The ONE Group Hospitality (NASDAQ:STKS) reported a complex fourth quarter for fiscal 2025, marked by a strategic contraction of its portfolio and a calendar shift that dampened its traditional holiday revenue peak.
The Denver-based operator of STK and Kona Grill posted total GAAP revenues of $207 million for the quarter ended December 28, 2025, a 6.7% decrease from the $222 million reported in the prior-year period.
Consolidated comparable sales fell by 1.8%, reflecting a broader softening in the fine-dining sector and the impact of the New Year’s Eve holiday shifting out of the 2025 fiscal calendar.
Management noted that approximately $3 million of the revenue decline was directly attributable to this calendar shift.
The company reported a GAAP net loss of $6 million, compared to a net income of $2 million a year ago.
The swing to a loss was primarily driven by a $7 million non-cash impairment charge related to the company’s "Grill optimization strategy."
This initiative involves the closure of underperforming Grill Concepts restaurants as the company focuses capital on its high-growth, high-margin STK and Kona Grill venues.