Texas Roadhouse reported a mixed third quarter with revenue reaching $1.44 billion, a 12.8% increase from the previous year. Earnings per share dipped to $1.25, missing expectations. Despite strong traffic and sales growth, beef prices continue to impact profitability. Shares fell 1% in after-hours trading. Comp sales increased 6.1%, driven by traffic and average check growth. October comps were impacted by Halloween timing. Texas Roadhouse remains a strong value proposition in the full-service dining category. Management’s updated guidance reflects ongoing beef inflation challenges. The company plans to open 35 new restaurants in 2026. Cash returns to shareholders include $40 million in stock buybacks. Commodity inflation is expected to be 6% for 2025 and 7% for 2026, with a focus on managing costs and maintaining growth. Management remains cautiously optimistic about future performance.

Read more at CNBC: Texas Roadhouse is in a tough spot but still delivering on everything it can control