KRUS · Kura Sushi USA, Inc.

Kura Sushi USA delivered a materially improved fiscal Q2 2026, with total sales rising 23.3% year-over-year to $80.0 million, driven by an 8.6% increase in comparable restaurant sales — split evenly between 4.3% traffic growth and 4.3% price/mix — and the contribution of new units. Labor cost discipline was a standout: labor and related costs fell to 30.7% of sales from 34.8% in Q2 2025, reflecting operational efficiencies and sales leverage, partially offset by low-single-digit wage inflation. Food costs rose to 30.4% of sales from 28.7%, attributed to tariffs on imported ingredients, though mitigated by menu pricing. The resulting operating loss narrowed to $2.2 million from $4.6 million, and net loss improved to $1.7 million ($0.14 per diluted share), while Adjusted EBITDA more than doubled to $5.5 million — underscoring strengthening core profitability. Management highlighted 'record-breaking labor leverage' and 'unmatched scale in the sushi space' as key advantages. Concurrently, the planned CFO transition introduces near-term leadership continuity risk, though the CEO’s immediate assumption of the role — without compensation adjustment — signals stability. Guidance for full-year 2026 remains unchanged: $333–$335 million in sales, 16 new restaurants, and restaurant-level operating profit margins of 18.0–18.5%. With 88 locations now open and four additional units opened post-quarter-end, execution against this aggressive expansion plan remains central to investor confidence.