Noodles & Co Reports Strong Q4 2025 Earnings with 88% EBITDA Growth

Written by Emily J. Thompson, Senior Investment Analyst

Source: Yahoo Finance

Updated: 6 days ago

0mins

NDLS-1.28%

Should l Buy NDLS?

Source: Yahoo Finance

Significant Sales Growth: Noodles & Co achieved a system-wide comparable sales growth of 6.6% in Q4 2025, with expectations to rise to approximately 9% in Q1 2026, indicating strong momentum in a competitive market.
Improved Financial Performance: Adjusted EBITDA surged over 88% year-over-year to $7.6 million in Q4 2025, reflecting notable enhancements in operational efficiency and profitability, despite reporting a net loss of $6.8 million.
Strategic Optimization Measures: The company closed nine company-owned and three franchised restaurants in Q4 2025 as part of a portfolio optimization strategy, which has facilitated the transfer of sales to better-performing nearby locations, thereby boosting overall average unit volumes.
Positive Future Outlook: Noodles & Co projects total revenue for 2026 to be between $478 million and $493 million, with restaurant contribution margins expected to range from 14.7% to 16%, demonstrating confidence in future growth and clarity in strategic planning.

Trade with 70% Backtested Accuracy

Stop guessing "Should I Buy NDLS?" and start using high-conviction signals backed by rigorous historical data.

Analyst Views on NDLS

About NDLS

Noodles & Company offers lunch and dinner within the fast-casual segment of the restaurant industry. The Company’s core offerings include noodle and pasta dishes, staples of various different cuisines. Its menu includes a variety of cooked-to-order dishes, including noodles and pasta, salads, soups and appetizers. It offers approximately 20 customizable dishes at its restaurants, taken to-go, or delivered to its customers. It operates approximately 460 restaurants in 31 states, which includes 369 company locations and 91 franchise locations. Its restaurants are typically between 2,000 and 2,600 square feet and are located in end-cap, in-line or free-standing locations across a variety of suburban, collegiate and urban markets. It is researching a smaller square footage restaurant prototype design. The Company's restaurants are located in Arizona, Colorado, Idaho, Illinois, Indiana, Maryland, North Carolina, Missouri, Minnesota and others.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.

Noodles & Company Shares Surge 55% After Q4 Earnings Beat Estimates

5 days agoseekingalpha

Strong Earnings Report: Noodles & Company shares surged 55% in early trading on Thursday after its Q4 earnings report exceeded expectations, with revenue rising only 0.8% but comparable sales increasing 6.6% system-wide, indicating robust market demand.
Improved Contribution Margin: The restaurant contribution margin increased from 11.2% to 14.1% in the quarter, driven by a combination of menu price increases, vendor rebates, and reduced discounting, although higher food costs from new menu offerings and modest inflation posed some challenges.
Sustained Growth Momentum: Management noted that Noodles & Company has established significant and sustained momentum, with system-wide comparable sales growth exceeding 9% in the current quarter and traffic growth over 4%, reflecting ongoing consumer preference for the brand.
Historical Performance: CEO Joseph Christina highlighted that the second quarter of 2026 delivered one of the strongest comparable sales performances in the company's 31-year history, marking the seventh consecutive period of traffic growth and further solidifying the company's market position.