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Dec 25, 2019

Shake Shack Q4 2019 Earnings Report

Shake Shack's revenue increased, driven by new shack openings and licensing growth, but same-shack sales declined due to decreased guest traffic and less menu innovation.

Key Takeaways

Shake Shack's fourth quarter 2019 total revenue increased by 21.9% to $151.4 million. Shack sales increased by 20.8% to $145.8 million, while licensed revenue increased by 58.6% to $5.6 million. However, same-shack sales decreased by 3.6%. The company opened 12 domestic company-operated Shacks and 8 international licensed Shacks during the quarter.

Total revenue increased by 21.9% to $151.4 million.

Shack sales increased by 20.8% to $145.8 million.

Licensed revenue increased by 58.6% to $5.6 million.

Same-Shack sales decreased 3.6%.

Total Revenue
$151M
Previous year: $124M
+21.9%
EPS
$0.06
Previous year: $0.06
+0.0%
Same-Shack Sales
-3.6%
Previous year: 2.3%
-256.5%
Shack-Level Operating Profit
$29.7M
Gross Profit
$66.4M
Previous year: $55.1M
+20.6%
Cash and Equivalents
$37.1M
Previous year: $24.8M
+49.9%
Free Cash Flow
-$8.79M
Previous year: -$4.77M
+84.2%
Total Assets
$968M
Previous year: $611M
+58.6%

Shake Shack

Shake Shack

Shake Shack Revenue by Segment

Forward Guidance

The company expects 2020 will be another year of strong unit growth, domestically and internationally, with 40 to 42 new company-operated Shacks and 20 to 25 net new licensed Shacks.

Positive Outlook

  • Strong unit growth domestically.
  • Strong unit growth internationally.
  • 40 to 42 new company-operated Shacks.
  • 20 to 25 net new licensed Shacks.
  • Focused investments across our digital products.

Revenue & Expenses

Visualization of income flow from segment revenue to net income