First Watch Q3 revenue slightly beats estimates on new restaurant openings
FWRG•First Watch's third-quarter revenue rose 10.7% to $349.86 million, slightly above estimates, while adjusted EBITDA of $39.75 million beat expectations. The company forecast fiscal 2026 revenue growth of about 13.5% and adjusted EBITDA of about $136 million.
1. Quarterly results
Revenue increased 10.7% to $349.86 million, compared with analysts' $348.99 million estimate. Adjusted EBITDA was $39.75 million, above the $33.45 million consensus, and net income rose to $4.79 million from $3.0 million a year earlier. First Watch said 16 new system-wide restaurants contributed to revenue growth.
2. Sales and outlook
Same-restaurant sales grew 1.0%, while same-restaurant traffic declined 1.9%. For fiscal 2026, the company expects same-restaurant sales growth of about 2.0%, total revenue growth of about 13.5% and adjusted EBITDA of about $136 million. It said third-quarter adjusted EBITDA growth exceeded internal expectations, prompting it to raise its full-year outlook.
