Yahoo Finance Kura Sushi (KRUS) Reports Q3 Preliminary Results, Stock Down
Kura Sushi USA, Inc. KRUS reported third-quarter fiscal 2024 preliminary results. The company’s shares lost 13.8% in the after-hours trading session on Jun 27.
The lower-than-expected preliminary financial results for the fiscal third quarter were due to unanticipated softness in the California market. Despite the unexpected sales volumes, the company’s team made diligent efforts to control costs, which allowed KRUS to maintain its restaurant-level operating profit margins of 20% and manage general and administrative costs effectively.
Q3 Preliminary Results
The company expects total sales to be $63.1 million. In third-quarter fiscal 2024, comparable restaurant sales are likely to have increased 0.6% year over year. The company expects restaurant-level operating profit to be 20% of sales.
For fiscal 2024, KRUS now anticipates total sales to be in the range of $235 million to $237 million.
The company views the sales pressure as transitory and expects consumer strength to normalize over time. Kura Sushi remains optimistic about its long-term potential and sees this period as an opportunity to drive new efficiencies and strengthen the organization.
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Restaurant Development
In the fiscal third quarter of 2024, the company launched four new restaurants located in Orlando, FL, Atlanta, GA, Scarsdale, NY and Roseville, CA.
KRUS currently has a Zacks Rank #4 (Sell). Shares of the company have lost 10.1% in the past year, compared with the industry’s decline of 23.4%.
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