TXRH Latest Report

Financial Performance

Texas Roadhouse (TXRH) reported total operating revenues of $1.438 billion as of December 31, 2024, though lacking prior-year data for a direct comparison, other financial indicators suggest a trend in revenue changes. The company's net profit was $119 million, with a net margin of 8.27%, indicating excellent cost control and expense management. Meanwhile, the net cash provided by operating activities was $754 million, demonstrating a good cash flow condition, which is usually associated with revenue growth. Additionally, a 56.95% asset-liability ratio indicates a relatively stable debt management, supporting business growth. In 2024, the restaurant industry experienced economic recovery and consumer warming, which may have contributed to revenue growth.

Key Financial Data

1. Total operating revenues of $1.438 billion demonstrate the company's strong performance in the market.

2. Net profit of $119 million and a net margin of 8.27% indicate effective cost control.

3. Net cash provided by operating activities of $754 million indicates good cash flow from operating activities.

4. An asset-liability ratio of 56.95% reflects the company's stable debt management.

5. The industry background shows that the restaurant industry experienced recovery in 2024, driving revenue growth.

Peer Comparison

1. Industry-wide analysis: The restaurant industry as a whole experienced a rebound in 2024, with increased consumer spending and economic recovery, leading to widespread revenue growth for many peer companies, indicating an upbeat trend for the industry.

2. Peer evaluation analysis: Texas Roadhouse's total operating revenues are at a medium-to-high level in the same industry, combined with its good net margin and cash flow performance, indicating strong competitiveness in the industry and the potential to maintain growth in the future.

Conclusion

Texas Roadhouse's financial performance in 2024 was strong, with both total operating revenues and net profit indicating its competitiveness in the market. The industry recovery and good operating cash flow support its future development. However, with the intensifying competition and uncertain consumer demand, the company faces certain challenges in the future.

Opportunities

1. The industry recovery provides a good environment for revenue growth.

2. Optimizing cost control helps further improve the net margin and enhance profitability.

3. Strong cash flow supports investment expansion and innovation.

Risks

1. Consumer demand recovery may fall short of expectations, especially in the high-end consumption sector.

2. The Federal Reserve's interest rate hike may increase borrowing costs and affect consumer spending.

3. The intensifying competition in the restaurant industry requires the company to continuously innovate to maintain its market share.