Overview

* Cheesecake Factory ( CAKE ) fiscal Q2 revenue rises to $955.8 mln, beating analyst expectations

* Adjusted EPS for fiscal Q2 at $1.16, reflecting strong operational performance

* Company opened eight new restaurants, supporting growth strategy

Outlook

* Company plans to open up to 25 new restaurants in fiscal 2025

* Cheesecake Factory ( CAKE ) to open four new locations in fiscal 2025

* Company aims to maintain momentum and strong execution in H2 2025

* Cheesecake Factory ( CAKE ) sees strong consumer reception for new restaurant openings

Result Drivers

* COMPARABLE SALES - Cheesecake Factory ( CAKE ) restaurants saw a 1.2% increase in comparable sales, driven by healthy consumer demand

* OPERATIONAL IMPROVEMENTS - Year-over-year improvements in labor productivity and food efficiency contributed to earnings growth

* NEW RESTAURANT OPENINGS - Eight new restaurants opened in Q2, showing strong consumer reception and supporting growth strategy

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $955.82 $948.40

Revenue mln mln (17

Analysts

)

Q2 EPS $1.14

Q2 $64.82

Operatin mln

g Income

Q2 $62.23

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 9 "hold" and 4 "sell" or "strong sell"

* The average consensus recommendation for the restaurants & bars peer group is "buy"

* Wall Street's median 12-month price target for Cheesecake Factory Inc ( CAKE ) is $61.50, about 7.1% below its July 28 closing price of $65.89

* The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 13 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)