SHAK - Earnings call 3 2023 | Shake Shack Inc.

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Operator

Greetings, and welcome to the Shake Shack Third Quarter 2023 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded.

It is now my pleasure to introduce your host, Michael Oriolo, Senior Director at P&A and IR. Thank you, sir.

You may begin.

Michael Oriolo

morning, good and you, everyone. Thank

Shake Joining CEO, call our conference Garutti; me and for Randy CFO, is Shack's Katie Fogertey.

and During our financial accordance Reconciliations measures measures, as a useful of will with not be discuss GAAP. believe information for earnings section isolation this we available the performance. our are be or in of our in financial today's can GAAP evaluating results should to letter. presentation additional substitute release comparable considered which details in call, we The non-GAAP shareholder prepared in

actual today's obligation may number change. of views our statements if to Any including annual Some no may and of filed as statements our be Form views only risks materially a those XXXX. forward-looking, and forward-looking and on to statements we on in assume XX, our update report results represent due discussed today, forward-looking uncertainties, differ any of XX-K February

XXXX access section By which [ have Results to now, as found you where Quarterly can our should Third ] to the an Shareholder investor.shakeshack.com the quarter. for be exhibit Letter, at in X-K Quarter our

now will turn over the Randy. I to call

Randall Garutti

Mike, really the strong strategic proud sustained everyone. morning, team's profitable our and remains plan. execution of of laser-focused Shack good and Shake on Thanks, We're growth.

$X.X we revenue This trailing grew existing built XX,XXX, We of $XXX million, with our quarter, XX-month sales. as to XX% to million. XX% average by new AUV total we sales at Shacks weekly X.X% and Shacks We grew million $XXX by system-wide markets. growth achieved year-over-year in across across sales same-Shack

quarter through a the in strong quarter in July began Sales moderated and bit end the September. of the

marketing above as over with reaccelerated and various sales traffic September well However, October digital driving October X.X% we initiatives, increased trend. has same-Shack in-Shack

margins XX%, And X.X% XX% $XX $XX XX%. basis grew our year-over-year. last year to we EBITDA the adjusted we with now EBITDA Shack up quarter of growing XXX XXX profitability, over points margins year-over-year. third to million, nearly from million continued to again, to We basis expansion by over quarter, adjusted increasing In improve by improved points,

footprint a growth XX third We our on coming our and And growth. the building grow XX roughly partners. Shacks And to we're operated of unit are years. pipeline in year approximately quarter, also licensed open XX system-wide, continue a the in to path Shacks with globe, XX the this around company robust XX% we opening

highly Business part Licensed this perform, and see space Our of business. we to accretive tremendous asset-light continues white our and in

in Shacks We expect approximately more and XX open to XX approximately XXXX. this year

deeper and diverse to this amount a we domestically challenging geopolitical macro expect why built well to coming several global globe coming offset more headwinds, the portfolio navigate volatility. existing the With enter we fair formats and And markets year. of a in like with newer as We'll in and help in a proven environment drive-thru the regional is as markets new years. around move

Shacks In far to XX our way opened our year, on well business, year-end. before we've company-operated approximately this XX open so

net we from through solid is about today's fourth target recall if And XX quarter. year a had more pipeline target better XX executing openings Really strong investment year, we much have We're to cost. with ahead, the our working by Looking as weighted under XXXX average of 'XX. we long year. a next bring XX% a of for And heavily costs approximately a you Shacks 'XX prototypes team class proud new also term new our the for construction. with last balanced down

you give how an we're let plan. strategic our tracking Now update on on me

our compared twice similar some to the we're seen. last numbers what more flow best Our winning year. generating we've quarter, to and first Not profitability exploring company. And career priority which a team we're rewarding This execution provide achieved more our reported we've is candidates, growth opportunities to only retention applicant are contributing their enhance commitment are turnover within Shacks. has last attracting been for retaining better on the avenues and staying than to and And operational of recruiting, and longer, remains members and team in we constantly unwavering, experience competitive also to member team. more wages our workforce the

Our focus second relentless priority our experience. is guest on a

at our ShackMeister culinary September. Hot to running a while our Chicken menu our We a that smoothly continue July, operations the strategy and marketing we and core Avocado Sandwich Burger, and to menu execute efficiently. Burger sold exceptional the which out start before pivoted at We Spicy keep Burger quickly of Chicken a offered Bacon LTOs launching broad August. improving core Bourbon favorite, delivering of Bacon our start In of

current And have been menu for we our do year's has the our the impressions media reception solid, partnership. which launch with LTOs while guest compare Spicy one strong off tougher that towards quarter our to started featuring very end been last LTO, a also date. of we Hot high of strongest lap the we fry especially of HotOnes We've to number Fries, as received of due

lemonade lineup has Kiwi with Harvest Apple featuring resonated Our well guests. and Berry, also Cherry Hibiscus

the It's delicious and national in based movie, holiday excited and complete to serving we a highlighting excited hit with Shacks teamed X Trolls for building shake topper Band We've Poppy up time our for and lineup Studios for culinary, Together. opportunities rest blue we're fun these trolls And Sugar on Branch's quarter, the Universal iconic in look additional candy of Cookie, shakes including in resembles the the holidays. launch pink and As first a movie, we'll Cinnamon the we're Peppermint offering Trolls of yesterday. that with that their in shakes just movie, series of about cotton fourth Chocolate brand hair. with partnership characters our just the Viva Roll. be

And we are in advertising lined Trolls, as benefit many have films. bold Shacks with our and social an giving strategy media theaters, around us including well play opportunity engaging in of movie Shacks, role marketing the unique messaging, to partnering as Many activations. a proximate up to

booths. our coloring bars, stations of kids Shacks and have including special weekend, glitter activations coming photo Some will even for this

Our third returns improving priority, our on targeted development Shacks. strategy and our

recent well, and number about We openings October, in to XX Washington company Utah have performed Shake site in a optimal bringing we State, as Texas, Shack continue including total drive-thru and makes more X the operated. more what learn X of opened Our buildout. quarter drive-thrus to an the drive-thrus through and

on continue by to work. Design We our and highlighting guests overall accuracy, order Fast an from proud and with team's Innovation well win Company, score satisfaction we're to our Award

and improvement remain And biggest of consistency, is operational said, Shacks drive-thru big know That through and going throughput. in speed our in our we some be for XXXX. this a generally, and to improvements designs of areas focus

overall bar. quarter, quarter as resort in we our in Shack our Later our performance the Our the in Licensed Seoul. that Business second Shack deepening we includes footprint Bahamas at in Incheon the a showed format China. first continued dramatic the opened we a full-service And Atlantis strong within with in opened Airport

be Shacks opportunity Shacks, and believe domestic X Our which performed by driven us. growth strength well, roadside airports licensed can we continued in domestic of the a more opening for U.S.

in do of into openings 'XX we uncertainty, quarter our in Asia, confident present and into business, terms sales. trajectory number the namely pressures could We of that in of Middle but the and remain and expect pressures geopolitical East long-term the licensed our highly and fourth

consecutive The expanded the our continued second basis more really the to doing Our our showcasing in on We year-over-year XX.X%, margin our our margin strategic profit back fourth work, in profitability XX%, of XXX priority, is third quarter focusing driving restaurant Shacks. points quarter priorities. grew restaurant team above our opportunities great progression restaurants. our by where

winning profitability best and are even and kiosk rollout many guest share from that ahead, backdrop beef a and an own profitable more We're our unknown experience our perspective. in made better pressures lay has our consumer including channel channels There inflation.

patterns improvements continued these driving light help of on that in historical focused are we us currents. cross outperform However,

finally, And towards in of Shacks, we We're areas: capital committed support digital investing fifth capabilities with we updating office an in our our infrastructure, X the current discipline. business, our deploying returns building restaurants. structuring to strong investing plan, Shacks, are enduring to and build as pillar home main

address We to continue lead about cost as build opportunities allocation costs long-term by moving XX% by in supply in we the and operations, build. year G&A to at committed with next preopening costs as reducing leveraging capital as We're well to to beyond. remain Shack, purposely and least discipline chain, 'XX per XX% in

our fastest-growing publicly and see strategic one of companies our driving to and restaurant excited strengthening profitably the we're traded We're opportunity brand while Shake the continue growing ahead. as We we Shack. evolution our of plan remain improvements

the I'll it for to details expectations off more quarter and Katie the share of now about quarter. to hand fourth the

Katherine Fogertey

by drove revenue. we a basis company's quarter a XXX versus and year's We're margin more morning. levels. Good year-over-year in you. third adjusted XX% grew Thank That's to pleased the improvement points than basis expansion total last point of as the EBITDA XX% performance with material XXX Great. of

While road built a flow inflationary and ongoing against even a priorities spending improvements remained to backdrop industry as certain challenged, pressures. our less cash map we and XXXX trends in profitability deliver consumer

Our October opportunities And strategically improvement flat since across our traffic, are meaningful X.X% we in momentum September. a sales with has to Shacks. profitable executing picked drive up same-Shack growth traffic approximately and

a system-wide and record revenue our We company-operated Total high performance to positive We sales sales the strong generated system-wide, about of in million, ended by system-wide in million. XX.X% was quarter the Business Licensed up year-over-year, XX% our new openings from results. XX.X% driven sales. On and up year-over-year our $XXX.X of year-over-year, by third $XXX.X grew approximately system-wide our to Shack XX.X% quarter XXX with Shack with quarter XX% Shacks. by same-Shack

we're XXX. new in our our $XXX.X many markets In pleased We've by year-over-year the Licensed Business and in to entered license executing sales XX opened we plan third XX in Shacks about recent along We with XX are our to and the we as Shack count million. and fiscal existing Shack ahead opened grew quarter, total targeting of growing Licensed, strong are openings we our opening In XXXX. year-to-date, Shacks, partners, deepened new with markets. XX.X% Licensed presence

to sales sales. we Shack year-over-year On the by including performance continued openings, grew company recent XX.X% of and strong drive-thrus, year-over-year in operated supported X side, XX growth the million, same-Shack X.X% $XXX plus NSOs Shack

softening patterns was factors. urban sales stronger and of August more September normal that broadly September. a macroeconomic September other recent backdrop quarter a to more consumer pressures have than of are in also August sales from August muted. in with and cadence navigating seen Pre-COVID, years around of recent we've seasonally But a spending back-to-school. beyond levels typically July seasonality between top our in more been on seasonality more in resembled than we pronounced the In return years, Our fell pre-COVID traffic on restaurants Shacks,

East highly rainy year represented particularly faced We've in comped of and marketing promotions headwinds we Coast through the some some quarter a approximately believe of also We weather lapped the successful and a which over sales. last in the from together California, LTO the from the HotOnes at end loss hurricane with digital Southern quarter. $XXX,XXX

high But and from digital saw single-digit now importantly, grew we in October. same-Shack momentum single same-Shack with the price, growth transitioning by traffic, digit Shack Despite October positive sales to encouraged and in business. X.X% approximately in we our are flat sales menu both low

in also Traffic level, AWS regions and October X.X% seen grew September the of improvement compared improved Northeast strongest year-over-year. with our of Mid-Atlantic in XX,XXX all regions. our to

uncertain [ to macro hospitality value-added drive opportunities marketing to We're and and into as continue in own We X-wall digital in ingredients guests various as we're optimizing performance. and delivering further our these strategies dining channels. focusing ] on third-party also back on offers well premium our leaning and pulse to operations still waters, to with in-Shack navigate our more

of driving from Free with opportunities promotion our plus BOGO strategies, strong We've traffic sales all Happy had marketing to returns dive in are seen Afternoon performance select into and our our we've own Hour channels. deeper and Friday shakes, markets which

aided with Spicy positive kiosk grew growth. offerings. approximately for and sequentially and in-Shack traffic quarter, from quarter strong third benefits price, our retrofit our second improved continued Fry high by from premium sandwich We headwinds the Mix sales our from menu by channel same-Shack for demand program, tailwinds X%, single-digit

channel, highest Kiosk sales check pleased margin half of basis we're up now represent remain least our points we XXX in-Shack We're well high is and this Shack. order the traditional new enhanced our sales channel, at sales now also to very our mode drive year-over-year. lift with across with company-operated this are single-digit seeing mode order some more capabilities than over to in our the testing and versus continue Kiosk in is cashier store upsell which base. largest

Shack or digital lapping offset negative million was pressures operating driving profit same-Shack points promotions, flow of across helped seasonality versus sales restaurants as from continued through last in year, P&L X.X% our better despite trends sales. pressure Shack our That's in-Shack X stronger strongest $XX Net the X-wall years. delivered basis seen some of over a and XXX traffic. XX.X% positive the we inflationary and level have X.X%

beef costs sales, Shack inflation paper off-premise second led up versus XX XX% degree digits were and costs low year-over-year. in digits digits we down pressures $XX.X up year-over-year costs paper more rose of plus and Food or inflationary XXX mid-single decreased versus a last single year up the lower food and chicken, double year-over-year, points points Blended low basis of benefited basis million buns, than packaging as Paper from continued and mix. fry XX.X% by and quarter.

come and and beyond. to fourth these chain From cost work identified through for and body we in some of persistent Most of savings that Last are to against strategies. our these additional to XXXX. XXXX help we opportunities executing areas into deep new continued quarter, already we adding later and in offset improving But vendors on improvements team of freight, meaningful are will identify was the pressures. working inflationary have quarter shared the supply

or and quarter-over-quarter. basis Labor $XX.X XX.X% year last Shack points related points million were versus down up and sales, XX XX basis expenses of

continue we forecasting that our We last and kiosk driving scheduling to labor and labor broader leverage quarter, outlined improved adoption. including strategies

last very year. industry, that in real as recall second of we, faced well the might half the You pressures staffing as some broader

allowed our staffing in in which more significantly be and have seen more improvement today, pressures is improved more our usage. backdrop this in to capabilities quarter available We retention with efficient people labor and pronounced staffing hourly manager that years. and But have here the even new we've scheduling with with a levels, for best management the marked a shifts, us seasonality

the progress We add degree labor have larger delivered are this proud to our the that of despite the that it's we overall also important our improvement including but rooms here, to note headwinds many of costs, as experience, return members. investments to wage in team dining of with improving we've team our members support as and made guest to well traffic the the needed commitment our significant the in-Shack

But importantly, here. resting we're not

to our set journey, on deployment, in and expect show managers the with We Shacks up to that these consistent for processes. success team from improvements in order coming labor scalable and our the continue to and our benefits improvements years, strategies more members, refinements

channel will courts As restaurants. we as greater time we model to well evolve staffing right is it's efficiencies This have a our system refine formats larger optimize you kiosk, quarter improved variation the update variables Shacks in-time deployment us standards. and various each scale, to in a we of diversity menu On this to of staffing of and as will from will motion drive-thrus to across work needs our rooted and And out test and of and our and operators and new and broader XXXX. labor streamline to into the top studies that in the roll mix like food best staff help this we much Shacks. tools. our unique the give This as

a openings, to plan also profitability much at from enhance we Shack this on aim than and reach reduce overall for our we pace new Shacks, We drag to performance. and P&L train open optimal methodology today's as how the our faster

XX.X% down million points XXX $XX.X operating XXXX. the third Other quarter sales, from expenses basis or were of of Shack

by reduce store Our has week this lowered strategy R&M expense $XXX year-over-year. expenditures to per

quarter, that in to delivery lower return with the from line dining, delivery more expenses as up week we're will in historical benefited sales store per also fourth pick patterns. recent anticipating commission in-Shack We but guests

expenses sales, from X.X% and million were $XX.X related Occupancy of down year's XX Shack basis points or last levels.

in All pleased the for continue the level profitability, is we are delivered to and with in, margin back build of very long-term our we our growth. quarter, improvement we which vital

$XX.X G&A million. was

million the year-over-year G&A XX.X% revenue year-over-year. We just last up or severance expense points in on costs, year-over-year XX severance ex year. total system-wide G&A of in quarter, leverage versus revenue, with XX.X% $XX.X this showed and sales grew strong XX.X% to up that total favorable Excluding $XXX,XXX was basis XX.X% line

opportunity investments believe growth. drive greater We long-term we that make sustainable marketing meaningful in to to spend our continue to traffic have direct a

As open our in show to in we to look our traffic cash discipline home we'll investments, up invest while progress G&A position. with continue enhance funds leveraging to also to delivering invest to still drive office priorities additional strategies strategic and on

were the Shacks in costs quarter XX.X% last year. million opened only versus X in we quarter quarter, in Preopening year-over-year, third up $X the of the as XX

Shack seeing extended due occupancy. lines. preopening here operating higher in A majority is noncash is expense per opening expense seeing an expenses, labor by of are preopening costs and driven other time higher of and to preopening noncash we're expenses expenses We occupancy rent, increase --

We're operating impacted in of by items that availability and delays including project pushes are which the can needed end of also utilities openings. experiencing expenses, a cause elevated other at critical development labor and equipment around pipeline most of unanticipated

We have the execution versus in Shack lowering coming operations opportunity expenses in year's and tighter plans development, costs least in to lower level as years. on training we to these this target and place per get further here our XXXX by around XX% at preopening

adjusted up of and EBITDA X-wall spending year. X.X% and from total up as revenue, combination invest to total was other million, $XX.X in continued In places, performance XX% in XX% disciplined in depreciation of more million or strong of business. our Shacks to quarter, by XX% the year-over-year last the we With G&A we new revenue year-over-year than grew $XX.X

pro diluted $X.XX per per net and $X.X share. million net of Shake income exchanged to reported attributable $X.XX share. fully We realized Inc. of or adjusted diluted an income We $X.X forma or million Shack,

was the forma tax excluding pro compensation, XX%. impact equity-based Our of rate, adjusted

improvement sheet last in usage with balance quarter, at solid and a our year. a $XXX equivalents from having quarter, opened more million and the $XXX.X in cash our marketable of the the than end the securities Finally, to twice the prior cash year compared remains cash the third end million of Shacks in material despite by number representing of versus last quarter decrease

declined IT with third CapEx followed $XX.X the year-over-year new our of spend, to this In by Shack our majority million, quarter fact, spend. CapEx representing X%

These the We retrofit years, in Shacks scale leverage investments to our to digital investments CapEx bulk by as we expenses our current around few invested the cost last rollout projects, and of pre-COVID went CapEx of lower from as Shack generation early our of been program. the our business our new a more due of maintain as In and fleet experiences. were approximately the has build to platforms the ages And degree retrofit business currently. number somewhat to our kiosk completed offset offerings a our executed investments in-Shack for dining no kiosk elevated higher our digital digital program. XX% heavy builds, sales the of including we effectively we special

bringing our also we're starting to as XX% spend, of cost point. build class net efficiencies And by the a committed finding 'XX to of including CapEx down we're IT. about year next other But areas in

today. not a or the delays guidance, Now unknown reflects additional inflationary spending we This any the are range to does outlook development degree and what our beyond around on changes schedule landscape reflect to experiencing which macro headwinds. to uncertainty any of

revenue, as third. menu XX low million, single same-Shack approximately million relatively fourth of openings, in to the quarter For in $XXX.XX and $XX.XX million be of total with company-operated trends year-over-year for licensing price consistent guide X had we with to mix sales licensed low single-digit approximately and Shack revenue digits the the to million up we $XXX.XX fourth $XX.XX openings, quarter,

achieve Our typical assumes patterns to guidance same-Shack quarter more in December. single-digit and we November sales low the for seasonality to full return

lapping providing not drove popular a a mix. expensive the be beyond our and and just we starting Burger traffic, likely fourth White ever guidance we're was headwind Truffle reminder quarter, it LTO LTO will February. While traffic, that price This the to our lap will so in most

have We year. for strong LTO a next lineup planned

eye tougher However, this compare. be to going we're keeping an on

approximately to margins restaurant guiding We're XQ XX%. be

basis level from Our menu amount least been we of historical versus seasonality ongoing sales have the compressed the and quarter early guidance weekly pressures. carried average the of quarter material despite fourth our fourth is the points seasonality XXXX, reflects third have Historically, lower for operating profit quarter. improvement by and end Shack have since approximately margins a price inflationary XXX

reflects to year-over-year, guidance paper digits quarter up inflation fourth and be driven up mid-teens. Our mid-single by food beef

expect inflation the We to in labor be low year-over-year. range single-digit

calls guidance to XXXX about with price. digits approximately of year-over-year, for mid-single year billion, full high revenue XX% total single-digit grow sales same-Shack growing by Our $X.XX

last revenue points million $XX.X XXX to to We reach of improvement to levels. margins $XX basis expect to million. licensing year's XX.X% XX%; from XXX Restaurant that's

to At points leverage is are million adjusted guide in That's excluded $XXX G&A XX.X% be $XXX the from costs G&A XX million of XXXX absent total of the We of that million. EBITDA midpoint, versus revenue. basis This approximately nonrecurring $X.X would levels. year-to-date. XXXX

to Other are to million, tax million we to be pro approximately expectations million, million of preopening to million, excluding $XX XX% equity-based $XX lowering guidance equity-based adjusted of $XX the XX%. $XX forma compensation impact guiding points, compensation be and to our depreciation to $XX

fiscal representing XX% Altogether, year, year-over-year. based far to $XXX we adjusted so $XXX growth performance are our raising approximately million to XXXX on XX% to million, EBITDA our this

to Randy. back it turn I'll and you, Thank

Randall Garutti

call Thanks, week, XXXX. team Katie. sharing XXXth well our today's focus of Last our of end opening moment a heading with as want the I to celebrated celebration our into as us. behalf organization the milestone On to our team, And globally. excited so incredibly Shack future, Shake means for entire ahead. that the this much lay and of is possibilities past, present

quick for the snapshot focus team XXXX. is plan aligning of where our strategic a and here's Now

will be core delivering love our First, guests Shack. a our know on the guest experience. consistent focus We

consistent be of to speed has interaction. and working focusing our and be Our to more in back-to-basics throughput, excellence operation Shacks, all every phase across next consistency strategy a improve we'll growth of on

strengthen we'll and our sales Second, brand. grow

brand and traffic, fans further globe, with is the can on in brand grown XX XX states new ways our incredibly and brand to XXXX, and deeper driving we've drive come, that even focus around strong. in at connecting sales with As Shacks that and awareness. countries our we'll many And more

the Shake near- our ensuring improving year, supply scale across and Third, We're we'll and growth labor improve We'll profitable improve our long-term on We Shacks, hours, Shack Shack of to margins making in more remain on profitable. we to there continue in those our several peak scale. company, including as and and down next discipline expense areas 'XX even beyond. profitability. to opportunities believe in all chain, to efficiency strategies and journey holding G&A to in be our committed to to the maximize prove grow channels. We profitability long-term doubling throughput are sale continue strategies to in execute

Fourth, known build time. classes and our is Shack We're throughout retaining Shake our on way Shacks, future prototypes towards exceptional we'll and the that lower we member are optimize experience strong new Shack on while driving and and experience over And improved guests improve open capital. returns cost create while for. how standards team

teams. lead high-performing focus and our developing rewarding we And continue on will finally,

feeling people Our creates. that in every do, everything Shack them. every Shake we And invest lead interaction every burger, and to continue we'll

we team we'll open looking up to ahead and ahead season. see call go With for hot soon a chicken Troll hope a what's this is that, operator, the The for we forward and Shake holiday questions. and

Operator

question Our Instructions] with comes first Vaccaro from James. [Operator Ryan Raymond

Brian Vaccaro

from development the X kind questions X had of different just I side, angles. on

of and how efficient there, if start comment variability the could there of you Perhaps in opportunities First, opportunities add system much be? just any for that as for between further sales? units, we on you on you et XXXX. were most cetera, the gap you operations, is maybe course, efficient might today, Could you units, just where to throughput, some through those could? least Maybe about context talked improve the go studying maybe controlling

Randall Garutti

build at Thanks, the small future, overall Brian. of States. that Look, not kitchen end of And over relatively restaurants, cost that of there's to quite, two-pronged down a design. We're headed got continued on the best we've up design company-operated various is approach. still with and a Shack XXX look United errors in time, of longer-term Where kitchen and the a always just the the -- we're Yes. you of aligning really lot We've kind right? design. bringing company, around restaurant

our ingredients the right? how of But is we to food and it our do premium in come with Most we standards expediting we cook often. going sense of urgency, we make move We how of things continue. flow have better, that opportunity will can kitchen not to it can We a we through through faster. our do we way the do that expect can greater of more change,

our the a know we're Shake day, And XXXX. it it's focus, throughput knowing making This thing and come. we It's things about working be of for -- making sure some making they going that the to consistent. watching that steps past. not every focus one, say, there's guest when of it count number can hey, has on this And And Shack this, going it's going get the about to they're second speed. in core has of to takes to in variability. our be us what And been think right operations are and that teams been the really I on now,

do to restaurants do to times. other in and tell can is busy the is hardest I the thing world about is easy well, The run who's not the in busy you, it answer question, easiest sales? an higher think thing one a about to part second way mean, their lower sometimes there's don't which to sales? that's anyone busy of I on worked is, sales whole life restaurant. Is your it versus

and And get And to talked better a about there's so correlation continuing I the other an from at think thing got is staffing some that at. we've lot the in we're that, don't right than team models. in which the and this immediate right year, work places we lot of as we the systems Katie we call making got a it, place through new aces got right to time. putting have sure are learning we've doing

look and think can that are is going next going where simplify And that everything very year. at our continue It's and focus a we're to So experience. ton to to of is consistent opportunity to just clearly there. we we're can -- where on there's of for I we guests you focused kind what is through what we heard a move just today

Brian Vaccaro

assuming a on the cost there et great. second years to few sort in maybe I development lead this too Xs about do on guess or reasonable, given now? out nice reasonable an X lens, could But beyond payment. so early way right. cetera. decline that, there expected from dimensionalize thinking down where to pipelines, land the expectation was Is low could 'XX a a All your at costs, Is times XX% is And looking to lower that, That's the there much is net you way only I'm any sub-X? of opportunity ballpark any development point? years the

Randall Garutti

going right? is can do which costs. But to we prototypes are format of we I we're by that going to XX to this the year and what to new learned believe for prototype. ways going our It guide time. XX%. begin number know we're We we Well, design. today, think that, starts We've open, choice take new it. what and said more. take drive-thru. that And takes We're watermark. We We've was think with with down down we those build a can got to There's the is high so designed that we've about that much

next in year designed cases. said, 'XX, XXXX, 'XX were identified in restaurants many we'll you open in the in As

that up backlog. to got you've And catch to

is see to prototype. change you're There be You put just XX% our which in decline. tomorrow to we're going and elements a will savings of can't cost new start what committed that with to together 'XX,

expensive, some us doing they continuing to will ahead, is balance keep believe as we're look we make we class down. continue and and to those we as the should to we get better are expensive As less formats, we But we got that learn to that take build part What forward, our move that committed sure, that prototype. of that though, build we'll for a As more right? drive-thrus, we be opportunistically.

built we've of And class for pipeline, of majority believe an in over those kind As and look we strong Shacks to things is bring that we what a 'XX. Shacks, build ahead we 'XX to committed our work. we we're our getting core that's as time, have opportunity you the down. that of the continuing And to know the

see, side inflationary finally say, build to is little that And of on I hard a starting pressures. continued lightening look, the restaurants. contractor pressures to were We're really -- what's bit would you the unknown of

I struggling There follow years. expect is all the today and where pressures quite or still HVAC these towards those You equipment in in companies. these help still those same are to restaurants get bit And the thing. us goals. you're Everybody final coming a things. lessen that these electrical panels will to literally hopefully,

believe as and hear the to next there's And a to want year well. past not will a preopening clear. too, focused commitment on do and talked going opportunity loud we're and I better we We're that way, by yes, So call know out, can beyond that's give you our also about year. next number number costs. that we We

Operator

Our Senatore America. next Bank from Sara comes with question of

Unknown Analyst

This [ on Katherine Sara. for Hi. Griffin is ]

the level some I first, just restaurant third the wanted components in about ask quarter. margin think of I to

Specifically was on looks expense, like percent it that restaurant a year-over-year other of sales. as operating down

in-restaurant margins? was think versus leverage how on So higher that much which curious has of delivery, I sales

a then sales bit better expected. on a of mix just And little a more little commodities or food function also favorable? bit than margins, Is that

Katherine Fogertey

Great.

also which on quarter. we from other and lot in we pretty like we good a savings lower lower mix expenses, the things But So -- had benefit the that R&M just in doing did contributed a been OpEx, did have delivery third-party in just outperformance only T&E plan line to aging in the We've have a through discipline some a quarter. lower profitability performance managing restaurants, from improving our channels, more of some nice strategies that expense strategic that with our also with our not within showing that better our was line delivery equipment side. expense on in replacing R&M and restaurants, on but

of year of higher into a price. have beef especially did we one we've end. inflation the And for guided benefit will here say pick as did from food that the that mid-teens is are towards of kind inflation I the level that though menu we On end watching quarter. side, up,

Unknown Analyst

those time investments? long those then achieve how initiatives? some the little could investments investment guess, curious taken actually, do digital of your how if Great. And of line, scaling that some it's And just about from earlier the about more for -- some made. of bit a was I comments on benefits to talk scale I return like measure digital you I of you Katie, then, for just on you that was some wondering

Katherine Fogertey

Yes.

mix, a pretty everything low drove back if of in investment a But And to the more experience, as the journey. the which digital bringing guests on a as XXXX, happened that that that well. healthy times aided digital, were a as of for digital pace business. by scaling it critical go to history to normal we've changed of Starting the lot return really mix level, to with seen dining kiosks as bit of little accelerated in-Shack on had company COVID, of a needed we not return we much. when support very investments with really our has side, was digital this going company. during to back that rooms really you that And So

today growth. still required very we're level and that going that So that today being we nothing where a platforms now with how of commitment, is sure our the from and for to investing we on are great making of also kind are we supporting have disciplined

scale that we're will a that better program doing We're there experience how look for you software upsell retrofit and in at more cost time. investing and efficient, way if capabilities side, on kiosks we've guest. what and done So with of that and over that more kind the and is a on better

too, that's and CapEx. on businesses it's of more strategies going just executing that that to to we're And efficient that's to be going think I strategies that's upkeep. some leader And that's important something part space, digital note, something of we on be just require level on the our in working a are digital as to, side.

Operator

Our next question comes from Jim Sanderson with Research. Northcoast

James Sanderson

great quarter. a on Congratulations

to bit wanted pricing. a more Just little talk about

lot up competitors X%, menu quarter. X% think have of your a taken to prices this their I

up Just or further start that quarter visibility more inflation? at you getting XXXX in you're have wondering on into take the if looking to you room how as pricing,

Randall Garutti

we're Thanks, history We've the be from last been single cautious Yes. the to Jim. year. wanted been definitely rolling cautious. off we've We for Obviously, digit company. a -- high of

of So continue pressures -- we I took fries the about biggest in obviously, And as X%, in we inflationary price at looking beef, just basket increases that may take. end our a these increase price the do that October. now see some to go? of we're continue to think of to We And lever say, we're where it looking October need part at. is at and look we'll a small to

taking want We I building cautiousness not like at And we're we need take company about for we anything. we'll how rolling channels this and this be time and right X probably looking the make at whether an pricing we're next good to think mean, keep a be feel first you consumer. of retail, but to in We're digit every long will in the think that just the at our looking now of term. there. quarter, for anything, where low eye we're current on whether I sure this And XXXX we'll but I restaurant, We might want price at not But it's to. lot just single very we or quarter, we'll and months careful for go yet see make and so, look But take everyone, we go. next all guiding that sure there. And kind want the another a where we scores. to value as a of

James Sanderson

a follow-up quick just And right. All question.

in U.S. trade have overlap many just shown you sense areas You mentioned overlap a Do that a Shake of movie in the movie a areas. will with promotion and ballpark? be Shacks where trade how the

Randall Garutti

roughly that some I I'm have some strong a of there over sales. we to probably are in movie other some don't that sorry, some do that. movies these I a number impact lot XX% got kind it's the in have the were various lifestyle the there. some and adjacent seen that centers core of our of pretty guess drove in number, Shacks. theaters. around I'm some to with close or We've so a pops happened shopping are of We've great correlation and having Barbie but the to summer of of don't And Shacks are see going actually that just

Katherine Fogertey

are Troll exciting I'm this close on of placed, to Shack. strategically X going exact about cool the specific, number vinyl lot things of to an these at unique, have picked proximity give Shacks over going are side, there's a Yes. but We're lots of due really some activations that exciting going doing activations that takeovers, to to be to, We've XX not some just around on going movie their to theaters.

few booth. with to way them to around stations, this guests there's up kind Randy getting It's going And extra script, for there's kids, a of the alluded exciting our going this as fun that to really be, be are bars going with photo even be coloring movie. plus engage to glitter of in a even to

Operator

Farmer Our with Haskett. next Jeff Gordon question comes from

Jeffrey Farmer

But drive-thrus themes here. on common have been realize handful XX months that I the drive-thrus the a we of early for can expectations in the of operation drive-thru So going? a only have outperformed or touch or operation in in operation, few those have those underperformed you

Randall Garutti

-- have would Shacks Yes, traffic where targets. we we way some of gone at or a certain we And that the are to I Shack to say, where higher say like these out it you a said location. and anything, put going on location, got be probably right? Shacks There any outperform, bet. Thank better have better location Shack, did probably there look, you get it's know could we others, could we've shared we've we like the you. to would what, -- always of about in some a than

Shake to the high-traffic our best with got ones operation. awareness of in are Shack still high where I I our learn the ones we're zones areas seeing would best aligned brand kind think say And where has we've strength. a So lot

because build And cost the many and distinct cost need, the whole it but to industry, the not that's exciting drive-thru what learned of what down think a we really we be. kind slightly, continue we seats for scaling operation vibe should build is in how we've are need to models. just really size seats We outside, can of many kind and we take XXXX how the that down of in

markets. at this will year, what in of If the New traditionally There next Long coming on the our excited at going coastal to Jersey, to has the open West it you be look East looking been Coast, drive-thrus California. for Island, we're some stronger, on some Coast, start batch more in of drive-thrus, about do what Shack we're some

to but and feel this, we the to and there And investing we're should a learning. of learn about really opportunities improve it still and we in future So our upon. growth, got a we keep be good like lot it, part

Jeffrey Farmer

helpful. That's

Just one which follow-up on October was X.X%. comp, the

to on point when. You touched in guys off pricing at you clear some me but it, were rolling not entirely some October,

pricing in of X.X% So X.X%. the October comp? that level comp was What captured was

Katherine Fogertey

We're the the I at in exiting price, about X.X% December range. to high so We would be kind of single of Yes. We the think blended say, going had, that. a to to about a digit quarter. has that middle mid-single-digit off rolled of

Randall Garutti

traffic said. periods roughly And the towards as on which the seen was some traffic, comp an negative of October quarter, the was as had those we flat third improvement end of we

that ahead. sales and in driving think October some the was I looking So thing, encouraging good

Operator

Morgan next comes Harbour from with question Our Brian Stanley.

Brian Harbour

model, just and on out of I the we comments you the kind rolling should staffing Can that kind of there for made observe time ask line about is? the what think you what

Katherine Fogertey

Yes.

days So would this. early I we're on here say

some of efficiencies natural it's with we just evolution a think layered added kiosks. company in as here the have I

larger new like formats much drive-thrus. here have We

traditional have formats smaller like our core have we food also and of then We expression. kind courts,

get only precise factors menu on we we not sure a channel as but more of how that want take to format, used account hours differentiated maximizing peaks There's more make also including staffing, well. into mix, that with and number about variables, we're to just just for are mix, thinking to

But roll of going year say I nothing So by really still keep early to We're it's end share you goes. on days. tests front this to the that into We're on this looking to out would today. updated some more year. how next

Brian Harbour

Okay.

Just smaller question, a Randy. maybe,

some -- business. Asia, mix openings of that What referring kind some there? you to of referring kind kind license as are comments you Are the there, Is you affects suggesting how kind the you of units? you sales how of those made of maybe year? just uncertainty just were to about You into that about of think go next

Randall Garutti

those. of Both

there's to our the goes -- that -- got And obviously significant you think will with openings I leads We've without ultimate business sale. where macroeconomic uncertainty in as well pace It there. decide of our for saying China. align part the got a of region our as what there. our to Shacks

at. the region that's you're So looking really

spills in -- indications. economic through businesses, out other various that China Asian Korea, and happens travel also Obviously, Japan, through into our what

-- licensed think right the has East biggest that's something we fair uncertainty business. be will. now, Middle our a as will as that and well amount of at probably Obviously, look So I the uncertainty

at. were those that's looking But comments -- what my really

coming of next a year. little an as in I our think will grow this it's that business of how to part unknown bit

Operator

comes Sharon Our next Blair. with Zackfia from William . question

Sharon Zackfia

right, labor entire tough, across space. been guess I has the

just like kind achieving sounds tenure might battle the can kiosks be shoot I going to kind there. the staffing prepandemic think just you're With of be where it considering inflation is kind of what think and level into forward? at ongoing inflation of for? this a bogey is do of digest system pre-pandemic, all trying within that will all place, now great you is labor new you've bps better were labor XXX which that you employee that had to and Or a going you much

Randall Garutti

there labor good percentage. hard we is mentioned retention we at I being that terms to not Well, to a think effective happening improved. turnover in really how lot we've We've more and scale. any has specifically The are to just say, with We're efficient going of guide tailwinds and Sharon. it's new got looking

cost. in deny labor continued That's But increase you can't the not going down.

in over we will continued time. to any significant an April. settle choose $XX with our be to offset our a expect, I have California much And how and increases not in pricing business. of That part will and we time, that's will hour wage part That's We of that. have, going structure

to as our again, as commitment possibly also we've great a being But to we is can. rate But pay here sustain. got efficient to

great improvements, look it keep, If to lot people. and has a to ability retain with at you our profitability do our of had find

company, we'll any like better, get certainly like that. happens and better that As at us,

not trying to but we're we're guidance give look, it, today. to committed So going specifically past to improve

Sharon Zackfia

I at hourly average you of unit relative know said I Randy, of is the and level. level tenure tenure comparisons management for, give or up Can that like staff kind frontline And think, kind the what you to manager XXXX? level was of at now any

Randall Garutti

broken never that have I'd Sharon. say this. We out,

turnover. members all team we track and section look have we look, levels. the But of high the -- of work track across we industry. we generally in hourly our has just turnover in I'd we retention turnover industry, the management we've industry and from As in what similarly at high at right? say quite traditionally, probably of industry section seen, kind the on our better a The much also industry general our

our tend with to managers us, grow and continue -- we with And to stay us earn.

to over is can every significant GM stock We generally lot make Many in we've to right? figures, than our said more ability Our X This give year. and part before, that. a retain of this all people. GMs, make a every

fast growing to got growth in about are, We've invest. do -- we're We've that, talked we we right? as previous and calls. this as now got we balance lot developing keep as to So a

and time into levels. much all team developing So effort at our people people

to be will -- the of think of spot our there. and that's stuff And real that's ladder? we're build. the the And operations look, better, the to a got investing is our an never easier can continue I today's coming leaders keep easy, sweet so the to how keep in do simplifying we we that of our how other have we're to and But we of do up that, company. call, you It teams heard part time continue lot proud going

Operator

Jake Our Securities. comes with next question Bartlett Truist from

Jake Bartlett

up margins 'XX. a the with wondering can executing the Mine going that to what you on think dimensionalize metrics scheduling, restaurant found improvement to scale on But about you're expand talked us was potential supply Thanks in comment items? just chain. the and any opportunity mentioned few whether initiatives, that I'm was you sure opportunity know is? specifically. if margins you question. forward. these you the into being any Any you you in quantify margins And the of that wasn't I help you're improve line for of can about labor I the things Randy, upon? a way taking looking

Randall Garutti

deep to Yes. kind opportunities. than chain you've chain. our continue clear of And We're in on our really Look, 'XX year a then our start through We're are. we yet, where opportunities, supply and we're heard and about supply it can product, whole loud how say, at digging guidance the this flows and and today that. serve, total not other through commitment every we Jake, saying, restaurant giving to to with cost for way, that identify talking how see starting opportunities the look with look at as and

to and really XXX can restaurant I you take EBITDA overall, to beef we company. do for our we margins So by a points second, And the margin continue important we in believe increased basis expand overall that, at and the the it's if think just company. over level,

G&A leverage in year. of level some expect We this

expect forward. will part to moving continue of We that be that our plans

working on think So focus get profitability core to different ways I there. we're just and lots of

of posted of going what this into you uncertainty a after and a as them after we've these look and keep one built that against opportunities now We'll balanced infrastructure that's to lot is 'XX going as but one. we of the to to consumer, like. lay, be Again, where to get by lot start the identifying go

Katherine Fogertey

various spending be we've want teams within industry moving very has us other inflationary drive lot a pressures labor, to efficiencies outperform identified continue consumer for of backdrop P&L areas pressure. opportunities what been The through clear help through the with these chain, to are I which through and our together. through moving challenging and supply purposefully to We're continued here. a here,

So financially. are going continue what what to really about on the help forward, encouraged we've and what's performance improve go the on today, and built excited for plans to our

Jake Bartlett

far just and or comment same-store the quarter guidance sales progress October. for And Great. fourth so question in the a on a company

year-over-year little easier months. next last think I your the for couple year, compares get of a

some return mention, I'm kind tie-in, did also to have mentioned that behavior movie You and was and the December, was in year. abnormal the -- seasonality. seasonal wondering you of October whether then you last And there

So in want and I I make of should takes to -- this December October just and know of sure November... think we the puts how terms year

Katherine Fogertey

Yes. Yes.

So just compares a bit than our for cadence couple pre-COVID, just different pricing reminder, past little a years of choppier. the with we've had a are

of across to in of. taken we the So rolled which last menu price kind year, X% -- system, we between had we off said X%

impact time. December tend our on pattern. seasonality our kind NSOs normal of to to this restaurants on large company, some pre-COVID the strong compares very did of over to comparing and in expecting from of that at our end of AWS you more . We as return the settle very sequential So side, open be have to that that And we'll last year. over know, and -- year in December. AWS a number on following we're We're a going

note that culinary have another solid And the side, lapping HotOnes on lineup over we well. on but side, then as a still just pretty just

Operator

question with Michael next comes Oppenheimer. from Our Tamas

Michael Tamas

informing there kiosks being And kiosks? or is of store XX% that's potential Is over still for can anything you base? versus about anything? the else that cohort margin in-Shack Can about anything any that talked exists talk of the differentials of the You units about rest different units And level? now. sales talk above XX% about those you maybe about the you upside

Katherine Fogertey

that driving fleet in-Shack. rolled difference kiosk more have of narrowing And of gap now on have we opportunity lot something kiosk. very the guests kind of front. driving we exciting large yes, been And that that out. the a most still a entire the we've focused the penetration So It's in of there's to for on a -- great and it's

here channel. on is and We see definitely kind long upsell think We we nice And check of term how our that margin that potential -- back days to the early can still and this highest of we lift leveraging it full order leverage over digital guest the through a mode, the really through channel. we're data of it. start

variables, usage, kiosk is of which that number of we're a can investigating impact say What there's and I the degree continuing which refine. will to

and it is are quarters continuing These the of we'll in Is way-finding easy go the the that kiosk how can. that train simple and enters where optimal Some best teams place? that guests and that an guiding arm potential Shack. will working, and kiosk to we're the initiative managers what this term. such is is after just guest But and our to with coming over important the be our our excited why we fixes over for longer

Michael Tamas

drive chain to going margins talked use trying forward. and you to better that then And about help supply today

can better contracts? chain you Or can just sort looking on how of -- going So supply to is at reference how longer-term that be utilized forward? elaborate

Randall Garutti

to you've more can of things. opportunity I much begin Shacks to less scale, and mean mean We've freight, those decade, on together. our and choose economies with restaurants how over opportunities all Like -- going move closely got earlier, our start we spread cluster shipping just Shacks. I in so noted as see company-operated than we also to last we're scale. and Yes. we have very this I It a got to development XXX out with of actual how starts we class of

more through of aggressive have just quality we're going that, at the bring we're in going supply, digging sure cost backing food the have. the improving opportunities look all suppliers, in to that, start from after premium we to our which to while making way of other the separately all But we all going retaining of and We're premium ingredients. some and up

I lot identify opportunities look, can continue It's we're on So process. coming a where think chain. on more years, we spending something And supply effort the we'll always think to I just the today. time save and -- been a this has in

Operator

next Our question Cowen. Andrew TD from comes Charles with

Randall Garutti

the Thanks. on Let's move going. We'll to next that question. keep

Operator

Our next question Baird. comes from David Tarantino with

David Tarantino

you maybe marketing what maybe strategy to you wanted haven't did October the is And in go new October and trends. question the employ can ask done the My a explain in think Or you that about specifically before? traffic I as promotions and drove you improvement whether that's about out. the sales Can you called about you what forward? that you think just

Randall Garutti

Yes. Thanks, David.

new. Some of things the are

times Some things done are some kind of in tactics. those at just the employing the shifting we've various year of of and before

can up, course, as and as tee we little story of channels So that different we LTOs, on that, was but always all of overlap, lots begins marketing pressure it that pushing a a we of bit tell. with noted

few into. other we've leaning things been A

go marketing, finding we harder, performance continue And in we've of think channels. can spend up ways. tactics And to lots ad as that have and deeper city we areas returns. a in strong really performance a some those performance directed done various we're digital we where open and on ad spend Those little good returns more our various good success. that. We're prove in bit Additional we spend hit on doing regional marketing

different Shack. things that of Various good for Shake types feel on offers

you we that channels. get Fridays did on when uptick drove order on Free could when some fry app come free you strong our in Fridays, -- where you channels, For instance, So right? a our

impact. then shake. BOGO doing service afternoon things And as an we with our we're have where see potential We various providers delivery well,

it So spent not that, money expect a that to keep for we better will for when as marketing look us that for we money plan well we with this us ramp to as well up company, still those advertising. a and strong of as And and of it's be and scale approach work lot a there we opening it's it's and to that test up. as we you do things We learn. a been returns on on go, quarter of next into greater see company that a lot believe really marketing. on being doing at spend We'll have we year. continue that as towards the some balanced Traditionally, Doing it, discipline, opportunities but received time us. we'll true

Operator

question Brian with next comes from Piper Our Mullan Sandler.

Brian Mullan

there's the team is factors is a the Chief question in finding a had going terms the characteristics and or right a candidate of are Shake using what maybe Officer, for Shack? if the And executive Board Operating on? Just search there search for key looking a for or

Randall Garutti

great by And deep at absence things in just of a That's saying question. in run the and And heck leadership of team a to start supporting a myself jumping And executive obviously a job moment. bit the current is quite me doing continuing a I've our strong lot team a tenured really of let and our operational direct involved and more. operations.

doing are job. a great they So

company. looking to for next COO, that a candidates of this incredible We're vetting, and search. the we critical is our This bench on position and we've an have great going talking we're the take time to for And considering. been

the will help we've We expect expertise us hire continue and shared who today. plan to someone with deep that operational strategic

forward we being I look we'll it and finalized. to to expect some So gets as it. you will posted that closer time keep take

Operator

Jeffrey with Dutt [ question next from Our Bernstein. ] comes Anisha

Unknown Analyst

is how change challenging for on and do Jeffrey returns your there a balancing Anisha to and relevant? [ focus over macro? drive-thrus time sales you any in him. metros, That's initial for growth major And Thanks unit big presumably for at Bernstein the Barclays. think more in desire ] about Conceptually, being guidance. is cities on This suburbs and

Randall Garutti

Yes.

coming to you we'll of done. mean, is above. that. couple keep have. and on majority certainly we'll and our as All that's the and But in the grow We outside do traditional believe years, of growth there posted urban drive-thrus, suburbs the of continue of we centers. Shacks look at what you of level I exactly some centers, we've last if urban

year. XX number great But company-operated a of is we think next

restaurants strong opened class. a year, this worldwide. and growth. I growth unit that think And keeps expect We XX to similar this right. we next that's totally a year, really we in us That's similar unit to year be pretty strong balances out mid-teens think that almost

profitability that's number a to as company our environment we head growth uncertain we time build to getting we appropriately focus into to continue continuing next on a spend As more and this also to the more good cost and year, the to really think the while sales profitable. be refine company

Operator

from comes Vaccaro Raymond Brian question with next James. Our

Brian Vaccaro

those sales Katie, would XQ also help just on X more great. be quick your could and guidance, you've relates in to year, what as what just layered from Just that's little me specific there. I you on wrong correct it this I'm the performance, NSO perspective? think a Any I'm in revenue outperformed layered expectations be "normal you seasonality consider what your a follow-up. seasonality" a on but curious if you

Katherine Fogertey

sure. Yes,

than seasonality. that towards So normal more October, but kind with assuming end, a seasonality, guidance in in carrying the is recent end kind high low and big the of our the at normal have of historical momentum to some where been we seasonality return would of kind of through boost without better October, then

puts There's non-comp the and just I some on think takes side are reiterate. to there important that

So first of a quarter. expecting to a the little of we're to bit we're schedule fourth have opening in all, back-end-weighted on more going -- development, have

in you assume versus will the opening. of Shack to midpoint kind a some contribution skew from that of openings new the if were So quarter

fourth as year, be And will fourth had the to your think good the those XX in is and NSOs then modeling but to And strong. point about up second they settled opened the for we to have levels, sales continue last something quarter. also quarter very of that

Operator

no would to There comments. I at to like further back questions are turn this over time. closing the management floor for

Randall Garutti

especially the got this lot know week. Really in everybody's going appreciate taking a time, on. I everybody. busy you Thanks,

much, seeing in so forward thanks Take and you soon. So Shacks to we care. look the

Operator

today's teleconference. This concludes

you at may Thank You your disconnect your participation. time. for lines this

Shake Shack (SHAK) 2 Nov 232023 Q3 Earnings call transcript