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Dutch Bros shares surge nearly 10% as Q3 results top estimates, guidance raised

EditorRachael Rajan
Published 11/07/2024, 05:22 AM
BROS
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GRANTS PASS, Ore. - Dutch Bros Inc. (NYSE:BROS) shares soared 9.85% in after-hours trading Wednesday after the drive-thru beverage chain reported third-quarter results that beat expectations and raised its full-year guidance.

The company posted adjusted earnings per share of $0.16, surpassing the analyst consensus of $0.12. Revenue jumped 27.9% year-over-year to $338.2 million, exceeding estimates of $324.8 million.

Dutch Bros saw strong same-shop sales growth of 2.7% systemwide and 4% for company-operated locations. The company opened 38 new shops during the quarter, bringing its total to 950 locations across 18 states.

"We delivered exceptional performance in the third quarter as we executed our strategic and operational initiatives," said CEO Christine Barone. "We believe our brand is resonating with customers, as we had the highest same shop transaction growth quarter in two years, outside of the impact of Leap Day."

The company raised its full-year 2024 revenue guidance to between $1.255 billion and $1.260 billion, up from its previous outlook of $1.215 billion to $1.230 billion. It also boosted its adjusted EBITDA forecast to $215-$220 million from $200-$210 million previously.

Dutch Bros completed the rollout of its mobile order capability during the quarter, achieving 90% system coverage. Management expressed optimism about the initial impact on the business.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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