Key Highlights

  • Consensus EPS of 1.02 compares with second-quarter diluted EPS of 1.15, against 0.96 a year earlier.
  • Consensus revenue of USD 192.89 million compares with second-quarter revenue of USD 185,564 thousand, against USD 174,329 thousand.
  • Updated 2026 same-store sales guidance is a decline of 4% to 6%, with unit growth kept at 15% to 16%.
  • Domestic same-store sales decreased 7.5% in the quarter, and system-wide sales were USD 1.4 billion, up 5.3% year over year.

Wingstop (NASDAQ:WING) reports third-quarter results on Wednesday, Oct. 28, before the market opens. Consensus stands at EPS of 1.02 on revenue of USD 192.89 million, and the company has a market capitalization of USD 3.35 billion.

Wingstop franchises and operates restaurants focused on chicken wings, with 3,255 restaurants system-wide. Second-quarter revenue was USD 185,564 thousand against USD 174,329 thousand, and net income was USD 31,288 thousand against USD 26,763 thousand.

Estimates Against Second-Quarter Results and Updated Guidance

The EPS estimate of 1.02 is below the second-quarter diluted EPS of 1.15, which compared with 0.96 a year earlier, and the estimates table does not state its EPS basis. The revenue estimate of USD 192.89 million is above the USD 185,564 thousand reported.

Management updated 2026 same-store sales guidance to a decline of 4% to 6% and reiterated global unit growth of 15% to 16%, with the fourth quarter the largest for net openings. It guided SG&A of USD 140 million to USD 143 million, including USD 3 million of restructuring charges.

What Management Guided and What It Left Open

Management said pressure on core guests was more pronounced than anticipated and cited elevated gas prices, particularly in May. More than 55% of domestic restaurants are in urban trade areas, and digital guest visits in lower-income trade areas declined by approximately 9%.

Management left open the pace of the recovery in transactions and put stock-based compensation at approximately USD 24 million for the year. It gave no third-quarter dollar guidance.

Same-Store Sales, Digital Mix and Openings

Domestic average unit volume was USD 1.9 million against USD 2.1 million, and digital sales were 71.6% of system-wide sales. The company opened 102 net new restaurants in the quarter. Club Wingstop enrollment is 22% ahead of management expectations.

Company-owned cost of sales fell 190 basis points to 73.3%, which management tied to bone-in wing costs. The company also signed an agreement to acquire 13 restaurants outside the Dallas-Fort Worth area for USD 32 million, adding USD 7 million of revenue and USD 1 million of adjusted EBITDA in 2026.

Earnings Lines, Dividend and Buybacks

Adjusted EBITDA was USD 66.6 million against USD 59.2 million, and operating income was USD 54,631 thousand against USD 45,234 thousand. Income before income taxes was USD 44,651 thousand against USD 36,765 thousand. Net income was USD 31,288 thousand against USD 26,763 thousand, and basic EPS was 1.15 against 0.96.

The quarterly dividend was raised 10% from 0.30 to 0.33 per share. The company repurchased 374,000 shares for USD 78.5 million in the first half, with USD 313 million remaining under its authorization. The estimates table lists a market capitalization of USD 3.35 billion.

Comparisons to Make in the Report

Reported EPS against 1.02 and revenue against USD 192.89 million are the headline comparisons. Other markers are same-store sales, digital mix and the pace of net openings.