Noodles & Company Reports Q3 2026 Results Driven by Portfolio Optimization and Sales Growth
Noodles & Company (NDLS) reported strong third-quarter results for 2026, highlighted by a 9.5% increase in system-wide comparable restaurant sales. This growth was primarily driven by a 10.7% surge at company-owned locations and an 7.8% increase in company-owned traffic, marking the eighth consecutive quarter of positive same-store sales growth. The company's strategic focus on closing underperforming restaurants has successfully transferred traffic to nearby units, enhancing overall restaurant economics. Despite a slight 1% decrease in total revenue to $120.9 million due to store closures, profitability improved significantly. Adjusted EBITDA rose 34% to $8.7 million, and the net loss narrowed to $2.1 million compared to a $9.2 million loss in the prior year. Management attributed these improvements to higher Average Unit Volumes (AUV), which reached $1.54 million, and disciplined cost management regarding labor and sales costs.