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Sep 30, 2023

Wingstop Q3 2023 Earnings Report

Wingstop's Q3 2023 performance was marked by significant growth in system-wide sales, same-store sales, and net income, driven by transaction growth and brand health.

Key Takeaways

Wingstop Inc. reported strong financial results for the fiscal third quarter ended September 30, 2023, with a 26.5% increase in system-wide sales to $885.0 million and a 15.3% increase in domestic same-store sales. The company's net income rose by 46.0% to $19.5 million, or $0.65 per diluted share, and they updated their guidance for 2023 domestic same store sales growth to approximately 16%.

System-wide sales increased 26.5% to $885.0 million.

Domestic same store sales increased 15.3%.

Net income increased 46.0% to $19.5 million, or $0.65 per diluted share.

The company updated guidance for 2023 domestic same store sales growth to approximately 16%.

Total Revenue
$117M
Previous year: $92.7M
+26.4%
EPS
$0.69
Previous year: $0.45
+53.3%
System-wide sales
$885M
Previous year: $700M
+26.5%
Domestic SSSG
15.3%
Previous year: 6.9%
+121.7%
Gross Profit
$57.1M
Previous year: $74.1M
-23.0%
Cash and Equivalents
$78M
Previous year: $174M
-55.1%
Free Cash Flow
$24.5M
Previous year: $17.4M
+40.5%
Total Assets
$352M
Previous year: $411M
-14.4%

Wingstop

Wingstop

Wingstop Revenue by Segment

Wingstop Revenue by Geographic Location

Forward Guidance

Based on year-to-date results, the Company is providing updated guidance for 2023, which is a 52-week fiscal year:

Positive Outlook

  • Approximately 16% domestic same store sales growth, previously 10% to 12%
  • 240 to 250 global net new units
  • Stock-based compensation expense of approximately $14.0 - $15.0 million
  • Depreciation and amortization of between $14.0 - $15.0 million for 2023

Challenges Ahead

  • SG&A of $94.5 - $95.5 million, previously $91.0 - $93.0 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income