Texas Roadhouse, Inc. Announces Fourth Quarter 2024 Results

Core Viewpoint - Texas Roadhouse, Inc. reported strong financial results for the fourth quarter and fiscal year ended December 31, 2024, with significant increases in revenue, net income, and earnings per share compared to the previous year [2][4]. Financial Results - Total revenue for Q4 2024 was $1,437.9 million, a 23.5% increase from $1,164.4 million in Q4 2023 [2]. - For the fiscal year 2024, total revenue reached $5,373.3 million, up 16.0% from $4,631.7 million in 2023 [2]. - Net income for Q4 2024 was $115.8 million, a 59.9% increase from $72.4 million in Q4 2023 [2]. - Diluted earnings per share for Q4 2024 were $1.73, a 60.1% increase from $1.08 in Q4 2023 [2]. Comparable Restaurant Sales - Comparable restaurant sales increased by 7.7% at company restaurants and 6.3% at domestic franchise restaurants for Q4 2024 [3]. - Average weekly sales at company restaurants were $153,867, with to-go sales contributing $20,067, compared to $141,653 and $17,793 respectively in the prior year [3]. Restaurant Margin and Costs - Restaurant margin dollars increased by 37.3% to $242.6 million from $176.7 million in the prior year, with restaurant margin as a percentage of sales rising to 17.0% from 15.3% [3]. - Labor inflation was reported at 5.0%, while commodity inflation was at 0.3% [3]. Capital Allocation and Growth - The company opened nine new company restaurants and five franchise restaurants during the year [3]. - Capital expenditures for the year totaled $107.8 million, with dividends of $40.7 million and stock repurchases of $35.1 million [3]. Franchise Acquisition - On the first day of the 2025 fiscal year, Texas Roadhouse completed the acquisition of 13 domestic franchise restaurants for approximately $78 million [5]. 2025 Outlook - For the first seven weeks of Q1 2025, comparable restaurant sales increased by 2.9% compared to the same period in 2024 [6]. - The company plans to implement a menu price increase of approximately 1.4% in early April 2025 [6]. - Commodity cost inflation is expected to be between 3% to 4% for 2025 [6]. Dividend and Stock Repurchase - The Board of Directors approved a quarterly cash dividend of $0.68 per share, representing an 11% increase from the previous year [6]. - A new stock repurchase program was authorized for up to $500 million, replacing the previous program of $300 million [7].