Financial Data and Key Metrics Changes - For the first quarter, the company reported revenue of over $1.4 billion, representing a 9.6% increase year-over-year, driven by a 2.4% increase in average unit volume and 7.1% store week growth [19][5] - The diluted earnings per share increased by 1% to $1.7, while restaurant margin dollars increased by 4.7% to $239 million [19][20] - Cash flow from operations was $238 million, with $221 million in cash at the end of the quarter [18] Business Line Data and Key Metrics Changes - Average weekly sales were $167,000 at Texas Roadhouse, $123,000 at Bubba's 33, and $71,000 at Jaggers, all showing positive same-store sales and traffic growth [13] - Same-store sales increased by 3.5% in the first quarter, with traffic growth of 1.1% and a 2.4% increase in average check [19] Market Data and Key Metrics Changes - The company opened eight company-owned restaurants in the first quarter, with plans to open approximately 30 company-owned restaurants this year [6][7] - Franchise openings are expected to include five international Texas Roadhouses and two domestic Jaggers [7] Company Strategy and Development Direction - The company aims to focus on delivering legendary food and service while navigating external economic factors [5] - The management emphasized the importance of maintaining operational excellence and community engagement as part of their long-term growth strategy [23] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the current demand for their brands, despite external challenges such as tariffs and inflation [5][14] - The company anticipates a full-year commodity inflation of approximately 4%, influenced by updated expectations for beef costs and tariffs [16][89] Other Important Information - The company is implementing technology upgrades, with 65% of restaurants using a digital kitchen and 70% having a new guest management system [9][10] - The company celebrated the achievements of its top operators during the annual Managing Partner Conference, reinforcing its commitment to operational excellence [2][11] Q&A Session Summary Question: Pricing strategy in relation to inflation - Management confirmed a 3.1% price increase in Q1, which is expected to drop to 2.3% in the following quarters, indicating they are pricing below inflation [29][30] Question: Labor leverage and hours - Management clarified that labor hours grew at 35% of traffic growth, maintaining productivity despite challenges [37][38] Question: Restaurant margin performance - Management acknowledged a slight decline in restaurant profit dollars per week and emphasized the importance of monitoring this metric throughout the year [42][44] Question: Consumer behavior and sales trends - Management attributed sales fluctuations to weather conditions and noted a strong rebound in March, April, and May [68][69] Question: Franchise acquisitions and future plans - Management stated there are no immediate plans for further franchise roll-ups but maintains active dialogue with existing franchisees [135][137] Question: Bar menu relaunch and profitability - Management indicated that the bar menu changes were driven by consumer demand and are expected to enhance profitability [141][144]

Core Viewpoint - Texas Roadhouse, Inc. reported a 9.6% increase in total revenue for the 13 weeks ended April 1, 2025, compared to the same period in 2024, driven by traffic growth across all brands and new store openings [2][3]. Financial Results - Total revenue for the quarter was $1,447.6 million, up from $1,321.2 million in the prior year, reflecting a 9.6% increase [2]. - Income from operations slightly increased by 1.2% to $134.7 million from $133.1 million [2]. - Net income rose by 0.4% to $113.7 million compared to $113.2 million in the previous year [2]. - Diluted earnings per share increased by 1.0% to $1.70 from $1.69 [2]. Operational Highlights - Comparable restaurant sales for the first five weeks of the second quarter of fiscal 2025 increased by 5.0% compared to the same period in 2024 [4]. - The company opened eight new restaurants during the quarter, including its 50th Bubba's 33 location [3][4]. - Capital allocation included $77.4 million in capital expenditures, $78.3 million for franchise acquisitions, $45.2 million in dividends, and $50.2 million in share repurchases [4]. Cost and Margin Analysis - Restaurant margin dollars increased by 4.7% to $239.3 million from $228.4 million in the prior year, although the restaurant margin percentage decreased by 77 basis points to 16.6% due to commodity and labor inflation [4][18]. - Commodity cost inflation was approximately 4%, influenced by tariffs [5]. Dividend Declaration - The Board of Directors approved a quarterly cash dividend of $0.68 per share, to be distributed on July 1, 2025, to shareholders of record as of June 3, 2025 [5][12]. Company Overview - Texas Roadhouse, Inc. operates over 790 restaurants across 49 states, one U.S. territory, and ten foreign countries, focusing on the casual dining segment [8].