Cheesecake Factory shares rise 2% as Q1 earnings top estimates

Published 30/04/2025, 21:36
Cheesecake Factory shares rise 2% as Q1 earnings top estimates

CALABASAS HILLS, Calif. - The Cheesecake Factory Incorporated (NASDAQ:CAKE) reported better-than-expected first quarter earnings, sending shares up 1.2% in after-hours trading on Wednesday.

The restaurant chain posted adjusted earnings per share of $0.93, surpassing analyst estimates of $0.81. Revenue came in at $927.2 million, slightly below the consensus forecast of $928.07 million but up 4% YoY.

Comparable restaurant sales at The Cheesecake Factory restaurants increased 1.0% compared to the same quarter last year.

"Our first quarter results reflect a strong start to the year as we delivered solid topline revenue, margins and earnings, reflecting continued positive momentum across our business," said David Overton, Chairman and CEO. "Sales finished towards the higher end of our expectations, led by The Cheesecake Factory restaurants, underscoring the consistent consumer demand for the high-quality, differentiated dining experiences we provide."

The company opened eight new restaurants during the quarter, including three North Italia locations, three Flower Child locations and two Fox Restaurant Concepts restaurants.

For fiscal 2025, Cheesecake Factory continues to expect to open as many as 25 new restaurants across its various brands.

The company repurchased approximately 2.6 million shares of its common stock at a cost of $141.4 million in the first quarter. Additionally, the Board of Directors declared a quarterly dividend of $0.27 per share.

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