Shake Shack Shares Fall As Company Reports Slower Sales Growth

Shake Shack shares fell more than 8% in after-hours trading Wednesday as the company reported slower same-restaurant sales growth as compared with a year ago. The company said it earned $3.3 million, or 14 cents a share, in the second quarter, compared with $1.1 million, or 8 cents a share, in the same quarter last year. Sales rose 37% to $66.5 million, up from $48.5 million a year ago. Analysts polled by FactSet had expected the restaurant chain to report earnings of 13 cents a share on sales of $63.1 million. Same-store sales increased 4.5% for the quarter, against 12.9% growth in the second quarter of last year and the 4.8% that analysts had forecast for the quarter. Average weekly sales for domestic outlets were stagnant on a quarter-on-quarter basis. Shake Shack ended the regular trading session down down 1.7%.