Sweetgreen’s (SG) stock is up 23% after the restaurant chain that specializes in salads reported strong sales for this year’s second quarter.
The Los Angeles, California-based company reported revenue of $184.6 million U.S., which was up 21% from a year earlier and ahead of Wall Street forecasts that called for $180.8 million U.S.
Sweetgreen, which held its initial public offering (IPO) in November 2021, opened four new restaurants during the quarter.
Management said that same-store sales rose 9% during Q2 of this year despite a difficult operating environment with consumers reigning in their spending.
The company, which is still not profitable, posted a net loss of $14.5 million U.S. in Q2, with a loss margin of 8%.
That’s an improvement from a loss of $27.3 million U.S., representing 18% of sales, a year ago.
In terms of guidance, company executives raised their outlook for the remainder of this year. Sweetgreen now expects annual revenue of $670 million U.S. to $680 million U.S.
That’s up from a previous estimate of $660 million U.S. to $675 million U.S.
Same-store sales are expected to grow 5% to 7% this year, up from a previous forecast of 4% to 6% growth.
Prior to today, Sweetgreen’s stock had risen 92% over the last 12 months and was trading at $26.25 U.S. per share.
