Sweetgreen Inc

Previous wording

We are a mission-driven, next generation restaurant and lifestyle brand that serves healthy food at scale. Our bold vision is to be as ubiquitous as traditional fast food, but with the transparency and quality that consumers increasingly expect. As of June 30, 2024, we owned and operated 231 restaurants in 20 states and Washington, D.C.

Current wording

We are a mission-driven, next generation restaurant and lifestyle brand that serves healthy food at scale. Our bold vision is to be as ubiquitous as traditional fast food, but with the transparency and quality that consumers increasingly expect. As of September 29, 2024, we owned and operated 236 restaurants in 22 states and Washington, D.C.

Previous wording

Opening new restaurants is an important driver of our revenue growth. During the thirteen weeks ended June 30, 2024 and June 25, 2023, we had 4 and 10 Net New Restaurant Openings, respectively. During thetwenty-six weeks ended June 30, 2024 and June 25, 2023, we had 10 and 19 Net New Restaurant Openings, respectively, bringing our total count as of June 30, 2024 to 231 restaurants in 20 states and Washington, D.C.

Current wording

Opening new restaurants is an important driver of our revenue growth. During the thirteen weeks ended September 29, 2024 and September 24, 2023, we had 5 and 15 Net New Restaurant Openings, respectively. During thethirty-nine weeks ended September 29, 2024 and September 24, 2023, we had 15 and 34 Net New Restaurant Openings, respectively, bringing our total count as of September 29, 2024 to 236 restaurants in 22 states and Washington, D.C.

Previous wording

During the second quarter of 2024, we introduced steak as a new protein to our menu, which adds a new ingredient for our customer base. With the introduction of beef on our menu, we have and could continue to experience an increase in commodity costs.

Current wording

During the second quarter of 2024, we introduced steak as a new protein to our menu, which adds a new ingredient for our customer base. With the introduction of beef on our menu, we have experienced and could continue to experience an increase in commodity costs.

Previous wording

Our revenue fluctuates as a result of seasonal factors and weather conditions. Historically, our revenue has been lower in the first and fourth fiscal quarters of the year due, in part, to the holiday season and the fact that fewer people eat out during periods of inclement weather (generally the winter months, though inclement weather conditions may occur in certain markets at any time of the year) than during periods of mild to warm weather (the spring, summer, and fall months). In addition, a core part of our menu, salads, has proven to be more popular among consumers in the warmer months. Recently, as consumer behavior trends have changed, due in part to the emergence of hybrid or remote work environments, the seasonality in our business has been less predictable than in prior years although we have seen an increased and prolonged negative impacton our revenue around national holidays.

Current wording

Our revenue fluctuates as a result of seasonal factors and weather conditions. Historically, our revenue has been lower in the first and fourth fiscal quarters of the year due, in part, to the holiday season and the fact that fewer people eat out during periods of inclement weather (generally the winter months, though inclement weather conditions may occur in certain markets at any time of the year) than during periods of mild to warm weather (the spring, summer, and fall months). In addition, a core part of our menu, salads, has proven to be more popular among consumers in the warmer months. In recent years, as consumer behavior trends have changed, due in part to the emergence of hybrid or remote work environments, the seasonality in our business has been less predictable than in prior years although we have seen an increased and prolonged negative impacton our revenue around national holidays.

Previous wording

(1) One restaurant was excluded from the Comparable Restaurant Base for the thirteen and twenty-six weeks ended June 30, 2024. Three restaurants were excluded from the Comparable Restaurant Base for the thirteen and twenty-six weeks ended June 25, 2023. Such adjustments did not result in a material change to AUV.

Current wording

(1) One restaurant was excluded from the Comparable Restaurant Base for the thirteen and thirty-nine weeks ended September 29, 2024. Two restaurants were excluded from the Comparable Restaurant Base for the thirteen and thirty-nine weeks ended September 24, 2023. Such adjustments did not result in a material change to AUV.

Previous wording

(2) Our results for the thirteen and twenty-six weeks ended June 30, 2024 have been adjusted to reflect the temporary closures of one and four restaurants, respectively, which were excluded from the calculation of Same-Store Sales Change. Such adjustments did not result in a material change to Same-Store Sales Change. Our results for the thirteen and twenty-six weeks ended June 25, 2023 have been adjusted to reflect the temporary closures of one and two restaurants, respectively, which were excluded from the calculation of Same-Store Sales Change. Such adjustments did not result in a material change to Same-Store Sales Change.

Current wording

(2) Our results for the thirteen and thirty-nine weeks ended September 29, 2024 have been adjusted to reflect the temporary closures of two and five restaurants, respectively, which were excluded from the calculation of Same-Store Sales Change. Such adjustments did not result in a material change to Same-Store Sales Change. Our results for the thirteen and thirty-nine weeks ended September 24, 2023 have been adjusted to reflect the temporary closures of zero and two restaurants, respectively, which were excluded from the calculation of Same-Store Sales Change. Such adjustments did not result in a material change to Same-Store Sales Change.

Previous wording

AUV is defined as the average trailing revenue for the prior four fiscal quarters for all restaurants in the Comparable Restaurant Base. The measure of AUV allows us to assess changes in guest traffic and per transaction patterns at our restaurants. Fiscal year 2023 was a 53-week year, and in order to provide a measurement period that is consistent with comparable periods that span a 52-week year, rather than simply excluding the extra week, we applied an averaging methodology to the last period of fiscal 2023 to adjust for the extra week. Comparable Restaurant Base for any measurement period is defined as all restaurants that have operated for at least twelve full months as of the end of such measurement period, other than any restaurants that had a material, temporary closure during the relevant measurement period. For thethirteen and twenty-six weeks ended June 30, 2024, one restaurant was excluded from the Comparable Restaurant Base. Such adjustments did not result in a material change to AUV. For the thirteen and twenty-six weeks ended June 25, 2023, three restaurants were excluded from the Comparable Restaurant Base. Such adjustments did not result in a material change to AUV.

Current wording

AUV is defined as the average trailing revenue for the prior four fiscal quarters for all restaurants in the Comparable Restaurant Base. The measure of AUV allows us to assess changes in guest traffic and per transaction patterns at our restaurants. Fiscal year 2023 was a 53-week year, and in order to provide a measurement period that is consistent with comparable periods that span a 52-week year, rather than simply excluding the extra week, we applied an averaging methodology to the last period of fiscal 2023 to adjust for the extra week. Comparable Restaurant Base for any measurement period is defined as all restaurants that have operated for at least twelve full months as of the end of such measurement period, other than any restaurants that had a material, temporary closure during the relevant measurement period. For thethirteen and thirty-nine weeks ended September 29, 2024, one restaurant was excluded from the Comparable Restaurant Base. For the thirteen and thirty-nine weeks ended September 24, 2023, two restaurants were excluded from the Comparable Restaurant Base. Such adjustments did not result in a material change to AUV.

Previous wording

Same-Store Sales Change reflects the percentage change in year-over-year revenue for the relevant fiscal period for all restaurants that have operated for at least 13 full fiscal months as of the end of such fiscal period, excluding the 14th week in any 14-week period and the 53rd week in any 53-week period, as applicable; provided, that for any restaurant that has had a temporary closure (which historically has been defined as a closure of at least five days during which the restaurant would have otherwise been open) during any prior or current fiscal month, such fiscal month, as well as the corresponding fiscal month for the prior or current fiscal year, as applicable, will be excluded when calculating Same-Store Sales Change for that restaurant. Fiscal year 2023 was a 53-week year, which resulted in a misalignment in our comparable weeks in fiscal year 2024. To adjust for this misalignment, in calculating Same-Store Sales Change for each fiscal quarter and the full fiscal year 2024, we shifted each week within fiscal year 2023 forward by one week to better align with the 2024 calendar year, specifically to match the timing of holidays and achieve a more accurate comparable Same-Store Sales Change to the prior period. During thethirteen and twenty-six weeks ended June 30, 2024, one and four restaurants were excluded from the calculation of Same-Store Sales Change, respectively. During thethirteen and twenty-six weeks ended June 25, 2023, one and two restaurants were excluded from the calculation of Same-Store Sales Change, respectively. Such adjustments did not result in a material change to Same-Store Sales Change. This measure highlights the performance of existing restaurants, while excluding the impact of new restaurant openings and closures.

Current wording

Same-Store Sales Change reflects the percentage change in year-over-year revenue for the relevant fiscal period for all restaurants that have operated for at least 13 full fiscal months as of the end of such fiscal period, excluding the 14th week in any 14-week period and the 53rd week in any 53-week period, as applicable; provided, that for any restaurant that has had a temporary closure (which historically has been defined as a closure of at least five days during which the restaurant would have otherwise been open) during any prior or current fiscal month, such fiscal month, as well as the corresponding fiscal month for the prior or current fiscal year, as applicable, will be excluded when calculating Same-Store Sales Change for that restaurant. Fiscal year 2023 was a 53-week year, which resulted in a misalignment in our comparable weeks in fiscal year 2024. To adjust for this misalignment, in calculating Same-Store Sales Change for each fiscal quarter and the full fiscal year 2024, we shifted each week within fiscal year 2023 forward by one week to better align with the 2024 calendar year, specifically to match the timing of holidays and achieve a more accurate comparable Same-Store Sales Change to the prior period. During thethirteen and thirty-nine weeks ended September 29, 2024, two and five restaurants were excluded from the calculation of Same-Store Sales Change, respectively. During thethirteen and thirty-nine weeks ended September 24, 2023, zero and two restaurants were excluded from the calculation of Same-Store Sales Change, respectively. Such adjustments did not result in a material change to Same-Store Sales Change. This measure highlights the performance of existing restaurants, while excluding the impact of new restaurant openings and closures.

Previous wording

•facilitate operating performance comparisons from period to period by isolating the effects of some items that vary from period to period without any correlation to core operating performance or that

Current wording

items that vary from period to period without any correlation to core operating performance or that

Previous wording

•Adjusted EBITDA does not take into account any income or costs that management determines are not indicative of ongoing operating performance, such as stock-based compensation; loss on disposal of property and equipment; certain other expenses; Spyce acquisition costs; our enterprise resource planning system (“ERP”) implementation and related costs; legal settlements; and, in certain periods, impairment and closure costs and restructuring charges; and

Current wording

•Adjusted EBITDA does not take into account any income or costs that management determines are not indicative of ongoing operating performance, such as stock-based compensation; loss on disposal of property and equipment; other (income) expense; Spyce acquisition costs; our enterprise resource planning system (“ERP”) implementation and related costs; legal settlements; and certain other expenses as described in more detail below; and

Previous wording

We define Adjusted EBITDA as net loss adjusted to exclude income tax expense, interest income, interest expense, depreciation and amortization, stock-based compensation expense, loss on disposal of property and equipment, other (income) expense, Spyce acquisition costs, ERP implementation and related costs, and, in certain periods, impairment and closure costs, restructuring charges and legal settlements. Adjusted EBITDA Margin is Adjusted EBITDA as a percentage of revenue.

Current wording

We define Adjusted EBITDA as net loss adjusted to exclude income tax expense, interest income, interest expense, depreciation and amortization, stock-based compensation expense, loss on disposal of property and equipment, other (income) expense, Spyce acquisition costs, ERP implementation and related costs, legal settlements, and certain other expenses during the period that management determines are not indicative of ongoing operating performance. Adjusted EBITDA Margin is Adjusted EBITDA as a percentage of revenue.

Previous wording

We also sell gift cards that do not have an expiration date. Upon sale, gift cards are recorded as unearned revenue and included within gift card liability in the accompanying consolidated balance sheets. The revenue from gift cards is recognized when redeemed by customers. Because we do not track addresses of gift card purchasers, the relevant jurisdiction related to the requirement for escheatment, the legal obligation to remit unclaimed assets to the state, is our state of incorporation, which is Delaware. The state of Delaware requires escheatment after five years from issuance. We do not recognize breakage income because of our requirements to escheat unredeemed gift card balances.

Current wording

We also sell gift cards that do not have an expiration date. Upon sale, gift cards are recorded as unearned revenue and included within gift card liability in the accompanying condensed consolidated balance sheets. The revenue from gift cards is recognized when redeemed by customers. Because we do not track addresses of gift card purchasers, the relevant jurisdiction related to the requirement for escheatment, the legal obligation to remit unclaimed assets to the state, is our state of incorporation, which is Delaware. The state of Delaware requires escheatment after five years from issuance. We do not recognize breakage income because of our requirements to escheat unredeemed gift card balances.

Previous wording

Comparison of the thirteen and twenty-six weeks ended June 30, 2024 and June 25, 2023

Current wording

Comparison of the thirteen and thirty-nine weeks ended September 29, 2024 and September 24, 2023

Previous wording

The following table summarizes our results of operations for thetwenty-six weeks ended June 30, 2024 and June 25, 2023:

Current wording

The following table summarizes our results of operations for thethirty-nine weeks ended September 29, 2024 and September 24, 2023:

Previous wording

The increase in revenue for the thirteen weeks ended June 30, 2024 was primarily due to an increase of $18.2 million of incremental revenue associated with 36 Net New Restaurant Openings during or subsequent to the thirteen weeks ended June 25, 2023. In addition, $13.9 million of the increase was the result of a positive Same-Store Sales Change of 9% consisting of a 5% benefit from menu price increases that were implemented subsequent to the thirteen weeks ended June 25, 2023 and a 4% increase due to traffic and favorable product mix.

Current wording

The increase in revenue for the thirteen weeks ended September 29, 2024 was primarily due to an increase of $12.4 million of incremental revenue associated with 31 Net New Restaurant Openings during or subsequent to the thirteen weeks ended September 24, 2023. The increase in revenue was also due to an increase in Comparable Restaurant Base revenue of $8.5 million resulting in a positive Same-Store Sales Change of 6% consisting of a 4% benefit from menu price increases that were implemented subsequent to the thirteen weeks ended September 24, 2023 and a 2% increase due to traffic and favorable product mix. These increases were partially offset by a $0.4 million decrease in fiscal year-over-year comparable restaurant sales, which would have been reflected in our Same-Store Sales Change had we not adjusted for the misalignment in our comparable weeks resulting from fiscal year 2023 being a 53-week year, as described above.

Previous wording

The increase in revenue for thetwenty-six weeks ended June 30, 2024 was primarily due to an increase of $39.2 million of incremental revenue associated with 45 Net New Restaurant Openings during or subsequent to thetwenty-six weeks ended June 25, 2023. The remaining increase in revenue was due to an increase in Comparable Restaurant Base revenue of $20.4 million, resulting in a positive Same-Store Sales Change of 7%, primarily due to a 5% benefit from menu price increases that were implemented subsequent to the thirteen weeks ended June 25, 2023 and a 2% increase due to traffic and favorable product mix. The remaining $5.3 million of the increase was due to additional fiscal year-over-year comparable restaurant sales growth, which would have been reflected in our Same-Store Sales Change had we not adjusted for the misalignment in our comparable weeks resulting from fiscal year 2023 being a 53-week year, as described above.

Current wording

The increase in revenue for thethirty-nine weeks ended September 29, 2024 was primarily due to an increase of $51.7 million of incremental revenue associated with 50 Net New Restaurant Openings during or subsequent to the thirty-nine weeks ended September 24, 2023. The increase in revenue was also due to an increase in Comparable Restaurant Base revenue of $28.9 million, resulting in a positive Same-Store Sales Change of 7%, consisting of a 5% benefit from menu price increases that were implemented subsequent to the thirteen weeks ended September 24, 2023 and a 2% increase due to traffic and favorable product mix. The remaining $5.0 million of the increase was due to additional fiscal year-over-year comparable restaurant sales growth, which would have been reflected in our Same-Store Sales Change had we not adjusted for the misalignment in our comparable weeks resulting from fiscal year 2023 being a 53-week year, as described above.

Previous wording

The increase in food, beverage, and packaging costs for the thirteen weeks ended June 30, 2024 was primarily due to the 36 Net New Restaurant Openings during or subsequent to the thirteen weeks ended June 25, 2023 as well as higher protein cost.

Current wording

The increase in food, beverage, and packaging costs for the thirteen weeks ended September 29, 2024 was primarily due to the 31 Net New Restaurant Openings during or subsequent to the thirteen weeks ended September 24, 2023, as well as higher protein cost.

Previous wording

The increase in food, beverage, and packaging costs for thetwenty-six weeks ended June 30, 2024 was primarily due to the 45 Net New Restaurant Openings during or subsequent to thetwenty-six weeks ended June 25, 2023, and higher protein cost. These increases were partially offset by a decrease in packaging costs, which were higher in the prior-year period due to a packaging supply chain disruption.

Current wording

The increase in food, beverage, and packaging costs for thethirty-nine weeks ended September 29, 2024 was primarily due to the 50 Net New Restaurant Openings during or subsequent to thethirty-nine weeks ended September 24, 2023, and higher protein cost. These increases were partially offset by a decrease in packaging costs, which were higher in the prior-year period due to a packaging supply chain disruption.

Previous wording

As a percentage of revenue, food, beverage, and packaging costs for both the thirteen andtwenty-six weeks ended June 30, 2024 remained relatively consistent compared to the thirteen andtwenty-six weeks ended June 25, 2023, respectively, primarily due to an increase in revenue proportional to the increase in food, beverage, and packaging costs.

Current wording

As a percentage of revenue, food, beverage, and packaging costs for both the thirteen andthirty-nine weeks ended September 29, 2024 remained relatively consistent compared to the thirteen andthirty-nine weeks ended September 24, 2023, respectively, primarily due to an increase in revenue proportional to the increase in food, beverage, and packaging costs.

Previous wording

The increase in labor and related expenses for the thirteen weeks ended June 30, 2024 was primarily due to the 36 Net New Restaurant Openings during or subsequent to the thirteen weeks ended June 25, 2023. The increase was also driven by higher staffing expenses associated with increases in prevailing wage rates in many of our markets, partially offset by improved labor optimization. Most notably, as of April 1, 2024, California fast food wages increased as result of AB 1228.

Current wording

The increase in labor and related expenses for the thirteen weeks ended September 29, 2024 was primarily due to the 31 Net New Restaurant Openings during or subsequent to the thirteen weeks ended September 24, 2023. The increase was also driven by higher staffing expenses associated with increases in prevailing wage rates in many of our markets, partially offset by improved labor optimization. Most notably, as of April 1, 2024, California fast food wages increased as result of AB 1228.

Previous wording

The increase in labor and related expenses for thetwenty-six weeks ended June 30, 2024 was primarily due to the 45 Net New Restaurant Openings during or subsequent to thetwenty-six weeks ended June 25, 2023. The increase was also driven by higher staffing expenses associated with increases in prevailing wage rates in many of our markets, most notably, as of April 1, 2024, California fast food wages increased as result of AB 1228. These increases were partially offset by a $1.8 million benefit related to refundable employee retention tax credits (“ERC”) issued as part of the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”) as well as an improvement in labor optimization. See Note 11 to our condensed consolidated financial statements included elsewhere in this Quarterly Report for further details on the ERC.

Current wording

The increase in labor and related expenses for thethirty-nine weeks ended September 29, 2024 was primarily due to the 50 Net New Restaurant Openings during or subsequent to thethirty-nine weeks ended September 24, 2023. The increase was also driven by higher staffing expenses associated with increases in prevailing wage rates in many of our markets. Most notably, as of April 1, 2024, California fast food wages increased as result of AB 1228. These increases were partially offset by a $1.8 million benefit related to refundable employee retention tax credits (“ERC”) issued as part of the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”) as well as an improvement in labor optimization. See Note 11 to our condensed consolidated financial statements included elsewhere in this Quarterly Report for further details on the ERC.

Previous wording

As a percentage of revenue, the decrease in labor and related expenses for thetwenty-six weeks ended June 30, 2024 was primarily due to higher revenue and improvement in labor optimization, partially offset by wage rate increases, as discussed above compared to thetwenty-six weeks ended June 25, 2023. These decreases were partially offset by a $1.8 million benefit received during the thirteen weeks ended March 26, 2023, related to a refundable ERC issued as part of the CARES Act.

Current wording

As a percentage of revenue, the decrease in labor and related expenses for thethirty-nine weeks ended September 29, 2024 was primarily due to higher revenue and improvement in labor optimization, partially offset by wage rate increases, as discussed above, compared to thethirty-nine weeks ended September 24, 2023. These decreases were partially offset by a $1.8 million benefit received during the thirteen weeks ended March 26, 2023, related to a refundable ERC issued as part of the CARES Act.

Previous wording

The increase in occupancy and related expenses for the thirteen weeks ended June 30, 2024 was primarily due to the 36 Net New Restaurant Openings during or subsequent to the thirteen weeks ended June 25, 2023.

Current wording

The increase in occupancy and related expenses for the thirteen weeks ended September 29, 2024 was primarily due to the 31 Net New Restaurant Openings during or subsequent to the thirteen weeks ended September 24, 2023, partially offset byreduced occupancy rates across recently opened stores.

Previous wording

The increase in occupancy and related expenses for thetwenty-six weeks ended June 30, 2024 was primarily due to the 45 Net New Restaurant Openings during or subsequent to thetwenty-six weeks ended June 25, 2023.

Current wording

The increase in occupancy and related expenses for thethirty-nine weeks ended September 29, 2024 was primarily due to the 50 Net New Restaurant Openings during or subsequent to thethirty-nine weeks ended September 24, 2023, partially offset byreduced occupancy rates across recently opened stores.

Previous wording

As a percentage of revenue, occupancy and related expenses for the thirteen weeks ended June 30, 2024 decreased compared to the thirteen weeks ended June 25, 2023, primarily due to higher revenue.

Current wording

As a percentage of revenue, occupancy and related expenses for both the thirteen andthirty-nine weeks ended September 29, 2024 was slightly below the thirteen andthirty-nine weeks ended September 24, 2023, primarily due to higher revenue in the current period as well as reduced occupancy rates, as discussed above.

Previous wording

The increase in other restaurant operating costs for the thirteen weeks ended June 30, 2024 was primarily due to the 36 Net New Restaurant Openings during or subsequent to the thirteen weeks ended June 25, 2023. This includes increases in delivery fees, primarily related to the increase in revenue through our Marketplace Channel, credit card and online processing fees related to the increase in revenue, and repair and maintenance expenses.

Current wording

The increase in other restaurant operating costs for the thirteen weeks ended September 29, 2024 was primarily due to the 31 Net New Restaurant Openings during or subsequent to the thirteen weeks ended September 24, 2023. This includes increases in delivery fees, primarily related to the increase in revenue through our Marketplace Channel, credit card and online processing fees related to the increase in revenue, and repair and maintenance expenses.

Previous wording

The increase in other restaurant operating costs for thetwenty-six weeks ended June 30, 2024 was primarily due to the 45 Net New Restaurant Openings during or subsequent to thetwenty-six weeks ended June 25, 2023. This includes increases in delivery fees, primarily related to the increase in revenue through our Marketplace Channel, credit card and online processing fees related to the increase in revenue, and repair and maintenance expenses.

Current wording

The increase in other restaurant operating costs for thethirty-nine weeks ended September 29, 2024 was primarily due to the 50 Net New Restaurant Openings during or subsequent to thethirty-nine weeks ended September 24, 2023. This includes increases in delivery fees, primarily related to the increase in revenue through our Marketplace Channel, credit card and online processing fees related to the increase in revenue, and repair and maintenance expenses.

Previous wording

As a percentage of revenue, other restaurant operating costs for both the thirteen andtwenty-sixweeks ended June 30, 2024 remained consistent compared to the thirteen andtwenty-six weeks ended June 25, 2023, respectively.

Current wording

As a percentage of revenue, other restaurant operating costs for both the thirteen andthirty-nine weeks ended September 29, 2024 remained consistent compared to the thirteen andthirty-nine weeks ended September 24, 2023, primarily due to an increase in revenue proportional to the increase in other restaurant operating costs in the current period.

Previous wording

The decrease in general and administrative expenses for the thirteen weeks ended June 30, 2024 was primarily due to a $3.6 million decrease in stock-based compensation expense, primarily related to the decrease in expenses associated with restricted stock units and performance-based restricted stock units issued prior to our IPO. The decrease was partially offset by an increase in our investment in marketing and advertising.

Current wording

The increase in general and administrative expenses for the thirteen weeks ended September 29, 2024 was primarily due to an increase in spend across the Sweetgreen Support Center to support our restaurant growth, partially offset by a $1.8 million decrease in stock-based compensation expense, primarily related to the decrease in expenses associated with restricted stock units and performance-based restricted stock units issued prior to our IPO.

Previous wording

The increase in general and administrative expenses for thetwenty-six weeks ended June 30, 2024 was primarily due to a $5.1 million benefit received during thetwenty-six weeks ended June 25, 2023 from the ERC. The remaining increase was due to an increase in our investment in marketing and advertising and an increase in management salaries and benefits including bonus. These increases were partially offset by a decrease in stock-based compensation expense primarily related to the decrease in expense associated with restricted stock units and performance-based restricted stock units issued prior to our IPO.

Current wording

The increase in general and administrative expenses for thethirty-nine weeks ended September 29, 2024 was primarily due to a $5.1 million benefit received during thethirty-nine weeks ended June 25, 2023 from the ERC. The remaining increase was due to an increase in our investment in marketing and advertising and an increase in spend across the Sweetgreen Support Center to support our restaurant growth. These increases were partially offset by a decrease in stock-based compensation expense primarily related to the decrease in expense associated with restricted stock units and performance-based restricted stock units issued prior to our IPO.

Previous wording

As a percentage of revenue, the decrease in general and administrative expenses for both the thirteen and twenty-six weeks ended June 30, 2024 was primarily due to the comparatively higher revenue in the current period, partially offset by the net effect of the fluctuations noted above.

Current wording

As a percentage of revenue, the decrease in general and administrative expenses for both the thirteen and thirty-nine weeks ended September 29, 2024 was primarily due to the comparatively higher revenue in the current period, partially offset by the net effect of the fluctuations noted above.

Previous wording

The increase in depreciation and amortization for the thirteen weeks ended June 30, 2024 was primarily due to the 36 Net New Restaurant Openings during or subsequent to the thirteen weeks ended June 25, 2023.

Current wording

The increase in depreciation and amortization for the thirteen weeks ended September 29, 2024 was primarily due to the 31 Net New Restaurant Openings during or subsequent to the thirteen weeks ended September 24, 2023.

Previous wording

The increase in depreciation and amortization for thetwenty-six weeks ended June 30, 2024 was primarily due to the 45 Net New Restaurant Openings during or subsequent to thetwenty-six weeks ended June 25, 2023, as well as the amortization from developed technology that was placed into service during the thirteen weeks ended June 25, 2023.

Current wording

The increase in depreciation and amortization for thethirty-nine weeks ended September 29, 2024 was primarily due to the 50 Net New Restaurant Openings during or subsequent to thethirty-nine weeks ended September 24, 2023, as well as the amortization from developed technology that was placed into service during the thirteen weeks ended June 25, 2023.

Previous wording

As a percentage of revenue, depreciation and amortization for thetwenty-six weeks ended June 30, 2024 remained consistent compared to thetwenty-six weeks ended June 25, 2023.

Current wording

As a percentage of revenue, depreciation and amortization for both the thirteen andthirty-nine weeks ended September 29, 2024 remained consistent compared to the thirteen andthirty-nine weeks ended September 24, 2023.

Previous wording

The decrease in pre-opening costs for the thirteen weeks ended June 30, 2024 was primarily due to 4 gross new restaurant openings during thethirteen weeks ended June 30, 2024 compared to 10 gross new restaurant openings in the same quarter of the prior year.

Current wording

The decrease in pre-opening costs for the thirteen weeks ended September 29, 2024 was primarily due to 5 gross new restaurant openings during thethirteen weeks ended September 29, 2024 compared to 15 gross new restaurant openings in the same quarter of the prior year.

Previous wording

The decrease in pre-opening costs for thetwenty-six weeks ended June 30, 2024 was primarily due to 10 gross new restaurant openings during the twenty-six weeks ended June 30, 2024 compared to 22 gross new restaurant openings in the twenty-six weeks ended June 25, 2023.

Current wording

The decrease in pre-opening costs for thethirty-nine weeks ended September 29, 2024 was primarily due to 15 gross new restaurant openings during the thirty-nine weeks ended September 29, 2024 compared to 37 gross new restaurant openings in the thirty-nine weeks ended September 24, 2023.

Previous wording

As a percentage of revenue, pre-opening costs decreased in the thirteen and twenty-six weeks ended June 30, 2024 compared to the thirteen weeks ended June 25, 2023, due to the variances noted above as well as comparatively higher revenue in the current period.

Current wording

As a percentage of revenue, pre-opening costs decreased in the thirteen and thirty-nine weeks ended September 29, 2024 compared to the thirteen and thirty-nine weeks ended September 24, 2023, due to the variances noted above as well as comparatively higher revenue in the current period.

Previous wording

During the thirteen and twenty-six weeks ended June 30, 2024, we recorded closure costs of $0.1 million and $0.3 million, respectively, related to lease and related costs associated with previously closed restaurants, including the amortization of operating lease assets, and expenses associated with CAM and real estate taxes.

Current wording

During the thirteen and thirty-nine weeks ended September 29, 2024, we recorded closure costs of $0.1 million and $0.3 million, respectively, related to lease and related costs associated with previously closed restaurants, including the amortization of operating lease assets, and expenses associated with CAM and real estate taxes.

Previous wording

The decrease in restructuring charges for the thirteen and twenty-six weeks ended June 30, 2024 is primarily related to the $4.3 million operating lease impairment expense recognized during the thirteen and twenty-six weeks ended June 25, 2023, associated with our former Sweetgreen Support Center. The remaining expense for both thethirteen and twenty-six weeks ended June 30, 2024 and June 25, 2023 relates to the amortization of the remaining operating lease asset of our former Sweetgreen Support Center and related real estate and CAM charges.

Current wording

The decrease in restructuring charges for thethirty-nine weeks ended September 29, 2024 is primarily related to the $4.3 million operating lease impairment expense recognized during the thirty-nine weeks ended September 24, 2023, associated with our former Sweetgreen Support Center.

Previous wording

The increase in loss on disposal of property and equipment was due to timing of furniture, equipment and fixture replacements at multiple restaurants for the thirteen and twenty-six weeks ended June 30, 2024 compared to the prior year periods.

Current wording

The decrease in loss on disposal of property and equipment was due to timing of furniture, equipment and fixture replacements at multiple restaurants for the thirteen and thirty-nine weeks ended September 29, 2024 compared to the prior year periods.