Shake Shack Inc. (NYSE: SHAK) reported fourth quarter financial results after markets closed on Wednesday. The burger joint said that it had $0.09 in earnings per share (EPS) and $73.3 million in revenue. The same period from last year had $0.08 in EPS and $51.06 million in revenue. Thomson Reuters forecast $0.09 in EPS and $70.68 million in revenue.
Same-Shack sales increased 1.6% for the fourth quarter of 2016 versus 11.0% growth in the fourth quarter last year.
Average weekly sales for domestic, company-operated Shacks was $90,000 for the fourth quarter of 2016 compared to $89,000 for the same quarter last year, a 1.1% increase, primarily due to increased menu prices and favorable shifts in sales mix from menu innovation.
During the quarter, the Company opened six domestic company-operated Shacks. Additionally, the company opened four international licensed Shacks.
In terms of the outlook for the 2017, the company expects to see revenue in the range of $349 million to $353 million, with same-Shack sales growth between 2% and 3%. The consensus estimates are calling for $0.55 in EPS and $354.5 million in revenue.
Randy Garutti, CEO of Shake Shack, commented:
I am proud of what our team has achieved in our second full year as a public company. I’m especially pleased given the challenging industry backdrop in retail and restaurants. And, we achieved all of this while furthering our commitment to growing in premier locations, and building an even better team member and guest experience that fosters the long term strength of the Shake Shack brand for years to come. Looking ahead, 2017 is shaping up to be an exciting year of growth with a strong pipeline of new domestic openings, as well as the evolution of the Shack App, which is just one part of our long term strategy to meet our guests, whenever, and wherever they are.
Shares of Shake Shack closed Wednesday at $36.15, with a consensus analyst price target of $39.50 and a 52-week trading range of $30.90 to $43.99. Following the release of the earnings report, the stock was initially down nearly 5% at $34.39 in the after-hours trading session.