A customer leaves a Cava restaurant in New York on June 22, 2023.
Brendan McDermid | Reuters
How are you Thursday, said better than expected sales in its last quarter of exercise, shaking the discomfort that the catering industry felt As consumers have reduced catering.
The Mediterranean chain said that its comparable store sales increased by 10.8% in the three months which ended on April 20, raised with traffic growth of 7.5%. Analysts interviewed by StreetacCount provided for growth in comparable stores of 10.3%.
“When we look at our consumers in the quarter, we saw an increase in premium attachment on articles at higher prices, such as our pita tokens or our incredible houses of houses. We have also seen that our average per person increased, then when we examine our results, there is a positive traffic in all our geographies, in all our cohorts of income, as well as the different formats of our restaurants.
She added that the guests exchanged fast food and restaurants with relaxed catering in the Bols and Pitas de Cava, a trend that the company has seen for several quarters.
Elsewhere in the catering sector, companies have reported a very different behavior from consumers, although the results of many companies do not include at all times in April, when sales and performance of industry traffic has improved.
Rapid rival Chipotle said its transactions fell 2.3% in the first quarter while consumers fell their expenses in February, frightened by economic uncertainty. Sweetgreen pointed out its first quarterly decrease in sales at comparable stores since its public return in 2021. McDonald’s CEO Chris Kempczinski said that fast food industry has shown that low and intermediate income consumers have spent less. The hamburgers giant said that sales of people’s stores decreased us by 3.6% for the first quarter.
Despite the strong quarterly performance, Cava reiterated its sales forecasts with comparable stores, sticking with its projections of an increase of 6% to 8%. The chain said in the last quarter that it expected slower growth in the rear half of its 2025 exercise.
The action dropped 5% in prolonged exchanges. From Thursday’s fence, Cava shares have slipped 11% so far this year, injured by the concerns of investors concerning its conservative prospects for the exercise and the economic benefits of the Trump administration prices.
Here is what the company declared in relation to what Wall Street was expecting, on the basis of a survey of LSEG analysts:
- Profit by action: 22 cents. This may not be compared with the 14 cents per share expected by LSEG.
- Income: $ 332 million against $ 327 million expected
The company declared a tax net profit in the first quarter of $ 25.71 million, or 22 cents per share, against $ 13.99 million, or 12 cents per share, a year earlier. Cava declared an income tax service of $ 10.7 million concerning shares remuneration, which increased its profits this quarter.
Net sales increased from 28% to $ 332 million. On an end of 12 months, Cava’s revenues exceeded $ 1 billion, which represents an important step for the company.
The company has raised some of its projections for the exercise.
The Cava now provides the profits adjusted before interest, taxes, damping and damping from $ 152 million to $ 159 million, against its previous forecasts from $ 150 to $ 157 million. The company also plans to open between 64 and 68 new locations, higher than its previous perspective between 62 and 66 restaurant openings.
