NASDAQ$TXRH

Texas Roadhouse Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Texas Roadhouse reported strong Q2 2024 results driven by increased comparable restaurant sales and effective cost management.

Texas Roadhouse, Inc. announced financial results for the second quarter of 2024, showing a 14.5% increase in total revenue to $1,341.2 million and a 46.0% increase in net income to $120.1 million compared to the same period last year. Diluted earnings per share increased by 46.4% to $1.79. The company benefited from strong comparable restaurant sales growth and improved restaurant margin.

  • Comparable restaurant sales increased 9.3% at company restaurants and 8.3% at domestic franchise restaurants.
  • Average weekly sales at company restaurants were $158,991, including $19,975 in to-go sales.
  • Restaurant margin dollars increased 32.7% to $242.6 million, with restaurant margin as a percentage of restaurant and other sales increasing to 18.2%.
  • Diluted earnings per share increased 46.4%, driven by higher restaurant margin dollars.

Headline financials

Total Revenue

$1.34B

Previous: $1.17B+14.5%
EPS

$1.79

Previous: $1.22+46.7%
Comparable Sales Growth

9.3%

No prior period
Avg Weekly Sales (Company)

$159K

No prior period
Avg Weekly To-Go Sales

$20K

No prior period
Restaurant Margin Dollars

$243M

No prior period
Restaurant Margin %

18.2%

No prior period
Company Openings

6

No prior period
Franchise Openings

3

No prior period
Total Restaurants

762

No prior period
Company Restaurants

650

No prior period
Franchise Restaurants

112

No prior period
Capital Expenditures

-$155M

Previous: -$155M-0.6%
Free Cash Flow

-$32.4M

Previous: -$72.3M+55.2%
Net Income

$123M

Previous: $82.3M+49.6%
Operating Income

$143M

Previous: $95.4M+49.7%
Gross Profit

-$1.09B

Previous: -$982M-11.1%
Stock-Based Comp

$8.86M

Previous: $8.59M+3.1%

Revenue & EPS history

Texas Roadhouse · Revenue · Quarterly

$1.34B

Q2 2024+14.5%vs Q2 2023
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Forward guidance

Texas Roadhouse provided updated expectations for 2024, including store week growth of approximately 7.5% and commodity cost inflation of approximately 2%.

Tailwinds

  • Positive comparable restaurant sales growth including the benefit of menu pricing actions
  • Store week growth of approximately 7.5%, including a benefit of 2% from the 53rd week
  • Growing brand globally with over 50 international franchise locations
  • Strong traffic trends
  • Some relief on commodity inflation

Headwinds

  • Commodity cost inflation of approximately 2%
  • Wage and other labor inflation of 4% to 5%
  • Total capital expenditures of $360 million to $370 million
  • Higher general and administrative expenses
  • Higher depreciation and amortization expenses

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+0.9%

Avg return

Earnings day

+1.3%

Avg return

5 days after

+1.6%

Avg return

30 days after

51%

33 / 65 earnings

Positive

+21.2%

Q3 2019

Best reaction

-13.1%

Q4 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+12.2%+13.4%+7.8%
Q4 2025-2.0%-0.4%-6.4%
Q3 2025+2.9%+4.3%+3.4%
Q1 2025+4.8%+9.6%+13.1%
Q4 2024-1.4%+2.4%-1.0%
Q3 2024+4.7%+7.9%+8.9%
Q2 2024+2.4%+5.1%+1.9%
Q1 2024+4.2%+5.7%+9.9%
Q4 2023+11.6%+11.2%+15.0%
Q3 2023+1.3%+5.3%+16.8%
Q2 2023-2.9%-2.1%-7.5%
Q1 2023-3.9%-4.5%-1.0%
Q4 2022+0.0%+0.2%+1.0%
Q3 2022+1.5%+1.8%+2.0%
Q2 2022+2.4%+2.0%+6.1%
Q1 2022+3.0%-2.3%-1.6%
Q4 2021-1.6%+4.3%-6.6%
Q3 2021+0.4%-0.8%-3.4%
Q2 2021-6.7%-10.2%-3.3%
Q1 2021+6.2%+6.1%-0.1%
Q4 2020+3.3%+6.1%+12.5%
Q3 2020+3.2%-0.0%+8.3%
Q2 2020+6.2%+7.6%+14.9%
Q1 2020-2.7%+6.1%+29.2%
Q4 2019+10.0%+1.8%-44.8%
Q3 2019+21.2%+16.3%+16.7%
Q2 2019+0.7%+1.8%-8.6%
Q1 2019-10.9%-9.7%-14.2%
Q4 2018-4.3%-4.5%-7.0%
Q3 2018-6.9%-7.5%-0.1%
Q2 2018-7.4%-6.7%-1.4%
Q1 2018-1.0%-1.7%-2.1%
Q4 2017-2.3%-1.2%-0.3%
Q3 2017-2.3%-5.0%-0.1%
Q2 2017+3.4%+1.4%-1.8%
Q1 2017+9.4%+7.5%+4.4%
Q4 2016-13.1%-12.5%-9.8%
Q3 2016-2.5%-4.3%+17.8%
Q2 2016-11.5%-5.6%-6.2%
Q1 2016+7.2%
Q4 2015+13.3%
Q3 2015+4.8%
Q2 2015-1.4%
Q1 2015+3.3%
Q4 2014+3.9%
Q3 2014+7.2%
Q2 2014-0.4%
Q1 2014-3.0%
Q4 2013+0.1%
Q3 2013-0.9%
Q2 2013-0.6%
Q1 2013+11.6%
Q4 2012+8.9%
Q3 2012+5.4%
Q2 2012-3.9%
Q1 2012-4.1%
Q4 2009-2.4%
Q4 2011-2.4%
Q3 2010+1.0%
Q3 2011+1.0%
Q2 2010-9.6%
Q2 2011-9.6%
Q1 2010-0.6%
Q4 2010-0.6%
Q1 2011-0.6%

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