[Part I – Financial Information](index=3&type=section&id=Part%20I%20%E2%80%93%20Financial%20Information) [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) The company's financial statements show revenue growth, flat net income due to rising costs and one-time expenses, and significant balance sheet changes from new lease accounting standards [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets and liabilities significantly increased due to the adoption of the new lease accounting standard, recognizing substantial operating lease assets and liabilities Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2019 (Unaudited) | December 30, 2018 | | :--- | :--- | :--- | | **Total Assets** | **$455,193** | **$277,084** | | Cash and cash equivalents | $11,752 | $8,199 | | Operating lease assets | $170,094 | $0 | | **Total Liabilities** | **$256,901** | **$83,233** | | Operating lease liabilities (Current & Non-current) | $225,311 | $0 | | **Total Stockholders' Equity** | **$198,292** | **$193,851** | - The adoption of ASU 2016-02 Leases (Topic 842) on December 31, 2018, was the primary driver for the significant increase in assets and liabilities, with the initial recognition of **$170.3 million** in operating lease assets and a corresponding lease liability[24](index=24&type=chunk)[26](index=26&type=chunk) [Unaudited Condensed Consolidated Income Statements](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Income%20Statements) Revenue increased for both Q2 and H1 2019, but net income remained flat or slightly decreased due to higher operating costs and a legal settlement Q2 2019 vs Q2 2018 Performance (in thousands, except per share data) | Metric | Thirteen Weeks Ended June 30, 2019 | Thirteen Weeks Ended July 1, 2018 | | :--- | :--- | :--- | | Revenue | $113,132 | $106,340 | | Income from operations | $6,346 | $7,190 | | Net income | $6,245 | $6,456 | | Diluted EPS | $0.37 | $0.38 | H1 2019 vs H1 2018 Performance (in thousands, except per share data) | Metric | Twenty-Six Weeks Ended June 30, 2019 | Twenty-Six Weeks Ended July 1, 2018 | | :--- | :--- | :--- | | Revenue | $215,243 | $200,190 | | Income from operations | $9,717 | $10,865 | | Net income | $9,462 | $9,639 | | Diluted EPS | $0.56 | $0.56 | [Unaudited Condensed Consolidated Statements of Stockholders' Equity](index=8&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Stockholders%27%20Equity) Stockholders' equity increased in H1 2019, driven by net income and partially offset by common stock repurchases - Key activities affecting stockholders' equity in the first half of 2019 included net income of **$9.5 million** ($3.2M in Q1 and $6.2M in Q2) and the repurchase of common stock totaling approximately **$5.7 million** ($1.8M in Q1 and $3.9M in Q2)[15](index=15&type=chunk) [Unaudited Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operating activities decreased, while cash used in investing activities significantly decreased and cash used in financing activities increased due to share repurchases Cash Flow Summary for the Twenty-Six Weeks Ended (in thousands) | Cash Flow Activity | June 30, 2019 | July 1, 2018 | | :--- | :--- | :--- | | Net cash provided by operating activities | $24,671 | $26,622 | | Net cash used in investing activities | ($14,723) | ($23,149) | | Net cash used in financing activities | ($6,395) | ($1,968) | | **Net increase in cash** | **$3,553** | **$1,505** | [Notes to Unaudited Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) Notes detail the material impact of new lease accounting, a legal settlement accrual, restaurant closure costs, and the company's undrawn revolving credit facility - The company adopted ASU 2016-02 Leases (Topic 842) on December 31, 2018, which required recognizing right-of-use assets and lease liabilities for operating leases on the balance sheet[24](index=24&type=chunk) - As of June 30, 2019, the company had no borrowings under its **$25.0 million** Revolving Credit Facility, which matures in October 2020[35](index=35&type=chunk) - The company accrued **$0.8 million** for a pending legal settlement related to an overtime compensation lawsuit filed on behalf of assistant managers[39](index=39&type=chunk) - Closure costs of **$0.6 million** were recorded for the twenty-six weeks ended June 30, 2019, related to two restaurants closed in the first quarter[47](index=47&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=20&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes revenue growth to new restaurants and comparable sales, but operating income declined due to increased costs and G&A expenses, while the company continues its growth and capital allocation strategies [Overview and Growth Strategies](index=20&type=section&id=Overview%20and%20Growth%20Strategies) Chuy's operates 102 restaurants and pursues growth by opening new locations in major markets, backfilling existing ones, and leveraging its infrastructure - The company's growth is based on pursuing new restaurant development, delivering consistent same-store sales, and leveraging infrastructure[52](index=52&type=chunk) - During the first 26 weeks of 2019, the company opened **four new restaurants**, with one more opening after the quarter-end[52](index=52&type=chunk) [Results of Operations](index=23&type=section&id=Results%20of%20Operations) Revenue increased for Q2 and H1 2019 due to new stores and comparable sales, but profitability declined due to commodity inflation, higher occupancy costs, and a legal settlement Key Performance Indicators | Metric | Q2 2019 | Q2 2018 | H1 2019 | H1 2018 | | :--- | :--- | :--- | :--- | :--- | | Change in comparable restaurant sales | 1.9% | 1.0% | 2.5% | 0.3% | | Average check | $15.91 | $15.23 | $15.73 | $15.12 | | Total restaurants (end of period) | 102 | 96 | 102 | 96 | - Q2 2019 comparable sales growth of **1.9%** was driven by a **3.9%** increase in average check, partially offset by a **2.0%** decrease in average weekly customers[62](index=62&type=chunk) - Cost of sales as a percentage of revenue increased in Q2 2019 due to higher costs for beef (approx. **40 bps**) and produce (approx. **50 bps**)[62](index=62&type=chunk) - A legal settlement of **$0.8 million** was recorded in Q2 2019, impacting net income by **$0.6 million** after tax, or **$0.04** per diluted share[64](index=64&type=chunk) [Liquidity and Capital Resources](index=29&type=section&id=Liquidity%20and%20Capital%20Resources) The company's liquidity relies on cash from operations and an undrawn **$25.0 million** credit facility, with capital primarily allocated to restaurant expansion and share repurchases - Principal sources of cash are net cash from operations and the **$25.0 million** Revolving Credit Facility, which had no borrowings as of June 30, 2019[70](index=70&type=chunk)[35](index=35&type=chunk) - As of June 30, 2019, the company had **$20.7 million** remaining under its share repurchase program, which is authorized through December 31, 2019[70](index=70&type=chunk)[37](index=37&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=34&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) No material changes were reported regarding the company's quantitative and qualitative market risk disclosures since the last Annual Report - There have been no material changes to the company's market risk disclosures since the last Annual Report[84](index=84&type=chunk) [Controls and Procedures](index=34&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes in internal control over financial reporting during the quarter - The principal executive officer and principal financial officer concluded that the company's disclosure controls and procedures were effective as of the end of the period[85](index=85&type=chunk) - No changes in internal control over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[87](index=87&type=chunk) [Part II – Other Information](index=26&type=section&id=Part%20II%20%E2%80%93%20Other%20Information) [Legal Proceedings](index=35&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal actions, including a collective action settlement for which **$0.8 million** has been accrued - The company refers to Note 9 of the financial statements for information on legal proceedings, which details a lawsuit for which an **$0.8 million** settlement has been accrued[87](index=87&type=chunk)[39](index=39&type=chunk) [Risk Factors](index=35&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors were reported since the company's last Annual Report on Form 10-K - No material changes to risk factors were reported since the last Annual Report[88](index=88&type=chunk) [Use of Proceeds and Issuer Purchases of Equity Securities](index=35&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased **176,171** shares for **$3.9 million** in Q2 2019, with **$20.7 million** remaining under its share repurchase authorization Share Repurchases for Q2 2019 | Period | Total Shares Purchased | Average Price Paid Per Share | Approximate Value Remaining for Purchase (in millions) | | :--- | :--- | :--- | :--- | | April 1 - June 30, 2019 | 176,171 | $21.99 | $20.7 | - The share repurchase program authorizes up to **$30.0 million** in repurchases through December 31, 2019[89](index=89&type=chunk) [Other Items (Items 3, 4, 5, 6)](index=35&type=section&id=Other%20Items) The company reported no defaults, mine safety disclosures, or other material information, and provided a list of exhibits - The company reported "None" for Item 3 (Defaults Upon Senior Securities), Item 4 (Mine Safety Disclosures), and Item 5 (Other Information)[90](index=90&type=chunk)[91](index=91&type=chunk)[92](index=92&type=chunk) - Item 6 provides a list of exhibits filed with the Form 10-Q, including officer certifications and XBRL data files[94](index=94&type=chunk)

[Part I – Financial Information](index=3&type=section&id=Part%20I%20%E2%80%93%20Financial%20Information) This section provides comprehensive financial data, including statements, management analysis, and risk disclosures for the reporting period [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) Q1 2019 revenue reached $102.1 million with flat net income, and total assets significantly increased due to new lease accounting standard adoption [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets increased to **$442.7 million** from **$277.1 million**, primarily due to the new lease accounting standard recognizing **$167.1 million** in operating lease assets Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2019 (Unaudited) | December 30, 2018 | | :--- | :--- | :--- | | **Total Assets** | **$442,693** | **$277,084** | | Cash and cash equivalents | $7,345 | $8,199 | | Operating lease assets | $167,088 | $— | | **Total Liabilities** | **$247,770** | **$83,233** | | Operating lease liabilities (Current & Non-current) | $222,351 | $— | | **Total Stockholders' Equity** | **$194,923** | **$193,851** | - The significant increase in assets and liabilities is a direct result of adopting the new lease accounting standard, ASU 2016-02, on December 31, 2018, which required recognizing right-of-use assets and lease liabilities for operating leases on the balance sheet[24](index=24&type=chunk)[27](index=27&type=chunk) [Unaudited Condensed Consolidated Income Statements](index=4&type=section&id=Unaudited%20Condensed%20Consolidated%20Income%20Statements) Q1 2019 revenue grew 8.8% to **$102.1 million**, but operating income slightly decreased, leading to flat net income and EPS at **$0.19** Q1 2019 vs Q1 2018 Income Statement (in thousands, except per share data) | Metric | Thirteen Weeks Ended March 31, 2019 | Thirteen Weeks Ended April 1, 2018 | | :--- | :--- | :--- | | Revenue | $102,111 | $93,850 | | Income from operations | $3,371 | $3,675 | | Net income | $3,217 | $3,183 | | Diluted EPS | $0.19 | $0.19 | [Unaudited Condensed Consolidated Statements of Cash Flows](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations decreased to **$7.7 million** from **$12.0 million**, with lower investing activities, ending the quarter with **$7.3 million** cash Q1 2019 vs Q1 2018 Cash Flows (in thousands) | Cash Flow Activity | Thirteen Weeks Ended March 31, 2019 | Thirteen Weeks Ended April 1, 2018 | | :--- | :--- | :--- | | Net cash provided by operating activities | $7,659 | $11,962 | | Net cash used in investing activities | $(5,919) | $(9,989) | | Net cash used in financing activities | $(2,594) | $(2,322) | | **Net decrease in cash** | **$(854)** | **$(349)** | | **Cash at end of period** | **$7,345** | **$8,436** | [Notes to Unaudited Condensed Consolidated Financial Statements](index=7&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) Notes detail the adoption of ASU 2016-02, significantly impacting the balance sheet with new lease assets and liabilities, alongside share repurchases and restaurant closure costs - The company adopted ASU 2016-02 (Leases) on December 31, 2018, which had a significant impact on the balance sheet by recognizing right-of-use assets and lease liabilities for operating leases[22](index=22&type=chunk)[24](index=24&type=chunk) Impact of Adopting Leases (Topic 842) (in thousands) | Balance Sheet Item | Impact of Adoption | | :--- | :--- | | Operating lease assets | +$170,316 | | Operating lease liabilities | +$225,626 | | Retained earnings | -$349 | - Under its share repurchase program, the company repurchased approximately **80,000 shares** for **$1.8 million** during the quarter, with **$24.6 million** remaining available for repurchase as of March 31, 2019[41](index=41&type=chunk) - The company incurred closure costs of approximately **$0.4 million** related to the closure of two restaurants in Atlanta, GA, and Miami, FL, during the first quarter of 2019[50](index=50&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=15&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Revenue grew 8.8% from new restaurants and comparable sales, but operating margins were pressured by higher labor and occupancy costs, and operating cash flow decreased due to lease-related changes Key Performance Indicators | Indicator | Q1 2019 | Q1 2018 | | :--- | :--- | :--- | | Total restaurants (end of period) | 99 | 93 | | Change in comparable restaurant sales | 3.2% | (0.6)% | | Average unit volumes (in thousands) | $1,067 | $1,055 | | Average check | $15.53 | $15.01 | - Revenue increased by **$8.3 million (8.8%)**, primarily driven by **$7.1 million** from new restaurants and a **3.2%** increase in comparable restaurant sales[64](index=64&type=chunk) - Cost pressures were evident, with labor costs as a percentage of revenue increasing to **35.9%** from **35.7%** due to wage inflation, and occupancy costs rising to **7.8%** from **7.6%** due to higher rents in new markets[64](index=64&type=chunk) - Net cash provided by operating activities decreased by **$4.3 million**, largely due to a **$4.2 million** decrease in lease incentive receivables and deferred lease incentives driven by the development schedule[70](index=70&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=22&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) No material changes to market risk disclosures were reported since the last Annual Report on Form 10-K - There have been no material changes to the company's market risk disclosures since the last Annual Report[79](index=79&type=chunk) [Controls and Procedures](index=22&type=section&id=Item%204.%20Controls%20and%20Procedures) Disclosure controls were effective, and new internal controls were implemented for the adoption of the new lease accounting standard - The principal executive officer and principal financial officer concluded that the company's disclosure controls and procedures were effective as of the end of the period[80](index=80&type=chunk) - During the quarter, the company implemented new controls to ensure the proper assessment and adoption of the new lease accounting standard (ASU 2016-02)[81](index=81&type=chunk) [Part II – Other Information](index=23&type=section&id=Part%20II%20%E2%80%93%20Other%20Information) Other information covers legal proceedings, risk factors, equity sales, and required exhibits [Legal Proceedings](index=23&type=section&id=Item%201.%20Legal%20Proceedings) The company is not a party to any material pending legal proceedings that could adversely affect its financial position - As of the report date, the company is not involved in any material legal proceedings[87](index=87&type=chunk) [Risk Factors](index=23&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors were reported since the last Annual Report on Form 10-K - No material changes to risk factors were reported since the last Annual Report[88](index=88&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=23&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased **80,309 shares** for **$1.8 million**, with **$24.6 million** remaining for future repurchases Share Repurchase Activity (Q1 2019) | Period | Total Shares Purchased | Average Price Paid Per Share | Approx. Dollar Value Remaining (in millions) | | :--- | :--- | :--- | :--- | | Feb 25 - Mar 31, 2019 | 80,309 | $22.63 | $24.6 | | **Total Q1 2019** | **80,309** | **$22.63** | **$24.6** | [Defaults Upon Senior Securities](index=23&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) No defaults upon senior securities were reported - The company reported no defaults upon senior securities[91](index=91&type=chunk) [Mine Safety Disclosures](index=23&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) Not applicable, no mine safety disclosures were reported - The company reported no mine safety disclosures[92](index=92&type=chunk) [Other Information](index=23&type=section&id=Item%205.%20Other%20Information) No other material information was reported - The company reported no other information[93](index=93&type=chunk) [Exhibits](index=23&type=section&id=Item%206.%20Exhibits) The report lists filed exhibits, including CEO and CFO certifications and XBRL data files - Exhibits filed include Sarbanes-Oxley certifications (31.1, 31.2, 32.1) and XBRL interactive data files (101 series)[94](index=94&type=chunk)

Chuy's Holdings, Inc (NASDAQ:CHUY) Q1 2019 Results Conference Call May 7, 2019 5:00 PM ET Company Participants Steve Hislop - CEO Jon Howie - CFO Conference Call Participants Mary Hodes - Baird Brian Vaccaro - Raymond James Operator Good day, everyone, and welcome to ChuyÂ's Holdings First Quarter 2019 Earnings Conference. TodayÂ's call is being recorded. At this time, all participants have been placed in a listen-only mode and the lines will be open for questions following the presentation. On todayÂ's cal ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 __________________________________ FORM 10-K _____________________________________________ ý ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 30, 2018 OR ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | --- | --- | |------------------------------------------------------------------------------------------- ...

ChuyÂ's Holdings (NASDAQ:CHUY) Q4 2018 Earnings Conference Call March 7, 2019 5:00 PM ET Company Participants Jon Howie – Vice President and Chief Financial Officer Steve Hislop – President and Chief Executive Officer Conference Call Participants Mary Hodes – Baird Nick Setyan – Wedbush Securities Will Slabaugh – Stephens Brian Vaccaro – Raymond James Andrew Strelzik – BMO Capital Markets Chris O'Cull – Stifel Bob Derrington – Telsey Advisory Operator Good day, everyone, and welcome to the ChuyÂ's Holdings ...

Baird's 2018 Global Consumer, Technology & Services Conference ICR Conference 2019 Cautionary Statements Forward-Looking Statements This presentation may include forward-looking statements. These statements reflect the current views of the Company's senior management with respect to future events and financial performance. These statements include forward-looking statements with respect to the Company's business and industry in general. Statements that include the words "expect," "intend," "plan," "believe, ...