Wingstop Q2 2021 Earnings Report
Key Takeaways
Wingstop Inc. reported fiscal second quarter financial results with a 15.8% increase in system-wide sales, 2.1% increase in domestic same-store sales, and total revenue increase of 11.9% to $74.0 million. The company opened 45 net new restaurants, representing a 13.1% unit growth.
System-wide sales increased by 15.8% to $589.7 million.
45 net new restaurant openings, representing a 13.1% increase.
Domestic same-store sales increased by 2.1%.
Digital sales accounted for 64.5% of total sales.
Wingstop
Wingstop
Wingstop Revenue by Segment
Wingstop Revenue by Geographic Location
Forward Guidance
The Company reiterates mid-single digit domestic same store sales growth. Additionally, the Company expects the following for the fiscal year ending December 25, 2021: •Unit growth of 12%+ •Food, Beverage and Packaging costs of approximately 44%, as a percentage of company owned restaurant sales and total cost of sales of approximately 80%, as a percentage of company owned restaurant sales •SG&A of $64.8 to 66.8 million; and •Adjusted SG&A, a non-GAAP measure, of between $55.1 - $56.6 million.
Positive Outlook
- Unit growth of 12%+
- Mid-single digit domestic same store sales growth
- Strong cash flow generation
- Commitment to returning value to stockholders
- Continued excitement to grow with our brand
Challenges Ahead
- Challenging commodity environment
- COVID-19 related factors
- Unemployment rate
- Temporary store closures
- Inability of workers to work due to illness, quarantine, or government mandates
Revenue & Expenses
Visualization of income flow from segment revenue to net income