Fourth-quarter profit and strong 2024 outlook cause Shake Shack stock to increase by 26%.

• Shake Shack shares surged following the company’s strong earnings results.
• The company's total revenue for 2023 was $286.2 million, and it forecasts a promising future with a strong outlook for 2024.
• In 2024, Shake Shack anticipates increasing its total revenue by 11% to 15% and expanding its restaurant count by 80.

On Thursday, the stock price of surged 26% following the release of the burger chain's strong fourth-quarter earnings.

In the past year, the stock has increased by over 67% and recently hit a new 52-week high of $98.90.

During the specified period, the company's performance was assessed against LSEG's (formerly Refinitiv) estimates.

• Earnings per share: 2 cents vs. 1 cent expected
• Revenue: $286.2 million vs. $280.3 million expected

In the last three months of 2023, Shake Shack's net income increased to $6.8 million from a loss of $8.1 million in the previous year. Additionally, earnings per share rose from a 20-cent loss to a 15-cent profit in the year-ago period.

Shake Shack reported earnings per share of 2 cents.

During the quarter, the burger chain experienced a 20% increase in yearly revenue and opened 15 new restaurants.

According to the report, Shake Shack anticipates increasing its total revenue by 11% to 15% in 2024 and plans to open 80 new restaurants, resulting in a nearly 600-location footprint, more than double the size of its network five years ago.

Randy Garutti, CEO, stated in a letter to shareholders that the company ended the year on a positive note with successful sales-driving strategies and continued margin expansion. The leadership teams are energized and excited to embark on the 2024 Strategic Priorities and target another year of strong growth and margin expansion.