Sweetgreen (SG) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue was $192.7 million, up 4% year-over-year, driven by new restaurant openings, but comparable restaurant sales declined 6.2% due to a 2% drop in transactions and a 4.2% decline in product mix.

• Restaurant-level profit margin fell to 13.1% from 18.9% last year, and adjusted EBITDA was a loss of $0.2 million.

• Net loss widened to $26.3 million from $23.2 million year-over-year, with a net loss margin of (13.6%).

• Digital revenue mix increased to 66.3%, with owned digital revenue at 38.8%.

• Operational improvements led to sequential transaction trend improvements, but food safety incidents and a jalapeno recall impacted consumer confidence and outlook.

Financial highlights

• Q2 2026 revenue: $192.7 million, up 3.8% year-over-year; H1 2026 revenue: $354.2 million, up 0.7%.

• Comparable restaurant sales declined 6.2% in Q2 and 9.3% in H1, with a 2% drop in transactions and 4.2% decline in product mix.

• Restaurant-level profit: $25.2 million (13.1% margin), down from 18.9% last year.

• Adjusted EBITDA: $(0.2) million, compared to $6.4 million profit last year.

• Ended quarter with $142.6 million in cash and 287 restaurants (35 Infinite Kitchens).

Outlook and guidance

• Full-year comparable restaurant sales expected to decline 8% to 7%.

• Restaurant-level profit margin guidance: 10.5%-11%.

• Adjusted EBITDA guidance: loss of $27 million to $23 million.

• Projecting 13 net new restaurant openings for FY2026, about half with Infinite Kitchen automation.

• Cyclospora disruption estimated to impact comps by 200-300 bps, margin by 100-150 bps, and EBITDA by $7-10 million.