Texas Roadhouse Sizzles with Record-Breaking Quarter
Texas Roadhouse, the beloved restaurant chain, has just released its fourth-quarter earnings report, and it's a doozy. The company has been on fire in 2024, with strong performance across all aspects of its business.
In a call with investors, Jerry Morgan, CEO of Texas Roadhouse, highlighted some impressive milestones. Revenue grew to nearly $5.4 billion, a significant increase from previous years. What's more, the company achieved double-digit growth in restaurant margin dollars, income from operations, and earnings per share for the second consecutive year.
But that's not all - 2024 was also special for Texas Roadhouse as it marked several key achievements. The company opened its 750th systemwide restaurant, its first international Jaggers, and was named Brand Icon by Nation's Restaurant News. To celebrate its 20-year anniversary as a public company, the chain threw a party that would make anyone proud.
Underlying this success is Texas Roadhouse's people-first mentality. In 2024, the company continued to give back to the communities it serves through various initiatives. It partnered with Homes for Our Troops to fully fund their 400th custom-built home, raised over $925,000 for the American Tinnitus Association in honor of its late founder Kent Taylor, and honored over 1 million veterans on Veterans Day with a free meal or voucher for a future meal.
Looking ahead to 2025, Texas Roadhouse is poised to continue its upward trajectory. The company plans to open approximately 30 company-owned restaurants across all three brands, capitalizing on the momentum from last year's expansion. This includes the acquisition of 13 franchise restaurants in Indiana, Ohio, and California.
As consumers become increasingly mindful of value, Texas Roadhouse has taken steps to maintain its competitive edge. The company will implement a 1.4 menu price increase at the beginning of the second quarter to address evolving consumer preferences. To complement this move, Texas Roadhouse is also introducing a variety of mocktails at its restaurants and Bubba's 33 locations, with early indications suggesting a positive impact on sales.
Finally, the company continues to invest in technology initiatives that enhance both efficiency and customer experience. Upgrades to digital kitchen conversions will be completed by the end of 2025, while guest management system upgrades aim to improve wait times and seating utilization.
