Cheesecake Factory Tops Q3 Estimates With Revenue of $1.03 Billion and 15.2% Comparable Sales Growth

The Cheesecake Factory Incorporated reported third-quarter fiscal 2026 results after Tuesday's closing bell that beat Wall Street expectations across the board, capping a quarter marked by an unlikely surge in political celebrity. Total revenues rose to $1.033 billion, topping the consensus estimate of $1.002 billion and representing a 14% increase from $907.2 million in the same period a year earlier. Adjusted earnings per share came in at $1.02, ahead of the $0.95 estimate, while GAAP diluted EPS reached $1.19. Net income for the quarter was $61.3 million, with operating income of $74.9 million and a pretax profit of $73.4 million.

Comparable restaurant sales at the namesake Cheesecake Factory brand surged 15.2% year over year, with management noting that comparable sales and traffic were "meaningfully outperforming the broader casual dining industry" and that margins and earnings also exceeded internal expectations. By segment, the core Cheesecake Factory brand generated $754.4 million in net revenue, North Italia contributed $93.0 million, other FRC concepts added $90.3 million, and the remaining segment brought in $95.8 million. The company opened six new restaurants during the quarter, including two Cheesecake Factory locations, one North Italia, one Flower Child, and two FRC restaurants, with two additional Flower Child locations and one FRC restaurant opening subsequently. Management affirmed its full-year fiscal 2026 guidance of as many as 26 new restaurant openings and pointed to a $5 billion long-term growth runway.

Despite the earnings beat, shares edged lower in after-hours trading. The stock had already gained roughly 108% to 120% year to date before the print, an extraordinary run that intersected with an unexpected political moment. Former President Obama drew headlines over the weekend by joking that President Trump's White House renovations made the building look like "Saddam Hussein opened a Cheesecake Factory." Trump responded at a Monday night rally in Corinth, Mississippi, calling Obama a "lousy president." Treasury Secretary Bessent publicly dined at a Cheesecake Factory location amid the exchange, adding to the restaurant chain's unlikely moment in the national spotlight.