Texas Roadhouse (NASDAQ: TXRH) reported Q3 EPS of $0.36, $0.01 worse than the analyst estimate of $0.37. Revenue for the quarter came in at $481.64 million versus the consensus estimate of $483.75 million.

Comparable restaurant sales growth of 3.4% at company restaurants and 3.3% at domestic franchise restaurants.

2016 Outlook

The Company reported that comparable restaurant sales at company restaurants for the first four weeks of its fourth quarter of fiscal 2016 increased approximately 3.8% compared to the prior year period.

Management updated the following expectations for 2016:

• Approximately 30 company restaurant openings, including as many as nine Bubba’s 33 restaurants; and,
• Food cost deflation of approximately 3.5% compared to previous guidance of 2.5% to 3.0%.

Management reiterated the following expectations for 2016:

• Positive comparable restaurant sales growth;
• An income tax rate of approximately 30.0%; and
• Total capital expenditures of $165.0 million to $175.0 million.

2017 Outlook

Management provided the following initial expectations for 2017:

• Positive comparable restaurant sales growth;
• Approximately 30 company restaurant openings, including at approximately seven to eight Bubba’s restaurants;
• Low-single digit food cost deflation;
• Mid-single digit labor inflation, including increases from wage rates, as well as regulatory changes;
• An income tax rate of 30.0% to 31.0%; and
• Total capital expenditures of $170.0 million.

For earnings history and earnings-related data on Texas Roadhouse (TXRH) click here.