Cava Stock Surges 20% on Q4 Revenue of $275M and EPS Beat
Cava Group posted Q4 revenue of $275 million, up 20.9% year-over-year, and delivered EPS of $0.04, topping consensus by $6.4 million and $0.01 per share respectively. Same-store sales were flat and the chain ended the period with 439 locations, while full-year EBITDA guidance of $180 million slightly trailed estimates.
1. Q4 Earnings Beat
Cava Group reported fourth-quarter revenue of $275 million, representing a 20.9% increase year over year, and posted earnings of $0.04 per share, surpassing analyst forecasts by $6.4 million in sales and $0.01 in EPS. This top- and bottom-line outperformance triggered a sharp share rally.
2. Expansion Metrics and Sales Trends
The fast-casual chain expanded to 439 locations by quarter end, up from 378 a year earlier, but same-store sales remained flat, indicating a slowdown in comparable-unit growth. Management highlighted new market entries and digital ordering enhancements as drivers of unit growth.
3. Guidance and Outlook
Cava set full-year EBITDA guidance at $180 million, a figure marginally below consensus expectations. The slight guidance miss tempered some optimism, but investors focused on the quarterly beat as evidence of underlying operational strength.