NASDAQ$WING

Wingstop Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Wingstop's Q3 2020 financial performance was strong, marked by significant revenue growth, same-store sales increases, and strategic capital allocation.

Wingstop Inc. reported a strong fiscal third quarter 2020, with a 32.8% increase in system-wide sales to $509.2 million and a 25.4% increase in domestic same store sales. The company completed a $480 million recapitalization and declared a special dividend of $5.00 per share.

  • System-wide sales increased by 32.8% reaching $509.2 million.
  • Domestic same store sales grew by 25.4%.
  • Digital sales accounted for 62.0% of total sales.
  • Net income increased by 70.7% to $10.1 million, or $0.34 per diluted share.

Headline financials

Total Revenue

$64M

Previous: $49.9M+28.3%
EPS (adj)

$0.30

Previous: $0.20+50.0%
Domestic AUV

$1.44M

Previous: $1.22M+17.7%
Domestic same store sales growth

25.4%

Previous: 12.3%+106.5%
Capital Expenditures

-$3.73M

Previous: -$21.1M+82.3%
Free Cash Flow

$6.35M

Previous: -$15.2M+141.9%
Net Income

$10.1M

Previous: $5.91M+70.7%
Operating Income

$14.3M

Previous: $11.9M+19.7%
Gross Profit

$52.2M

Previous: $39.5M+32.0%
Cash & Equivalents

$48.2M

Previous: $9.47M+409.2%
Total Assets

$220M

Previous: $168M+30.7%
Stock-Based Comp

$3.01M

Previous: $2.04M+47.2%

Revenue & EPS history

Wingstop · Revenue · Quarterly

$64M

Q3 2020+28.3%vs Q3 2019
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Wingstop · $64M total across 3 segments · Q3 2020

  • Royalty revenue, franchise fees and other
    $28.8M+31.7%
  • Advertising fees
    $19.7M+39.8%
  • Company-owned restaurant sales
    $15.5M+11.4%

Forward guidance

Wingstop provided its financial outlook for the fiscal year ending December 26, 2020.

Tailwinds

  • Net system-wide restaurant openings of between 135 - 140

Headwinds

  • SG&A costs of approximately $63.5 - $64.5 million

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

+2.7%

Avg return

Earnings day

+2.2%

Avg return

5 days after

+3.5%

Avg return

30 days after

63%

31 / 49 earnings

Positive

+26.6%

Q2 2022

Best reaction

-22.0%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.8%-13.0%-9.3%
Q4 2025+10.8%-1.4%-25.4%
Q3 2025+10.8%+11.3%+22.8%
Q1 2025+14.5%+16.8%+48.2%
Q4 2024-13.4%-22.7%-29.6%
Q3 2024-22.0%-19.5%-10.9%
Q2 2024-1.3%-6.4%+2.5%
Q1 2024-0.8%+2.9%-4.2%
Q4 2023+3.0%+7.7%+9.8%
Q3 2023+8.7%+13.0%+32.8%
Q2 2023-1.7%-0.9%-5.7%
Q1 2023+4.1%+3.6%-0.8%
Q4 2022+4.8%+4.2%+10.9%
Q3 2022+17.5%+17.5%+15.3%
Q2 2022+26.6%+24.3%+16.1%
Q1 2022-1.4%-9.4%-12.4%
Q4 2021-1.5%-15.3%-16.7%
Q3 2021-2.6%+1.1%-7.7%
Q2 2021+2.5%+0.5%+1.1%
Q1 2021+6.7%+8.0%-3.7%
Q4 2020-16.0%-20.9%-20.8%
Q3 2020+1.6%+13.7%+8.3%
Q2 2020+19.1%+22.0%+23.6%
Q1 2020+1.7%+4.6%-0.8%
Q4 2019-0.5%-4.2%-44.4%
Q3 2019-0.3%-8.0%-4.4%
Q2 2019-3.2%-1.3%+4.8%
Q1 2019+3.7%+3.6%+16.8%
Q4 2018+0.6%-1.2%+14.8%
Q3 2018-6.7%-7.1%-4.7%
Q2 2018+20.6%+20.6%+36.4%
Q1 2018+10.7%+12.7%+4.1%
Q4 2017-3.0%-0.1%+3.0%
Q3 2017+10.4%+8.7%+17.5%
Q2 2017+5.2%+6.7%+8.9%
Q1 2017+10.7%+5.8%+0.3%
Q4 2016-3.7%-6.8%+4.7%
Q3 2016+1.5%-1.5%+17.6%
Q2 2016+11.6%+16.8%+17.2%
Q1 2015+2.3%
Q1 2016+1.4%
Q4 2013+0.2%
Q1 2014+0.2%
Q4 2015+4.2%
Q3 2014-5.8%
Q3 2015-0.5%
Q2 2014+0.4%
Q4 2014+0.4%
Q2 2015+0.7%

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