Profit margins

The Cheesecake Factory (CAKE) has shown strong profit margins over the past quarters, with a recent improvement in gross profit margin and a fluctuating net profit margin. Here's a detailed analysis of the profit margins:

1. **Gross Profit Margin**: The gross profit margin for the most recent quarter ending on Q2 2024, is 77.44%. This is a significant improvement from the previous quarter's margin of 76.19%.

2. **Net Profit Margin**: The net profit margin has shown a general upward trend over the past quarters, with a recent peak at 4.77% in Q2 2024, and a previous low of -31.1% in January 2023.

3. **Recent Performance**: The company's recent performance has been robust, with record four-wall margins and strategic restaurant expansions driving performance. The adjusted net income margin exceeded the high end of guidance, and comparable sales showed an increase year-over-year.
4. **Future Outlook**: The full-year 2024 revenue outlook is approximately $3.58 billion, with a net income margin forecasted to be between 4.3% to 4.4%. This suggests that while the company is improving its profitability, it still faces challenges in maximizing net profits.

In conclusion, The Cheesecake Factory has demonstrated strong gross profit margins and an improving net profit margin over the past quarters. The recent improvements in profitability are positive signs for the company's financial performance, and the strategic expansions and operational efficiencies are contributing to these gains. However, there is still room for improvement in maximizing net profits.