Sweetgreen has announced significant changes in response to declining sales, including the discontinuation of the popular Ripple Fries. The company's shares plummeted over 25%, prompting a revenue outlook revision for 2025 to between $700 million and $715 million. CEO Jonathan Neman highlighted several challenges, including cautious consumer spending and tough comparisons from previous menu launches. The company is also addressing issues with its loyalty program that affected sales. Changes will include increased portion sizes, recipe adjustments, and new discounted menu offerings to attract customers back.
Sweetgreen's shares dropped more than 25% after slashing its revenue outlook for 2025, now expecting between $700 million and $715 million.
CEO Jonathan Neman cited external and internal challenges affecting sales, including cautious consumer spending and tough comparisons from last year's steak launch.
Neman indicated that issues with the loyalty program have contributed to revenue declines, but he believes the negative impact will be temporary.
In response to lower sales, Sweetgreen plans to increase portion sizes, adjust recipes, and introduce discounted menu items, while discontinuing the popular Ripple Fries.
Collection
[
|
...
]