Kura Sushi USA Reports Strong Expansion and Financials

By Bobby Samwell • Wednesday, April 09 09:58 • Permanent Link

Kura Sushi USA, Inc. has recently released its 10-Q report, providing an insight into its financial condition and operational performance. Kura Sushi USA operates technology-enabled Japanese restaurants in the United States, offering an engaging revolving sushi service model known as the "Kura Experience." The company has expanded its restaurant base to 73 locations in twenty states and Washington, DC as of February 28, 2025, with plans to open a total of 14 new restaurants in fiscal year 2025.

In the 10-Q, the company highlighted key financial definitions including sales, food and beverage costs, labor and related expenses, occupancy and related expenses, depreciation and amortization expenses, and general and administrative expenses. These metrics are crucial in understanding the company's financial performance and cost structure.

The report also provides a detailed breakdown of the results of operations for the three and six months ended February 28, 2025, compared to the same periods in 2024. For the three months ended February 28, 2025, Kura Sushi USA reported sales of $64.9 million, representing a 13.3% increase from the same period in 2024. However, the company experienced a net loss of $3.8 million for the same period, compared to a net loss of $998 thousand in 2024.

The increase in sales was primarily driven by the sales resulting from fourteen new restaurants opened subsequent to February 29, 2024, as well as increases in menu prices during the same period. However, comparable restaurant sales decreased by 5.3% for the three months ended February 28, 2025, primarily due to a reduction in traffic.

The 10-Q also detailed the percentage of sales attributed to various operating costs, including food and beverage costs, labor and related expenses, occupancy and related expenses, depreciation and amortization expenses, and other costs. These metrics provide insights into the company's cost structure and operational efficiency.

Following these announcements, the company's shares moved 11.9%, and are now trading at a price of $46.4. Check out the company's full 10-Q submission here.

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