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Jun 29
One Group Hospitality Q2 2025 Earnings Report
The ONE Group Hospitality reported its financial results for the second quarter ended June 29, 2025, with revenues increasing by 20% and positive same-store sales for Benihana and positive transactions for STK.
Key Takeaways
The ONE Group Hospitality delivered strong top-line growth in Q2 2025, with total revenues increasing by 20.2% to $207.4 million, primarily driven by the successful integration of the Benihana acquisition. Despite a decrease in consolidated comparable sales, Benihana achieved positive same-store sales and STK saw positive transaction growth, indicating underlying consumer engagement. The company reported a net loss of $10.1 million, which included significant lease termination and exit expenses.
Total GAAP revenues increased by 20.2% to $207.4 million in Q2 2025, up from $172.5 million in the prior year.
Benihana same-store sales increased by 0.4% and STK transactions increased by 2.8%, showing brand strength and consumer engagement.
The company reported a GAAP net loss of $10.1 million, which was impacted by $5.6 million in lease termination and exit expenses.
Adjusted EBITDA attributable to The ONE Group Hospitality, Inc. increased by 7.3% to $23.4 million.
One Group Hospitality
One Group Hospitality
One Group Hospitality Revenue by Segment
Revenue by Segment
Owned Restaurant Net Revenue
CapyFin.comManagement, License, and Incentive Fee Revenue
CapyFin.com Forward Guidance
The ONE Group Hospitality remains confident in its growth trajectory for 2025, focusing on accelerating same-store sales growth and pursuing asset-light expansion strategies. The company plans to open five to seven new venues this year and optimize operations across its expanded portfolio.
Positive Outlook
- Plans to open five to seven new venues in 2025, including owned and franchised locations.
- Focus on asset-light and low-cost expansion strategies to enhance capital efficiency and balance sheet strength.
- Recently opened a second franchised Benihana Express location, demonstrating expansion without deploying significant capital.
- Optimizing operations across the expanded portfolio to increase shareholder value.
- Anticipates total GAAP revenues between $835 million and $870 million for the full year 2025.
Challenges Ahead
- Consolidated comparable sales are projected to decrease between 3% and 1% for the full year 2025.
- Consolidated comparable sales are projected to decrease between 4% and 2% for Q3 2025.
- Total owned operating expenses as a percentage of owned restaurant net revenue are expected to be approximately 86% for Q3 2025.
- Consolidated total G&A, excluding stock-based compensation, is projected to be approximately $11 million for Q3 2025.
- Consolidated total capital expenditures, net of allowances received by landlords, are projected to be between $45 million and $50 million for 2025.