Third Quarter 2023 Highlights<\/strong><\/p>\n\n\n\nCompleted follow-on offering of approximately 13.3 million new shares at $26.00 per share, raising approximately $330.1 million net of offering costs and underwriting discounts and commissions.<\/p>\n\n\n\n
Opened 39 new shops, bringing total shop count to 794 as of September 30, 2023, a 23.9% increase from September 30, 2022. Of these 39 new shops opened across 11 states, 37 were company-operated. All of these new shops continue to be led by existing or newly-promoted regional operators.<\/p>\n\n\n\n
Total revenues grew 33.2% to $264.5 million as compared to $198.6 million in the same period of 2022.<\/p>\n\n\n\n
System same shop sales increased 4.0%, inclusive of the impact of our fortressing strategy, which results in sales being transferred from existing shops to new ones, as compared to the same period in 2022. Company-operated same shop sales increased 2.8%, as compared to the same period of 2022.<\/p>\n\n\n\n
Company-operated shop revenues increased 36.3% to $236.5 million, as compared to $173.5 million in the same period of 2022.<\/p>\n\n\n\n
Company-operated shop gross profit was $57.0 million as compared to $34.7 million in the same period of 2022. In the third quarter of 2023, company-operated shop gross margin, which includes 180bps of pre-opening expenses improved to 24.1%, a year-over-year increase of 410bps.<\/p>\n\n\n\n
Company-operated shop contribution2, a non-GAAP financial measure, grew 65.4% to $73.3 million as compared to $44.3 million in the same period of 2022. In the third quarter of 2023, company-operated shop contribution margin, which includes 180bps of pre-opening expense, improved to 31.0%, a year-over-year increase of 540 bps.<\/p>\n\n\n\n
Selling, general, and administrative expenses were $50.5 million (19.1% of revenue) as compared to $45.4 million (22.9% of revenue) in the same period of 2022.<\/p>\n\n\n\n
Adjusted selling, general, and administrative expenses2, a non-GAAP financial measure, were $40.6 million (15.3% of revenue) as compared to $34.7 million (17.5% of revenue) in the same period of 2022.<\/p>\n\n\n\n
Net income was $13.4 million as compared to $1.6 million in the same period of 2022.<\/p>\n\n\n\n
Adjusted EBITDA2, a non-GAAP financial measure, grew 90.5% to $53.0 million as compared to $27.8 million in the same period of 2022.<\/p>\n\n\n\n
Adjusted net income2, a non-GAAP financial measure, was $22.4 million as compared to $14.3 million in the same period of 2022.<\/p>\n\n\n\n
Net income per share of Class A and Class D common stock – diluted was $0.07 as compared to $0.03 per share in the same period of 2022.<\/p>\n\n\n\n
Adjusted net income per fully exchanged share of diluted common stock2, a non-GAAP financial measure, was $0.14 as compared to $0.09 in the same period of 2022.<\/p>\n\n\n\n
Outlook<\/strong><\/p>\n\n\n\nDutch Bros is providing the following guidance for the year 2023:<\/p>\n\n\n\n
Our expectation for total system shop openings in 2023 remains unchanged. We expect to open at least 150 new shops, of which at least 130 will be company-operated.<\/p>\n\n\n\n
Our expectation for capital expenditures remains unchanged, which we expect to be in the range of $225 million to $250 million. This includes approximately $15 million to $20 million in spending in 2023 for a new roasting facility, which is projected to open in 2024.<\/p>\n\n\n\n
Our estimate of system same shop sales growth in the low single digits remains unchanged.<\/p>\n\n\n\n
Our expectation that revenue would be at the lower end of the range of $950 million to $1 billion remains unchanged.<\/p>\n\n\n\n
Given the strength of company-operated shops and continued SG&A leverage, we now estimate Adjusted EBITDA3 will be between $150 million to $155 million, up $15 million from last quarter. This reflects stronger than expected year-to-date profitability in Q3, partially offset by the increased shop labor investments in the range of $1.5 million to $2.0 million as well as certain investments we intend to make in business building activities throughout the fourth quarter.<\/p>\n","protected":false},"excerpt":{"rendered":"
GRANTS PASS, Ore.–(BUSINESS WIRE)– Dutch Bros Inc. (NYSE: BROS; \u201cDutch Bros\u201d or the \u201cCompany\u201d), one of the fastest-growing brands in the food service and restaurant industry in the United States by location count, today reported financial results for the third quarter ended September 30, 2023. Joth Ricci, Chief Executive Officer of Dutch Bros, stated, \u201cBy all…<\/p>\n","protected":false},"author":26,"featured_media":7316,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"pmpro_default_level":"","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":"","_wp_rev_ctl_limit":""},"categories":[18],"tags":[],"yoast_head":"\n
Dutch Bros Inc. Reports Third Quarter 2023 Financial Results and Announces Two New Directors - Southern Oregon Business Journal<\/title>\n \n \n \n \n \n \n \n \n \n \n \n\t \n\t \n\t \n \n \n \n\t \n\t \n\t \n