By Josh Beckerman
Noodles & Co. said it will consider a range of potential strategic alternatives in an effort to maximize shareholder value.
The restaurant chain will explore options including refinancing of existing debt, refranchising or sale of all or part of the business, and/or other strategic or financial transactions.
Noodles said successful initiatives like its Delicious Duos platform contributed to comparable restaurant sales growth of 4.5% in August.
"We believe now is the appropriate time to consider strategic options for our brand that could allow us to more effectively maximize value for our shareholders," the company said.
At about 4:01 p.m. ET, Noodles shares were halted due to pending news. The stock last traded down 3% to 67 cents.
Write to Josh Beckerman at josh.beckerman@wsj.com
(END) Dow Jones Newswires
By Josh Beckerman
Noodles & Co. said it will consider a range of potential strategic alternatives in an effort to maximize shareholder value.
The fast-casual restaurant chain will explore options including debt refinancing, refranchising or a sale of all or part of the business, and/or other strategic or financial transactions.
Noodles said successful initiatives like its Delicious Duos platform contributed to comparable restaurant sales growth of 4.5% in August.
"We believe now is the appropriate time to consider strategic options for our brand that could allow us to more effectively maximize value for our shareholders," the company said.
Shares were down 1.5% to 66 cents after hours. As of the market close the stock was up about 15% this year.
In August, Noodles lowered its full-year revenue guidance to $487 million to $495 million from $503 million to $512 million. It said second-quarter results reflected a challenging consumer environment that led to more discounts and promotions across the industry.
Benchmark Equity Research said after the earnings report that results "displayed evidence of what we see as a mismatch between the newly introduced, higher-quality menu and the current macro environment where consumers are hyper-focused on value."
Write to Josh Beckerman at josh.beckerman@wsj.com
(END) Dow Jones Newswires
September 03, 2025 17:56 ET (21:56 GMT)
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