Commodity costs, opening expenses challenge the steakhouse operator
High commodity cost inflation and increased restaurant pre-opening costs challenged Texas Roadhouse Inc. during the third quarter ended Sept. 24. The steakhouse operator saw profit drop nearly 5 percent, while revenue and same-store sales rose.
“Looking ahead, we are encouraged by expectations of much lower commodity cost inflation in 2014, and we are excited to be on pace for another year of 25 to 30 restaurant openings,” chief executive Kent Taylor said in an earnings release.
The chain, which includes more than 410 locations, saw positive traffic trends lift its same-store sales.
Result: $17.2 million, or 24 cents per share
% Decrease: 4.9% (from $18.1 million, or 25 cents per share)
Result: $334.8 million
% Increase: 8.5% (from $308.7 million)
% Increase at corporate units: 2.6%
% Increase at franchised units: 4.0%
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