The company said it will continue to outfit stores with kiosks, though it will monitor usage given that some people might not want to touch screens during a pandemic. After adjusting for the impact of protests, same-store sales showed sequential growth, with June delivering a drop of 39 percent, and Q2 negative 47 percent.Corporate units’ most recently average weekly sales were $58,000—an increase of 18 percent compared to the week of April 29.One of the anvils on Shake Shack’s performance currently is its New York City volume. Despite continuing to experience significant same-store sales declines, Shake Shack is returning to growth mode, adding four new stores during Q2, the company announced in a business update Tuesday. As such, “our tail will be longer” when it comes to recovery than a traditional fast-food format.
Despite continuing to experience significant same-store sales declines, Same-store sales fell 49% for the quarter ended June 24, driven by a 60% drop in traffic and an 11.1% increase in price mix.
Protests against the killing of George Floyd while under police custody in Minneapolis cost the chain about $3.2 million in June, due to reduced operating hours because of government-mandated curfews as well as temporary store closures, the chain said. The company’s total revenue hiked from $191 million to $657 million in that span as total systemwide sales bumped to $839 million from $295 million and cash flow from operations lifted from $41 million to $96 million.But an interesting development out of COVID-19 will be how Shake Shack selects potential leases. Despite the fact 85 percent of the brand’s units are located outside the Big Apple, its home base houses the prime performers. Shake Shack expects this to gradually slide back over time as dining rooms reopen and in-store sales recover. That's y. Shake Shack said it has a pipeline of leases in negotiation for further growth in 2021 and beyond. In the week ended April 29, it was just 59.Total year-over-year licensed sales growth: –65 percentTotal year-over-year licensed sales growth: –59 percentTotal year-over-year licensed sales growth: –47 percentTotal year-over-year licensed sales growth: –39 percentShake Shack opened two licensed restaurants post Q1 in Shanghai, China—the first May 28 at the Hongqiao Airport and subsequently on June 28 at the Grand Gateway Plaza.In late June, the brand also announced an expansion of its existing partnership with Maxim’s Caterers Limited to open a minimum of 15 additional units across South China by 2030, including locations in Shenzhen, Guangzhou, Fuzhou and Xiamen. In fact, the brand is testing a veggie burger at two locations — one at its Innovatioin Kitchen restaurant in New York City, the other at a store in New Jersey.“We’re excited at seeing where that goes,” Garutti said. Shake Shack’s Surprisingly Disciplined U.S. Growth Plan. For the most recent fiscal week (ended July 1), NYC same-store sales declined 58 percent versus the prior year. COVID-19 continues to sag sales, as did recent protests.The five times weekly e-newsletter that keeps you up-to-date on the latest industry news and additions to this website.Could the pandemic open growth opportunities for Shake Shack? Some will have walk-up windows as the brand pushes “convenience” at all Shacks.
But the big spurt is happening overseas.
… “Investment in our teams and developing future leaders from within has “It has never been harder to find great people to lead restaurants,” Garutti said. However, Shake Shack’s guest traffic has declined YoY in 10 of the past 11 quarters…
BENNIES All employees are eligible, on your 90th day, for: medical, dental, and vision insurance; pre-tax transit payment plan; and short-term disability.
However, they’ve come back on line with “significantly reduced sales volumes.” Still, they’re contributing positive to store-level operating profit by remaining open, the company added.By Tuesday, six restaurants remained fully closed, up from 17 at the end of Q1. Garutti said earlier: “Across urban, suburban, shopping center, and pad site locations, we expect these new pickup points with both interior and/or exterior access will support our goals of convenience while allowing Shacks to be what they've always been for our fans.