By Connor Hart
Shares of GEN Restaurant Group gained after the company topped revenue expectations in the fourth quarter and issued an upbeat outlook on the year ahead.
The stock rose 28%, to $6.51, in after-hours trading Thursday. Shares ended the regular session down 4.5%, at $5.09, having slightly rebounded from its earlier low of $5.
The restaurant chain posted a loss of $204,000, or 4 cents a share, compared with a loss of $24,000, or 1 cent a share, a year earlier.
On an adjusted basis, the company reported a loss of 2 cents a share. Analysts surveyed by FactSet expected a loss of 3 cents a share.
Revenue rose 21% to $54.7 million, topping the $49.8 million that analysts modeled.
Looking forward, Chief Executive David Kim said the company is optimistic, in part because first-quarter comparable sales, which account for store openings and closing, returned to positive growth of 1% through the end of February. He attributed the swing to the company's "premium menu and modest pricing adjustments."
The company has opened three new restaurants in 2025, and anticipates opening 10 to 13 more throughout the remainder of the year, including at least two in South Korea. "Our priority remains on executing our growth initiatives and capitalizing on the growing demand for Korean BBQ," Kim said.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
March 06, 2025 18:18 ET (23:18 GMT)
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