Loading...
•
Dec 31, 2024
Texas Roadhouse Q4 2024 Earnings Report
Texas Roadhouse reported strong growth in Q4 2024, with revenue and earnings rising significantly.
Key Takeaways
Texas Roadhouse delivered a strong fourth quarter, with total revenue increasing 23.5% year-over-year. Comparable restaurant sales grew at both company and franchise locations. Higher restaurant margins contributed to a 60.1% increase in diluted EPS, though higher expenses offset some of the gains. The company also opened nine new company-owned restaurants and five franchise locations.
Total revenue increased 23.5% to $1.44 billion.
Net income rose 59.9% to $115.83 million.
Comparable restaurant sales grew 7.7% at company restaurants.
EPS increased 60.1% to $1.73, benefiting from an additional reporting week.
Forward Guidance
Texas Roadhouse expects continued sales growth in 2025, supported by menu price increases and new store openings. However, inflationary pressures on labor and commodity costs remain key concerns.
Positive Outlook
- Projected positive comparable restaurant sales growth.
- Planned menu price increase of 1.4% in early April.
- Store week growth of approximately 5%.
- Expansion with the opening of the 800th restaurant in 2025.
- New $500 million stock repurchase authorization.
Challenges Ahead
- Expected commodity cost inflation of 3% to 4%.
- Wage and other labor inflation expected at 4% to 5%.
- Higher depreciation and administrative costs may impact margins.
- Economic uncertainties could affect discretionary spending.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...