Aug. 5 at 2:00 PM
First Watch
$FWRG Earnings:
Lots to like here. Still one of the cleanest stories in restaurants.
Tracking right to our thesis: share gains, strong unit economics, and disciplined expansion, all while the broader segment slows. (Which is proving to be opportunity for 2nd Gen locations).
Key Metrics
• Revenue +19.1% Y/Y
• Same-restaurant sales +3.5%
• Same-restaurant traffic +2%
• 17 new restaurants opened
• Now operating 600+ locations
• AUVs:
$2.3M (vs.
$1.6M in 2019)
• New units trending
$2.7M AUV by year 3
• 130+ sites approved and in development
⚡ Some more reads
• June = strongest traffic month in 2+ years
• Mother’s Day = busiest day in company history
• Strength across all dayparts
Key for growth is that unit economics remain healthy.
Unit-level returns remain best-in-class:
• 35%+ cash-on-cash
• 18%+ ROIC
• Relaunching digital platform in H2: waitlist automation, geolocation check-in, digital ordering, nutrition filters
Until next Q.
$MCD $SBUX