Business

Sweetgreen files salad chain to go public

Sweetgreen’s in Bethesda, Maryland.

Jeffrey Macmillan | Getty Images

Salad chain Sweetgreen filed on Monday for listing on the New York Stock Exchange under the ticker SG, aiming to be the last restaurant company to go public this year.

The company’s losses increased and sales fell as the pandemic hit its business last year. For the fiscal year ended December 27, Sweetgreen reported a net loss of $ 141.2 million on revenue of $ 220.6 million, according to the prospectus. Sales in the same stores of the chain fell during this time by 26% after growing by 15% in the previous financial year.

The network bounced back this year. As of September 26, sales in the same stores are up 21%. Its losses fell to $ 86.9 million from a loss of $ 100.2 million a year earlier.

Sweetgreen operates 140 restaurants in 13 states and Washington DC. In the prospectus, Sweetgreen said it plans to double its presence over the next 3-5 years. More than two-thirds of the company’s revenue comes from digital sales. As of September 26, the average unit volume for a location is $ 2.5 million.

Founded in 2006, Sweetgreen has found loyal customers with its menu of salads and warm plates that appeal to consumers looking for healthy and convenient options. The company has also turned to restaurant technology. In August, she acquired Spyce, a Boston-based restaurant company that has made a name for itself with robotic restaurant technology. A few months earlier, Sweetgreen revealed that it had privately applied for disclosure.

The network has not been spared controversy. In September, CEO and co-founder Jonathan Neman posted a message on LinkedIn linking COVID-19 deaths to obesity, sparking a backlash on social media. The post was deleted and Neman apologized for the comments.

A number of other restaurant chains have debuted this year with mixed results. Dutch Bros. stock has soared 82% since its initial public offering in September. First Watch Restaurant Group has dropped 2% since its debut earlier this month.


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