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Kura Sushi USA Stock Gains 27% as Revenue Rises

Published 12/11/2021, 19:18
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KRUS
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By Sam Boughedda

Investing.com — Shares of Japanese Sushi Restaurant chain Kura Sushi USA Inc (NASDAQ:KRUS) surged 27% when the company reported its earnings on Thursday.

Kura also recorded a lower operating loss in its fiscal fourth quarter report after the closing bell. 

On Friday, its shares have surged to $69.27

Revenue came in at $27.9 million, beating the $25.05 million consensus and coming in above the $5.5 million print during the same period last year. In addition, the company's adjusted per-share loss was 15 cents.

The technology-enabled restaurant firm had an operating loss of $0.8 million during the quarter, compared to $6.8 million in 2020.

Hajime Uba, President and CEO of Kura Sushi, stated: “Our fiscal fourth quarter results demonstrate the continued momentum in our business recovery. Despite challenges presented by COVID-19 and its variants, we generated meaningful top line growth and a solid 4.9% increase in comparable restaurant sales versus 2019."

Uba added that the company plans to open 8 to 10 new restaurants in FY2022, while it expects total sales between $130 million and $140 million.

In July, Stephens analyst James Rutherford described Kura as "the most interesting and unique long-term public restaurant unit growth story today." Meanwhile on Friday, the company's price target has been raised to $70 at Roth Capital and BMO Capital, while at Craig-Hallum it has been increased to $77.

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