Latest news with #DavidOverton
Yahoo
02-05-2025
- Business
- Yahoo
Cheesecake Factory reports rise in revenue to $927.2m for Q1 2025
US-based casual dining chain The Cheesecake Factory has announced an increase in total revenue to $927.2m for the fiscal first quarter (Q1) of 2025, up from $891.2m in the previous year's first quarter. The company's net income reached $32.9m and diluted net income per share stood at $0.67. The brand had pre-tax net expense sof $17.3m due to costs including those related to the extinguishment of debt and the Fox Restaurant Concepts acquisition. Excluding certain expenses, adjusted net income and adjusted diluted net income per share for the first quarter stood at $45.7m and $0.93 respectively. The Cheesecake Factory also reported a modest year-on-year increase of 1% in comparable restaurant sales. Chairman and CEO David Overton stated: 'Our first quarter results reflect a strong start to the year as we delivered solid topline revenue, margins and earnings, reflecting continued positive momentum across our business. 'Sales finished towards the higher end of our expectations, led by The Cheesecake Factory restaurants, underscoring the consistent consumer demand for the high-quality, differentiated dining experiences we provide. 'And once again, execution within our restaurants was exceptional, as our operators delivered year-on-year improvements in labour productivity, food efficiency, wage management and retention across both hourly staff and managers, driving strong profit flow-through and margin expansion.' The first quarter saw the addition of eight new restaurants to the company's portfolio, including three Flower Child locations, three North Italia locations and two FRC restaurants. The company plans to launch up to 25 new eateries in 2025, with the portfolio including three to four The Cheesecake Factory outlets, six to seven North Italia and Flower Child locations each, and eight to nine FRC dining spots. In March 2025, The Cheesecake Factory executed a menu overhaul eliminating 13 items and introducing 22 new options, which encompass a variety of appetisers and mocktails. "Cheesecake Factory reports rise in revenue to $927.2m for Q1 2025" was originally created and published by Verdict Food Service, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Yahoo
01-05-2025
- Business
- Yahoo
The Cheesecake Factory (NASDAQ:CAKE) Reports Q1 In Line With Expectations
Restaurant company Cheesecake Factory (NASDAQ:CAKE) met Wall Street's revenue expectations in Q1 CY2025, with sales up 4% year on year to $927.2 million. Its non-GAAP profit of $0.93 per share was 13.9% above analysts' consensus estimates. Is now the time to buy The Cheesecake Factory? Find out in our full research report. Revenue: $927.2 million vs analyst estimates of $925.8 million (4% year-on-year growth, in line) Adjusted EPS: $0.93 vs analyst estimates of $0.82 (13.9% beat) Adjusted EBITDA: $79.42 million vs analyst estimates of $72.87 million (8.6% margin, 9% beat) Operating Margin: 5.6%, up from 4.4% in the same quarter last year Locations: 388 at quarter end, up from 369 in the same quarter last year Same-Store Sales rose 1% year on year (-0.3% in the same quarter last year) Market Capitalization: $2.49 billion 'Our first quarter results reflect a strong start to the year as we delivered solid topline revenue, margins and earnings, reflecting continued positive momentum across our business,' said David Overton, Chairman and Chief Executive Officer. Celebrated for its delicious (and free) brown bread, gigantic portions, and delectable desserts, Cheesecake Factory (NASDAQ:CAKE) is an iconic American restaurant chain that also owns and operates a portfolio of separate restaurant brands. Sit-down restaurants offer a complete dining experience with table service. These establishments span various cuisines and are renowned for their warm hospitality and welcoming ambiance, making them perfect for family gatherings, special occasions, or simply unwinding. Their extensive menus range from appetizers to indulgent desserts and wines and cocktails. This space is extremely fragmented and competition includes everything from publicly-traded companies owning multiple chains to single-location mom-and-pop restaurants. Reviewing a company's long-term sales performance reveals insights into its quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. With $3.62 billion in revenue over the past 12 months, The Cheesecake Factory is one of the larger restaurant chains in the industry and benefits from a well-known brand that influences consumer purchasing decisions. As you can see below, The Cheesecake Factory's sales grew at a decent 7.5% compounded annual growth rate over the last six years (we compare to 2019 to normalize for COVID-19 impacts) as it opened new restaurants and increased sales at existing, established dining locations. This quarter, The Cheesecake Factory grew its revenue by 4% year on year, and its $927.2 million of revenue was in line with Wall Street's estimates. Looking ahead, sell-side analysts expect revenue to grow 6.1% over the next 12 months, similar to its six-year rate. This projection doesn't excite us and suggests its menu offerings will face some demand challenges. Software is eating the world and there is virtually no industry left that has been untouched by it. That drives increasing demand for tools helping software developers do their jobs, whether it be monitoring critical cloud infrastructure, integrating audio and video functionality, or ensuring smooth content streaming. Click here to access a free report on our 3 favorite stocks to play this generational megatrend. The Cheesecake Factory operated 388 locations in the latest quarter. It has opened new restaurants at a rapid clip over the last two years, averaging 5.2% annual growth, much faster than the broader restaurant sector. When a chain opens new restaurants, it usually means it's investing for growth because there's healthy demand for its meals and there are markets where its concepts have few or no locations. The change in a company's restaurant base only tells one side of the story. The other is the performance of its existing locations, which informs management teams whether they should expand or downsize their physical footprints. Same-store sales gives us insight into this topic because it measures organic growth at restaurants open for at least a year. The Cheesecake Factory's demand within its existing dining locations has been relatively stable over the last two years but was below most restaurant chains. On average, the company's same-store sales have grown by 1.6% per year. This performance suggests it should consider improving its foot traffic and efficiency before expanding its restaurant base. In the latest quarter, The Cheesecake Factory's same-store sales rose 1% year on year. This performance was more or less in line with its historical levels. We were impressed by how significantly The Cheesecake Factory blew past analysts' EPS and EBITDA expectations this quarter. Overall, we think this was a decent quarter with some key metrics above expectations. The market seemed to be hoping for more, and the stock traded down 1.9% to $49.49 immediately following the results. So do we think The Cheesecake Factory is an attractive buy at the current price? When making that decision, it's important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here, it's free.
Yahoo
03-04-2025
- Business
- Yahoo
Q4 Earnings Highs And Lows: The Cheesecake Factory (NASDAQ:CAKE) Vs The Rest Of The Sit-Down Dining Stocks
As the Q4 earnings season wraps, let's dig into this quarter's best and worst performers in the sit-down dining industry, including The Cheesecake Factory (NASDAQ:CAKE) and its peers. Sit-down restaurants offer a complete dining experience with table service. These establishments span various cuisines and are renowned for their warm hospitality and welcoming ambiance, making them perfect for family gatherings, special occasions, or simply unwinding. Their extensive menus range from appetizers to indulgent desserts and wines and cocktails. This space is extremely fragmented and competition includes everything from publicly-traded companies owning multiple chains to single-location mom-and-pop restaurants. The 13 sit-down dining stocks we track reported a satisfactory Q4. As a group, revenues beat analysts' consensus estimates by 0.9% while next quarter's revenue guidance was 2.4% below. Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 12.6% since the latest earnings results. Celebrated for its delicious (and free) brown bread, gigantic portions, and delectable desserts, Cheesecake Factory (NASDAQ:CAKE) is an iconic American restaurant chain that also owns and operates a portfolio of separate restaurant brands. The Cheesecake Factory reported revenues of $921 million, up 5% year on year. This print exceeded analysts' expectations by 0.9%. Overall, it was a strong quarter for the company with an impressive beat of analysts' EBITDA estimates and a decent beat of analysts' EPS estimates. 'Our fourth quarter performance capped off an excellent year, with solid revenue and earnings contributing to record annual revenue and substantially improved profitability for 2024,' said David Overton, Chairman and Chief Executive Officer. The stock is down 10.6% since reporting and currently trades at $48.51. Is now the time to buy The Cheesecake Factory? Access our full analysis of the earnings results here, it's free. Founded by Norman Brinker in Dallas, Brinker International (NYSE:EAT) is a casual restaurant chain that operates the Chili's, Maggiano's Little Italy, and It's Just Wings banners. Brinker International reported revenues of $1.36 billion, up 26.5% year on year, outperforming analysts' expectations by 9.6%. The business had an incredible quarter with an impressive beat of analysts' EPS estimates and a solid beat of analysts' EBITDA estimates. Brinker International scored the biggest analyst estimates beat and highest full-year guidance raise among its peers. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 2.5% since reporting. It currently trades at $150.89. Is now the time to buy Brinker International? Access our full analysis of the earnings results here, it's free. Owner of the iconic Australian-themed Outback Steakhouse, Bloomin' Brands (NASDAQ:BLMN) is a leading American restaurant company that owns and operates a portfolio of popular restaurant brands. Bloomin' Brands reported revenues of $972 million, down 18.6% year on year, falling short of analysts' expectations by 9.9%. It was a disappointing quarter as it posted full-year EPS guidance missing analysts' expectations. Bloomin' Brands delivered the weakest performance against analyst estimates and slowest revenue growth in the group. As expected, the stock is down 46.8% since the results and currently trades at $6.33. Read our full analysis of Bloomin' Brands's results here. Based on a nautical reference to the first work shift aboard a ship, First Watch (NASDAQ:FWRG) is a chain of breakfast and brunch restaurants whose menu is heavily-focused on eggs and griddle items such as pancakes. First Watch reported revenues of $263.3 million, up 7.6% year on year. This result met analysts' expectations. It was a strong quarter as it also produced a solid beat of analysts' EPS estimates and an impressive beat of analysts' EBITDA estimates. The stock is flat since reporting and currently trades at $17.94. Read our full, actionable report on First Watch here, it's free. With locations often featuring Western-inspired decor, Texas Roadhouse (NASDAQ:TXRH) is an American restaurant chain specializing in Southern-style cuisine and steaks. Texas Roadhouse reported revenues of $1.44 billion, up 23.5% year on year. This print topped analysts' expectations by 2%. Overall, it was a very strong quarter as it also logged an impressive beat of analysts' EBITDA estimates and a decent beat of analysts' EPS estimates. The stock is flat since reporting and currently trades at $171.99. Read our full, actionable report on Texas Roadhouse here, it's free. In response to the Fed's rate hikes in 2022 and 2023, inflation has been gradually trending down from its post-pandemic peak, trending closer to the Fed's 2% target. Despite higher borrowing costs, the economy has avoided flashing recessionary signals. This is the much-desired soft landing that many investors hoped for. The recent rate cuts (0.5% in September and 0.25% in November 2024) have bolstered the stock market, making 2024 a strong year for equities. Donald Trump's presidential win in November sparked additional market gains, sending indices to record highs in the days following his victory. However, debates continue over possible tariffs and corporate tax adjustments, raising questions about economic stability in 2025. Want to invest in winners with rock-solid fundamentals? Check out our Hidden Gem Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Join Paid Stock Investor Research Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here. Sign in to access your portfolio
Yahoo
20-03-2025
- Business
- Yahoo
13 Menu Items Are Leaving The Cheesecake Factory - Is Your Favorite On The List?
Whether it's your preferred Sunday brunch spot or a casual Tuesday night happy hour, the Cheesecake Factory has been entertaining guests with its expansive menu and unique decor since the late 1970s. Over four decades since its inception, the eclectic chain has managed to skirt around the fine line of bankruptcy while its fellow casual dining competitors bit the dust. How? By switching up the menu twice per year, just one of the many interesting facts you should know about the Cheesecake Factory. Menu changes mean it's out with the old and in with the new. Just this week, the Cheesecake Factory announced that it will say goodbye to 13 menu items, including Everything Flatbread Pizza Mushroom Burger Seared Ahi Tuna Salad White Chicken Chili Spicy Cashew Chicken Bistro Shrimp Pasta Fried Shrimp Platter Petite Filet Factory Combinations Loaded Mashed Potato Omelette Taco Dorados and Eggs SkinnyLicious Lemon Herb Parmesan Chicken SkinnyLicious Spicy Shrimp Pasta Although many items are getting the axe, over 20 new items will join the Cheesecake Factory's multi-page menu over the next few months. Read more: 13 Steakhouse Chains In The US, Ranked Worst To Best One of our writers here at Tasting Table had the opportunity to try the Cheesecake Factory's 2025 menu update, and he certainly had some thoughts about it. The Avocado Eggrolls, Spicy Tuna, and Chicken Shawarma were among our writer's favorites, with the Mortadella Panino and the Asian Cucumber Salad getting notable mentions. The frequent menu changes keep the restaurant current, according to the Cheesecake Factory's CEO David Overton. He told Nation's Restaurant News in 2018 that "there's nothing that America wants to eat that can't go on the Cheesecake Factory menu." If you're worried about waving farewell to any of those 13 menu items, there's no need to be too upset. There are plenty of similar items able to step in to fill the void left by some of the discontinued items. If you loved the Seared Ahi Tuna Salad, you could try the new Seared Tuna Tataki Salad. The SkinnyLicious Spicy Shrimp Pasta might be swimming back out to sea, but you could always substitute it with the new Skinnylicious Grilled Branzino. The Everything Flatbread Pizza won't be returning, but there are still five other flatbreads to choose from. Sticking with tradition may be fun during holiday gatherings, but the Cheesecake Factory knows that to stay ahead of the competition, sometimes it's alright to change things up. And don't worry, you can still end your meal with one of the Cheesecake Factory's signature cheesecakes. Read the original article on Tasting Table.
Yahoo
20-03-2025
- Business
- Yahoo
The Cheesecake Factory is eliminating 13 menu items in major makeover
Say your final farewells to the 'Loaded Mashed Potato Omelette,' because it's one of the more than dozen menu items that the Cheesecake Factory has eliminated from its menu as part of a broader shakeup. The Cheesecake Factory's massive, spiral-bound menu, which has more than 250 items, is perhaps the most recognizable trademark of the company, but it undergoes a yearly change to keep diners coming back. That has helped the chain buck overall weakness in the casual dining sector in which only a few have been able to successfully crack the code — notably, Chili's — while others have fallen into bankruptcy or continue to struggle. 'We've changed the menu twice a year, every year, for 40 years,' founder David Overton said in a 2017 interview. 'That's what keeps people interested. And it keeps us current. We don't rest on our laurels. There's nothing that America wants to eat that can't go on the Cheesecake Factory menu.' As part of this shakeup, the chain is ditching 13 menu items: Everything Flatbread Pizza Mushroom Burger Seared Ahi Tuna Salad White Chicken Chili Spicy Cashew Chicken Bistro Shrimp Pasta Fried Shrimp Platter Petite Filet Factory Combinations Loaded Mashed Potato Omelette Taco Dorados and Eggs SkinnyLicious Lemon Herb Parmesan Chicken SkinnyLicious Spicy Shrimp Pasta But shrinkflation isn't eating into its novel-like menu. The Cheesecake Factory is replacing the ousted items with about 20 new foods and cocktails, plus it's getting into the 'mocktail' trend. Some notable new menu items are inspired by TikTok, like the Asian Cucumber Salad that took over people's feeds last year. Others have been pulled from its fast food rivals, like the Double Smash Burger. Keeping the menu fresh has helped the 53-year-old chain avoid the fate of its rivals and its bolstered its bottom line. The Cheesecake Factory's (CAKE) stock is up more than 35% over the past year and its sales at stores open at least a year have fallen only once since the beginning of 2023. The chain has about 200 locations in United States and Canada. A recent report from a consumer analysis firm, said the Cheesecake Factory benefits from its 'ability to harness the power of annual dining milestones,' adding that these days 'can be powerful drivers of foot traffic at restaurants, offering chains a prime opportunity to grow visits – and sales.' Plus, the chain is benefiting from Flower Child, a casual spinoff with about 40 locations that focuses on healthy foods, like sandwiches and salads. Same-store sales jumped 11% in its most recent quarter, according to its earnings report, helping propel the overall company's health. Sign in to access your portfolio
