Key Highlights

  • The Cheesecake Factory reported third quarter total revenue of USD 1,033.4 million, up from USD 907.2 million a year earlier.
  • Comparable restaurant sales at Cheesecake Factory locations increased 15.2% year over year during the quarter.
  • Adjusted diluted earnings per share were USD 1.02, while GAAP diluted earnings per share were USD 1.19.
  • The company opened six new restaurants in the quarter and still expects up to 26 new openings across its concepts in fiscal 2026.

Record Revenue Driven by Comparable Sales Growth

The Cheesecake Factory (NASDAQ:CAKE) reported third quarter total revenues of USD 1,033.4 million, compared with USD 907.2 million in the same period of fiscal 2025. Net income was USD 61.3 million, with diluted net income per share of USD 1.19 on a GAAP basis.

Comparable restaurant sales at Cheesecake Factory locations rose 15.2% year over year during the quarter. Excluding a USD 12.9 million pre-tax item tied to the Fox Restaurant Concepts acquisition, adjusted net income was USD 52.3 million, with adjusted diluted earnings per share of USD 1.02.

Restaurant Expansion Continues Across Concepts

The company opened six new restaurants during the quarter, including two Cheesecake Factory locations, one North Italia, one Flower Child and two Fox Restaurant Concepts locations. After quarter end, it opened two additional Flower Child restaurants and one more Fox Restaurant Concepts location.

The company continues to expect to open as many as 26 new restaurants in fiscal 2026 across its brands, including up to five Cheesecake Factory restaurants, eight North Italia locations, seven Flower Child locations and as many as six Fox Restaurant Concepts restaurants, reflecting a multi concept growth strategy spanning several restaurant formats.

Capital Allocation and Integration Considerations

The company repurchased approximately 29,800 shares during the quarter for USD 2.4 million and declared a quarterly dividend of USD 0.30 per share, payable in November to shareholders of record in mid November. The acquisition related item tied to Fox Restaurant Concepts continues to factor into the gap between GAAP and adjusted earnings per share.

Continued strength in comparable sales growth at the core Cheesecake Factory brand could support further margin gains, while the pace of new restaurant openings across four distinct concepts introduces execution variables that could affect near term cost structure and store level profitability.

Expansion Metrics to Track

The pace of new restaurant openings relative to the up to 26 planned for fiscal 2026, further comparable sales trends relative to the 15.2% reported this quarter, and the ongoing integration of Fox Restaurant Concepts are among the items the company has highlighted for investors. The gap between GAAP and adjusted earnings per share, tied to acquisition related items, remains a reference point for assessing underlying profitability.