This story was originally published on Restaurant Dive. To receive daily news and insights, subscribe to our free daily Restaurant Dive newsletter. 352 Capital, one of Fat Brands’ creditors, sued the company last week to contest Fat’s attempt to use management fees and other cash to fund operations during the company’s Chapter 11 bankruptcy process. At issue is Fat’s proposed use of securitization receivables, defined as “certain management fees and other residual amounts payable to FAT Brands as manage ...

Investment Activity Summary - Pershing Square Capital Management acquired over 2.67 million shares of Meta Platforms (META), totaling $1.76 billion in the fourth quarter of 2025 [1] - The firm sold its entire stake in Chipotle Mexican Grill, Inc. (CMG), which was previously valued at approximately $844.2 million [2] - Pershing reduced its holdings in Alphabet (GOOG) and Uber (UBER), trimming shares significantly in both companies [2][4] Company Performance - Meta Platforms (META) is currently trading around $643, down more than 10% over the past year [1] - Chipotle Mexican Grill, Inc. (CMG) is trading at about $38, down 29% in the past year [2] - Alphabet's Class C shares (GOOG) are trading around $303, up more than 63% year-to-date [3] - Uber is trading for approximately $72, down more than 10% in the past year [4] - Restaurant Brands International Inc (QSR) is trading at about $68, up nearly 7% in the past year [4] Asset Management Overview - Pershing Square Capital Management has a total of $15.5 billion in assets under management [5]

Jollibee Foods Corporation (JFC) is accelerating its expansion across Asia with the purchase of a South Korean hot pot buffet chain and the impending introduction of a rapidly expanding Korean coffee brand into the Philippines.Acquisition of Shabu All DayJFC has secured a 70% majority stake in All Day Fresh Co, the company that operates Shabu All Day, through its subsidiary Jolli-K Co. Shabu All Day, established in 2014, has since blossomed into a chain of 169 stores throughout South Korea, acquired for an ...

Management attributed the choppy Q1 performance to a slow start in the calendar year, though results remained broadly in line with internal expectations. The successful divestiture of Del Taco in December 2025 serves as the primary driver for business simplification and significant debt reduction. The 'Jack’s Way' initiative is focused on closing operational gaps by restructuring field support teams to provide real-time assistance to franchisees. Marketing strategy has been streamlined from three me ...

Financial Performance - For the quarter ended December 2025, Cheesecake Factory reported revenue of $961.56 million, an increase of 4.4% year-over-year [1] - EPS for the quarter was $1.00, down from $1.04 in the same quarter last year [1] - The reported revenue exceeded the Zacks Consensus Estimate of $948.89 million, resulting in a surprise of +1.34% [1] - The company delivered an EPS surprise of +2.04%, with the consensus EPS estimate being $0.98 [1] Key Metrics - Comparable restaurant sales for The Cheesecake Factory decreased by 2.2%, compared to the average estimate of -0.9% from seven analysts [4] - Comparable restaurant sales for North Italia fell by 4%, against an average estimate of -3.2% from seven analysts [4] - The number of company-owned restaurants for The Cheesecake Factory was 218, matching the average estimate [4] - The total number of company-owned restaurants was 371, slightly below the average estimate of 372 [4] Revenue Breakdown - Revenues for North Italia were reported at $88.17 million, below the average estimate of $90.2 million, but represented an 8.4% year-over-year increase [4] - Revenues for The Cheesecake Factory restaurants were $681.43 million, exceeding the average estimate of $669.8 million, with a year-over-year change of +1.8% [4] - Revenues for Other segments were $92.51 million, slightly below the average estimate of $93.47 million, reflecting an 8.6% year-over-year increase [4] - Revenues for Other FRC were $99.44 million, surpassing the average estimate of $95.67 million, with a significant year-over-year change of +16.8% [4] Stock Performance - Shares of Cheesecake Factory have returned +8.5% over the past month, while the Zacks S&P 500 composite experienced a -1.3% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Core Insights - Jack In The Box reported a revenue of $349.52 million for the quarter ended December 2025, reflecting a year-over-year decline of 25.6% and an EPS of $1.00 compared to $1.92 a year ago, with a revenue surprise of +1.64% over the Zacks Consensus Estimate [1] Financial Performance - The reported revenue of $349.52 million exceeded the Zacks Consensus Estimate of $343.87 million by +1.64% [1] - The EPS of $1.00 was below the consensus estimate of $1.10, resulting in an EPS surprise of -8.81% [1] Key Metrics - Jack In The Box shares returned +3.2% over the past month, while the Zacks S&P 500 composite experienced a -1.3% change [3] - The company holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market [3] Restaurant Counts and Sales - Total restaurant counts at the end of the period were 2,128, surpassing the four-analyst average estimate of 2,106 [4] - Franchised restaurant counts were 1,979, compared to the average estimate of 1,956 [4] - Company restaurant counts were 149, slightly below the average estimate of 150 [4] - Same-store sales for the system declined by -6.7%, worse than the average estimate of -5.2% [4] - Company same-store sales decreased by -4.7%, also better than the average estimate of -5.1% [4] Revenue Breakdown - Franchise rental revenues were reported at $97.39 million, below the average estimate of $98.63 million, marking a -16.4% year-over-year change [4] - Franchise contributions for advertising and other services were $61.35 million, compared to the estimated $64.78 million, representing a -20.8% change year-over-year [4] - Total franchise revenues (rental + royalties + contributions) were $217.61 million, below the average estimate of $224.75 million, reflecting an -18.9% year-over-year change [4] - Franchise royalties and other revenues were $58.88 million, compared to the estimated $61.34 million, indicating a -20.5% change year-over-year [4] - Company restaurant sales were $131.91 million, below the average estimate of $144.15 million, with a year-over-year decline of -34.5% [4]

Core Insights - The company reported total revenues of $3.75 billion for the full year, reflecting a 5% year-over-year increase, with adjusted diluted EPS rising 10% to $3.77 [1][7] - The fourth quarter revenues were $961.6 million, including a $17.3 million benefit from gift card breakage, with adjusted diluted EPS at $1.00 [2][7] - The restaurant industry is facing a challenging operating environment, but the company's performance remained steady, supported by improvements in labor productivity and guest satisfaction [3][4] Financial Performance - Full-year adjusted EBITDA was $354 million, and the company returned over $206 million to shareholders through dividends and share repurchases in 2025 [1][7] - The adjusted net income margin for the fourth quarter was 5.1%, while GAAP diluted EPS was reported at $0.60 [2] - Comparable sales at The Cheesecake Factory restaurants fell 2.2%, but total restaurant sales rose 2%, with adjusted restaurant-level profit margin expanding 60 basis points to 17.6% [6][10] Growth and Development Plans - The company plans to open 25 new restaurants in 2025, representing approximately 7% unit growth, and up to 26 openings in 2026 [5][14] - Management has increased the buyback authorization and raised the quarterly dividend, returning $24 million to shareholders in the fourth quarter [15] - The company anticipates launching a dedicated Cheesecake Rewards app in Q2 2026 to enhance customer engagement [18] Brand Performance - North Italia reported fourth-quarter sales of $88.2 million, up 8% year-over-year, while Flower Child saw sales of $45.5 million, up 19% year-over-year [9] - The adjusted restaurant-level profit margin for North Italia was 17.5% for the quarter, and Flower Child's comparable sales increased by 4% [9][10] - Menu innovation, particularly with "bites and bowls," has driven guest response and improved ordering patterns [11] Industry Context - The restaurant industry experienced a deceleration in sales, with the Black Box Casual Dining Index declining by 410 basis points sequentially [9] - Despite broader industry challenges, the company's comparable sales results demonstrated relative stability [9]

We are doing exactly what we committed to do—simplifying the business and bringing down debt levels—and I am really pleased with the progress to date. With the transaction complete, only minimal separation activities remain; the team is fully re-centered on strengthening the Jack in the Box Inc. brand and executing the remaining elements of our Jack on Track plan. As we entered 2026, Jack in the Box Inc. proudly marked its 75th anniversary, a milestone few brands reach. The response to our anniversary activ ...

Financial Data and Key Metrics Changes - The company reported total revenues of $961.6 million for Q4 2025, including $17.3 million from gift card breakage revenue, with adjusted revenues of $944.3 million, finishing within the expected range [16][17] - Adjusted diluted earnings per share increased 10% year-over-year to $3.77, with adjusted net income margin at 5.1% [17][21] - For the fiscal year, total revenues reached $3.75 billion, up 5% from the prior year, with adjusted EBITDA totaling $354 million [17][27] Business Line Data and Key Metrics Changes - Total sales at The Cheesecake Factory restaurants were $681.4 million, up 2% from the prior year, while comparable sales declined 2.2% [17][18] - North Italia reported total sales of $88.2 million, an 8% increase from the prior year, with annualized average unit volumes (AUVs) of $7.6 million [12][17] - Flower Child sales totaled $45.5 million, up 19% from the prior year, with a restaurant-level profit margin of 17.5% for the fourth quarter [14][15] Market Data and Key Metrics Changes - The Cheesecake Factory's comparable sales were down 2.2% in Q4, reflecting broader industry trends, while North Italia and Flower Child showed resilience with positive sales growth [11][13] - The off-premise sales mix accounted for 22% of total sales, indicating a slight improvement from recent quarters [12][97] Company Strategy and Development Direction - The company plans to open as many as 26 new restaurants in 2026, with a strong development pipeline in place [8][26] - Culinary innovation remains a core strength, with new menu items resonating well with guests, supporting broad appeal without relying on discounting [7][10] - The company announced an increase in share repurchase authorization and raised its quarterly dividend, reflecting a disciplined approach to capital allocation [9] Management's Comments on Operating Environment and Future Outlook - Management noted a challenging operating environment but highlighted strong operational execution and improvements in labor productivity and guest satisfaction [5][6] - The company anticipates total revenues for Q1 2026 to be between $955 million and $970 million, factoring in weather impacts and restaurant closures [23][24] - For fiscal 2026, total revenues are expected to be approximately $3.9 billion, with inflation across commodity and labor costs anticipated to be in the low- to mid-single-digit range [25][26] Other Important Information - The company ended the quarter with total available liquidity of approximately $582.2 million, including a cash balance of $215.7 million [21] - The company recorded a pre-tax net expense of $24.6 million related to impairment of assets and lease termination expenses [20] Q&A Session Summary Question: Update on FRC structure and management changes - Management expressed satisfaction with FRC's performance and noted that a senior operations role from Cheesecake is in place to enhance operations [30][31] Question: Opportunity to invest in value marketing - Management confirmed strong reception of new menu items and plans to market value more prominently [34][35] Question: Weather impact on current quarter - Management estimated a 1% negative net impact from weather on Q1 [41] Question: Insights on menu performance - Management indicated that all new menu items have been popular, with no specific standout [43] Question: Consumer spending outlook - Management noted that the consumer sentiment appears to be stabilizing, with expectations for continued steady performance [48] Question: Mix pressure from new menu items - Management confirmed that mix pressure is primarily from new product pricing, with expectations for continued negative mix but offset by increased ordering rates [51][93] Question: Delivery mix and DoorDash partnership - Management reported that off-premise sales accounted for 22% of total sales, with 10% from delivery [97] Question: Flower Child's growth vision - Management expressed confidence in Flower Child's performance and plans for continued growth, emphasizing the need for the right leadership to support expansion [86][88]

Financial Data and Key Metrics Changes - The first quarter same-store sales for Jack in the Box decreased by 6.7%, with franchise restaurant same-store sales down 7% and company-owned same-store sales down 4.7% [18] - Jack's restaurant level margin percentage decreased to 16.1%, down from 23.2% [18] - Earnings from continuing operations were $14.4 million for Q1 2026, compared to $31 million for the same quarter last year [23] - GAAP diluted earnings per share from continuing operations for Q1 was $0.75, down from $1.61 in the prior year [24] - Consolidated adjusted EBITDA was $68.2 million, down from $88.8 million in the prior year [24] Business Line Data and Key Metrics Changes - Franchise level margin was $84.1 million or 38.6% of franchise revenues, compared to $97.1 million or 40.9% a year ago [20] - SG&A for the quarter was $37 million or 10.6% of revenues, down from $41.2 million or 11.1% a year ago [20] Market Data and Key Metrics Changes - Food and packaging costs as a percentage of sales were 29.7%, increasing 380 basis points from the prior year due to commodity inflation of 7.1% [19] - Labor costs as a percentage of sales were 35.3%, increasing 200 basis points from the prior year [19] Company Strategy and Development Direction - The company is focused on simplifying the business and reducing debt, having successfully closed the sale of Del Taco and made a significant debt paydown [7][8] - The Jack On Track plan aims to bolster long-term financial performance by strengthening the balance sheet and positioning the company for sustainable growth [25] - The company is enhancing its value proposition and menu strategy, celebrating its 75th anniversary with brand activations and new product launches [13][14] Management's Comments on Operating Environment and Future Outlook - Management noted that Q1 results were choppy but broadly in line with expectations, with improvements expected as the year progresses [9][11] - The company anticipates steady improvement in top-line performance as it focuses on fundamentals essential for sustainable growth [11][16] - Management expressed confidence in the actions being taken to strengthen the business and drive long-term shareholder value [17] Other Important Information - The company expects to generate $50 million-$60 million from real estate sales by the end of fiscal year 2026, which will be used to pay down debt [27] - The effective tax rate for continuing operations for Q1 was 32.4%, compared to 30% for the same quarter a year ago [23] Q&A Session Summary Question: Trends observed in January and impact of weather - Management noted that January showed meaningful improvements, with same-store sales performing better than in Q1, despite weather impacts [32] Question: Chicago performance and labor inefficiencies - Management acknowledged ongoing challenges in Chicago due to a tough labor market and operational issues, but expressed optimism for improvements in the coming months [35][36] Question: Franchisee four-wall margins and support - Management indicated that while franchisees are facing margin pressures, they are not providing blanket assistance but are looking into specific cases [40][41] Question: Price-value equation and protecting margins - Management discussed their ability to take price increases while maintaining a strong value proposition for customers, including adjustments to bundles and portion sizes [43][45] Question: Breakfast performance relative to competitors - Management stated that breakfast remains a consistent part of their offering, with no significant changes in performance compared to other day parts [66][67] Question: Regional performance and California market challenges - Management acknowledged that California presents challenges due to labor pressures and noted that over 40% of their restaurants are located there, impacting overall performance [86]