The Cheesecake Factory Inc. reported Wednesday that first-quarter profit rose more than 19 percent from the same quarter a year ago, as the company benefited from lower food costs and higher sales.
Same-store sales at the Calabasas Hills, Calif.-based casual-dining chain rose 1.7 percent in the quarter ended March 29.
“We effectively kicked off 2016 with another quarter of positive comparable sales, our 25th in a row,” CEO David Overton said in a statement. “Consistent and predictable performance is a hallmark of The Cheesecake Factory and is representative of the highly differentiated guest experience our operations team delivers every day.”
First-quarter revenue rose 7 percent to $553.7 million, from $518 million in the same quarter a year ago. Net income totaled $34 million, or 70 cents per share, up 19.5 percent from $28.4 million, or 58 cents a year ago.
Cost of sales in the quarter was 23.6 percent of revenue, down from 24.4 percent a year ago. Labor expenses, however, were 33.5 percent of sales, up from 33 percent a year ago.
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