Kura Sushi USA Reports 23.3% Revenue Growth to $80M Despite Net Loss

Kura Sushi USA, Inc. reported significant financial performance improvements in its latest quarterly filing, with sales reaching $80.0 million for the three months ended February 28, 2026, a 23.3% increase from $64.9 million in the same period last year. For the six months ending February 28, 2026, total sales were $153.5 million, up 18.6% from $129.4 million in the prior year. The company attributed this growth to the opening of eleven new restaurants and an increase in comparable restaurant sales, which rose by 8.6% in the latest quarter, driven by both increased customer traffic and menu price adjustments.

Despite the revenue growth, Kura Sushi reported a net loss of $1.7 million for the three months ended February 28, 2026, an improvement from a net loss of $3.8 million in the same quarter of the previous year. The loss for the six-month period was $4.8 million, slightly higher than the $4.7 million loss reported in the prior year. The company’s operating loss also decreased to $2.2 million from $4.6 million year-over-year, indicating improved operational efficiency. However, total operating expenses increased to $82.2 million, up from $69.5 million, primarily due to higher restaurant operating costs associated with the new locations.

Operationally, Kura Sushi expanded its footprint, opening five new restaurants during the six months ended February 28, 2026, bringing its total to 84 locations across 22 states and Washington, D.C. The company plans to continue this expansion, projecting the opening of 16 new restaurants in fiscal year 2026. This growth strategy is expected to further enhance revenue, although it will also lead to increased general and administrative expenses to support the expansion.

The company’s balance sheet as of February 28, 2026, showed total assets of $461.0 million, up from $430.9 million at the end of the previous fiscal year. Current liabilities remained stable at $43.0 million, while total liabilities increased to $232.2 million from $199.9 million. Kura Sushi's cash and cash equivalents decreased to $26.6 million from $47.5 million, reflecting significant investments in property and equipment, which totaled $29.3 million during the six-month period.

Looking ahead, Kura Sushi anticipates continued revenue growth driven by its expansion plans and menu price increases. However, the company also faces challenges from rising food and beverage costs due to tariffs and inflation, which it expects to manage through strategic pricing adjustments. The company remains optimistic about its operational strategies and market positioning, aiming to leverage its unique dining experience to attract more customers in the competitive restaurant landscape.