Wingstop Shares Rise as Earnings Beat Offsets Revenue Miss
Wingstop Inc. (NASDAQ: WING) reported second-quarter results that beat earnings expectations but fell short on revenue, leading to a 4.5% rise in its stock price. The company's adjusted earnings per share were $1.18 compared to the expected $1.03, while revenue grew by 6.4% year-over-year to $185.6 million from $174.3 million but missed market forecasts of $191.03 million. Domestic same-store sales declined by 7.5%, reflecting ongoing consumer spending pressure and lower transaction volumes. Despite this, Wingstop expanded its restaurant network with the opening of 102 net new locations during the quarter, bringing total global restaurants to 3,255 as of July 29. The company's profitability improved significantly, with a year-over-year increase in net income by 16.9% and adjusted EBITDA rising by 12.5%. Wingstop also updated its fiscal guidance for the full year, anticipating domestic same-store sales to decline between 4% and 6%, while maintaining expectations of global unit growth at 15-16%.
Tickers: $WING