Financial Data and Key Metrics Changes - For the full year 2025, revenue grew 5.4% year-over-year, despite a 1.7% decline in comparable sales [5][6] - Adjusted diluted earnings per share increased by 4.5% year-over-year to $1.17 [6] - In Q4, sales grew 4.9% to reach $3 billion, with a comparable sales decline of 2.5% [26][27] - Digital sales accounted for 37.2% of total sales [27] - Restaurant-level margin was 23.4%, down 140 basis points year-over-year [27] Business Line Data and Key Metrics Changes - The company opened a record 334 new company-owned restaurants and 11 international partner-operated restaurants in 2025 [6][19] - The rollout of the High Efficiency Equipment Package (HEEP) is expected to improve speed and consistency in restaurants, with 350 restaurants currently equipped and plans to reach 2,000 by year-end [11][12] Market Data and Key Metrics Changes - The company experienced a dynamic consumer backdrop with guests focusing on value and quality, impacting overall restaurant spending [7] - In Canada, the company opened 21 restaurants, marking a 38% year-over-year increase [19] Company Strategy and Development Direction - The company is focusing on five key strategies termed the "Recipe for Growth," which include operational excellence, brand evolution, technology modernization, global expansion, and talent cultivation [10][21] - The company aims to solidify its foundation through a relentless focus on operational and culinary excellence [11] - The company plans to increase menu innovation cadence to four limited-time offers (LTOs) in 2026, with a focus on high-protein offerings [15][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth strategy and noted that 2025 should be seen as a year of progress and resilience for the brand [5][6] - The company anticipates comparable restaurant sales to be about flat for the full year 2026, with a conservative approach due to evolving consumer dynamics [28] - Management highlighted the importance of understanding consumer trends and adapting strategies accordingly [39][40] Other Important Information - The company ended the quarter with $1.3 billion in cash and no debt, and it repurchased $742 million of its stock in Q4 [34][35] - The company is conducting a national search for a new Chief Marketing Officer to enhance its marketing capabilities [24] Q&A Session Summary Question: Guidance for flat comps for sales - Management noted excitement about momentum seen in January and confidence in the Recipe for Growth strategies, but emphasized a conservative full-year guide due to unpredictable consumer trends [38][39] Question: High-efficiency package impact on comp sales - Management reported hundreds of basis points of improvement in comp sales at restaurants with the HEEP package and confirmed plans to accelerate the rollout [41][42] Question: Limited-time offers (LTO) marketing strategy - Management indicated that LTO consumers have higher lifetime value and that marketing efforts will evolve to better celebrate unique offerings [45][47] Question: Value proposition and pricing strategy - Management confirmed that new protein menu offerings are not discounted but provide accessible price points, and they will test new ideas throughout the year [56][58] Question: Margin outlook and pricing power - Management acknowledged that margins will be under pressure due to investments in pricing but emphasized that this is temporary and will improve as transactions increase [62][66]