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Shake Shack (SHAK) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

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Shake Shack (SHAK - Free Report) reported $276.21 million in revenue for the quarter ended September 2023, representing a year-over-year increase of 21.2%. EPS of $0.17 for the same period compares to -$0.06 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $275.96 million, representing a surprise of +0.09%. The company delivered an EPS surprise of +88.89%, with the consensus EPS estimate being $0.09.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Shake Shack performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Same-Shack sales growth: 2.3% compared to the 3.8% average estimate based on 11 analysts.
  • Shack counts - Licensed: 215 versus the 10-analyst average estimate of 213.
  • Shack counts - Domestic company-operated: 280 versus 281 estimated by 10 analysts on average.
  • Shack counts - System-wide: 495 versus the 10-analyst average estimate of 493.
  • Shack counts - International licensed: 176 compared to the 175 average estimate based on eight analysts.
  • Shack counts - Domestic licensed: 39 versus 37 estimated by eight analysts on average.
  • Average weekly sales: $74 versus $73.95 estimated by four analysts on average.
  • Revenue- Licensing: $11.23 million versus $10.72 million estimated by 11 analysts on average. Compared to the year-ago quarter, this number represents a +35.1% change.
  • Revenue- Shack sales: $264.98 million compared to the $265.42 million average estimate based on 11 analysts. The reported number represents a change of +20.7% year over year.
  • Shack system-wide sales: $438.90 million compared to the $438.66 million average estimate based on four analysts. The reported number represents a change of +24.3% year over year.
  • Licensing Revenue- Initial territory and opening fees: $0.33 million compared to the $0.27 million average estimate based on two analysts.
  • Licensing Revenue- Sales-based royalties: $10.90 million versus $10.17 million estimated by two analysts on average.
View all Key Company Metrics for Shake Shack here>>>

Shares of Shake Shack have returned +0.3% over the past month versus the Zacks S&P 500 composite's +0.8% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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