Dutch Bros. Inc. shares jumped more than 5% in Wednesday’s extended session after the drive-thru coffee chain reported its first quarterly results as a public company, revealing sales that exceeded Wall Street expectations and an ambition to become a national brand.
Dutch Bros. BROS, -3.53 percent reported a third-quarter loss of $117.1 million, or 15 cents per share, compared to a profit of $6.7 million a year ago. Dutch Bros. earned 23 cents per share after one-time items, exceeding the FactSet consensus estimate of 6 cents per share.
The company reported a nearly 50% increase in revenue to $129.8 million, up from $86.7 million a year ago. FactSet surveyed analysts who forecasted revenue of $125 million.
Quarterly and year-to-date results “are exceeding the optimistic set of expectations we established for 2021,” CEO Joth Ricci said in a statement.
“While we are excited to have begun our journey as a public company recently, we are already focused on a clear set of growth-oriented objectives that will help establish Dutch Bros. as a national brand,” Ricci said.
This includes the possibility of having at least 4,000 locations across the country in the coming years, he said.
Dutch Bros. expects at least 30 new locations to open in the fourth quarter and total revenue of between $125 million and $128 million. It anticipates opening at least 112 locations by 2022. The chain currently operates over 500 locations, the majority of which are located in the Western United States. The company’s first location was in Grants Pass, Oregon.
The drive-thru coffee chain went public in mid-September, with the stock opening more than 40% above the IPO price. It priced its initial public offering at $23 per share, significantly higher than the expected range of $18 to $20 per share.