Financial Data and Key Metrics Changes - The company provided guidance for FY 2026, expecting revenue growth of 4%-5%, supported by a low single-digit comp growth of 1%-2% and new unit contributions leading to approximately 5% net income growth [2][27] - The average check at Cheesecake Factory is approximately $30 for all occasions, with lunch checks being about 20%-30% less [44][46] Business Line Data and Key Metrics Changes - Flower Child, the fast casual brand, continues to show strength and is differentiated from traditional fast casual dining, contributing positively to the overall portfolio [7][12] - North Italia has been experiencing some volatility but maintains an average unit volume (AUV) of roughly $8 million, with new openings exceeding sales expectations [73] Market Data and Key Metrics Changes - The company has observed a stable consumer environment, with slightly slower spending but no significant pressure on any specific demographic cohort [7][8] - The industry has seen a pullback in alcoholic beverage sales, but total beverage rates have remained stable, indicating continued consumer interest in dining out [25] Company Strategy and Development Direction - The company plans to open 26 new restaurants in FY 2026, continuing its growth trajectory across its portfolio [28] - The rewards program is a key focus, with efforts to drive guest engagement and increase visit frequency through personalized marketing [29][41] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the current operating environment, citing strong P&L resiliency and predictability of sales [8] - The company believes that experiential dining will remain a priority for consumers, particularly among younger demographics [18] Other Important Information - The company is developing a new app to enhance guest experience, allowing for easier reservations and order placements, which is expected to launch in the first half of FY 2026 [30] - The international portfolio consists of 35 restaurants, with plans to open 3-5 additional locations annually, indicating a positive outlook for international growth [77] Q&A Session Summary Question: How is the company positioned in the pricing debate versus food at home? - Management believes that their experiential dining model differentiates them from food at home, and they do not see significant trade-offs affecting their business [14][15] Question: What is the average frequency of visits for guests? - The average guest visits Cheesecake Factory four to six times a year, with the goal of increasing this through the rewards program [33] Question: How does the company plan to address the performance of North Italia? - Management is implementing a price-fixed lunch menu to attract more guests while maintaining the core concept [72] Question: What is the outlook for international growth? - The company anticipates opening 3-5 international restaurants per year, with strong performance from existing partners [77] Question: How does the company view its capital allocation strategy? - The company plans to maintain a CapEx range of $200 million-$210 million for FY 2026, balancing dividends and share repurchases while maintaining a strong cash flow [78]

Financial Data and Key Metrics Changes - The company expects profit results in Q1 to be significantly pressured by increased investment and the impact from the yogurt divestiture, with expectations of improvement in the back half of the year [9][60] - The profit performance in Q1 was better than expected, with gross margin benefiting from lighter inflation phasing and trade expense timing [57][58] Business Line Data and Key Metrics Changes - The company has strengthened its pound share in eight of its top ten categories and is holding pound share in the Pet segment [8][11] - New product volumes are up 25%, with strong performance expected in categories like baking and soup during key seasons [10][11] Market Data and Key Metrics Changes - The North America Retail category saw volume improvements in Q1, with the top ten categories performing slightly better than expected [91] - The company noted a shipment timing headwind in the Pet segment, impacting total company pounds in the quarter [29] Company Strategy and Development Direction - The company is focused on returning to profitable organic growth as the best way to create value for shareholders, with significant investments in innovation and new product launches [5][7] - The strategy includes adjusting base shelf prices and enhancing product offerings to meet consumer demand [47][48] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's approach, noting that while external factors impact the industry, many elements remain within the company's control [15][17] - The company anticipates continued pressure from inflation but expects to see improvements in the second half of the fiscal year [9][60] Other Important Information - The company is actively working on reformulating products to meet consumer preferences, including the removal of artificial dyes and other additives [74][78] - The company is leveraging technology for better demand planning and forecasting, which is expected to enhance marketing effectiveness [68][70] Q&A Session Summary Question: What is the outlook for volume growth? - Management expects volume growth to return by Q4, with current category volumes being flat but holding or gaining share in eight out of ten categories [22][23] Question: What are the trends in dog food and pet treats? - The core Pet business held pound share, with positive growth in Blue Life Protection Formula and Tiki Cat, while the Wilderness business needs improvement [32][34][36] Question: How is the company addressing pricing and competition? - The company is adjusting pricing strategies to remain competitive, particularly in the face of inflation and consumer demand for value [46][48] Question: What categories drove household penetration gains? - Household penetration improved in bars, fruit snacks, and cereals, driven by effective pricing adjustments and strong product innovation [64][66] Question: How is the company managing supply chain and demand planning? - The company is utilizing AI for better forecasting, allowing marketing teams to focus on demand generation rather than just forecasting [68][70] Question: What is the company's approach to reformulation and regulatory challenges? - The company is proactively reformulating products to align with consumer preferences and is confident in navigating regulatory changes [78][80]