Texas Roadhouse Q4 EPS Misses by 16.5%, Revenue 1.3% Below Forecast
Texas Roadhouse reported Q4 EPS of $1.28, missing estimates by 16.5%, and revenue of $1.48 billion, a 1.3% shortfall. Management forecast 5–6% store-week growth, implemented a 1.9% menu price increase, declared a $0.75 dividend and acquired five restaurants for $72 million.
1. Q4 Earnings and Revenue Results
Texas Roadhouse reported Q4 GAAP EPS of $1.28, a 16.5% miss versus the $1.53 estimate, and generated $1.48 billion in revenue, missing forecasts by 1.3% and up from $1.44 billion a year ago.
2. Comparable Sales and Cost Pressures
Company-owned restaurants delivered a 4.2% increase in comparable sales, while restaurant margins contracted by 309 basis points to 13.9% due to 9.5% commodity inflation and rising labor costs.
3. Outlook, Dividend and Acquisition
Management expects 5–6% store-week growth for 2026, rolled out a 1.9% menu price increase in April, approved a $0.75 quarterly dividend and acquired five domestic franchise restaurants for $72 million.