Shake Shack Inc. (NYSE:SHAK) Q3 2023 Earnings Conference Call November 2, 2023 8:00 AM ET

Company Participants

Michael Oriolo – Senior Director-FP&A and Investor Relations

Randy Garutti – Chief Executive Officer

Katie Fogertey – Chief Financial Officer

Conference Call Participants

Brian Vaccaro – Raymond James

Katherine Griffin – Bank of America

Jim Sanderson – Northcoast Research

Jeff Farmer – Gordon Haskett

Brian Harper – Morgan Stanley

Sharon Zackfia – William Blair

Jake Bartlett – Truist Securities

Michael Tamas – Oppenheimer

David Tarantino – Baird

Brian Mullan – Piper Sandler

Anisha Datt – Barclays

Operator

Greetings and welcome to the Shake Shack Third Quarter 2023 Earnings call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

It is now my pleasure to introduce our host, Michael Oriolo, Senior Director at FP&A and IR. Thank you, sir. You may begin.

Michael Oriolo

Thank you and good morning, everyone. Joining me for Shake Shack's conference call is our CEO, Randy Garutti and CFO, Katie Fogertey.

During today's call, we will discuss non-GAAP financial measures which we believe can be useful in evaluating our performance. The presentation of this additional information should not be considered in isolation or as a substitute for results prepared in accordance with GAAP.

Reconciliations to comparable GAAP measures are available in our earnings release and the financial details section of our Shareholder Letter. Some of today's statements may be forward-looking and actual results may differ materially due to a number of risks and uncertainties, including those discussed in our Annual Report on Form 10-K filed on February 23, 2023. Any forward-looking statements represent our views only as of today and we assume no obligation to update any forward-looking statements if our views change. By now, you should have access to our third quarter 2023 Shareholder Letter, which can be found at investor.shakeshack.com in the Quarterly Results section or as an exhibit to our 8-K for the quarter.

I will now turn the call over to Randy.

Randy Garutti

Thanks, Mike, and good morning, everyone. We're really proud of the team's strong and sustained execution of our strategic plan. Shake Shack remains laser focused on profitable growth. This quarter, we grew total revenue by 21% to $276 million with 2.3% growth in same-Shack sales. We achieved average weekly sales of 74,000, trailing 12-month AUV across our Shacks at $3.9 million. We grew system-wide sales by 24% year-over-year to $439 million as we built Shacks across new and existing markets.