Same-store sales increased 1.1 at The Cheesecake Factory Inc. for the fourth quarter, ended Dec. 29. 2015, the company reported on Tuesday.
“The fourth quarter of 2015 marks the completion of our sixth consecutive year of delivering positive comparable sales every quarter, and a continuation of our outperformance relative to the casual dining industry,” said David Overton, CEO of the Calabasas Hills, Calif.-based company, parent of The Cheesecake Factory as well as Grand Lux Café and RockSugar Pan Asian Kitchen.
Revenue was up by 5.4 percent to $526.8 million, from $499.7 million a year ago. Net income rose 5.2 percent to $27.2 million, or 54 cents per share, from $24.5 million or 48 cents per share in the fourth quarter of fiscal 2014.
Margins improved during the quarter as food costs fell by 150 basis points compared to a year earlier to 23.8 percent due to anticipated lower dairy and seafood costs and lower-than-expected poultry costs. Those savings were offset partially by higher beef costs, the company reported during a conference call.
Labor cost was up 30 basis points to 32.8 percent.
For the year, revenue was $2.1 billion, up from $1.98 million in fiscal 2014. Net income was $116.52 million, or $2.39 per share, up 5.5 percent from $101.3 million or $2.04 per share.
The company opened six domestic Cheesecake Factory locations during the quarter, meeting its objective of opening 11 company-owned restaurants over the course of the year. Internationally, two locations were opened in the Middle East under licensing agreements in the quarter, and one was opened in Mexico earlier in the year.
The company repurchased about 350,000 shares in common stock for $17.3 million in the quarter. It repurchased a total of 2.1 million shares for $104.8 million in fiscal 2015.
It ended the year with 200 Cheesecake Factory locations, 12 Grand Lux Cafés and one Rock Sugar.
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