# CHEESECAKE FACTORY INC (CAKE)

Informational only - not investment advice.

CIK: 0000887596
SIC: 5812 Retail-Eating  Places
SIC breadcrumb: [Retail Trade](/division/G/) > [Eating And Drinking Places](/major-group/58/) > [SIC 5812 Retail-Eating  Places](/industry/5812/)
Latest 10-K filed: 2026-02-23
SEC page: https://www.sec.gov/edgar/browse/?CIK=887596
Filing source: https://www.sec.gov/Archives/edgar/data/887596/000110465926018643/cake-20251230x10k.htm

## At a glance

FY2025 · period end 2025-12-30 · filed 2026-02-23 · accession 0001104659-26-018643 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000887596.json

| Metric | Value | FY | Provenance |
| --- | ---: | ---: | --- |
| Revenue | 3,751,806,000 USD | 2025 | verified |
| Net income | 148,427,000 USD | 2025 | verified |
| Assets | 3,261,672,000 USD | 2025 | verified |
| Free cash flow | 155,077,000 USD | 2025 | computed |
| Net margin | 3.96% | 2025 | computed |
| Operating margin | 4.99% | 2025 | computed |
| Revenue YoY | +4.75% | 2025 | computed |
| ROE | 34.01% | 2025 | computed |

Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Operating margin = operating income ÷ revenue. Revenue YoY = FY2025 revenue ÷ FY2024 revenue − 1 (consecutive fiscal years only). ROE = net income ÷ period-end stockholders' equity.

Peer groups: [Restaurants and food-service operators](/compare/restaurants/) · SIC 5812 Retail-Eating  Places

No market price, no rating, no forecast on this site. Not investment advice.

## Peer comparisons including CAKE

- Restaurants and food-service operators: [peer review](/compare/restaurants/) · [market-risk page](/compare/restaurants/risk/)

### Peer percentile fingerprint

| Ratio | CAKE | Peer median | Percentile | N |
| --- | ---: | ---: | ---: | ---: |
| Net margin | 4.0% | 3.5% | 58 | 25 |
| Operating margin | 5.0% | 5.0% | 50 | 23 |
| Revenue growth | 4.7% | 5.4% | 46 | 25 |
| FCF margin | 4.1% | 5.1% | 46 | 25 |
| ROE | 34.0% | 8.6% | 82 | 18 |
| ROA | 4.6% | 3.6% | 58 | 25 |
| Liabilities / equity | 6.47 | 1.98 | 88 | 18 |
| Current ratio | 0.59 | 0.81 | 46 | 25 |

Percentile = share of the N covered peers reporting that ratio whose value is lower (ties counted half); computed among grepcent-covered companies in SIC industry 5812 Retail-Eating  Places, not the whole market. A higher percentile means a higher value of the ratio, not a better company. Ratios with fewer than 8 reporting peers are omitted. Latest reported values per company; fiscal periods may differ. Descriptive arithmetic - not a score, rating, or ranking.

## Selected Fundamentals
| Metric | Value | Unit | FY | Filed |
| --- | ---: | --- | ---: | --- |
| Revenue | 3751806000 | USD | 2025 | 2026-02-23 |
| Net income | 148427000 | USD | 2025 | 2026-02-23 |
| Assets | 3261672000 | USD | 2025 | 2026-02-23 |

## Financials

Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-02-23. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000887596.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Revenue |  |  |  |  |  |  | 3,303,156,000 | 3,439,503,000 | 3,581,699,000 | 3,751,806,000 |
| Net income |  |  | 99,035,000 | 127,293,000 | -253,365,000 | 72,373,000 | 43,123,000 | 101,351,000 | 156,783,000 | 148,427,000 |
| Operating income | 200,993,000 | 152,845,000 | 118,948,000 | 103,598,000 | -347,437,000 | 82,318,000 | 38,935,000 | 108,566,000 | 178,317,000 | 187,285,000 |
| Diluted EPS | 2.83 | 3.27 | 2.14 | 2.86 | -6.32 | 1.01 | 0.86 | 2.07 | 3.20 | 3.06 |
| Operating cash flow | 316,381,000 | 238,796,000 | 291,315,000 | 218,761,000 | 2,908,000 | 213,006,000 | 161,926,000 | 218,401,000 | 268,325,000 | 301,281,000 |
| Capital expenditures | 115,821,000 | 120,779,000 | 102,909,000 | 73,765,000 | 50,329,000 | 66,943,000 | 112,464,000 | 151,565,000 | 160,364,000 | 146,204,000 |
| Dividends paid |  |  |  | 60,722,000 | 15,791,000 | 337,000 | 42,272,000 | 53,207,000 | 53,041,000 | 52,192,000 |
| Share buybacks | 146,467,000 | 122,975,000 | 109,276,000 | 50,982,000 | 3,621,000 | 5,766,000 | 63,132,000 | 46,085,000 | 18,228,000 | 153,896,000 |
| Assets | 1,293,319,000 | 1,333,060,000 | 1,314,133,000 | 2,840,593,000 | 2,747,054,000 | 2,798,125,000 | 2,775,220,000 | 2,840,383,000 | 3,041,760,000 | 3,261,672,000 |
| Liabilities |  |  |  |  |  |  | 2,483,217,000 | 2,522,321,000 | 2,598,305,000 | 2,825,245,000 |
| Stockholders' equity | 603,207,000 | 613,530,000 | 571,059,000 | 571,742,000 | 288,693,000 | 330,166,000 | 292,003,000 | 318,062,000 | 443,455,000 | 436,427,000 |
| Cash and cash equivalents | 53,839,000 | 6,008,000 | 26,578,000 | 58,416,000 | 154,085,000 | 189,627,000 | 114,777,000 | 56,290,000 | 84,176,000 | 215,729,000 |
| Free cash flow | 200,560,000 | 118,017,000 | 188,406,000 | 144,996,000 | -47,421,000 | 146,063,000 | 49,462,000 | 66,836,000 | 107,961,000 | 155,077,000 |

### Ratios

ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Net margin |  |  |  |  |  |  | 1.31% | 2.95% | 4.38% | 3.96% |
| Operating margin |  |  |  |  |  |  | 1.18% | 3.16% | 4.98% | 4.99% |
| Return on equity |  |  | 17.34% | 22.26% | -87.76% | 21.92% | 14.77% | 31.87% | 35.35% | 34.01% |
| Return on assets |  |  | 7.54% | 4.48% | -9.22% | 2.59% | 1.55% | 3.57% | 5.15% | 4.55% |
| Liabilities / equity |  |  |  |  |  |  | 8.50 | 7.93 | 5.86 | 6.47 |
| Current ratio | 0.59 | 0.52 | 0.47 | 0.40 | 0.58 | 0.64 | 0.53 | 0.46 | 0.47 | 0.59 |

## As-reported value updates

No tracked differences above grepcent's stated thresholds and capped precision rule were found between the earliest XBRL-filed value and the value currently on file for the standardized annual metrics grepcent tracks.


## Quarterly

Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-08-03. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000887596.json.

Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived.

| Quarter | End date | Revenue | Net income | Diluted EPS | Method |
| --- | --- | ---: | ---: | ---: | --- |
| 2022-Q3 | 2022-09-27 |  |  | -0.05 | reported discrete quarter |
| 2023-Q1 | 2023-04-04 | 866,114,000 |  | 0.56 | reported discrete quarter |
| 2023-Q2 | 2023-07-04 | 866,170,000 | 42,675,000 | 0.87 | reported discrete quarter |
| 2023-Q3 | 2023-10-03 | 830,210,000 | 17,945,000 | 0.37 | reported discrete quarter |
| 2024-Q1 | 2024-04-02 | 891,223,000 | 33,191,000 | 0.68 | reported discrete quarter |
| 2024-Q2 | 2024-07-02 | 904,042,000 | 52,444,000 | 1.08 | reported discrete quarter |
| 2024-Q3 | 2024-10-01 | 865,471,000 | 29,994,000 | 0.61 | reported discrete quarter |
| 2024-Q4 | 2024-12-31 |  | 41,154,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2025-Q1 | 2025-04-01 | 927,197,000 | 32,941,000 | 0.67 | reported discrete quarter |
| 2025-Q2 | 2025-07-01 | 955,825,000 | 54,812,000 | 1.14 | reported discrete quarter |
| 2025-Q3 | 2025-09-30 | 907,226,000 | 31,899,000 | 0.66 | reported discrete quarter |
| 2025-Q4 | 2025-12-30 | 961,558,000 | 28,775,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2026-Q1 | 2026-03-31 | 978,833,000 | 49,548,000 | 1.02 | reported discrete quarter |
| 2026-Q2 | 2026-06-30 | 1,029,633,000 | 68,394,000 | 1.41 | reported discrete quarter |

## Filed narrative (10-K & 10-Q)

## Business

Verbatim Item 1 Business section from CAKE's latest 10-K: [/company/CAKE/business/](/company/CAKE/business/).

## Risk Factors

Verbatim Item 1A Risk Factors from CAKE's latest 10-K: [/company/CAKE/risk-factors/](/company/CAKE/risk-factors/).

## Latest quarter (10-Q)

Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/887596/000110465926089840/cake-20260630x10q.htm

Extracted structurally from real Item 2 body heading to real Item 3/4 boundary.
Confidence: high
Filing date: 2026-08-03
Report date: 2026-06-30

Item 2.   Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Forward-Looking Statements

Certain information included in this Form 10-Q and other materials we have filed or may file with the Securities and Exchange Commission (“SEC”), as well as information included in oral or written statements made by us or on our behalf, may contain forward-looking statements about our current and presently expected performance trends, growth plans, business goals and other matters.

These statements may be contained in our filings with the SEC, in our press releases, in other written communications, and in oral statements made by or with the approval of one of our authorized officers. These statements are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as codified in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (together with the Securities Act, the “Acts”). This includes, without limitation, statements regarding corporate social responsibility (“CSR”), including in our CSR report, the effects of geopolitical and macroeconomic factors, including evolving government policies and global trade dynamics, on our financial condition and our results of operations, financial guidance and projections, as well as expectations of our future financial condition, results of operations, sales, target growth rates, cash flows, quarterly dividends, share repurchases, capital structure and leverage, corporate strategy, potential price increases, plans, targets, goals, objectives, performance, growth potential, competitive position and business, and statements regarding our ability to: leverage our competitive strengths, including developing and investing in new restaurant concepts and expanding The Cheesecake Factory® brand to other retail opportunities; maintain our aggregate sales volumes; deliver comparable sales growth; provide a differentiated experience to customers; outperform the casual dining industry and increase our market share; leverage sales increases and manage flow through; manage market risks and cost pressures, including increasing wage rates and insurance costs, and increase margins; grow earnings; remain relevant to consumers; attract and retain qualified management and other staff; increase shareholder value; find suitable sites and manage increasing construction costs; profitably expand our concepts domestically and in Canada, and work with our licensees to expand The Cheesecake Factory internationally; support the growth of North Italia, Flower Child and additional brands within our Fox Restaurant Concepts (“Other FRC”) restaurants; and utilize our capital effectively. These forward-looking statements may be affected by various factors including: economic, public health and political conditions that impact consumer confidence and spending, including government shutdowns, trade policy, changes in interest rates, periods of heightened inflation and market instability, and armed conflicts; supply chain disruptions; demonstrations, political unrest, potential damage to or closure of our restaurants and potential reputational damage to us or any of our brands; pandemics and related containment measures, including the potential for quarantines or restriction on in-person dining; acceptance and success of The Cheesecake Factory in international markets; acceptance and success of North Italia, Flower Child and Other FRC restaurants; the risks of doing business abroad through Company-owned restaurants and/or licensees; foreign exchange rates, tariffs and cross border taxation; changes in unemployment rates; increases in minimum wages and benefit costs; the economic health of our landlords and other tenants in retail centers in which our restaurants are located, and our ability to successfully manage our lease arrangements with landlords; the economic health of suppliers, licensees, vendors and other third parties providing goods or services to us; the timing of our new unit development and related permitting; compliance with debt covenants; strategic capital allocation decisions including with respect to share repurchases or dividends; the ability to achieve projected financial results; the resolution of uncertain tax positions with the Internal Revenue Service and the impact of tax reform legislation; changes in laws impacting our business; adverse weather conditions and natural disasters in regions in which our restaurants are located; factors that are under the control of government agencies, landlords and other third parties; the risks, costs and uncertainties associated with opening new restaurants; and other risks and uncertainties detailed from time to time in our filings with the SEC. Such forward-looking statements include all other statements that are not historical facts, as well as statements that are preceded by, followed by or that include words or phrases such as “believe,” “plan,” “will likely result,” “expect,” “intend,” “will continue,” “is anticipated,” “estimate,” “project,” “may,” “could,” “would,” “should” and similar expressions. These statements are based on our current expectations and involve risks and uncertainties that may cause results to differ materially from those set forth in such statements.

20

Table of Contents

In connection with the “safe harbor” provisions of the Acts, we have identified and are disclosing important factors, risks and uncertainties that could cause our actual results to differ materially from those projected in forward-looking statements made by us, or on our behalf. (See Part II, Item 1A of this report, “Risk Factors,” and Part I, Item 1A, “Risk Factors,” included in our Annual Report on Form 10-K for the fiscal year ended December 30, 2025.) These cautionary statements are to be used as a reference in connection with any forward-looking statements. The factors, risks and uncertainties identified in these cautionary statements are in addition to those contained in any other cautionary statements, written or oral, which may be made or otherwise addressed in connection with a forward-looking statement or contained in any of our subsequent filings with the SEC. Because of these factors, risks and uncertainties, we caution against placing undue reliance on forward-looking statements. Although we believe that the assumptions underlying forward-looking statements are currently reasonable, any of the assumptions could be incorrect or incomplete, and there can be no assurance that forward-looking statements will prove to be accurate. Forward-looking statements speak only as of the date on which they are made, and we undertake no obligation to publicly update or revise any forward-looking statements or to make any other forward-looking statements, whether as a result of new information, future events or otherwise, unless required to do so by law.

The below discussion and analysis, which contains forward-looking statements, should be read in conjunction with our interim unaudited condensed consolidated financial statements and related notes in Part I, Item 1 of this report, Part II, Item 1A of this report, “Risk Factors,” and with the following items included in our Annual Report on Form 10-K for the fiscal year ended December 30, 2025: the audited consolidated financial statements and related notes in Part IV, Item 15; “Risk Factors” included in Part I, Item 1A; “Management’s Discussion and Analysis of Financial Condition and Results of Operations” included in Part II, Item 7; and the cautionary statements included throughout this Form 10-Q. The inclusion of supplementary analytical and related information herein may require us to make estimates and assumptions to enable us to fairly present, in all material respects, our analysis of trends and expectations with respect to our results of operations and financial position.

Geopolitical and Other Macroeconomic Impacts to our Operating Environment

In recent years, our operating results were impacted by geopolitical and macroeconomic events, causing supply chain challenges and significantly increased commodity and wage inflation. Our commodity and wage inflationary environment began returning to more historical levels in fiscal 2024.

The impact of ongoing geopolitical and macroeconomic events, including evolving government policies and global trade and tariff dynamics, could lead to issues such as further wage inflation, product and services cost inflation, disruptions in the supply chain, staffing challenges, shifts in consumer behavior and delays in new restaurant openings. Adverse weather conditions and natural disasters may further exacerbate a number of these factors. For more information regarding the risks to our business relating to the geopolitical and macroeconomic events, see Part II, Item 1A of this report, “Risk Factors,” and “Risk Factors” in Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 30, 2025.

General

The Cheesecake Factory Incorporated is a leader in experiential dining. We are culinary forward and relentlessly focused on hospitality. We currently own and operate 375 restaurants throughout the United States and Canada under brands including The Cheesecake Factory® (217 locations), North Italia® (51 locations), Flower Child® (44 locations) and additional brands within our FRC portfolio (57 locations). Internationally, 36 The Cheesecake Factory® restaurants operate under licensing agreements. Our bakery division operates two facilities that produce quality cheesecakes and other baked products for our restaurants, international licensees and third-party bakery customers.

Overview

Our strategy is driven by our commitment to deliver exceptional food and hospitality, and is centered primarily on menu innovation, service and operational execution to differentiate our concepts and drive competitively strong performance that is sustainable over the long-term. Financially, we are focused on prudently managing expenses at our restaurants, bakery facilities and corporate support center, while leveraging our scale, purchasing power and operational discipline to support financial performance.

Our top long-term capital allocation priority is to develop new Company-owned restaurants, with a focus on opening our concepts in premier locations within new and existing markets. We plan to continue expanding The Cheesecake Factory, North Italia and Flower Child concepts. In addition, our FRC subsidiary serves as an incubator, innovating new food, dining and hospitality experiences to create differentiated, high-quality concepts.

21

Table of Contents

Our revenue growth is primarily driven by new restaurant openings and increases in comparable restaurant sales.

For The Cheesecake Factory concept, our strategy is to increase comparable restaurant sales by growing average check while maintaining customer traffic. We strive to accomplish this by (1) continuing to offer innovative, high quality menu items that offer customers a wide range of options in terms of flavor, price and value, (2) focusing on service and hospitality with the goal of delivering an exceptional dining experience and (3) continuing to provide our customers with convenient options for off-premise dining. We continue to support these efforts through a number of initiatives, including menu innovation, increasing customer throughput in our restaurants, leveraging our gift card program, partnering with a third party to provide delivery services for our restaurants, increasing customer awareness of our online ordering capabilities and improving the pick-up experience, augmenting our marketing programs, including our Cheesecake Rewards® program, enhancing our training programs and leveraging insights from our customer satisfaction measurement platform.

Average check variations are driven by menu price i

[Excerpt truncated for page length; source filing is linked above.]

## Latest 10-K MD&A (excerpt)

Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/887596/000110465926018643/cake-20251230x10k.htm
Complete FY 2025 MD&A: /company/CAKE/mda/fy2025/

Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary.
Confidence: high
Filing date: 2026-02-23
Report date: 2025-12-30

ITEM 7.         MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

This Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”), which contains forward-looking statements, should be read in conjunction with our audited consolidated financial statements and related notes in Part IV, Item 15 of this report, the “Risk Factors” included in Part I, Item 1A of this report and the cautionary statements included throughout this report. The inclusion of supplementary analytical and related information herein may require us to make estimates and assumptions to enable us to fairly present, in all material respects, our analysis of trends and expectations with respect to our results of operations and financial position.

We utilize a 52/53-week fiscal year ending on the Tuesday closest to December 31 for financial reporting purposes. Fiscal years 2025, 2024 and 2023 each consisted of 52 weeks. Fiscal year 2026 will consist of 52 weeks. The following MD&A includes a discussion comparing our results in fiscal 2025 to fiscal 2024. For a discussion comparing our results from fiscal 2024 to fiscal 2023, refer to “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 of our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, filed with the SEC on February 24, 2025.

Geopolitical and Other Macroeconomic Impacts to our Operating Environment

In recent years, our operating results were impacted by geopolitical and macroeconomic events, causing supply chain challenges and significantly increased commodity and wage inflation. Our commodity and wage inflationary environment began returning to more historical levels in fiscal 2024.

The impact of ongoing geopolitical and macroeconomic events, including evolving government policies and global trade and tariff dynamics, could lead to further wage inflation, product and services cost inflation, disruptions in the supply chain, staffing challenges, shifts in consumer behavior, and delays in new restaurant openings. Adverse weather conditions and natural disasters may further exacerbate a number of these factors. Any of these factors may have an adverse impact on our business and materially adversely affect our financial performance.

General

The Cheesecake Factory Incorporated is a leader in experiential dining. We are culinary forward and relentlessly focused on hospitality. As of February 23, 2026, we owned and operated 368 restaurants throughout the United States and Canada under brands including The Cheesecake Factory® (216 locations), North Italia® (48 locations), Flower Child® (43 locations) and additional brands within our FRC portfolio (55 locations). Internationally, 35 The Cheesecake Factory® restaurants operate under licensing agreements. Our bakery division operates two facilities that produce quality cheesecakes and other baked products for our restaurants, international licensees and third-party bakery customers.

Overview

Our strategy is driven by our commitment to deliver exceptional food and hospitality, and is centered primarily on menu innovation, service and operational execution to differentiate our concepts and drive competitively strong performance that is sustainable over the long-term. Financially, we are focused on prudently managing expenses at our restaurants, bakery facilities and corporate support center, while leveraging our scale, purchasing power and operational discipline to support financial performance.

40

Table of Contents

Investing in new Company-owned restaurant development is our top long-term capital allocation priority, with a focus on opening our concepts in premier locations within both new and existing markets. We plan to continue expanding The Cheesecake Factory, North Italia and Flower Child concepts. In addition, our FRC subsidiary serves as an incubator, innovating new food, dining and hospitality experiences to create differentiated, high-quality concepts.

Our revenue growth is primarily driven by new restaurant openings and increases in comparable restaurant sales.

For The Cheesecake Factory concept, our strategy is to increase comparable restaurant sales by growing average check while maintaining customer traffic through (1) continuing to offer innovative, high quality menu items that offer customers a wide range of options in terms of flavor, price and value, (2) focusing on service and hospitality with the goal of delivering an exceptional dining experience and (3) continuing to provide our customers with convenient options for off-premise dining. We are continuing our efforts on a number of initiatives, including menu innovation, increasing customer throughput in our restaurants, leveraging our gift card program, partnering with a third party to provide delivery services for our restaurants, increasing customer awareness of our online ordering capabilities and improving the pick-up experience, augmenting our marketing programs, including our Cheesecake Rewards® program, enhancing our training programs and leveraging insights from our customer satisfaction measurement platform.

Average check variations are driven by menu price increases and/or changes in menu mix. We generally update The Cheesecake Factory menus twice a year, and our philosophy is to use price increases to help offset key operating cost increases in a manner that supports both our margin and customer traffic objectives. Prior to fiscal 2022, we targeted menu price increases of approximately 2% to 3% annually, utilizing a market-based strategy to help mitigate cost pressure in higher-wage geographies. In the last three fiscal years, we implemented price increases above our historical levels, to help offset significant inflationary cost pressures. We will continue to take the cost and inflationary environment into consideration when implementing future pricing decisions. In addition, on a regular basis, we carefully consider opportunities to adjust our menu offerings or ingredients to help manage product availability and cost.

Margins are subject to fluctuations in commodity costs, labor, restaurant-level occupancy expenses, general and administrative (“G&A”) expenses and preopening expenses. Our objective is to drive margin expansion over time by leveraging incremental sales to increase restaurant-level margins at The Cheesecake Factory concept, leveraging our bakery operations, international and consumer packaged goods royalty revenue streams and G&A expense, and optimizing our restaurant portfolio.

We plan to employ a balanced capital allocation strategy, comprised of investing in new restaurants that are expected to meet our targeted returns, managing our aggregate debt levels and returning capital to shareholders through our dividend and share repurchase programs, the latter of which offsets dilution from our equity compensation program and supports our earnings per share growth. Future decisions to pay, increase or decrease dividends or to repurchase shares are at the discretion of the Board and will be dependent on a number of factors, including limitations pursuant to the terms and conditions of our Loan Agreement and applicable law.

Longer-term, we believe our domestic revenue growth (comprised of our targeted annual unit growth of 7% in aggregate across concepts and comparable sales growth) combined with margin expansion, planned debt repayments and an anticipated capital return program will support our long-term financial objective of 10% to 15% total return to shareholders, on average. We define our total return as earnings per share growth plus our dividend yield. (See Item 1A — Risk Factors — “Our stock price could be adversely affected if our performance falls short of our financial guidance and/or market expectations.”)

41

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Results of Operations

The following table presents, for the periods indicated, information from our consolidated statements of income expressed as percentages of revenues.

​

[[GREPCENT_TABLE]]
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​

Fiscal 2025 Compared to Fiscal 2024

Revenues

Revenues increased 4.7% to $3,751.8 million for fiscal 2025 compared to $3,581.7 million for fiscal 2024, primarily due to additional revenue related to new restaurant openings. As part of our annual assessment of gift card breakage during fiscal 2025, we had a change in historical redemption pattern related to gift cards and aligned the recognition of gift card breakage to the updated estimated redemption pattern. As a result, in fiscal 2025, we recognized $17.3 million of additional gift card breakage.

The Cheesecake Factory sales increased 1.0% to $2,688.8 million for fiscal 2025 compared to $2,661.6 million for fiscal 2024. Excluding the impact of the additional gift card breakage recognized in fiscal 2025 (as discussed above), The Cheesecake Factory average sales per restaurant operating week increased 0.3% to $238,146 in fiscal 2025 from $237,349 in fiscal 2024. Total operating weeks at The Cheesecake Factory restaurants remained relatively flat with 11,218 in fiscal 2025 and 11,214 in the comparable prior year period. The Cheesecake Factory comparable sales increased by 0.1%, or $2.2 million, from fiscal 2024. The increase from fiscal 2024 was primarily driven by an increase in average check of 2.4% (based on an increase of 4.3% in menu pricing, partially offset by a 1.9% negative change from menu mix), partially offset by decreased customer traffic of 2.3%. We implemented menu price increases of approximately 2.4% and 1.5% in the first and third quarters of fiscal 2025, respectively. We are in the process of implementing an approximate 1.5% menu price increase in the first quarter of fiscal 2026. Sales through the off-premise channel comprised approximately 21% of our restaurant sales during both fiscal 2025 and fiscal 2024. We account for each off-premise order as one customer for traffic measurement purposes. Therefore, average check is generally higher for off-premise orders as most of these orders are for more than one customer.

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Table of Contents

North Italia sales increased 15.5% to $345.9 million for fiscal 2025 compared to $299.6 million for fiscal 2024. North Italia average sales per restaurant operating week decreased 0.9% to $146,877 in fiscal 2025 from $148,231 in fiscal 2024. Average sales per restaurant operating week were impacted by the acceleration of new restaurant openings that have not matured. Total operating weeks at North Italia increased

[Excerpt truncated for page length; the complete text is on the linked full-MD&A page.]

Read the full FY 2025 MD&A: /company/CAKE/mda/fy2025/
All MD&A years: /company/CAKE/mda/


## MD&A history

Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page.

- [FY 2024 MD&A](/company/CAKE/mda/fy2024/): filed 2025-02-24; accession 0001410578-25-000195 (https://www.sec.gov/Archives/edgar/data/887596/000141057825000195/cake-20241231x10k.htm)
- [FY 2024 MD&A](/company/CAKE/mda/a-0001104659-24-027565/): filed 2024-02-26; accession 0001104659-24-027565 (https://www.sec.gov/Archives/edgar/data/887596/000110465924027565/cake-20240102x10k.htm)
- [FY 2023 MD&A](/company/CAKE/mda/fy2023/): filed 2023-02-27; accession 0001104659-23-026072 (https://www.sec.gov/Archives/edgar/data/887596/000110465923026072/cake-20230103x10k.htm)
- [FY 2021 MD&A](/company/CAKE/mda/fy2021/): filed 2022-02-22; accession 0001104659-22-025711 (https://www.sec.gov/Archives/edgar/data/887596/000110465922025711/cake-20211228x10k.htm)




## Macro cross-references

Indicators mapped to this company's SIC classification (industry 5812 Retail-Eating  Places) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim.

- [PCE](/indicator/PCE/): Personal Consumption Expenditures
- [DSPIC96](/indicator/DSPIC96/): Real Disposable Personal Income
- [PSAVERT](/indicator/PSAVERT/): Personal Saving Rate
- [PAYEMS](/indicator/PAYEMS/): All Employees, Total Nonfarm

Macro-to-micro threads including this sector: [Inflation (CPI / PCE / PPI)](/thread/inflation-cpi-pce-ppi/), [US labor market](/thread/us-labor-market/), [Growth & output](/thread/growth-output/), [Sector employment](/thread/sector-employment/), [Industrial orders & inventories](/thread/industrial-orders/), [Trade & external](/thread/trade-external/).

All macro indicators: /indicators/


## For LLMs & downloads

Markdown twin: /company/CAKE.md · JSON record: /company/CAKE.json · verified financials: /company/CAKE/financials.json / /company/CAKE/financials.csv · machine TOC for the whole site: /llms.txt