Restaurant Sales and Performance - Comparable restaurant sales increased 8.9% at company restaurants and 8.0% at domestic franchise restaurants[2] - Average weekly sales at company restaurants were $159,184, with to-go sales accounting for $20,392[5] - Store week growth was approximately 7.5%, including a 2% benefit from the 53rd week[7] - Texas Roadhouse restaurants' average unit volume increased by 9.1% to $2,123 for the 13 weeks ended June 25, 2024, compared to $1,946 for the same period in 2023[39] - U.S. franchise restaurants' average unit volume increased by 6.5% to $2,268 for the 13 weeks ended June 25, 2024, compared to $2,129 for the same period in 2023[39] Restaurant Margins and Profitability - Restaurant margin dollars increased 32.7% to $242.6 million, with restaurant margin as a percentage of sales rising to 18.2% from 15.7%[3] - Restaurant margin dollars for the 26 weeks increased 27.8% to $471.1 million, with margin as a percentage of sales rising to 17.8% from 15.8%[19] - Restaurant margin for the 13 weeks ended June 25, 2024, grew to $242,611 thousand, a 32.7% increase from $182,756 thousand in the prior year[31] - Restaurant margin percentage improved by 250 basis points to 18.2% for the 13 weeks ended June 25, 2024, compared to 15.7% for the same period in 2023[39] Earnings and Financial Performance - Diluted earnings per share increased 38.7% driven by higher restaurant margin dollars[5] - Net income attributable to Texas Roadhouse, Inc. and subsidiaries for the 13 weeks ended June 25, 2024, rose to $120,141 thousand, a 46.1% increase from $82,271 thousand in the prior year[29] - Diluted earnings per share for the 13 weeks ended June 25, 2024, increased to $1.79, up 46.4% from $1.22 in the same period last year[29][34] - Net income rose by 46.0% to $120,141 for the 13 weeks ended June 25, 2024, compared to $82,271 for the same period in 2023[37] - Diluted earnings per share increased by 46.4% to $1.79 for the 13 weeks ended June 25, 2024, compared to $1.22 for the same period in 2023[37] Revenue Growth - Total revenue for the 13 weeks ended June 25, 2024, increased to $1,341,202 thousand, up 14.5% from $1,171,203 thousand in the same period last year[29] - Total revenue increased by 14.5% to $1,341,202 for the 13 weeks ended June 25, 2024, compared to $1,171,203 for the same period in 2023[37] - Restaurant and other sales grew by 14.5% to $1,333,642 for the 13 weeks ended June 25, 2024, compared to $1,164,385 for the same period in 2023[39] Capital Allocation and Expenditures - Capital allocation spend included $155.5 million in capital expenditures, $81.5 million in dividends, and $35.1 million in stock repurchases[5] - Total capital expenditures for 2024 are expected to be between $360 million and $370 million[7] Labor Costs and Inflation - Wage and other labor inflation is projected to be between 4% and 5%[8] Restaurant Expansion and Growth - The company opened 15 company restaurants and 6 franchise restaurants in the first 26 weeks of 2024[19] - Total company restaurants increased by 36 to 650 at the end of the quarter, compared to 614 in the same period last year[33] - Total franchise restaurants increased by 17 to 112 at the end of the quarter, compared to 95 in the same period last year[33] - Store weeks increased by 5.6% to 8,408 for the 13 weeks ended June 25, 2024, compared to 7,960 for the same period in 2023[39] - Bubba's 33 restaurants' store weeks increased by 13.3% to 596 for the 13 weeks ended June 25, 2024, compared to 526 for the same period in 2023[39] - Texas Roadhouse franchise restaurants' store weeks increased by 13.9% to 1,389 for the 13 weeks ended June 25, 2024, compared to 1,220 for the same period in 2023[39] Financial Position and Assets - Cash and cash equivalents as of June 25, 2024, stood at $197,454 thousand, up 89.4% from $104,246 thousand as of December 26, 2023[36] - Total assets as of June 25, 2024, increased to $2,861,911 thousand, up 2.5% from $2,793,376 thousand as of December 26, 2023[36] - Texas Roadhouse, Inc. and subsidiaries stockholders' equity increased to $1,262,636 thousand as of June 25, 2024, up 10.6% from $1,141,662 thousand as of December 26, 2023[36]

LOUISVILLE, Ky., July 25, 2024 (GLOBE NEWSWIRE) -- Texas Roadhouse, Inc. (NasdaqGS: TXRH), today announced financial results for the 13 and 26 weeks ended June 25, 2024. Financial Results Financial results for the 13 and 26 weeks ended June 25, 2024 and June 27, 2023 were as follows: | --- | --- | --- | --- | --- | --- | --- | --- | --- | |------------------------------------|--------------------------------|-----------------|-------|--------|--------------------------------|---------------|------------|--- ...

Texas Roadhouse, Inc. (TXRH) is scheduled to report second-quarter 2024 results on Jul 25, 2024, after market close. In the last reported quarter, the company reported an earnings surprise of 2.4%. Q2 Expectations The Zacks Consensus Estimate for second-quarter earnings per share (EPS) is pegged at $1.66, indicating growth of 36.1% from $1.22 reported in the year-ago quarter. For revenues, the consensus mark is pegged at $1.34 billion. The metric suggests growth of 14.4% from the year-ago quarter's figure. ...

Industry Overview - The U.S. restaurant industry is facing challenges such as high wages, food cost inflation, and declining traffic in 2024, following two years of strong growth [1][11] - The Zacks defined Retail – Restaurants industry is currently ranked in the bottom 41% of the Zacks Industry Rank, with a decline of 8.4% over the past year and a year-to-date return of negative 12.7% [1] Positive Performers - Despite the overall industry weakness, certain restaurant stocks have performed well year to date, suggesting potential investment opportunities [2] - Texas Roadhouse (TXRH) has shown a year-to-date stock increase of 40.3%, with expected revenue and earnings growth rates of 15.3% and 33.3%, respectively, for the current year [8] - Wingstop (WING) has a Zacks Rank 1 and reported positive earnings surprises in the last four quarters, with an expected earnings growth rate of 39.5% for the current year [9][21] Sales Performance - According to the Department of Commerce, restaurant and bar sales increased by 4.4% year over year and 0.3% month over month as of June [6] Earnings Expectations - Stocks with a Zacks Rank of 3 or better and a positive Earnings ESP have a 70% chance of beating earnings estimates, indicating potential for appreciation post-earnings release [7] - Both TXRH and WING are identified as stocks likely to beat earnings results this month, with TXRH having an Earnings ESP of +3.90% and WING at +3.08% [13][9] Operational Challenges - The restaurant industry is grappling with high operational costs, including increased pre-opening costs, marketing expenses, and costs related to sales-boosting initiatives, which are affecting profit margins [17][11] - Operators are focusing on digital innovation, sales-building initiatives, and cost-saving efforts to navigate these challenges [22]

By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss. Studies have shown that stocks with the best growth features consistently outperform the market. And for stocks that have a combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy), returns are even better. Earnings growth is arguably the most important factor, as stocks exhibiting exceptionally ...

When looking at the last two reports, this restaurant chain has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 1.68%, on average, in the last two quarters. Price and EPS Surprise The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an ear ...

However, it's pretty easy to find cutting-edge growth stocks with the help of the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects. Earnings Growth While cash is the lifeblood of any business, higher-than-average cash flow growth is more important and beneficial for growth-oriented companies than for mature companies. That's because, growth in cash flow enables these companies to expand their b ...

Therefore, the Zacks rating upgrade for Texas Roadhouse basically reflects positivity about its earnings outlook that could translate into buying pressure and an increase in its stock price. The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% s ...

However, it's pretty easy to find cutting-edge growth stocks with the help of the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects. Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. However, it isn't easy to find a great growth stock. Here are three of the most important factor ...

Growth stocks are attractive to many investors, as above-average financial growth helps these stocks easily grab the market's attention and produce exceptional returns. But finding a growth stock that can live up to its true potential can be a tough task. By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss. However, it's pretty easy to find cutting-edge growth stocks with th ...