Wingstop (NASDAQ:WING) saw its shares climb 1.3% in premarket trading Wednesday after the international restaurant chain topped expectations for fiscal Q1 earnings and revenue.
The company reported earnings per share (EPS) of $0.98, beating the consensus projection of $0.76. Revenue reached $145.8 million, also above the anticipated $135.92 million.
Further, Wingstop achieved a significant 21.6% growth in total domestic store comparable sales, nearly double the expected 11.8%.
The total number of locations rose to 2,279, a quarterly increase of 2.9%, exceeding the estimated 2,265 locations.
Wingstop has also updated its 2024 guidance.
The company now anticipates low double-digit growth in domestic same-store sales and plans to add between 275 to 295 global net new units.
Moreover, it expects selling, general, and administrative (SG&A) expenses to be around $111 million and stock-based compensation expenses to approximate $20 million.
The company also reiterated its guidance for depreciation and amortization, which is projected to be between $18 million and $19 million for the year.
"Our fiscal first quarter 2024 showcased the momentum behind the Wingstop brand and the continued strength of our strategies, delivering 21.6% domestic same-store sales growth driven almost entirely by transaction growth," said Michael Skipworth, President and CEO.
"Our domestic AUV exceeded $1.9 million, further strengthening best-in-class returns for our brand partners and is strengthening our development pipeline, which gives us confidence in our ability to scale Wingstop into a Top 10 Global Restaurant Brand."