By Katherine Hamilton
Shares of Shake Shack closed down after the company forecasted slower same-store sales growth for this year.
The stock fell 5.3% to end the market session at $121.63. The shares are up 84% in the past 12 months.
The restaurant chain is guiding for 3% growth in same-store sales this year, compared with 4.3% growth in 2024, based on preliminary earnings, the company said in a filing Monday. It expects revenue of $1.45 billion to $1.48 billion for the year.
Revenue is expected to grow 16% to 18% in 2025, up from 15% in 2024, the company said, based on preliminary guidance for the year.
Shake Shack also unveiled its long-term plans for growth. The company wants to more than quadruple the number of U.S. restaurants it has to 1,500, up from its current 330 locations. Shake Shack opened a record 43 stores in 2024.
The fast-casual dining chain posted preliminary revenue of $328.7 million for the fourth quarter of 2024. Its preliminary revenue for the full year is $1.3 billion. Both numbers topped estimates from analysts polled by FactSet.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
January 13, 2025 16:46 ET (21:46 GMT)
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