Sweetgreen, Inc. announced its financial results for the first fiscal quarter ended March 30, 2025. Total revenue for the quarter was $166.3 million, a 5.4% increase year-over-year, primarily driven by 30 net new restaurant openings since the prior year period.
However, same-store sales declined by 3.1%, reflecting a 6.5% decrease in traffic and mix, partially offset by a 3.4% benefit from menu price increases. The company reported a net loss of $(29.0) million, or $(0.21) per share.
Management attributed the Q1 same-store sales decline to external headwinds, including holiday timing shifts, adverse weather, and the lingering impacts of the LA wildfires. Despite these pressures, the restaurant-level profit margin was 17.9%, slightly below Q1 2024's 18.1% but within the company's guidance range.
Sweetgreen updated its guidance for fiscal year 2025, projecting revenue between $740 million and $760 million, a reduction from its previous outlook of $760 million to $780 million. Full-year same-store sales growth is now expected to be approximately flat, an improvement from the previously guided negative 5% to 3% decline.
The company anticipates a restaurant-level margin of approximately 19.5% and Adjusted EBITDA of approximately $30 million for FY2025. Sweetgreen also noted a potential tariff impact of approximately 75 basis points on Q2 2025 food, beverage, and packaging costs, declining to about 40 basis points in the second half of 2025.
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