Noodles and Co. says sales recovering after COVID-19 shutdowns

BROOMFIELD — Pasta chain Noodles & Co. (Nasdaq: NDLS) says its comparable sales have increased significantly through June but remain well below pre-coronavirus levels.

The Broomfield-based restaurant company said in a statement Wednesday that comparable sales improved from a 30% drop in May from the previous period and improved steadily each week of June to 15.1% below the comparable period of the week ending June 16.

While that is an improvement to the 54.7% decline in sales in late March, Noodles said its system-wide revenues for the quarter ending on June 30 is behind previous periods by 34%.

Noodles posted revenue decreases of 8.8% from the first quarter of 2020 compared to the same time in 2019 due to the first few weeks of in-store dining being stopped by various stay-at-home orders across the U.S. In particular, the company’s sales dropped 43% from mid-March to the end of the month.

Investors took the optimistic view of the company’s situation in Thursday trading, with Noodles’ stock increasing 12.74% on the day against a flat Dow Jones Industrial Average to end at $5.84 per share.

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