Restaurant chain Sweetgreen saw its net loss reduce by half and revenue increase in the third quarter of FY23, attributed to the opening of new restaurants.

The net loss narrowed to $25.1 million, thanks to a $15 million decrease in non-cash restructuring and impairment charges, a $9.2 million increase in restaurant-level profit, a $1.7 million increase in interest income, and a decrease in general and administrative expenses.

Revenue rose 24 per cent to $153.4 million in the three months to September 30, which the company said is mainly due to the addition of 54 net new restaurants starting from the third quarter of the previous fiscal year through the end of the third quarter of FY23.

“We are pleased with our results and remain focused on driving long-term, profitable growth so that we can capture a massive market opportunity,” said Jonathan Neman, co-founder and CEO at Sweetgreen.

The company expects to end the year with a net 35 new restaurants and revenue of $575 million to $585 million.