Total revenue of $417.6 million, up 17.2% versus 2025, including $403.4 million of Shack sales and $14.2 million of Licensing revenue.
System-wide sales of $625.8 million, up 13.8% versus 2025.
Same-Shack sales up 3.5% versus 2025.
Operating income of $20.7 million versus $22.4 million in 2025.
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Restaurant-level profit(1) of $92.7 million, or 23.0% of Shack sales.
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Net income of $16.9 million versus $18.5 million in 2025.
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Adjusted EBITDA(1) of $61.2 million, up 3.9% versus 2025.
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Net income attributable to Shake Shack Inc. of $15.7 million, or earnings of $0.37 per diluted share.
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Adjusted pro forma net income(1) of $18.9 million, or earnings of $0.43 per fully exchanged and diluted share.
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Opened 16 new Company-operated Shacks and 11 new licensed Shacks.
NEW YORK, August 05, 2026--(BUSINESS WIRE)--Shake Shack Inc. ("Shake Shack" or the "Company") (NYSE: SHAK) has posted its results for the second quarter of 2026 in a Shareholder Letter in the Quarterly Results section of the Company's Investor Relations website, which can be found here: Q2 2026 Shake Shack Shareholder Letter.
Shake Shack will host a conference call at 8:00 a.m. ET. Hosting the call will be Robert Lynch, Chief Executive Officer, and Michelle Hook, Chief Financial Officer. The conference call can be accessed live over the phone by dialing (877) 407-0792, or for international callers by dialing (201) 689-8263. A replay of the call will be available until August 12, 2026 by dialing (844) 512-2921 or for international callers by dialing (412) 317-6671; the passcode is 13760719.
The live audio webcast of the conference call will be accessible in the Events & Presentations section on the Company's Investor Relations website at investor.shakeshack.com. An archived replay of the webcast will also be available shortly after the live event has concluded.
(1) | Restaurant-level profit, Adjusted EBITDA and Adjusted pro forma net income are non-GAAP measures. A reconciliation to the most directly comparable financial measures presented in accordance with GAAP is set forth in the schedules accompanying this release. See "Non-GAAP Financial Measures" below. |
About Shake Shack
Shake Shack serves elevated versions of American classics using only the best ingredients. It's known for its delicious made-to-order Angus beef burgers, crinkle cut fries, crispy chicken, hand spun milkshakes, house-made lemonades, and more. With its high-quality food at a great value, warm hospitality, and a commitment to crafting uplifting experiences, Shake Shack quickly became a cult-brand with widespread appeal. Shake Shack's purpose is to Stand For Something Good®, from its premium ingredients and team member development to its inspiring designs and deep community investment. Since the original Shack opened in 2004 in NYC's Madison Square Park, the Company has expanded to over 710 locations system-wide, including approximately 460 in 35 U.S. States and the District of Columbia, and over 250 international locations across London, Hong Kong, Shanghai, Singapore, Mexico City, Istanbul, Dubai, Tokyo, Seoul and more.
Skip the line with the Shack App, a mobile ordering app that lets you save time by ordering ahead! Guests can select their location, pick their food, choose a pickup time and their meal will be cooked-to-order and timed to arrival. Available on iOS and Android.
Definitions
The following definitions apply to these terms as used in this release:
"Shack sales" is defined as the aggregate sales of food, beverages, gift card breakage income and Shake Shack branded merchandise at Company-operated Shacks and excludes sales from licensed Shacks.
"System-wide sales" is an operating measure and consists of sales from Company-operated Shacks and licensed Shacks. The Company does not recognize the sales from licensed Shacks as revenue. Of these amounts, revenue is limited to licensing revenue based on a percentage of sales from licensed Shacks, as well as certain up-front fees, such as territory fees, opening fees, and termination fees.
"Same-Shack sales" represents Shack sales for the comparable Shack base, which is defined as the number of Company-operated Shacks open for 24 full fiscal months or longer. For consecutive days that Shacks were temporarily closed, the comparative period was also adjusted.
"Restaurant-level profit," a non-GAAP measure, is defined as Shack sales less Shack-level operating expenses including Food and paper costs, Labor and related expenses, Other operating expenses and Occupancy and related expenses.
"Restaurant-level profit margin," a non-GAAP measure, is defined as Shack sales less Shack-level operating expenses including Food and paper costs, Labor and related expenses, Other operating expenses and Occupancy and related expenses as a percentage of Shack sales.
"EBITDA," a non-GAAP measure, is defined as Net income before interest expense (net of interest income), Income tax expense, and Depreciation and amortization expense.
"Adjusted EBITDA," a non-GAAP measure, is defined as EBITDA (as defined above), excluding equity-based compensation expense, Impairments, loss on disposal of assets, and Shack closures, amortization of cloud-based software implementation costs, as well as certain non-recurring items that the Company does not believe directly reflect its core operations and may not be indicative of the Company's recurring business operations.
"Adjusted pro forma net income," a non-GAAP measure, represents Net income attributable to Shake Shack Inc. assuming the full exchange of all outstanding SSE Holdings, LLC membership interests ("LLC Interests") for shares of Class A common stock, adjusted for certain non-recurring items that the Company does not believe are directly related to its core operations and may not be indicative of its recurring business operations.
SHAKE SHACK INC. | ||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
(UNAUDITED) | ||||||||
(in thousands, except share and per share amounts) | ||||||||
July 1 | December 31 | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 307,962 | $ | 360,123 | ||||
Accounts receivable, net | 34,657 | 32,962 | ||||||
Inventories | 7,359 | 7,182 | ||||||
Prepaid expenses and other current assets | 43,780 | 30,080 | ||||||
Total current assets | 393,758 | 430,347 | ||||||
Property and equipment, net of accumulated depreciation of $604,230 and $551,004, respectively. | 673,299 | 625,851 | ||||||
Operating lease assets | 551,687 | 507,253 | ||||||
Deferred income taxes, net | 319,980 | 322,385 | ||||||
Other assets | 11,556 | 10,373 | ||||||
TOTAL ASSETS | $ | 1,950,280 | $ | 1,896,209 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 23,612 | $ | 24,747 | ||||
Accrued expenses | 92,318 | 103,354 | ||||||
Accrued wages and related liabilities | 23,175 | 25,481 | ||||||
Operating lease liabilities, current | 67,164 | 63,553 | ||||||
Other current liabilities | 29,732 | 27,783 | ||||||
Total current liabilities | 236,001 | 244,918 | ||||||
Long-term debt | 248,255 | 247,731 | ||||||
Long-term operating lease liabilities | 621,756 | 575,138 | ||||||
Liabilities under tax receivable agreement, net of current portion | 244,713 | 244,463 | ||||||
Other long-term liabilities | 28,004 | 30,210 | ||||||
Total liabilities | 1,378,729 | 1,342,460 | ||||||
Commitments and contingencies | ||||||||
Stockholders' equity: | ||||||||
Preferred stock, no par value—10,000,000 shares authorized; none issued and outstanding as of July 1, 2026 and December 31, 2025. | — | — | ||||||
Class A common stock, $0.001 par value—200,000,000 shares authorized; 40,370,460 and 40,254,281 shares issued and outstanding as of July 1, 2026 and December 31, 2025, respectively. | 40 | 40 | ||||||
Class B common stock, $0.001 par value—35,000,000 shares authorized; 2,425,789 and 2,434,789 shares issued and outstanding as of July 1, 2026 and December 31, 2025, respectively. | 2 | 2 | ||||||
Additional paid-in capital | 456,186 | 452,577 | ||||||
Retained earnings | 88,099 | 72,709 | ||||||
Accumulated other comprehensive loss | (6 | ) | (1 | ) | ||||
Total stockholders' equity attributable to Shake Shack Inc. | 544,321 | 525,327 | ||||||
Non-controlling interests | 27,230 | 28,422 | ||||||
Total equity | 571,551 | 553,749 | ||||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 1,950,280 | $ | 1,896,209 |
SHAKE SHACK INC. | ||||||||||||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||||||||||
(in thousands, except per share amounts) | ||||||||||||||||||||||||||||
Thirteen Weeks Ended | Twenty-Six Weeks Ended | |||||||||||||||||||||||||||
July 1 | June 25 | July 1 | June 25 | |||||||||||||||||||||||||
Shack sales | $ | 403,437 | 96.6 | % | $ | 343,224 | 96.3 | % | $ | 757,484 | 96.6 | % | $ | 653,062 | 96.4 | % | ||||||||||||
Licensing revenue | 14,181 | 3.4 | % | 13,242 | 3.7 | % | 26,871 | 3.4 | % | 24,302 | 3.6 | % | ||||||||||||||||
TOTAL REVENUE | 417,618 | 100.0 | % | 356,466 | 100.0 | % | 784,355 | 100.0 | % | 677,364 | 100.0 | % | ||||||||||||||||
Shack-level operating expenses(1): | ||||||||||||||||||||||||||||
Food and paper costs | 116,276 | 28.8 | % | 96,621 | 28.2 | % | 216,299 | 28.6 | % | 182,658 | 28.0 | % | ||||||||||||||||
Labor and related expenses | 101,226 | 25.1 | % | 88,058 | 25.7 | % | 193,943 | 25.6 | % | 174,726 | 26.8 | % | ||||||||||||||||
Other operating expenses | 63,118 | 15.6 | % | 50,768 | 14.8 | % | 120,630 | 15.9 | % | 99,030 | 15.2 | % | ||||||||||||||||
Occupancy and related expenses | 30,151 | 7.5 | % | 25,593 | 7.5 | % | 58,805 | 7.8 | % | 50,224 | 7.7 | % | ||||||||||||||||
General and administrative expenses | 48,321 | 11.6 | % | 40,671 | 11.4 | % | 101,929 | 13.0 | % | 81,311 | 12.0 | % | ||||||||||||||||
Depreciation and amortization expense | 30,717 | 7.4 | % | 26,545 | 7.4 | % | 59,837 | 7.6 | % | 53,088 | 7.8 | % | ||||||||||||||||
Pre-opening costs | 6,638 | 1.6 | % | 4,955 | 1.4 | % | 13,508 | 1.7 | % | 8,173 | 1.2 | % | ||||||||||||||||
Impairments, loss on disposal of assets, and Shack closures | 425 | 0.1 | % | 881 | 0.2 | % | 1,292 | 0.2 | % | 2,938 | 0.4 | % | ||||||||||||||||
TOTAL EXPENSES | 396,872 | 95.0 | % | 334,092 | 93.7 | % | 766,243 | 97.7 | % | 652,148 | 96.3 | % | ||||||||||||||||
INCOME FROM OPERATIONS | 20,746 | 5.0 | % | 22,374 | 6.3 | % | 18,112 | 2.3 | % | 25,216 | 3.7 | % | ||||||||||||||||
Other income, net | 2,602 | 0.6 | % | 2,850 | 0.8 | % | 5,345 | 0.7 | % | 5,821 | 0.9 | % | ||||||||||||||||
Interest expense | (553 | ) | (0.1 | )% | (548 | ) | (0.2 | )% | (1,101 | ) | (0.1 | )% | (1,111 | ) | (0.2 | )% | ||||||||||||
INCOME BEFORE INCOME TAXES | 22,795 | 5.5 | % | 24,676 | 6.9 | % | 22,356 | 2.9 | % | 29,926 | 4.4 | % | ||||||||||||||||
Income tax expense | 5,913 | 1.4 | % | 6,193 | 1.7 | % | 5,768 | 0.7 | % | 6,930 | 1.0 | % | ||||||||||||||||
NET INCOME | 16,882 | 4.0 | % | 18,483 | 5.2 | % | 16,588 | 2.1 | % | 22,996 | 3.4 | % | ||||||||||||||||
Less: Net income attributable to non-controlling interests | 1,202 | 0.3 | % | 1,335 | 0.4 | % | 1,198 | 0.2 | % | 1,603 | 0.2 | % | ||||||||||||||||
NET INCOME ATTRIBUTABLE TO SHAKE SHACK INC. | $ | 15,680 | 3.8 | % | $ | 17,148 | 4.8 | % | $ | 15,390 | 2.0 | % | $ | 21,393 | 3.2 | % | ||||||||||||
Earnings per share of Class A common stock: | ||||||||||||||||||||||||||||
Basic | $ | 0.39 | $ | 0.43 | $ | 0.38 | $ | 0.53 | ||||||||||||||||||||
Diluted | $ | 0.37 | $ | 0.41 | $ | 0.37 | $ | 0.51 | ||||||||||||||||||||
Weighted-average shares of Class A common stock outstanding: | ||||||||||||||||||||||||||||
Basic | 40,358 | 40,226 | 40,323 | 40,173 | ||||||||||||||||||||||||
Diluted | 41,866 | 41,819 | 41,873 | 41,842 |
(1) | As a percentage of Shack sales. |
SHAKE SHACK INC. | ||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
(UNAUDITED) | ||||||||
(in thousands) | ||||||||
Twenty-Six Weeks Ended | ||||||||
July 1 | June 25 | |||||||
OPERATING ACTIVITIES | ||||||||
Net income (including amounts attributable to non-controlling interests) | $ | 16,588 | $ | 22,996 | ||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||
Depreciation and amortization expense | 59,837 | 53,088 | ||||||
Amortization of debt issuance costs | 524 | 524 | ||||||
Amortization of cloud computing assets | 1,043 | 1,166 | ||||||
Non-cash operating lease cost | 50,624 | 42,250 | ||||||
Equity-based compensation | 9,082 | 9,750 | ||||||
Deferred income taxes | 3,002 | 3,785 | ||||||
Non-cash interest | 27 | 46 | ||||||
Impairments, loss on disposal of assets, and Shack closures | ... |