Financial Data and Key Metrics Changes - Revenue for Q2 2023 grew by 14.3%, driven by an 8.7% increase in average unit volume and a 5.6% increase in store week growth [41] - Earnings per share increased by 14.7% to $1.22 per diluted share [41] - Comparable sales increased by 9.1%, with traffic growth of 4.7% and an average check increase of 4.4% [43] - Restaurant margin dollars grew by 8.3% to $182.8 million, while restaurant margin as a percentage of total sales decreased by 88 basis points to 15.7% [41][44] Business Line Data and Key Metrics Changes - Two company-owned Texas Roadhouses and one Bubba's 33 were opened in Q2, with franchise partners opening three restaurants [34] - The company expects to open up to 28 company-owned Texas Roadhouse and Bubba's 33 restaurants, along with three Jaggers for the full year [34] Market Data and Key Metrics Changes - Average weekly sales in Q2 were nearly $147,000, with to-go sales representing approximately 12.6% of total weekly sales [42] - For the first four weeks of Q3, weekly sales averaged over $140,000 with comparable sales of 10.7% [43] Company Strategy and Development Direction - The company is focused on maintaining a strong pipeline for growth and development across all three brands [13] - Capital investments are aimed at enabling future growth and improving operating results, with an increase in expected capital expenditures to approximately $300 million [52][100] - The company is committed to providing a legendary experience for guests while managing labor and commodity costs effectively [32][36] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in strong sales momentum and margin dollar growth for the remainder of the year [32] - The company is monitoring labor inflation and expects it to moderate as the year progresses [48] - Management acknowledged the challenges posed by commodity inflation, particularly in beef, and is focused on protecting the value proposition for consumers [19][140] Other Important Information - The company is experiencing a tighter pricing gap compared to competitors, which is being closely monitored [18] - Management is optimistic about the performance of Bubba's 33, noting that it is less affected by inflation compared to Texas Roadhouse [148] Q&A Session Summary Question: What is driving the acceleration in sales? - Management noted improved staffing levels and strong demand as key factors driving sales acceleration [2] Question: What is the expected cadence of unit openings for the rest of the year? - Management confirmed that all scheduled stores are under construction, with some concerns about December openings due to utility issues [12] Question: How does the company characterize its value proposition today? - Management indicated that the value proposition has tightened slightly, but they focus on what is right for their business [19] Question: What is the outlook for restaurant margin percentage in the second half of the year? - Management expects commodity inflation to be at the lower end of the guidance range, with potential for margin expansion in Q4 [68] Question: What are the trends in consumer behavior regarding menu items? - Management observed strong consumer demand, with some trading down to value items while still seeing overall positive trends [76] Question: What is the updated outlook for labor inflation? - Management updated the guidance for labor inflation to between 6% and 7% for the year due to stronger-than-expected wage pressures [48] Question: How is the company addressing the challenges of beef inflation? - Management is monitoring beef prices closely and is prepared to adjust menu pricing as necessary while maintaining value for customers [123]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 28, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 000-50972 Texas Roadhouse, Inc. (Exact name of registrant specified in its charter) Delaware 20-1083890 (State or other juris ...

Texas Roadhouse, Inc. (NASDAQ:TXRH) Q1 2023 Earnings Conference Call May 4, 2023 2:00 PM ET Company Participants Michael Bailen - Head, Investor Relations Jerry Morgan - Chief Executive Officer Conference Call Participants Joshua Long - Stephens David Palmer - Evercore ISI Brian Towsen - Morgan Stanley Peter Saleh - BTIG Jeffrey Bernstein - Barclays David Tarantino - Baird Sara Senatore - Bank of America Dennis Geiger - UBS Jeff farmer - Gordon Haskett Jon Tower - Citi Lauren Silberman - Credit Suisse Brian ...

Restaurant Operations - As of December 27, 2022, Texas Roadhouse operated 697 restaurants across 49 states and ten foreign countries, including 597 company restaurants and 100 franchise restaurants[228]. - In 2022, the company opened 23 company restaurants and franchise partners opened seven restaurants internationally, with plans to open approximately 25 to 30 company restaurants and up to nine franchise openings in 2023[237]. - The company completed the acquisition of eight domestic franchise Texas Roadhouse restaurants for $33.1 million in 2022 and another eight for approximately $39.0 million at the start of fiscal year 2023[238]. - The company has entered into area development agreements for Texas Roadhouse restaurants in various foreign countries and one U.S. territory, with plans for the first Jaggers franchise restaurant to open in 2023[236]. - The company opened 23 new restaurants in 2022, including 18 Texas Roadhouse, 4 Bubba's 33, and 1 Jaggers, and acquired 8 franchise restaurants[270]. - For 2023, the company plans to open approximately 25 to 30 Texas Roadhouse and Bubba's 33 restaurants and three Jaggers restaurants, expecting at least 6% store week growth[271]. Financial Performance - Total revenue increased by $551.0 million or 15.9% to $4.0 billion in 2022 compared to $3.5 billion in 2021, driven by a 6.1% increase in store weeks and a 9.7% increase in comparable restaurant sales[258]. - Net income rose by $24.5 million or 10.0% to $269.8 million in 2022, with diluted earnings per share increasing by 13.5% to $3.97 from $3.50 in the prior year[259]. - Restaurant margin dollars increased by $45.8 million or 7.9% to $627.5 million in 2022, although the restaurant margin percentage decreased to 15.7% from 16.9% due to commodity and labor inflation[260]. - Restaurant and other sales increased by 16.0% in 2022, with comparable restaurant sales growth of 9.7%[266]. - Franchise royalties and fees increased by $1.4 million or 5.5% in 2022, with franchise comparable restaurant sales growing by 10.3%[273]. - Net cash provided by operating activities was $511.7 million in 2022, up from $468.8 million in 2021, attributed to increased net income and favorable working capital[292]. Cost and Expenses - Food and beverage costs as a percentage of sales increased to 34.6% in 2022 from 33.6% in 2021, with commodity inflation at 10.8%[275]. - Restaurant labor expense as a percentage of sales increased to 33.1% in 2022, driven by wage inflation of 8.3%[276]. - General and administrative expenses decreased to 4.3% of total revenue in 2022 from 4.5% in 2021, driven by increased average unit volume and lower legal settlement expenses[284]. - Interest expense significantly decreased to $0.1 million in 2022 from $3.7 million in 2021, primarily due to increased earnings on cash and cash equivalents[285]. Shareholder Returns - The Board declared a quarterly cash dividend of $0.55 per share in February 2023, a 20% increase compared to the previous year[240]. - The company continues to evaluate opportunities for capital return to shareholders, including dividends and stock repurchases, with $166.9 million remaining authorized for stock repurchases as of December 27, 2022[241]. - The company repurchased 2,734,005 shares for $212.9 million in 2022, compared to $51.6 million for 584,932 shares in 2021[299]. - A quarterly dividend of $0.46 per share was paid in 2022, totaling $124.1 million, with an increase to $0.55 per share declared for 2023[300]. Debt and Financial Instruments - As of December 27, 2022, the company had $50.0 million outstanding on its amended revolving credit facility, with an interest rate of 5.21%[304][305]. - The interest rate for the $50.0 million outstanding on the amended revolving credit facility was 5.21% as of December 27, 2022, with a potential increase in annual interest expense of $0.5 million if rates rise by one percentage point[319]. - The company has $50.0 million outstanding on its amended credit agreement, which is classified as long-term debt on the consolidated balance sheets[318]. - The company does not currently use financial instruments to hedge commodity prices but is evaluating their effectiveness due to potential price volatility in the market[320]. Risks and Challenges - The company is currently facing high inflation, primarily driven by commodity costs and wage inflation, which may impact future restaurant profitability[317]. - The company is subject to business risk as its beef supply is highly dependent on four vendors, which could lead to supply shortages or increased costs if any vendor fails to meet obligations[322]. - The company may experience unpredictable price volatility for commodities due to market conditions, which could adversely affect future results[321]. - The company performed a goodwill impairment analysis at the concept level in 2022, with no indicators of impairment identified[316]. - In 2022, the company recorded impairment and closure costs of $1.6 million, including $1.7 million for impairment of assets at three restaurants and $0.6 million for ongoing closure costs[311]. Future Outlook - The company expects commodity cost inflation of 5% to 6% for 2023, with prices locked for approximately 40% of forecasted costs[275]. - The effective tax rate increased slightly to 13.6% in 2022 from 13.5% in 2021, with an expected rate of approximately 14% for 2023[286]. - Texas Roadhouse segment restaurant margin increased by $48.2 million or 8.7% in 2022, while the margin percentage decreased to 16.0% from 16.9% in 2021[290]. - Bubba's 33 segment restaurant margin dollars decreased by $1.9 million or 6.7% in 2022, with the margin percentage dropping to 12.7% from 16.6% in 2021[291]. - The company has implemented menu price increases to offset some impacts of inflation, but future decisions on pricing will affect profitability[317].

Texas Roadhouse, Inc. (NASDAQ:TXRH) Q4 2022 Earnings Conference Call February 16, 2023 5:00 PM ET Company Participants Keith Humpich - Interim Chief Financial Officer Jerry Morgan - Chief Executive Officer Regina Tobin - President Michael Bailen - Investor Relations Conference Call Participants Chris Carril - RBC Capital Markets Brian Harbour - Morgan Stanley Brian Bittner - Oppenheimer David Palmer - Evercore ISI David Tarantino - Baird Jeffrey Bernstein - Barclays Peter Saleh - BTIG Sara Senatore - Bank o ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 27, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 000-50972 Texas Roadhouse, Inc. (Exact name of registrant specified in its charter) Delaware 20-1083890 (State or other j ...

Texas Roadhouse, Inc. (NASDAQ:TXRH) Q3 2022 Earnings Conference Call October 27, 2022 5:00 PM ET Company Participants Tonya Robinson – Chief Financial Officer Jerry Morgan – Chief Executive Officer Conference Call Participants Brian Bittner – Oppenheimer Eric Gonzalez – KeyBanc Jared Garber – Goldman Sachs Brian Harbour – Morgan Stanley Jake Bartlett – Truist Securities Peter Saleh – BTIG David Tarantino – Baird David Palmer – Evercore ISI Jeffrey Bernstein – Barclays Jeff Farmer – Gordon Haskett Lauren Si ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 28, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 000-50972 Texas Roadhouse, Inc. (Exact name of registrant specified in its charter) Delaware 20-1083890 (State or other jurisd ...

Texas Roadhouse, Inc. (NASDAQ:TXRH) Q2 2022 Earnings Conference Call July 28, 2022 5:00 PM ET Company Participants Tonya Robinson - Chief Financial Officer Jerry Morgan - Chief Executive Officer Conference Call Participants Brian Bittner - Oppenheimer Jared Garber - Goldman Sachs David Tarantino - Baird Chris O’Cull - Stifel Jeffrey Bernstein - Barclays Peter Saleh - BTIG Eric Gonzalez - KeyBanc Chris Carril - RBC Capital Markets David Palmer - Evercore John Glass - Morgan Stanley Lauren Silberman - Credit ...

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements (Unaudited)](index=3&type=section&id=Item%201%20%E2%80%94%20Financial%20Statements%20%28Unaudited%29%20%E2%80%94%20Texas%20Roadhouse%2C%20Inc.%20and%20Subsidiaries) This section presents the unaudited condensed consolidated financial statements for the 13-week periods ended March 29, 2022, and March 30, 2021 [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets decreased slightly to **$2.44 billion** from **$2.51 billion**, primarily due to reduced cash and receivables Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | March 29, 2022 | December 28, 2021 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $325,723 | $335,645 | | Total current assets | $425,987 | $563,525 | | Total assets | $2,437,320 | $2,511,952 | | **Liabilities & Equity** | | | | Deferred revenue-gift cards | $221,479 | $300,657 | | Total current liabilities | $541,774 | $602,144 | | Long-term debt | $100,000 | $100,000 | | Total liabilities | $1,402,061 | $1,438,468 | | Total equity | $1,035,259 | $1,073,484 | [Condensed Consolidated Statements of Income and Comprehensive Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income%20and%20Comprehensive%20Income) Total revenues increased **23.3%** to **$987.5 million**, with net income rising to **$75.2 million** and diluted EPS to **$1.08** Q1 2022 vs Q1 2021 Income Statement (in thousands, except per share data) | Metric | 13 Weeks Ended March 29, 2022 | 13 Weeks Ended March 30, 2021 | | :--- | :--- | :--- | | Total revenue | $987,486 | $800,629 | | Income from operations | $90,138 | $80,927 | | Net income attributable to Texas Roadhouse, Inc. | $75,202 | $64,150 | | Diluted EPS | $1.08 | $0.91 | | Cash dividends declared per share | $0.46 | $— | [Condensed Consolidated Statement of Stockholders' Equity](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Stockholders%27%20Equity) Stockholders' equity decreased to **$1.04 billion**, primarily due to **$84.7 million** in stock repurchases and **$31.8 million** in dividends - Key activities affecting stockholders' equity in Q1 2022 included net income of **$75.2 million**, dividend payments of **$31.8 million**, and common stock repurchases totaling **$84.7 million**[14](index=14&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating activities generated **$187.8 million** cash, while investing and financing used **$73.3 million** and **$124.4 million**, respectively Cash Flow Summary (in thousands) | Activity | 13 Weeks Ended March 29, 2022 | 13 Weeks Ended March 30, 2021 | | :--- | :--- | :--- | | Net cash provided by operating activities | $187,769 | $178,013 | | Net cash used in investing activities | ($73,278) | ($36,474) | | Net cash used in financing activities | ($124,413) | ($9,048) | | Net (decrease) increase in cash | ($9,922) | $132,491 | [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail accounting policies, debt, revenue, acquisitions, and restaurant operations, including **576** owned and **96** franchised restaurants - As of March 29, 2022, the company owned and operated **576** restaurants and franchised **96**, with all domestic locations operating without COVID-19 restrictions, unlike the prior year period[19](index=19&type=chunk)[21](index=21&type=chunk) - The company had **$100.0 million** outstanding on its revolving credit facility as of March 29, 2022, with a weighted-average interest rate of **1.20%**[31](index=31&type=chunk)[32](index=32&type=chunk) - On December 29, 2021, the company acquired seven franchised Texas Roadhouse restaurants for a total purchase price of **$26.4 million**[39](index=39&type=chunk) - The Board approved a new stock repurchase program for up to **$300.0 million** on March 17, 2022, with **1,060,618** shares repurchased for **$84.7 million** in Q1 2022[52](index=52&type=chunk)[53](index=53&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=19&type=section&id=Item%202%20%E2%80%94%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2022 financial results, highlighting **23.3%** revenue growth and **16.0%** comparable sales growth amid inflation [Q1 2022 Financial Highlights](index=29&type=section&id=Q1%202022%20Financial%20Highlights) Q1 2022 revenue grew **23.3%** to **$987.5 million**, with restaurant margin percentage declining to **16.4%** due to inflation Q1 2022 Key Performance Indicators | Metric | Q1 2022 | Q1 2021 | Change | | :--- | :--- | :--- | :--- | | Total Revenue | $987.5M | $800.6M | +23.3% | | Net Income | $75.2M | $64.2M | +17.2% | | Diluted EPS | $1.08 | $0.91 | +18.5% | | Comparable Restaurant Sales | 16.0% | 18.5% | N/A | | Restaurant Margin % | 16.4% | 18.6% | -2.2 p.p. | [Results of Operations](index=31&type=section&id=Results%20of%20Operations) Operations saw **23.4%** sales growth from traffic and average check, but **17.0%** commodity and labor inflation pressured profitability Comparable Restaurant Sales Growth Drivers (Q1 2022 vs Q1 2021) | Component | Q1 2022 | Q1 2021 | | :--- | :--- | :--- | | Guest traffic counts | 7.0% | 13.0% | | Per person average check | 9.0% | 5.5% | | **Total Comp Sales Growth** | **16.0%** | **18.5%** | - Menu price increases of approximately **4.2%** (Oct 2021) and **1.75%** (Apr 2021) contributed to higher average checks, with an additional **3.2%** increase implemented in April 2022[127](index=127&type=chunk) - Food and beverage costs rose to **34.4%** of sales from **31.6%** year-over-year, driven by **17.0%** commodity inflation, primarily in protein costs, with **12%** to **14%** commodity inflation expected for the full year 2022[132](index=132&type=chunk)[133](index=133&type=chunk) - Restaurant labor costs increased to **32.8%** of sales from **32.5%** year-over-year due to wage pressures and increased staffing for dining rooms, with approximately **7%** labor inflation anticipated for 2022[134](index=134&type=chunk)[135](index=135&type=chunk) [Segment Information](index=37&type=section&id=Segment%20Information) Both Texas Roadhouse and Bubba's 33 segments reported margin dollar growth but percentage declines due to inflation Restaurant Margin by Segment (in thousands) | Segment | Margin $ (Q1 2022) | Margin % (Q1 2022) | Margin $ (Q1 2021) | Margin % (Q1 2021) | | :--- | :--- | :--- | :--- | :--- | | Texas Roadhouse | $153,468 | 16.5% | $141,112 | 18.6% | | Bubba's 33 | $7,794 | 15.2% | $6,003 | 16.8% | | Other | ($79) | (2.6%) | $459 | 17.4% | | **Total** | **$161,183** | **16.4%** | **$147,574** | **18.6%** | [Liquidity and Capital Resources](index=39&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity remains strong with **$187.8 million** cash from operations, **$230.0 million** capital expenditures planned, and capital returned to shareholders - Expects capital expenditures of approximately **$230.0 million** in 2022, with plans to open around **25** Texas Roadhouse and Bubba's 33 company restaurants[158](index=158&type=chunk) - In Q1 2022, the company used **$124.4 million** in financing activities, primarily for share repurchases (**$84.7 million**) and dividend payments (**$31.8 million**)[159](index=159&type=chunk)[161](index=161&type=chunk)[162](index=162&type=chunk) - As of March 29, 2022, **$295.0 million** remained available under the authorized stock repurchase program[161](index=161&type=chunk) - The company had **$100.0 million** outstanding on its revolving credit facility with **$189.1 million** of availability as of March 29, 2022[167](index=167&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=43&type=section&id=Item%203%20%E2%80%94%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces market risks from interest rate changes and commodity price volatility, particularly for beef, without hedging - A hypothetical one-percentage-point increase in interest rates would increase estimated annual interest expense by **$1.0 million**[171](index=171&type=chunk) - The company does not use financial instruments to hedge commodity prices, instead relying on contracts of one year or less, which exposes it to price volatility[172](index=172&type=chunk) - The beef supply is highly dependent on four vendors, posing a business risk if these vendors cannot fulfill their obligations[173](index=173&type=chunk) [Item 4. Controls and Procedures](index=45&type=section&id=Item%204%20%E2%80%94%20Controls%20and%20Procedures) Management concluded disclosure controls and procedures were effective with no significant changes to internal control - Management concluded that the company's disclosure controls and procedures were effective as of the end of the period covered by the report[175](index=175&type=chunk) - No significant changes to internal control over financial reporting occurred during Q1 2022[176](index=176&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=46&type=section&id=Item%201%20%E2%80%94%20Legal%20Proceedings) The company is involved in ordinary course litigation, none of which is expected to have a material adverse effect - The company is not party to any litigation that it believes could have a material adverse effect on its business[179](index=179&type=chunk) [Item 1A. Risk Factors](index=46&type=section&id=Item%201A%20%E2%80%94%20Risk%20Factors) No material changes were reported from the risk factors previously disclosed in the 2021 Form 10-K - No material changes from the risk factors disclosed in the 2021 Form 10-K were reported[180](index=180&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=46&type=section&id=Item%202%20%E2%80%94%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) A new **$300.0 million** stock repurchase program was approved, with **$84.7 million** in shares repurchased during Q1 2022 Share Repurchases in Q1 2022 | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | Dec 29 to Jan 25 | 177,420 | $85.26 | | Jan 26 to Feb 22 | 123,198 | $85.18 | | Feb 23 to Mar 29 | 760,000 | $77.74 | | **Total** | **1,060,618** | **N/A** | - A new stock repurchase program for up to **$300.0 million** was approved on March 17, 2022, replacing a prior program[181](index=181&type=chunk) [Item 3. Defaults Upon Senior Securities](index=46&type=section&id=Item%203%20%E2%80%94%20Defaults%20Upon%20Senior%20Securities) No defaults upon senior securities were reported - None[183](index=183&type=chunk) [Item 4. Mine Safety Disclosures](index=46&type=section&id=Item%204%20%E2%80%94%20Mine%20Safety%20Disclosures) This item is not applicable to the company's operations - Not applicable[184](index=184&type=chunk) [Item 5. Other Information](index=48&type=section&id=Item%205%20%E2%80%94%20Other%20Information) No other material information was reported - None[185](index=185&type=chunk) [Item 6. Exhibits](index=48&type=section&id=Item%206%20%E2%80%94%20Exhibits) This section lists all exhibits filed with the report, including required certifications and XBRL data files - Exhibits filed include certifications by the Principal Executive Officer and Principal Financial Officer, as well as XBRL data files[186](index=186&type=chunk)