GRANTS PASS, Ore. - Dutch Bros Inc. (NYSE: NYSE:BROS) delivered a robust first quarter, significantly surpassing analyst expectations with an earnings per share (EPS) of $0.09, a $0.07 improvement over the estimated $0.02. The company's revenue also exceeded forecasts, reaching $275.1 million against a consensus estimate of $255.68 million, marking a notable 39% increase YoY.
The quick-service beverage brand's impressive performance is reflected in its stock price, which surged 9% following the announcement, signaling investor confidence bolstered by both earnings and revenue beats.
CEO Christine Barone highlighted the quarter's success, attributing it to a combination of ticket expansion and traffic growth, with system same shop sales climbing by 10%. "Given this strong start to 2024, and despite a continued volatile economic backdrop for the consumer, we are comfortable raising our guidance for the year," Barone stated.
The raised outlook for FY2024 now anticipates total revenues between $1.20 billion and $1.215 billion, edging above the prior range of $1.190 billion to $1.205 billion and aligning with analyst consensus around $1.2 billion. The midpoint of the updated revenue guidance range ($1.2075 billion) slightly exceeds consensus estimates.
Adjusted EBITDA expectations have also been uplifted to fall between $195 million and $205 million from an earlier forecast of $185 million to $195 million.
Dutch Bros' strategic moves in Q1 included a record number of new shop openings tied at 45 and system average unit volumes (AUVs) expanding to an unprecedented high of $2.0 million.
Barone expressed gratitude towards customers and optimism about Dutch Bros' trajectory: "We believe our success is due in part to the plans we began setting in motion last year, underscored by two strong new product launches in Q1."
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