Texas Roadhouse Reports Q3 2026 Revenue Growth and Margin Expansion
Texas Roadhouse (TXRH) reported strong third-quarter results for 2026, with total revenue reaching $1.57 billion, a 9.5% increase year-over-year. This growth was fueled by a 4.3% rise in comparable restaurant sales and a 5.1% increase in store week growth. Diluted earnings per share (EPS) rose 8.6% to $1.36, benefiting from improved restaurant margins and strategic share repurchases. Despite facing labor inflation of 4.1%, the company successfully offset these costs through higher sales leverage, resulting in a 30-basis-point increase in restaurant margins. Management provided optimistic guidance for 2027, projecting continued store week growth and planned international expansion. While a social media hoax briefly impacted September performance, overall consumer demand remains resilient with steady traffic growth.
Tickers: $TXRH
Topics: comparable restaurant sales EPS increase inflation impact margin expansion revenue growth