Wingstop Inc., together with its affiliated companies, manages and licenses a network of restaurants known by the Wingstop brand. These establishments are ...
Wingstop Inc. (NASDAQ: WING) is a leading fast-casual restaurant chain focused on chicken wings, with a mission to 'serve the world flavor.' Founded in 1994 in Garland, Texas, by Antonio Swad, the company has grown significantly, expanding to over 3,000 locations worldwide by 2026. The brand is recognized for its ...Wingstop Inc. (NASDAQ: WING) is a leading fast-casual restaurant chain focused on chicken wings, with a mission to 'serve the world flavor.' Founded in 1994 in Garland, Texas, by Antonio Swad, the company has grown significantly, expanding to over 3,000 locations worldwide by 2026. The brand is recognized for its made-to-order classic bone-in wings, boneless wings, and tenders, hand-tossed in 12 bold, distinctive sauces. Wingstop operates primarily through a franchise model, with franchise locations accounting for the vast majority of its footprint, contributing to a highly scalable and asset-light business. As of Q4 2021, the company reported 1,695 franchise locations and 36 company-owned stores across 44 U.S. states and seven countries. Financially, Wingstop has demonstrated robust performance, with a market capitalization of approximately $3.18 billion, a trailing twelve-month revenue per share of $26.46, and a net profit margin of 16.2%. The company's financial metrics indicate strong operational efficiency, with a gross profit margin of 73.1% and an operating profit margin of 28.7%. Wingstop's growth strategy includes domestic and international expansion, menu innovation, and a focus on digital sales, which have been boosted by its loyalty program and delivery partnerships. Key leadership includes CEO Michael J. Skipworth, who took the role in March 2022, and the company is headquartered in Addison, Texas. Wingstop went public in June 2015 and has since been a notable performer in the restaurant industry, with a beta of 1.78 suggesting higher volatility relative to the market. The company's employee base, though relatively small at around 1,367, is supported by a vast franchise network, making it a formidable player in the sector.
Operator: Good morning, ladies and gentlemen. and thank you for standing by. Welcome to Wingstop-- excuse me, Wingstop Inc.'s Fiscal Second Quarter 2026 Earnings Conference Call. All participants will be in listen-only mode. Please signal a conference specialist by pressing the star key followed by 0. Please note that this conference is being recorded today. Wednesday, July 29, 2026. On the call today are Michael J. Skipworth, President and Chief Executive Officer; Alex Kaleida, Senior Vice President and Chief Financial Officer; and Sarah Niehaus, Senior Director of Investor Relations. I would now like to turn the conference over to Sarah. Please go ahead. Thank you.
Sarah Niehaus: Thank you, and welcome to the fiscal second quarter 2026 earnings conference call for Wingstop. Our results were published earlier this morning, and are available on our investor relations website at ir.wingstop.com. Our discussion today includes forward-looking statements. These statements are not guarantees of future performance, and are subject to numerous risks and uncertainties that could cause our actual results to differ materially from what we currently expect. Our SEC filings describe various risks that could affect our future operating results and financial condition. We use certain non-GAAP financial measures that we believe can be useful in evaluating our performance. Presentation of such information should not be considered in isolation or as a substitute for results prepared in accordance with GAAP. Reconciliations to comparable GAAP measures are contained in our earnings release. Lastly, for the Q&A session, we ask that each of you please keep to one question and a follow-up. To allow as many participants as possible to ask a question. With that, I would like to turn the call over to Michael.
Michael J. Skipworth: Thank you, Sarah. Good morning, everyone, and thank you for joining us. I would like to start the call by taking a moment to recognize our brand partners, restaurant teams and global support center team members. I have previously described 2026 as a transformational year for Wingstop. From operationalizing Wingstop's Smart Kitchen, a new kitchen operating platform that completely changed our back-of-house operations to the national launch of Club Wingstop, our first loyalty program. The commitment from our brand partners and team members has been impressive. All of this while operating in this evolving consumer environment. This is a direct reflection of the resilience and incredible commitment of team members across the system and demonstrates the shared excitement around the future for Wingstop. While we have continued to strengthen the business for the long-term, our financial performance this quarter fell short of our expectations. With second quarter same-store sales declining 7.5%. The pressure on our core guests remained more pronounced than we anticipated. At the same time, the quarter gave us greater clarity about what is driving our …
