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Cheesecake Factory (CAKE) Misses Q2 EPS by 16c

July 31, 2018 4:17 PM

Cheesecake Factory (NASDAQ: CAKE) reported Q2 EPS of $0.65, $0.16 worse than the analyst estimate of $0.81. Revenue for the quarter came in at $593.2 million versus the consensus estimate of $594.2 million.

Comparable restaurant sales at The Cheesecake Factory restaurants increased 1.4% in the second quarter of fiscal 2018.

“Comparable sales at The Cheesecake Factory and core restaurant operating performance were in line with our expectations during the second quarter,” said David Overton, Chairman and Chief Executive Officer. “However, $4.6 million in higher group medical insurance costs year-over-year and $4.5 million in increased legal expenses impacted our bottom line results this quarter.”

Overton continued, “We generated over $65 million in operating cash flow during the quarter. The consistency of our cash flow enabled us to increase our dividend for the sixth consecutive year. We continue to execute a balanced capital allocation strategy, investing in long-term growth while returning substantially all of our free cash flow to shareholders through our dividend and share repurchase program.”

For earnings history and earnings-related data on Cheesecake Factory (CAKE) click here.

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