Item 5. Market for Registrant’s Common Equity
Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.
MARKET INFORMATION
Our Class A common stock is traded on the New York Stock Exchange under the symbol "SHAK."
Our Class B common stock is not listed nor traded on any stock exchange.
HOLDERS OF RECORD
As of February 17, 2021, there were 86 shareholders of record of our Class A common stock. The number of record holders does not include persons who held shares of our Class A common stock in nominee or "street name" accounts through brokers. As of February 17, 2021, there were 20 shareholders of record of our Class B common stock.
DIVIDEND POLICY
We currently intend to retain all available funds and any future earnings for use in the operation of our business, and therefore we do not currently expect to pay any cash dividends on our Class A common stock. Holders of our Class B common stock are not entitled to participate in any dividends declared by our Board of Directors. Any future determination to pay dividends to holders of our Class A common stock will be at the discretion of our Board of Directors and will depend upon many factors, including our results of operations, financial condition, capital requirements, restrictions in SSE Holdings' debt agreements and other factors that our Board of Directors deems relevant. We are a holding company, and substantially all of our operations are carried out by SSE Holdings and its subsidiaries. Additionally, under the revolving credit facility, SSE Holdings is currently restricted from paying cash dividends, and we expect these restrictions to continue in the future, which may in turn limit our ability to pay dividends on our Class A common stock.
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STOCK PERFORMANCE GRAPH
The following graph and table illustrate the total return from December 30, 2015 through December 30, 2020 for (i) our Class A common stock, (ii) the Standard and Poor's 500 Index, and (iii) the Standard and Poor’s 600 Restaurants Index, assuming an investment of $100 on December 30, 2015 including the reinvestment of dividends.
Comparison of 5 Year Cumulative Total Return
12/30/2015 12/28/2016 12/27/2017 12/26/2018 12/25/2019 12/30/2020
Shake Shack Inc. $ 100.00 $ 92.17 $ 110.96 $ 108.13 $ 150.02 $ 212.36
S&P 500 Index 100.00 111.96 136.40 130.42 171.49 203.04
S&P 600 Restaurants Index 100.00 109.06 101.28 97.60 102.23 103.92
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Item 6. Selected Financial Data.
The selected financial and operating data set forth below was derived from our audited consolidated financial statements and should be read in conjunction with Item 1A, "Risk Factors," Item 7, "Management's Discussion and Analysis of Financial Condition and Results of Operations" and our audited consolidated financial statements included in Item 8, "Financial Statements and Supplementary Data."
(dollar amounts in thousands, except per share amounts) 2020 1
2019 2018 2017 2016
Selected statement of income data:
Shack sales $ 506,339 $ 574,625 $ 445,589 $ 346,388 $ 259,350
Licensing revenue (2)
16,528 19,894 13,721 12,422 9,125
Shack-level operating expenses 434,961 446,607 332,683 254,079 186,058
General and administrative expenses 64,250 65,649 52,720 39,003 30,556
Pre-opening costs 8,580 14,834 12,279 9,603 9,520
Operating income (loss) (43,876) 25,685 31,711 33,813 27,805
Net income (loss) (45,534) 24,128 21,948 8,884 22,146
Net income (loss) attributable to Shake Shack Inc. (42,158) 19,827 15,179 (320) 12,446
Per share data:
Earnings (loss) per share—basic $ (1.14) $ 0.63 $ 0.54 $ (0.01) $ 0.54
Earnings (loss) per share—diluted $ (1.14) $ 0.61 $ 0.52 $ (0.01) $ 0.53
Selected balance sheet data (at period end):
Cash and cash equivalents $ 146,873 $ 37,099 $ 24,750 $ 21,507 $ 11,607
Short-term marketable securities 36,887 36,508 62,113 63,036 62,040
Total current assets 203,186 87,675 101,119 93,199 83,944
Total assets 1,145,348 968,268 610,532 470,606 538,194
Total current liabilities 109,705 99,392 59,948 34,024 31,716
Total debt — — 20,846 14,518 2,007
Total liabilities 710,855 646,283 337,077 246,127 336,841
Total equity 434,493 321,985 273,455 224,479 201,353
Selected cash flow data:
Net cash provided by operating activities $ 37,350 $ 89,857 $ 85,395 $ 70,878 $ 54,285
Net cash used in investing activities (69,397) (80,686) (86,604) (61,943) (114,761)
Net cash provided by financing activities 141,821 3,178 4,452 965 1,234
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(dollar amounts in thousands) 2020 1
2019 2018 2017 2016
Selected operating data:
Shack system-wide sales (3)
$ 778,861 $ 895,288 $ 671,926 $ 532,137 $ 402,791
Same-Shack sales % (4)
(27.8) % 1.3 % 1.0 % (1.2) % 4.2 %
Shacks in the comparable base 114 85 61 43 29
Average weekly sales (5) :
Domestic Company-operated $ 58 $ 79 $ 84 $ 88 $ 96
Average unit volumes (6) :
Domestic Company-operated $ 3,020 $ 4,090 $ 4,390 $ 4,598 $ 4,981
International licensed $ 2,766 $ 3,367 $ 3,047 $ 3,176 $ 3,334
Shack-level operating profit (7)
$ 71,378 $ 128,018 $ 112,906 $ 92,309 $ 73,292
Shack-level operating profit margin (7)
14.1 % 22.3 % 25.3 % 26.6 % 28.3 %
Adjusted EBITDA (8)
$ 22,739 $ 81,840 $ 73,850 $ 64,664 $ 50,234
Adjusted EBITDA margin (8)
4.3 % 13.8 % 16.1 % 18.0 % 18.7 %
Shack counts (at end of period):
System-wide 311 275 208 159 114
Domestic Company-operated 183 163 124 90 64
Domestic licensed 22 22 12 10 7
International licensed 106 90 72 59 43
(1) We operate on a 52/53 week fiscal year that ends on the last Wednesday of the calendar year. Fiscal year 2020 was a 53-week year with the extra operating week (the " 53rd week ") falling in our fiscal fourth quarter. Fiscal 2019, fiscal 2018, fiscal 2017 and fiscal 2016 each contained 52 weeks.
(2) On December 28, 2017 we adopted Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers (Topic 606). Results for reporting periods beginning on or after December 28, 2017 are presented under Accounting Standards Codification Topic 606 ("ASC 606"). Prior period amounts were not revised and continue to be reported in accordance with Accounting Standards Codification Topic 605 ("ASC 605"), the accounting standard then in effect. See Note 3, Revenue, to the consolidated financial statements for more information.
(3) Shack system-wide sales is an operating measure and consists of sales from our domestic Company-operated Shacks, domestic licensed Shacks and our international licensed Shacks. We do not recognize the sales from our licensed Shacks as revenue. Of these amounts, our revenue is limited to Shack sales from domestic Company-operated Shacks and licensing revenue based on a percentage of sales from domestic and international licensed Shacks, as well as certain up-front fees such as territory and opening fees.
(4) Same-Shack sales % reflects the change in year-over-year Shack sales for domestic Company-operated Shacks open for 24 full fiscal months or longer. Fiscal 2020 excludes the impact of the 53rd week. For fiscal 2020, same-Shack sales compares the 52 weeks from December 26, 2019 through December 23, 2020 to the 52 weeks from December 27, 2018 through December 25, 2019. In order to compare like-for-like periods for fiscal 2021, same-Shack sales will compare the 52 weeks from December 31, 2020 through December 29, 2021 to the 52 weeks from January 2, 2020 through December 30, 2020.
(5) Average weekly sales is calculated by dividing total Shack sales by the number of operating weeks for all Shacks in operation during the period. For Shacks that are not open for the entire period, fractional adjustments are made to the number of operating weeks used in the denominator such that it corresponds to the period of associated sales.
(6) Average unit volumes are calculated by dividing total Shack sales by the number of Shacks open during the period. For Shacks that are not open for the entire period, fractional adjustments are made to the number of Shacks used in the denominator such that it corresponds to the period of associated sales.
(7) See "Non-GAAP Measures—Shack-Level Operating Profit" on page 65 for additional information and a reconciliation to the most directly comparable GAAP financial measure.
(8) See "Non-GAAP Measures—EBITDA and Adjusted EBITDA" on page 66 for additional information and a reconciliation to the most directly comparable GAAP financial measure.
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