free counter
World

Shake Shack business hurt by insufficient lunchtime traffic

Shake Shack investors dumped the stock today following the company said its second quarter results were hurt by way of a insufficient lunchtime traffic from workers in offices.

Why it matters: The makeup of the workforce who home based has hit an equilibrium point in the U.S. Companies influenced by a higher mixture of office worker activity will need to adjust their strategies.

Details: Weekday lunch and dinner traffic in Midtown NEW YORK, where in fact the chain originated, continues to be on average a lot more than 40% below 2019 levels, CFO Katherine Fogertey noted with this morning’s earnings call.

  • Even though other urban markets like Boston and Washington D.C. saw same-store sales grow by a lot more than 25% last quarter, “that recovery could have been even stronger had [things like] go back to office, incrementally improved,” she said.
  • Shake Shack’s shares finished down 6.3% Thursday from yesterday’s close.

What things to watch: Workers in NEW YORK intend to slice the time they spend in offices by half, while those in SAN FRANCISCO BAY AREA intend to reduce by way of a bit more than half.

Read More

Related Articles

Leave a Reply

Your email address will not be published.

Back to top button

Adblock Detected

Please consider supporting us by disabling your ad blocker