Kura Sushi USA Stock

Kura Sushi USA, Inc. (Kura Sushi) operates technology-enabled Japanese restaurants. The company is a subsidiary of Kura Sushi, Inc. (Kura Japan).

The company is a technology-enabled Japanese restaurant concept that provides guests with a distinctive dining experience by serving authentic Japanese cuisine through an engaging revolving sushi service model, which the company refers to as the 'Kura Experience.' The company encourages healthy lifestyles by serving freshly prepared Japanese cuisine using high-quality ingredients that are free from artificial seasonings, sweeteners, colorings, and preservatives. The company intends to make quality Japanese cuisine accessible to the company's guests across the United States through affordable prices and an inviting atmosphere.

The company operates restaurants across fifteen states and Washington, DC. The company's restaurants are primarily located in high-activity areas such as retail centers, shopping malls, lifestyle centers, and entertainment centers.

Growth Strategies

The company's strategies are to pursue new restaurant development, deliver consistent comparable restaurant sales growth, and heighten brand awareness.

Suppliers

In the year ended August 31, 2023, the company sourced through the following two major Japanese-related distributors: JFC International Inc. ('JFC'), a subsidiary of Kikkoman Corporation, and Wismettac Asian Foods, Inc. ('Wismettac').

Seasonality

Seasonal factors and the timing of holidays cause the company's sales to fluctuate from quarter to quarter (year ended August 2023).

Government Regulation and Environmental Matters

The company is required to comply with the accessibility standards mandated by the U.S. Americans with Disabilities Act, which generally prohibits discrimination in accommodation or employment based on disability.

Further, the company is subject to the U.S. Fair Labor Standards Act, the U.S. Immigration Reform and Control Act of 1986, the Occupational Safety and Health Act, and various other federal and state laws governing similar matters, including minimum wages, overtime, workplace safety and other working conditions.

A number of states, counties and cities have enacted menu labeling laws requiring multi-unit restaurant operators to disclose to consumers certain nutritional information, or have enacted legislation restricting the use of certain types of ingredients in restaurants. Many of these requirements are inconsistent or interpreted differently from one jurisdiction to another. These requirements may be different or inconsistent with requirements that the company is subject to under the Patient Protection and Affordable Care Act of 2010, as amended by the Health Care and Education Reconciliation Act (collectively, the 'ACA'), which establishes a uniform, federal requirement for certain restaurants to post nutritional information on their menus.

Intellectual Property and Trademarks

The company has registered the Internet domain name www.kurasushi.com.

The company licenses certain intellectual property critical to the company's business from Kura Japan, including but not limited to, the trademarks 'Kura Sushi,' 'Mr. Fresh' and 'Kura Revolving Sushi Bar,' and patents for a food management system and Mr. Fresh dome.

History

The company was founded in 2008. It was incorporated in 2017. The company was formerly known as Kula Sushi USA, Inc. and changed its name to Kura Sushi USA, Inc. in 2017.