Sweetgreen's second-quarter loss widened, and the fast-casual salad chain has lowered its full-year outlook, citing the impact of a multistate cyclosporiasis outbreak on demand.

The company now anticipates same-store sales to decrease between 7% and 8%, a significant downward revision from its previous forecast of a 2% to 4% decline. This adjustment is directly attributed to reduced customer traffic stemming from the outbreak.

Following the announcement, Sweetgreen's stock experienced a decline, falling 16% to $4.93 in after-hours trading. The stock has seen a broader decrease of approximately 28% over the past month.

For the second quarter, Sweetgreen reported a widened loss of $26.3 million, or 22 cents per share, compared to a loss of $23.2 million, or 20 cents per share, in the same period last year.