Overview
Kura Sushi fiscal Q3 sales rise to $74 mln, beating analyst expectations, per LSEG data
Adjusted EPS for fiscal Q3 beats consensus, reflecting strong operational performance
Company opened three new restaurants, contributing to growth strategy
Outlook
Company forecasts fiscal year 2025 sales of approximately $281 mln
Kura Sushi plans to open 15 new restaurants in fiscal year 2025
Company expects general and administrative expenses as a percentage of sales to be below 13% exclusive of legal settlements
Result Drivers
SALES GROWTH - Total sales increased by 17.3% to $74 million, surpassing analyst expectations of $71.8 million
TRAFFIC DECLINE - Comparable restaurant sales fell 2.1%, partly due to a 2.9% drop in customer traffic
COST MANAGEMENT - Improved food and beverage cost percentage due to menu price hikes and supply chain initiatives, despite inflation
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Sales | Beat | $74 mln | $71.80 mln (9 Analysts) |
Q3 Adjusted EPS | Beat | $0.05 | -$0.01 (9 Analysts) |
Q3 EPS |
| $0.05 |
|
Q3 Adjusted Net Income | Beat | $600,000 | -$206,000 (8 Analysts) |
Q3 Net Income |
| $600,000 |
|
Q3 Adjusted EBITDA | Beat | $5.40 mln | $4.84 mln (9 Analysts) |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the restaurants & bars peer group is "buy"
Wall Street's median 12-month price target for Kura Sushi USA Inc is $79.00, about 8.7% below its July 7 closing price of $85.88
The stock recently traded at 2,722 times the next 12-month earnings vs. a P/E of 248 three months ago
Press Release: ID:nGNX1v4WG2