Buffalo Wild Wings explodes higher after raising its earnings forecast

Buffalo Wild Wings shares on Wednesday surged nearly 22% in extended trading after the company raised its forecast for full-year earnings.

The restaurant chain forecast adjusted earnings per share of $US4.85-$US5.15, topping analysts’ forecasts that ranged between $US4.13 and $US4.70 according to Bloomberg. Third-quarter adjusted EPS was $US1.36, crushing the estimate for $US0.79.

The earnings release also showed that the company was working to save costs amid rising chicken-wing prices.

“The recent Tuesday promotion shift from traditional to boneless wings at company-owned restaurants will continue to improve cost of sales while traditional wing prices remain elevated,” said Sally Smith, the CEO of Buffalo Wild Wings, in a statement.

Chicken wings cost $US2.16 per pound on average in the third quarter, up from $US1.72 a year ago.

More to come …

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.