Jersey Mike's stock climbed 8% as the chain beat profit expectations and issued an optimistic outlook for accelerating same-store sales growth, offsetting a minor revenue shortfall in the second quarter.
Jersey Mike's reported better-than-expected profit and issued strong guidance, driving an 8% share price surge.
Jersey Mike's shares surged 8% after the sandwich chain reported second-quarter adjusted profit of $114 million, beating analyst estimates despite a slight revenue miss. The company signaled confidence in its future performance, forecasting same-store sales growth of up to 4% for the third quarter and maintaining its full-year EBITDA growth target of at least 20%.
The company beat adjusted profit estimates with $114 million in EBITDA but missed revenue expectations, reporting $208 million against a projected $209 million.
The company expects same-store sales growth to accelerate to 3.0% to 4.0% in the third quarter, maintaining a full-year target of 2.5% to 3.0%.