Sweetgreen, Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Sweetgreen, Inc. filed its Q1 2024 10-Q, detailing financial performance and position as of March 31, 2024.</b>

AI Summary

Sweetgreen, Inc. (SG) filed a Quarterly Report (10-Q) with the SEC on May 10, 2024. Sweetgreen, Inc. reported financial results for the period ending March 31, 2024. The filing covers the first quarter of fiscal year 2024. Key financial data points such as revenue, net income, and EPS are detailed. The company's balance sheet, including assets and liabilities as of March 31, 2024, is presented. Information on debt and equity is provided for the reporting period.

Why It Matters

For investors and stakeholders tracking Sweetgreen, Inc., this filing contains several important signals. This 10-Q filing provides investors with the latest quarterly financial performance and operational updates for Sweetgreen, Inc. Understanding these figures is crucial for assessing the company's growth trajectory, profitability, and financial health in the competitive fast-casual dining market.

Risk Assessment

Risk Level: medium — Sweetgreen, Inc. shows moderate risk based on this filing. The company operates in the highly competitive restaurant industry, which is subject to changing consumer preferences, economic downturns, and increasing operational costs, as indicated by the detailed segment reporting and expense categories.

Analyst Insight

Investors should analyze the revenue growth across different sales channels and the trends in labor and occupancy expenses to evaluate Sweetgreen's operational efficiency and market position.

Key Numbers

• 2024-03-31 — Reporting Period End Date (The 10-Q filing covers financial data up to this date.)
• 2024-05-10 — Filing Date (The date the 10-Q was officially filed with the SEC.)
• 2024-01-01 — Quarter Start Date (Beginning of the first fiscal quarter of 2024.)

Key Players & Entities

• Sweetgreen, Inc. (company) — Filer of the 10-Q report.
• 2024-03-31 (date) — End of the reporting period for the 10-Q.
• 2024-05-10 (date) — Filing date of the 10-Q.
• LOS ANGELES (location) — City of Sweetgreen's business and mailing address.
• DE (location) — State of incorporation for Sweetgreen, Inc.

FAQ

Risk Factors

• Intense Competition [high — market]: The restaurant industry is highly competitive, with many established and emerging players, which could adversely affect Sweetgreen's market share and profitability.
• Labor Costs [medium — operational]: Increases in labor costs, including wages and benefits, can significantly impact operating expenses and profitability.
• Ability to Fund Operations [medium — financial]: The company's ability to secure sufficient funding for its ongoing operations and expansion plans is critical for its long-term success.

Industry Context

Sweetgreen operates in the fast-casual restaurant sector, a segment characterized by demand for healthy, convenient food options and intense competition from both national chains and local establishments.

Regulatory Implications

As a publicly traded company, Sweetgreen is subject to the reporting requirements of the Securities and Exchange Commission (SEC), including the filing of quarterly (10-Q) and annual (10-K) reports.

What Investors Should Do

1. Review the detailed financial statements in the 10-Q to understand revenue trends and cost structures.
2. Analyze the company's liquidity and solvency position based on the balance sheet data.
3. Assess the risk factors outlined in the filing for potential impacts on future performance.

Key Dates

• 2024-03-31: Quarter End — Marks the end of the reporting period for the Q1 2024 10-Q filing.
• 2024-05-10: Filing Date — Official submission date of the 10-Q to the SEC.

Year-Over-Year Comparison

This is the first 10-Q filing for the fiscal year 2024, providing updated financial information compared to the previous fiscal year's filings.

Filing Documents

• sg-20240331.htm (10-Q) — 1052KB
• sweetgreen-ex311q1202410xq.htm (EX-31.1) — 9KB
• sweetgreen-ex312q1202410xq.htm (EX-31.2) — 9KB
• sweetgreen-ex321q1202410xq.htm (EX-32.1) — 7KB
• 0001628280-24-022413.txt (&nbsp;) — 5954KB
• sg-20240331.xsd (EX-101.SCH) — 43KB
• sg-20240331_cal.xml (EX-101.CAL) — 69KB
• sg-20240331_def.xml (EX-101.DEF) — 219KB
• sg-20240331_lab.xml (EX-101.LAB) — 606KB
• sg-20240331_pre.xml (EX-101.PRE) — 419KB
• sg-20240331_htm.xml (XML) — 699KB

Financial Information

Part I Financial Information Item 1.

Financial Statements

Financial Statements 1 Condensed Consolidated Statements of Balance Sheets 1 Condensed Consolidated Statements of Operations 2 Condensed Consolidated Statement of Stockholders' (Deficit) Equity 3 Condensed Consolidated Statements of Cash Flows 4 Notes to the Condensed Consolidated Financial Statements 5 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 19 Item 3.

Quantitative and Qualitative Disclosures About Market

Quantitative and Qualitative Disclosures About Market 34 Item 4.

Controls and Procedures

Controls and Procedures 34

Other Information

Part II Other Information Item 1.

Legal Proceedings

Legal Proceedings 35 Item 1A.

Risk Factors

Risk Factors 35 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 35 Item 3. Defaults Upon Senior Securities 35 Item 4. Mine Safety Disclosures 35 Item 5. Other Information 35 Item 6. Exhibits 36

Signatures

Signatures 38 Table of Contents SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q ("Quarterly Report") contains forward-looking statements about us and our industry that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this Quarterly Report are forward-looking statements, including statements regarding our expectations regarding our revenue, restaurant operating costs, operating expenses, and other results of operations, as well as our key performance metrics; our liquidity and the sufficiency of our capital resources; our expectations regarding financial and macroeconomic trends; our plans regarding innovation, including Infinite Kitchen, and the resulting potential benefit to our business; our ability to achieve or maintain profitability; and management's plans, priorities, initiatives and strategies. In some cases, you can identify forward-looking statements because they contain words or phrases such as "anticipate," "are confident that," "believe," "contemplate," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," or "would" or the negative of these words or other similar terms or expressions. You should not rely on forward-looking statements as predictions of future events. We have based the forward-looking statements contained in this Quarterly Report primarily on our current expectations and projections about future events and trends that we believe may affect our business, financial condition and operating results. The outcome of the events described in these forward-looking statements is subject to risks and uncertainties, many of which involve factors or circumstances that are beyond our control, that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. In light of these risks and uncertai

FINANCIAL INFORMATION

PART I FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS SWEETGREEN, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in thousands, except share and per share amounts) As of March 31, 2024 As of December 31, 2023 ASSETS Current assets: Cash and cash equivalents $ 243,756 $ 257,230 Accounts receivable 5,590 3,502 Inventory 1,854 2,069 Prepaid expenses 6,773 5,767 Current portion of lease acquisition costs 93 93 Other current assets 5,622 7,450 Total current assets 263,688 276,111 Operating lease assets $ 243,602 $ 243,992 Property and equipment, net 267,132 266,902 Goodwill 35,970 35,970 Intangible assets, net 26,356 27,407 Security deposits 1,406 1,406 Lease acquisition costs, net 403 426 Restricted cash 125 125 Other assets 4,020 4,218 Total assets $ 842,702 $ 856,557 LIABILITIES, AND STOCKHOLDERS' EQUITY Current liabilities: Current portion of operating lease liabilities $ 32,348 $ 31,426 Accounts payable 19,722 17,380 Accrued expenses 22,003 20,845 Accrued payroll 10,122 13,131 Gift cards and loyalty liability 3,137 2,797 Other current liabilities — 6,000 Total current liabilities 87,332 91,579 Operating lease liabilities, net of current portion $ 272,053 $ 271,439 Contingent consideration liability 10,377 8,350 Other non-current liabilities 799 819 Deferred income tax liabilities 1,863 1,773 Total liabilities $ 372,424 $ 373,960 COMMITMENTS AND CONTINGENCIES (Note 14) Stockholders' equity: Common stock, $ 0.001 par value per share, 2,000,000,000 Class A shares authorized, 100,338,733 and 99,700,052 Class A shares issued and outstanding as of March 31, 2024 and December 31, 2023, respectively; 300,000,000 Class B shares authorized, 12,871,027 and 12,939,094 Class B shares issued and outstanding as of March 31, 2024 and December 31, 2023, respectively 113 113 Additional paid-in capital 1,281,217 1,267,469 Accumulated deficit ( 811,052 ) ( 784,985 ) Total stockholders' equity 470,278 482,597 Total liabilities and st

View Full Filing

View this 10-Q filing on SEC EDGAR