Investing.com -- Shares in Shake Shack Inc (N:SHAK) jumped more than 6% in after-hours after the casual restaurant chain raised its full-year guidance on Thursday following sharp increases in revenues and earnings over its third quarter.
During Shake Shack's last quarter, which ended in late-September, the company finished with revenues of $53.3 million, an increase of 67% from the third quarter of 2014. It came as Shake Shack's same-restaurant sales, a key industry metric, spiked by 17% for the 13-week period. The comparable shack base, though, increased from 12 in 2014 to 16 last quarter. Analysts expected quarterly revenues of $47.5 million on earnings of 0.07 per share.
In addition, Shake Shack's operating profit more than doubled from $7.6 to $15.6 million, amid a 30% increase in operating profit margin. The restaurant chain saw its General and Administrative expenses decrease from 16.3 to 10.8% due to lower than anticipated food costs and the leveraging of labor and other operating expenses.
Over the quarter, Shake Shack opened four new restaurants boosting its total for the year to 12. On Thursday, the company said it is on target to open three new international restaurants by the end of the year, including its first in Japan.
“The third quarter marked another strong quarter in terms of same-Shack sales growth, as we continued to execute on our strategic plan and drive engagement with our guests," Shake Shack CEO Randy Garutti said in a statement. "We opened four domestic company-operated Shacks during the quarter and, as previously announced, we will be officially opening our first Shack in Tokyo in the remarkable Meiji-Jingu Gaien park this November, ahead of schedule."
For the year as a whole, Shake Shack now expects to finish with revenues of $189 to $190 million, up from previous guidance of $171 to $174 million. The company also anticipates same-restaurant sales of 11 to 12%, up from previous estimates which hovered in the single digits.
"Looking ahead, we now expect to open at least 14 domestic company-operated Shacks next year and beyond," Garutti added. "We remain well positioned for continued success as we capitalize on our unique development opportunities."
Shares in Shake Shack surged 3.45 or 6.76% to 51.00. In January, Shake Shack went public at $21 a share. Since peaking above $90 a share in May, Shake Shack is down by more than 40%.