Texas Roadhouse Q2 net income slips 1.7% to $121.9M as 7% beef inflation squeezes margins

Filed August 7, 2026 · Period ending June 30, 2026 · Compared to 10-Q Aug 8, 2025 · ~1 min read

Key Changes

• high

  Net income fell 1.7% to $121.9M and diluted EPS declined 0.5% to $1.85 despite 11.1% revenue growth to $1.68B, as commodity and labor inflation outpaced sales gains.

  MD&A: Net Income and EPS verify on EDGAR →
• high

  Restaurant margin compressed 70 basis points to 16.4% from 17.1% prior year, driven by 7.0% commodity inflation (up from 5.2%) and 3.9% wage inflation.

  MD&A: Restaurant Margin verify on EDGAR →
• high

  Food and beverage costs rose 140 basis points to 35.4% of sales from 34.0%, reflecting accelerating beef-cost inflation (beef represents ~50% of food costs).

  MD&A: Food and Beverage Costs verify on EDGAR →