Kura Sushi USA, Inc. has recently released its 10-Q report, providing insight into its financial performance. The company operates technology-enabled Japanese restaurants in the United States, offering an engaging revolving sushi service model known as the “Kura Experience.” Kura Sushi USA aims to make quality Japanese cuisine accessible to its guests across the United States through affordable prices and an inviting atmosphere.
In the 10-Q report, Kura Sushi USA highlighted its business trends, indicating that during the nine months ended May 31, 2025, it opened thirteen restaurants, expanding its restaurant base to 76 restaurants in twenty states and Washington, DC. The company also expects to open a total of 15 new restaurants in fiscal year 2025, projecting an increase in revenue and restaurant operating costs. Moreover, Kura Sushi USA evaluated the potential impact of import laws and tariffs on its operations, noting that as of May 31, 2025, there was no material impact on its business, financial condition, results of operations, or cash flows.
The 10-Q report also provided key financial definitions, including sales, food and beverage costs, labor and related expenses, occupancy and related expenses, depreciation and amortization expenses, and other costs. Additionally, it detailed the results of operations for the three and nine months ended May 31, 2025, compared to the same periods in 2024.
For the three months ended May 31, 2025, Kura Sushi USA reported sales of $73.9 million, representing a 17.3% increase from the same period in 2024. The company attributed the sales growth to the opening of thirteen new restaurants and increases in menu prices. However, comparable restaurant sales decreased by 2.1% during the same period.
Furthermore, Kura Sushi USA reported increases in food and beverage costs, labor and related costs, occupancy and related expenses, depreciation and amortization expenses, and other costs for the three months ended May 31, 2025, compared to the same period in 2024. Despite the overall increase in operating expenses, the company managed to reduce general and administrative expenses as a percentage of sales, which decreased from 14.0% in 2024 to 11.8% in 2025.
The company's net income for the three months ended May 31, 2025, was $565 thousand, marking a significant improvement from a net loss of $558 thousand in the same period in 2024. This positive financial performance reflects Kura Sushi USA's efforts to navigate challenges and capitalize on growth opportunities within the restaurant industry. As a result of these announcements, the company's shares have moved 0.55% on the market, and are now trading at a price of $86.3498. Check out the company's full 10-Q submission here.
