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Shake Shack trimmed its fiscal second-quarter and full-year 2026 guidance on Monday, blaming macroeconomic uncertainty and a tougher competitive landscape.
Revenue for the quarter ending July 1 was guided down to a range of $415 million to $420 million, a cut from the previous target of $424 million to $428 million. The quarterly same-shack sales growth estimate dropped to a 2.5%–3.0% range from the prior 3.0%–5.0% forecast, while projected restaurant-level profit margin fell to 22.0%–23.0%, a notable step down from the earlier 24.0%–24.5% expectation.
On a full-year basis through December 30, the revised outlook calls for adjusted EBITDA of $225 million to $235 million, pulling back from $230 million to $245 million, net income of $45 million to $55 million versus a prior range of $50 million to $60 million, and a restaurant-level profit margin of 22.0%–23.0%, down from the prior 23.0%–23.5% target.
The company said it issued the updated guidance after being more than two-thirds through the current quarter. CEO Rob Lynch said the underlying business remains intact despite the revisions.
