Kura Sushi USA, Inc. (KRUS) shares surged 8.59% in Friday's trading session, following the company's impressive fourth-quarter financial results and optimistic outlook for the upcoming fiscal year. The restaurant chain, known for its innovative conveyor belt sushi concept, delivered performance that exceeded analyst expectations across multiple metrics.
The company reported fourth-quarter sales of $79.4 million, surpassing the consensus estimate of $78.36 million from 9 analysts. Kura Sushi's adjusted earnings per share (EPS) came in at $0.20, significantly beating the expected $0.13. The adjusted net income for the quarter reached $2.5 million, well above the analyst forecast of $1.47 million. These strong results were driven by a 0.2% increase in comparable restaurant sales, supported by a 0.5% growth in traffic.
Adding to investor enthusiasm, Kura Sushi provided an encouraging outlook for fiscal year 2026. The company projects sales between $330 million and $334 million and plans to open 16 new restaurants. Management also expects restaurant-level operating profit margins of about 18%. The positive forecast, combined with operational efficiencies and reduced litigation costs observed in the fourth quarter, has bolstered confidence in the company's growth trajectory. With Wall Street's median 12-month price target at $85.00, approximately 30.8% above its recent closing price, Kura Sushi appears well-positioned for continued success in the competitive restaurant industry.
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