Kura Sushi shares fall as Q2 results miss expectations

Published 08/04/2025, 21:48
Kura Sushi shares fall as Q2 results miss expectations

Investing.com -- Kura Sushi USA, Inc. (NASDAQ:KRUS) shares dropped 2.1% following the release of its fiscal second quarter 2025 results, which fell short of analyst estimates.

The technology-enabled Japanese restaurant concept reported a wider-than-expected adjusted net loss of $0.14 per share for the quarter ended February 28, 2025, compared to the analyst consensus of $0.09 per share. Revenue came in at $64.9 million, missing the $66.3 million estimate and representing a 13.3% increase YoY.

Comparable restaurant sales decreased 5.3% compared to the same quarter last year, primarily due to reduced traffic. The company cited inclement weather as an unexpected pressure on sales during the period.

Despite the earnings miss, Kura Sushi maintained its fiscal year 2025 outlook, projecting total sales between $275 million and $279 million. The company also reiterated its plan to open 14 new restaurants, maintaining an annual unit growth rate above 20%.

Hajime Uba, President and CEO of Kura Sushi, commented on the quarter: "While the inclement weather was an unexpected sales pressure, we're pleased overall with the quarter due to the great progress we've made across our initiatives."

The company's restaurant-level operating profit was $11.2 million, or 17.3% of sales, down from 19.6% in the prior-year quarter. Adjusted EBITDA decreased slightly to $2.7 million from $2.9 million a year ago.

Kura Sushi opened three new restaurants during the quarter and two more subsequent to the quarter's end, bringing its total new openings to 11 for the fiscal year to date.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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