net income (loss) $ 565 $ (558 ) $ (4,177 ) $ (3,603 ) Interest income, net (782 ) (671 ) (2,180 ) (2,245 ) Income tax expense 55 60 132 148 Depreciation and amortization expenses 3,559 3,231 10,155 8,612 EBITDA 3,397 2,062 3,930 2,912 Stock-based compensation expense(1) 1,293 1,197 3,500 3,169 Non-cash lease expense(2) 720 630 2,121 2,220 Litigation(3) — 562 2,105 767 Adjusted EBITDA $ 5,410 $ 4,451 $ 11,656 $ 9,068 Kura Sushi USA, of Operating Loss to Restaurant-level Operating Profit(in thousands; unaudited) Three Months Ended May 31, Nine Months Ended May 31, 2025 2024 2025 2024 Operating loss $ (162 ) $ (1,169 ) $ (6,225 ) $ (5,700 ) Depreciation and amortization expenses 3,559 3,231 10,155 8,612 Stock-based compensation expense(1) 1,293 1,197 3,500 3,169 Pre-opening costs(4) 404 861 1,305 2,611 Non-cash lease expense(2) 720 630 2,121 2,220 General and administrative expenses 8,741 8,857 28,459 25,634 Corporate-level stock-based compensation in general and administrative expenses (1,063 ) (1,003 ) (2,892 ) (2,672 ) Restaurant-level operating profit $ 13,492 $ 12,604 $ 36,423 $ 33,874 ________________ (1) Stock-based compensation expense includes non-cash stock-based compensation, which is comprised of restaurant-level stock-based compensation included in labor and related costs and corporate-level stock-based compensation included in general and administrative expenses in the statements of operations and comprehensive income (loss). (2) Non-cash lease expense includes lease expense from the date of possession of our restaurants that did not require cash outlay in the respective periods. (3) Litigation includes expenses related to legal claims or settlements. (4) Pre-opening costs consist of labor costs and travel expenses for new employees and trainers during the training period, recruitment fees, legal fees, cash-based lease expenses incurred between the date of possession and opening day of our restaurants, and other related pre-opening costs.
Yahoo
14-05-2025
- Business
- Yahoo
Spotting Winners: Kura Sushi (NASDAQ:KRUS) And Sit-Down Dining Stocks In Q1
Quarterly earnings results are a good time to check in on a company's progress, especially compared to its peers in the same sector. Today we are looking at Kura Sushi (NASDAQ:KRUS) and the best and worst performers in the sit-down dining industry. Sit-down restaurants offer a complete dining experience with table service. These establishments span various cuisines and are renowned for their warm hospitality and welcoming ambiance, making them perfect for family gatherings, special occasions, or simply unwinding. Their extensive menus range from appetizers to indulgent desserts and wines and cocktails. This space is extremely fragmented and competition includes everything from publicly-traded companies owning multiple chains to single-location mom-and-pop restaurants. The 11 sit-down dining stocks we track reported a mixed Q1. As a group, revenues beat analysts' consensus estimates by 0.7% while next quarter's revenue guidance was 2.3% below. Luckily, sit-down dining stocks have performed well with share prices up 17.4% on average since the latest earnings results. Known for its conveyor belt that transports dishes to diners, Kura Sushi (NASDAQ:KRUS) is a chain of sushi restaurants serving traditional Japanese fare with a touch of modernity and technology. Kura Sushi reported revenues of $64.89 million, up 13.3% year on year. This print was in line with analysts' expectations, but overall, it was a slower quarter for the company with a significant miss of analysts' EBITDA estimates and a miss of analysts' same-store sales estimates. Hajime Uba, President and Chief Executive Officer of Kura Sushi, stated, 'We had a very productive second quarter, making headway on the new market opportunities represented by our success in Bakersfield, building out our IP pipeline, and beginning testing or rollout of several systems projects that have long been in development. New restaurant openings are going exceptionally smoothly, with 11 units opened to-date and another six under construction. While the inclement weather was an unexpected sales pressure, we're pleased overall with the quarter due to the great progress we've made across our initiatives.' Kura Sushi delivered the weakest full-year guidance update of the whole group. Interestingly, the stock is up 65.3% since reporting and currently trades at $68.38. Read our full report on Kura Sushi here, it's free. Founded by Norman Brinker in Dallas, Brinker International (NYSE:EAT) is a casual restaurant chain that operates the Chili's, Maggiano's Little Italy, and It's Just Wings banners. Brinker International reported revenues of $1.43 billion, up 27.2% year on year, outperforming analysts' expectations by 2.6%. The business had an exceptional quarter with a solid beat of analysts' EBITDA estimates and an impressive beat of analysts' same-store sales estimates. Brinker International achieved the highest full-year guidance raise among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 6% since reporting. It currently trades at $151. Is now the time to buy Brinker International? Access our full analysis of the earnings results here, it's free. Based on a nautical reference to the first work shift aboard a ship, First Watch (NASDAQ:FWRG) is a chain of breakfast and brunch restaurants whose menu is heavily-focused on eggs and griddle items such as pancakes. First Watch reported revenues of $282.2 million, up 16.4% year on year, in line with analysts' expectations. It was a softer quarter as it posted full-year EBITDA guidance missing analysts' expectations. As expected, the stock is down 13.2% since the results and currently trades at $16.14. Read our full analysis of First Watch's results here. With locations often featuring Western-inspired decor, Texas Roadhouse (NASDAQ:TXRH) is an American restaurant chain specializing in Southern-style cuisine and steaks. Texas Roadhouse reported revenues of $1.45 billion, up 9.6% year on year. This result surpassed analysts' expectations by 0.6%. Zooming out, it was a mixed quarter as it also logged same-store sales in line with analysts' estimates but a miss of analysts' EBITDA estimates. The stock is up 9.4% since reporting and currently trades at $189. Read our full, actionable report on Texas Roadhouse here, it's free. Founded in 1978 in California, BJ's Restaurants (NASDAQ:BJRI) is a chain of restaurants whose menu features classic American dishes, often with a twist. BJ's reported revenues of $348 million, up 3.2% year on year. This print was in line with analysts' expectations. It was a very strong quarter as it also put up an impressive beat of analysts' EPS estimates and a solid beat of analysts' EBITDA estimates. The stock is up 28% since reporting and currently trades at $42.84. Read our full, actionable report on BJ's here, it's free. Thanks to the Fed's rate hikes in 2022 and 2023, inflation has been on a steady path downward, easing back toward that 2% sweet spot. Fortunately (miraculously to some), all this tightening didn't send the economy tumbling into a recession, so here we are, cautiously celebrating a soft landing. The cherry on top? Recent rate cuts (half a point in September 2024, a quarter in November) have propped up markets, especially after Trump's November win lit a fire under major indices and sent them to all-time highs. However, there's still plenty to ponder — tariffs, corporate tax cuts, and what 2025 might hold for the economy. Want to invest in winners with rock-solid fundamentals? Check out our Top 6 Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Join Paid Stock Investor Research Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-04-2025
- Business
- Yahoo
Kura Sushi (NASDAQ:KRUS) Posts Q1 Sales In Line With Estimates But Full-Year Sales Guidance Slightly Misses Expectations
Sushi restaurant chain Kura Sushi (NASDAQ:KRUS) met Wall Street's revenue expectations in Q1 CY2025, with sales up 13.3% year on year to $64.89 million. On the other hand, the company's full-year revenue guidance of $277 million at the midpoint came in 1.3% below analysts' estimates. Its non-GAAP loss of $0.14 per share was in line with analysts' consensus estimates. Is now the time to buy Kura Sushi? Find out in our full research report. Revenue: $64.89 million vs analyst estimates of $65.07 million (13.3% year-on-year growth, in line) Adjusted EPS: -$0.14 vs analyst estimates of -$0.14 (in line) Adjusted EBITDA: $2.67 million vs analyst estimates of $2.93 million (4.1% margin, relatively in line) The company reconfirmed its revenue guidance for the full year of $277 million at the midpoint Operating Margin: -7.1%, down from -2.9% in the same quarter last year Locations: 73 at quarter end, up from 59 in the same quarter last year Same-Store Sales fell 5.3% year on year (3% in the same quarter last year) Market Capitalization: $522.9 million Hajime Uba, President and Chief Executive Officer of Kura Sushi, stated, 'We had a very productive second quarter, making headway on the new market opportunities represented by our success in Bakersfield, building out our IP pipeline, and beginning testing or rollout of several systems projects that have long been in development. New restaurant openings are going exceptionally smoothly, with 11 units opened to-date and another six under construction. While the inclement weather was an unexpected sales pressure, we're pleased overall with the quarter due to the great progress we've made across our initiatives.' Known for its conveyor belt that transports dishes to diners, Kura Sushi (NASDAQ:KRUS) is a chain of sushi restaurants serving traditional Japanese fare with a touch of modernity and technology. Sit-down restaurants offer a complete dining experience with table service. These establishments span various cuisines and are renowned for their warm hospitality and welcoming ambiance, making them perfect for family gatherings, special occasions, or simply unwinding. Their extensive menus range from appetizers to indulgent desserts and wines and cocktails. This space is extremely fragmented and competition includes everything from publicly-traded companies owning multiple chains to single-location mom-and-pop restaurants. Examining a company's long-term performance can provide clues about its quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. With $258.4 million in revenue over the past 12 months, Kura Sushi is a small restaurant chain, which sometimes brings disadvantages compared to larger competitors benefiting from better brand awareness and economies of scale. On the bright side, it can grow faster because it has more white space to build new restaurants. As you can see below, Kura Sushi's 28.7% annualized revenue growth over the last six years (we compare to 2019 to normalize for COVID-19 impacts) was incredible as it opened new restaurants and increased sales at existing, established dining locations. This quarter, Kura Sushi's year-on-year revenue growth was 13.3%, and its $64.89 million of revenue was in line with Wall Street's estimates. Looking ahead, sell-side analysts expect revenue to grow 17.9% over the next 12 months, a deceleration versus the last six years. Still, this projection is healthy and implies the market is forecasting success for its menu offerings. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. A restaurant chain's total number of dining locations often determines how much revenue it can generate. Kura Sushi operated 73 locations in the latest quarter. It has opened new restaurants at a rapid clip over the last two years, averaging 28.4% annual growth, much faster than the broader restaurant sector. This gives it a chance to scale into a mid-sized business over time. When a chain opens new restaurants, it usually means it's investing for growth because there's healthy demand for its meals and there are markets where its concepts have few or no locations. A company's restaurant base only paints one part of the picture. When demand is high, it makes sense to open more. But when demand is low, it's prudent to close some locations and use the money in other ways. Same-store sales is an industry measure of whether revenue is growing at those existing restaurants and is driven by customer visits (often called traffic) and the average spending per customer (ticket). Kura Sushi's demand rose over the last two years and slightly outpaced the industry. On average, the company's same-store sales have grown by 2.2% per year. This performance gives it the confidence to meaningfully expand its restaurant base. In the latest quarter, Kura Sushi's same-store sales fell by 5.3% year on year. This decline was a reversal from its historical levels. We struggled to find many positives in these results. Its EBITDA missed significantly and its same-store sales fell short of Wall Street's estimates. Overall, this was a weaker quarter. The stock traded down 3.3% to $40 immediately following the results. Kura Sushi's earnings report left more to be desired. Let's look forward to see if this quarter has created an opportunity to buy the stock. The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free. Sign in to access your portfolio
Yahoo
31-03-2025
- Business
- Yahoo
Unpacking Q4 Earnings: Kura Sushi (NASDAQ:KRUS) In The Context Of Other Sit-Down Dining Stocks
Quarterly earnings results are a good time to check in on a company's progress, especially compared to its peers in the same sector. Today we are looking at Kura Sushi (NASDAQ:KRUS) and the best and worst performers in the sit-down dining industry. Sit-down restaurants offer a complete dining experience with table service. These establishments span various cuisines and are renowned for their warm hospitality and welcoming ambiance, making them perfect for family gatherings, special occasions, or simply unwinding. Their extensive menus range from appetizers to indulgent desserts and wines and cocktails. This space is extremely fragmented and competition includes everything from publicly-traded companies owning multiple chains to single-location mom-and-pop restaurants. The 13 sit-down dining stocks we track reported a satisfactory Q4. As a group, revenues beat analysts' consensus estimates by 0.9% while next quarter's revenue guidance was 2.4% below. Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 13% since the latest earnings results. Known for its conveyor belt that transports dishes to diners, Kura Sushi (NASDAQ:KRUS) is a chain of sushi restaurants serving traditional Japanese fare with a touch of modernity and technology. Kura Sushi reported revenues of $64.46 million, up 25.2% year on year. This print exceeded analysts' expectations by 4.7%. Overall, it was an exceptional quarter for the company with an impressive beat of analysts' EPS estimates and a solid beat of analysts' EBITDA estimates. Hajime Uba, President and Chief Executive Officer of Kura Sushi, stated, 'Our fiscal year is off to an excellent start, and we're very encouraged to see that our comps have returned to positive territory. Our new openings are exceeding expectations and have us even more excited about Kura's ultimate opportunity in the U.S. Adjusted EBITDA margins have achieved an all-time high for a fiscal first quarter, thanks to companywide efforts to control costs. We're off to a great start, and I'm extremely excited for another banner year at Kura Sushi.' The stock is down 50% since reporting and currently trades at $50.97. Is now the time to buy Kura Sushi? Access our full analysis of the earnings results here, it's free. Founded by Norman Brinker in Dallas, Brinker International (NYSE:EAT) is a casual restaurant chain that operates the Chili's, Maggiano's Little Italy, and It's Just Wings banners. Brinker International reported revenues of $1.36 billion, up 26.5% year on year, outperforming analysts' expectations by 9.6%. The business had an incredible quarter with an impressive beat of analysts' EPS estimates and a solid beat of analysts' EBITDA estimates. Brinker International achieved the biggest analyst estimates beat and highest full-year guidance raise among its peers. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 6.1% since reporting. It currently trades at $145.20. Is now the time to buy Brinker International? Access our full analysis of the earnings results here, it's free. Owner of the iconic Australian-themed Outback Steakhouse, Bloomin' Brands (NASDAQ:BLMN) is a leading American restaurant company that owns and operates a portfolio of popular restaurant brands. Bloomin' Brands reported revenues of $972 million, down 18.6% year on year, falling short of analysts' expectations by 9.9%. It was a disappointing quarter as it posted full-year EPS guidance missing analysts' expectations. Bloomin' Brands delivered the weakest performance against analyst estimates and slowest revenue growth in the group. As expected, the stock is down 38.2% since the results and currently trades at $7.35. Read our full analysis of Bloomin' Brands's results here. Celebrated for its delicious (and free) brown bread, gigantic portions, and delectable desserts, Cheesecake Factory (NASDAQ:CAKE) is an iconic American restaurant chain that also owns and operates a portfolio of separate restaurant brands. The Cheesecake Factory reported revenues of $921 million, up 5% year on year. This print topped analysts' expectations by 0.9%. It was a strong quarter as it also produced a solid beat of analysts' EBITDA estimates and a decent beat of analysts' EPS estimates. The stock is down 10.6% since reporting and currently trades at $48.53. Read our full, actionable report on The Cheesecake Factory here, it's free. Founded in 1968 as Red Lobster, Darden (NYSE:DRI) is a leading American restaurant company that owns and operates a portfolio of popular restaurant brands. Darden reported revenues of $3.16 billion, up 6.2% year on year. This result missed analysts' expectations by 1.7%. Overall, it was a slower quarter as it also logged a slight miss of analysts' same-store sales estimates. The stock is up 8.7% since reporting and currently trades at $204.61. Read our full, actionable report on Darden here, it's free. Want to invest in winners with rock-solid fundamentals? Check out our Hidden Gem Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Join Paid Stock Investor Research Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here. Sign in to access your portfolio
