Kura Sushi USA ( NASDAQ:KRUS – Get Free Report ) released its quarterly earnings results on Thursday. The company reported $0.08 earnings per share for the quarter, missing the consensus estimate of $0.18 by ($0.10), FiscalAI reports. The business had revenue of $88.88 million during the quarter, compared to the consensus estimate of $90.88 million. Kura Sushi USA had a negative return on equity of 0.86% and a negative net margin of 1.41%.
Here are the key takeaways from Kura Sushi USA’s conference call:
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Fiscal Q4 comparable sales fell 5.7%, as an 11.5% traffic decline more than offset 5.8% growth from price and mix. The company reported a $0.3 million net loss versus $2.3 million of net income a year earlier, while restaurant-level operating margin declined to 19.1% from 19.8%.
Management traced much of the traffic weakness to weekday lunches and plans to expand testing of $9.99 and $11.99 value combos, with a broader launch targeted for Q2; an initial three-day test accounted for 5% of sales mix without lowering average check. Fiscal Q1 comps to date improved to negative 3.1%, though management said the improvement came from mix, while traffic remained ...