Overview
Noodles & Co Q3 rev decreases 0.5% yr/yr but beats analyst expectations
Adjusted EBITDA for Q3 beats analyst expectations, increasing 32.7% yr/yr
Company reports Q3 net loss of $9.2 mln, impacted by restaurant impairments
Outlook
Noodles & Co expects 2025 revenue between $492 mln and $495 mln
Company anticipates 2025 restaurant level margins of 12.3% to 12.7%
Noodles & Co plans 31 to 34 company-owned restaurant closures in 2025
Result Drivers
MENU ROLLOUT - Co attributes sales growth to new menu rollout and value proposition of Delicious Duos platform
RESTAURANT CLOSURES - Co continues to close underperforming restaurants, transferring sales to nearby locations
MARKETING AND EXECUTION - Improved marketing and operational execution contributed to positive sales trends
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $122.10 mln | $119.77 mln (2 Analysts) |
Q3 Net Income | -$9.20 mln | ||
Q3 Adjusted EBITDA | Beat | $6.50 mln | $6.15 mln (2 Analysts) |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the restaurants & bars peer group is "buy"
Wall Street's median 12-month price target for Noodles & Co is $2.00, about 65.8% above its November 4 closing price of $0.68
Press Release: ID:nGNX9xG1kQ
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)