Overview
- Cava reduced its full-year same-store sales forecast to 3%–4% from 4%–6% and trimmed its restaurant-level margin outlook to 24.4%–24.8%.
- Shares fell about 4%–5% in after-hours trading following the guidance cut and mixed third-quarter results.
- Same-store sales rose 1.9% in the quarter, below expectations, as overall traffic was flat and sales were helped by pricing and premium protein mix.
- Quarterly net sales were about $292 million and adjusted earnings came in at 12 cents per share, with management emphasizing continued market-share gains.
- CFO Tricia Tolivar said younger and lower-to-middle-income customers are visiting less frequently due to economic pressures, and tariffs created roughly a 20 basis-point margin headwind as the footprint expanded to 415 restaurants.