Shake Shack, Inc. (NYSE:SHAK) shares climbed Thursday after the burger chain delivered an earnings beat and outlined steady expansion plans despite mixed revenue results.
Investors focused on continued restaurant growth and improving profitability trends as the company mapped out its outlook for the year ahead.
Quarterly Metrics
The company reported fourth-quarter adjusted earnings per share of 37 cents, beating the analyst consensus of 35 cents. Quarterly sales of $400.531 million (+21.9% year over year) missed the Street view of $401.318 million.
Systemwide sales reached $618.0 million, rising 23.4% from 2024. Same-Shack sales increased 2.1% compared with the prior year.
Restaurant-level profit in the quarter under review increased to $87.448 million, higher than $71.895 million a year ago.
Income from operations increased to $18.744 million, compared with $10.210 million a year ago.
In the quarter under review, adjusted EBITDA increased to $56.110 million, higher than $46.694 million. Adjusted EBITDA margin contracted to 14% from 14.2%.
Shake Shack exited the quarter with $360.123 million in cash and equivalents.
The firm said it opened 15 new Company-operated Shacks and 17 new licensed Shacks.
Full-Year Snapshot
Shake Shack posted total revenue of $1.445 billion in fiscal 2025, up 15.4% from 2024.
Shack sales were $1.391 billion, while licensing revenue totaled $54.1 million.
Systemwide sales rose 15.9% year over year to $2.228 billion.
Same-Shack sales increased 2.3% versus the prior year.
Overall, the results reflected solid top-line growth alongside steady comparable-sales gains.
Outlook
Shake Shack sees 2026 sales of $1.60 billion to $1.70 billion versus $1.65 billion estimate.
The firm sees first-quarter sales of $366 million to $370 million, versus an analyst estimate of $370.9 million.
SHAK Price Action: Shake Shack shares were up 10.02% at $101.36 at the time of publication on Thursday, according to Benzinga Pro data.
Photo by Ned Snowman via Shutterstock
