Shake Shack Q1 2026 earnings: sales up, net loss reported

Shake Shack reported a nett nonaccomplishment of $294,000 successful the archetypal 4th of 2026, swinging from nett income of $4.5 cardinal successful the aforesaid play a twelvemonth earlier, arsenic higher nutrient costs and a leap successful wide and administrative expenses outpaced gross growth.

Total gross reached $366.7 cardinal for the thirteen weeks ended April 1, up 14.3% from $320.9 cardinal successful the archetypal 4th of 2025, the institution said. Shack income — gross from company-operated locations — roseate to $354.0 cardinal from $309.8 million, portion licensing gross climbed to $12.7 cardinal from $11.1 million.

Same-Shack income accrued 4.6% compared with the prior-year period. System-wide sales, which see some company-operated and licensed locations, roseate 14.1% to $558.3 million.

Food and insubstantial costs roseate to $100.0 million, oregon 28.3% of Shack sales, from 27.8% successful the year-earlier quarter. General and administrative expenses climbed to $53.6 cardinal from $40.6 million. The combined value of those increases pushed the institution to an operating nonaccomplishment of $2.6 million, compared with operating income of $2.8 cardinal successful the archetypal 4th of 2025.

Restaurant-level profit, a non-GAAP measurement of profitability astatine the Shack level, came successful astatine $75.1 million, oregon 21.2% of Shack sales, up from $64.2 million, oregon 20.7% of Shack sales, a twelvemonth earlier.

Adjusted EBITDA fell 9.3% to $37.0 cardinal from $40.7 million. The adjusted EBITDA borderline contracted to 10.1% of full gross from 12.7% successful the archetypal 4th of 2025.

On a per-share basis, the nett nonaccomplishment attributable to Shake Shack Inc. was $0.01 per diluted share, compared with net of $0.10 per diluted stock a twelvemonth ago. Adjusted pro forma nett income, a non-GAAP figure, was $88,000, oregon $0.00 per afloat exchanged and diluted share, versus $6.4 million, oregon $0.14 per share, successful the prior-year period.

During the quarter, Shake Shack opened 17 caller company-operated Shacks and 5 caller licensed Shacks. The institution has much than 685 locations system-wide, including much than 440 crossed 35 U.S. states and the District of Columbia.