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Feb 28, 2023

Kura Sushi Q2 2023 Earnings Report

Kura Sushi experienced an exceptional quarter, marked by industry-leading traffic growth, successful unit expansion, and leveraged G&A investment.

Key Takeaways

Kura Sushi USA announced strong financial results for the fiscal second quarter ended February 28, 2023, with total sales increasing to $43.9 million compared to $31.3 million in the same quarter of the previous year. The company also saw a 17.4% increase in comparable restaurant sales and an improvement in operating loss, which was reduced to $1.0 million from $1.9 million in the second quarter of 2022.

Total sales reached $43.9 million, a notable increase from $31.3 million in Q2 2022.

Comparable restaurant sales increased by 17.4% compared to the same quarter last year.

Operating loss improved to $1.0 million, compared to $1.9 million in Q2 2022.

Restaurant-level operating profit was $8.9 million, representing 20.3% of sales.

Total Revenue
$43.9M
Previous year: $31.3M
+40.4%
EPS
-$0.1
Previous year: -$0.19
-47.4%
Restaurant-level operating profit
$8.9M
Previous year: $5.6M
+58.9%
Restaurant-level operating margin
20.3%
Gross Profit
$6.16M
Previous year: $3.66M
+68.4%
Cash and Equivalents
$22.3M
Previous year: $36.4M
-38.7%
Free Cash Flow
-$4.81M
Previous year: -$7.12M
-32.4%
Total Assets
$213M
Previous year: $184M
+15.6%

Kura Sushi

Kura Sushi

Forward Guidance

For the full fiscal year 2023, the Company reiterates and updates the following annual guidance:

Positive Outlook

  • Total sales between $185 million and $188 million
  • General and administrative expenses as a percentage of sales to be between 15.5% and 16.0%
  • 9 to 11 new restaurants
  • Average net capital expenditures per unit of approximately $2.5 million
  • The Company’s guidance assumes no material changes in consumer behavior or broader macroeconomic trends.