Texas Roadhouse 3Q Profit Rises As Sales Improve

LOUISVILLE, Ky. (AP) — Texas Roadhouse Inc. said that its third-quarter profit rose on favorable commodity costs, lower pre-opening costs and higher revenue.

The casual dining operator said late Monday that its earnings climbed 24 percent to $10.7 million, or 15 cents per share, from $8.6 million, or 12 cents per share, a year ago.

Revenue for the period ended Sept. 29 rose to $226.5 million from $217.7 million on higher restaurant sales and increased revenue from franchise royalties and fees.

Analysts polled by Thomson Reuters, whose estimates generally exclude one-time items, forecast a profit of 12 cents per share on revenue of $226.7 million.

Sales at company-run restaurants open at least a year fell 4.6 percent, while sales at franchise restaurants open at least a year dropped 3.6 percent.

This figure is a key indicator of a restaurant operator's performance since it measures growth at existing restaurants rather than newly opened ones.

Pre-opening costs for its restaurants declined to $1.2 million from $2.9 million during the quarter.