Randy. you, Thank
adjusted you We expect business growth do As of pleased pressure remain challenging million XXXX, sales coming the in with revenue, delivering another fourth and in we're to quarter albeit strong some aspects with growth, of this year. positive year the just of a increase certain total end in a EBITDA, to XX.X% under $XXX.X same-Shack heard, year. throughout
increase right a is of decline impacting During the sales both same-Shack the now, a sales in quarter, well comp the many Of in performance. X.X% in X.X%, by offset decreased and delivery on price/mix, overall fourth business things traffic. consisting X.X% going
single In integrated August, delivery. our decision we as to announced partner move for Grubhub with market a ahead
continues in partnership. important that forward Our momentum
Although, not challenges, and without expected impact sales, as shared, we've as resulting to it's volatility. individual market
various over a tech Shacks we originally a integration marketplaces basis, full on planned in for to other from exclusivity. speedier decided complete transition to and With brands move market-by-market marketing in transition the assessing we testing Instead, QX, had to process. strategies the
rates As were earlier experienced channel Shacks the while the growth Grubhub, of solely the a integrated quarter end slowdown delivery with quarter just year prior the of our the in compared QX, significant in year. in a in of over to
market-by-market today, a work nearly integrated over basis As through on months. with are coming Shacks of continue we half transition our plans to of solely Grubhub and the
volatility significant so and As through expect a the throughout we're this channel of phased first quarter this result approach, of potentially much continue seeing play in out we delivery already far. to XXXX, the
quantify since some entirely. we impact know prominent higher and, the announcement And transition. have of removal cases, placements, to a the we been partnership, of subject from this pricing site in to hard It's precisely often marketplace less our
from and So, to this ultimately compelling enjoy structure. unchanged, volatility this we'll benefiting while the a revenue cost delivery growth. remains near-term, guests I data to Through experience capturing the strategy, our retain directly goal sustainable guest our in with long-term connect while prioritize in
All of guest to integrating and Shack whilst platforms data, own long in later Shake our this for and the channels, invest a targeted service our delivery on loyalty further over this, leveraging our indirect term. year, as while building we app including web
we in sales performance was our and strategy the results and Same-Shack delivery impacted this fourth factors. believe were quarter by of quarters, as additional strong not number prior as a
gathering The first linked shopping the our compared was shopping prior directly week less impact. an many holiday clearly, holiday one Shacks With locations, busy season calendar. of during had high-traffic and community the and to year, to travel, the
still combination in Northeast have warm, our New base represented season fourth in addition, quarter. was and two sales. of compare Mid-Atlantic, holiday majority where factors the believe of we quarter a-third weather the our our decline a favorable of In these the the comp approximately We York, conditions comp challenging one, the lapping a headwind of XXXX
also versus to overall as our we chose digital to weaker our channels. Bites, have innovation as year menu as well and on believe activity traffic focus promotional last We reduce decisions contributed delivery to may Chick'n
where traffic a last base that gradually the a XX further bit has After comp markets, development number in markets. XX% total Shacks we licensed penetrating Likely new Shacks increasing the that adding of current to in negative been comp additional of we year, that, was trends company-operated in this base. the existing opened U.S. over to the a contributed shift and XX a as additional with record pressure year, opened we in
many come, year in we company-operated million At and the $XXX strategy. sales Shacks in remain added having only for to growth in years today, confident with significant XXX our planned Shack
negative U.S. time impact aggressive on don't towards remain sole in we existing Shacks. at overall the in have for sales growing gaining and be bigger to a and market the much times expansion a can footprint our focused quarter, traffic We Shack, short-term Shack a at While the it one market believe on reason
XX XX% markets in and all Licensing driven by growth of through $X.X to a strength revenue million exceptional with performance. net Shacks regions the increase strong and performance of levels quarter, showing new continuing and strong fourth increased
timing We also saw ended XX% with previous of million, our quarter the growing year during exceeding and $XX.X openings guidance. a license benefit revenue to the from
with operating couple the level of midpoint pressured of And our million performance. the across Shack of guidance. for margin level Shack XX.X%, grew level operating areas, yet, Shack to XXXX, operating quarter prior including sales just profit was year full margin $XXX the above in fourth a profit XX.X%
the have significant we've meaningfully been the gradually throughout One which quarter of levels beef reached was the up November highest since stepped been increasing and late XXXX. year, but mid-single-digit the inflation, most headwinds in in
experienced and the the quarter. of We in profile inflation throughout cost dairy, our shake’s concretes impacting also
of majority together sales XXXX, first in to inflation, the leveled with mix. half see of the has line with the high continue in XXXX. the the deleverage paper Bites but Consistent Beef cost last year-on-year the costs with off in COGS we in few profile this increasing year, digital of somewhat QX the Chick'n represented quarters,
Labor to and employment invest and continues it Randy expensive starting of an and talent. face by this retain It's ourselves strong we some environment. remains increased ways, of continue wage headwind competitive pressure to mid-single choice. And the digits our to forward. recruit in you from as We employer average XXXX, moving heard great a in differentiate and in
As well from in than fourth on factors, year. from costs impacted benefited leverage in less quarter our labor industry-wide as earlier the we fixed these had was the management line sales
Finally, cost, which normalizes over open labor higher typically new to continue with time. do then a Shacks
and sales impacted QX into lease the leverage. margin Our occupancy. costs Shack points as adoption came certain in accounting occupancy our basis X% XX by Also, moved standard XXXX of impacted as interest lease the out the of by a operating level at approximately new loss and depreciation reminder, of in
driven Total compensation increase G&A $XX.X million G&A and non-cash quarter the our for our and the by growth. non-cash across amortization. fourth to to in The support company was included investments equity $X.X technology million, was related year-on-year
with associated project the $XX of guidance For below Operating the $X.X $XX.X spent year, Concrete of to greater prior timing we a in various full expenses Project progressed. million with for capitalized as million year, due our total full spend proportion initiatives. the G&A, were the to of million million $XX
now this management stage, tools and focusing processes is in middle Concrete and Project of its on procure-to-pay with later rollout inventory ongoing year. supplier the through
to mentioned, of that of invest sales a revenue, and year performance ultimately be As full continue timing expected should I initiatives. XXXX of provided strong growth not full XXXX as with due for the variety mostly G&A XXXX long-term percentage a spend year to combined leverage, across we
quarter, opening year quarter as Pre-opening forecasted well the expenses XXXX quarter Shacks guidance $X.X million, the costs opening above the certain first in our delays million, date. were due bringing to to to into full their as falling fourth certain prior $XX.X originally versus some
and quarter to we line deliver was to million ultimately grow for we as deliver last term, the growth and items. full top compared continue line for continue XX.X%. leverage grew year, X.X% expect $XX.X adjusted EBITDA year the and Long $XX.X million growing fourth Adjusted across to EBITDA double-digit various cost to was sales
Our material. related our tax for net activity, underlying rate excluding and of our supplemental excess quarter for the of the effective is year, guided tax range rate, the the was of our slightly XX.X% benefits levels full in due year impact XX.X% tax compensation higher reconciliation stock-based appendix below included to tax the of to credit. A for
week XX%, to XXrd be approximately the Looking $XXX we to of this of current XXXX $XX million from to year, impact between $XXX total growth the million, XX% revenue and million. approximately including in expect
is licensing target to shared in exceed our as be numbers, expected as in to We system-wide between sales. and billion XXXX remain we $XX $XXX million surpass track million three-year sales $X these in revenue on well million. XXXX Within that $XX of to
Our business bullish has well, entering performing and been extremely we've XXXX. license been
in recent the time. coronavirus headwinds potentially this and conservative plan updated caused outbreak, appropriate guidance to and at our we've significant to be and believe it the initial our expectations due XXXX by However, more
facing last in acute Asia five over significant throughout China, are Kong the and experiencing and Shacks already weeks. sales Our Hong uncertainty impact
a one an percentage in license expect very line. for for our represents of the of so total We our context, third small on And Asia bottom revenue, have of our annualized the impact delayed does the region revenue, company overall openings approximately remainder it year.
estimated to also in of extensive guidance XX respective are the to the our and their will of revenue undergoing Both total expected for temporary sales our be sales volume quarter. two highest and from closures renovations, in weeks Shacks Upper West Our these for first incorporates periods XX same-Shack Central have guidance a removed combined the impact our Shacks the closed of been lost of Station. from closure Side Shacks for York New the two Grand adjusted City be of These reporting.
same-Shack into Getting our sales guidance.
we expect year expect with first toughest same-Shack the be base comp as the in full of transition, we during delivery for volatility our work course continuing as the we single=-digits. with combined this, to more we trends-to-date, throughout sales gradual year. the the down half through XXXX compares pressure Within Given our low the improvement of acute year lap
approximately We our company-operated within and expect to this XX% open planned between XX of XX openings markets. Shacks in XXXX existing with year's
to Our currently those and the majority opening in weighted back-end in half our back fourth openings of the quarter. with is happening of XX% the year schedule projected be XX% of to the
XXXX Shack formats likely our of as mentioned, Randy class a broadening will see result, continue expand. our sales to range expected volumes. As And a
$X.X million volume unit of average be the million end between the by to XXXX. expect company-operated We and for all Shacks $X.X
took with per pricing the We've price the mid-December. include X% to remained forecast increase less decade, year. generally over taking last we than X% sales Our X.X% conservative
some in extensive we're country. the research of However, midst across pricing the
for from menu in or pricing this Learnings certain us present may to further specific have items certain although increases planned this channels, any in opportunities markets, at don't time. we adjust on
Moving on profit. to Shack level operating
unit approximate from level basis we is this to XX XXrd week. favorable between to guidance Shack our in profile to the past time, expect margins to items contraction as seen line operating and At broaden XX% XX and off. size and be stabilize XXXX cost points to years the and base included XX.X%, of potentially We begin the certain impact expect the few margin level a compared this over to start to continue within an
mentioned, easing we some I total, beef we've in to food of so Bites in compared recent the leverage the expect the on based far this slight inflation cost and year, and In Chick'n As of improved XXXX. profile seen do in line last XXXX. paper cost
impact efficient through ability mandatory to Project market that tools our on continuing compared We've initiatives Labor minimizing somewhat support Concrete, spent. technology been the very process wage those redeploy the being These labor, how of and our or host initiatives improvement yet optimizing and teams XXXX. has through administrative from continues, on range precious well for The puts of on rules the reduce challenging drive are in labor increased takes. our tasks hours model, annual a less our so than more optimize company. and operations to kiosks increases them, and updating other of that to to scheduling use labor both focused when across worked
compared an of of deleveraging continued in pressure to expect XXXX, easing we labor recent anticipate we the While years. do
continue to operational We've and and not to for and as returns set that year guest XXXX, experience. year. expand in in as our deliver support digital to to the and such, the We is a driving across to of on recently with marketing will also skills us, a these of and building excited was committed tech This a back XXXX deeper we much time. We've investing op front year and house company. in plan the the ways excellence this broader growth, opportunity. confident business we and investment. engage the feel expect investments created infrastructure teams leverage in focused invest invest new do grown a over team deliver continue we G&A remain We're for as with guest of and to we're
currently the our of our above our the part nurture core on also New fourth for planned Shack will Village York year enrich kitchen. our office innovation where how within building quarter, of retreat, and additional our expansion we leaders. in It's the West in we'll and develop biannual XXXX home current take culture a see our leadership of the space
$XX as implementation a to of million between following $X.X $X is and impact approximately to related compensation expect for $XX equity primarily with within be total, and $X.X related of Project to million G&A non-cash items amortization well million XXXX, In and salaries G&A technology from million million our Included license to Concrete. total of as fees the week. benefits expense XXrd additional an we
We we a step-up. portfolio. to another by in and depreciation of to have $XX.X driven remain The a the in and impact to while continue of to million, build growth, on majority increase million number between add we'll sizable Shacks phase. so year-on-year expect be do we the $XX.X continue such This large to increasing this continues significant depreciation EPS
to pro estimated rate And tax Our we compensation guide XX% to XX%. impact from any activity. excluding forma is a tax be stock-based as between beneficial and this reminder, number,
Our EPS. due activity, significantly year rate XXXX to $X.XX tax had XXXX on a stock-related full was lower impact which
overall an at We're right still to can early in start journey in growth, think our now, we of a important economies we is ahead. believe approaching scale. we size what where our remain about Yet sizable to a stage gradual investing in committed so opportunity
And you how I'll we're XXXX. Randy thinking more some with that, give color on back pass to about to
