Q3 2025 Kura Sushi USA Inc Earnings Call Transcript
Key Points
- Kura Sushi USA Inc (KRUS) completed a system-wide rollout of a new reservation system ahead of schedule, which has been positively received by guests and team members.
- The company opened three new restaurants during the third quarter and two more subsequent to the quarter end, with new locations exceeding expectations, particularly in the Pacific Northwest.
- Kura Sushi USA Inc (KRUS) achieved a 20% increase in adjusted EBITDA compared to the prior year, despite higher restaurant operating costs.
- The company has a strong pipeline of IP collaborations lined up for fiscal 2026, with no interruptions between campaigns, which is expected to drive sales.
- Kura Sushi USA Inc (KRUS) maintains a strong financial position with $93 million in cash, cash equivalents, and investments, and no debt.
- Comparable sales growth for the fiscal third quarter was negative 2.1%, with negative traffic of 2.9% offsetting a price and mix increase of 0.8%.
- Labor costs as a percentage of sales increased by 50 basis points due to high single-digit rate inflation.
- Restaurant-level operating profit margin decreased to 18.2% from 20% in the prior year, due to higher labor, occupancy, and other costs.
- The company faces potential impacts from tariffs, with about 45% of its supply basket coming from Japan, Korea, and Vietnam.
- Mix was negative 3.5% for the quarter, indicating challenges in driving higher average ticket sales.
Good afternoon, ladies and gentlemen, and thank you for standing by. Welcome to Kura Sushi USA Incorporated fiscal third-quarter 2025 earnings conference call. (Operator Instructions) Please note that this call is being recorded.
On the call today we have Hajime Jimmy Uba, President and CEO; Jeff Uttz, Chief Financial Officer; and Benjamin Porten, Senior Vice President of Investor Relations and System Development. And now, I would like to turn the call over to Mr. Porten.
Thank you, operator. Good afternoon, everyone, and thank you all for joining. By now, everyone should have access to our fiscal third-quarter 2025 earnings release. It can be found at www.kurasushi.com in the Investor Relations section. A copy of the earnings release has also been included in the 8-K we submitted to the SEC.
Before we begin our formal remarks, I need to remind everyone that part of our
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
