Wingstop Same Store Sales Fall 5.4%; Chain Now Sees Full-Year Decline of 6.5% to 7%

Wingstop now expects domestic same store sales to fall approximately 6.5% to 7% this year, after a 5.4% decline in the third quarter left CEO Michael Skipworth saying the company is "not satisfied" with its results.

The Dallas-based chicken wing chain disclosed the updated 2026 outlook in its earnings release filed with an 8-K on Wednesday. The quarter's same store sales drop followed a 5.6% decline in the same period a year earlier.

Growth from new restaurants

New locations kept the top line rising. System-wide sales increased 6.0% to $1.4 billion, and total revenue rose 5.3% to $185.1 million from $175.7 million.

Wingstop added 76 net new restaurants in the quarter, ending with 3,331 system-wide, up from 2,932 a year earlier. Digital sales represented 73.7% of system-wide sales. Domestic average unit volume fell to $1.85 million from about $2.06 million.

The company said net new franchise development added $8.6 million to royalty revenue, franchise fees and other, partly offset by a $3.6 million hit from the same store sales decline, which it attributed to lower transaction volumes "reflecting continued pressure on consumer spending."

Profit roughly flat

Net income rose 2.2% to $29.1 million, or $1.07 per diluted share. Adjusted net income fell 3.5% to $29.3 million, or $1.08 per diluted share, while adjusted EBITDA edged up 0.5% to $64.0 million.

Costs at company-owned restaurants climbed. Cost of sales rose to 78.2% of company-owned restaurant sales from 74.8%, driven primarily by higher food, beverage and packaging costs tied to fries and packaging, higher rent, repair and maintenance expenses, and labor costs at acquired restaurants.

What management is changing

"We are taking deliberate action across our business to drive same store sales growth, with a focus on sharpening our marketing execution, strengthening restaurant operations, and leveraging Club Wingstop to deepen guest relationships," Skipworth said. He added that the company is "encouraged by the early indicators from the changes we've made."

Beyond the sales forecast, Wingstop's updated 2026 guidance calls for 440 to 450 global net new units, or 14.4% to 14.7% unit growth, and SG&A of $138 million to $140 million, including $3 million of restructuring charges related to a corporate realignment.

Dividend and buybacks

The board declared a quarterly dividend of 33 cents per share on Oct. 27, payable Dec. 4 to stockholders of record as of Nov. 13, according to the 8-K. The company said the total payout comes to approximately $9.0 million.

Wingstop repurchased and retired 190,688 shares during the quarter at an average price of $131.12. As of Sept. 26, $288.4 million remained available under its buyback program.

By the numbers

• Domestic same store sales: down 5.4%
• 2026 domestic same store sales outlook: down about 6.5% to 7%
• System-wide sales: $1.4 billion, up 6.0%
• Total revenue: $185.1 million, up 5.3%
• Adjusted EPS: $1.08
• Net new openings: 76

Sources

1. Wingstop Form 8-K with fiscal third-quarter 2026 earnings release (Exhibit 99.1) and dividend declaration (Item 8.01), filed Oct. 28, 2026 (accession 0001628280-26-067723)

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