Wingstop (WING) Q3 2025 earnings summary

Executive summary

• Opened 369 net new restaurants in the first three quarters of 2025, achieving 19.3% unit growth and nearing 3,000 global locations.

• System-wide sales grew 13.1% year-to-date to $4.0 billion and rose 10.0% in Q3 to $1.4 billion, with digital sales accounting for 72.8%.

• Adjusted EBITDA increased 18.6% year-over-year to $63.7 million in Q3, reflecting the strength of the asset-light, highly franchised model.

• Domestic same store sales declined 5.6% in Q3, while company-owned same store sales grew 3.8%.

• Launched the Wingstop Smart Kitchen in over 2,000 restaurants and piloted a loyalty program, with national rollout planned for Q2 2026.

Financial highlights

• Total revenue rose 8.1% to $175.7 million in Q3 2025; net income grew 10.7% to $28.5 million ($1.02 per diluted share).

• Adjusted net income was $30.4 million ($1.09 per diluted share), up 15.6% year-over-year.

• Company-owned restaurant cost of sales declined 300 bps to 74.8% of sales in Q3.

• Domestic AUVs reached $2.1 million, with unlevered cash-on-cash returns of 70%+.

• Food and packaging costs as a percentage of company-owned sales decreased to 36.2% in Q3.

Outlook and guidance

• 2025 domestic same store sales expected to decline 3%-4%, revised from previous 1% growth guidance.

• Raised global unit growth guidance to 475-485 net new restaurants for 2025.

• SG&A guidance updated to $131-$132 million, including $26 million stock-based compensation and $4.5 million non-recurring system costs.

• Anticipate return to same-store sales growth in 2026, driven by Smart Kitchen, new marketing, and loyalty program.

• Depreciation and amortization forecasted at $26 million; interest expense, net at $37.5 million.