The Cheesecake Factory Incorporated

question please press star followed by the number one on your telephone keypad to withdraw your question please press star 1 again I would now like to turn the call over to Etienne Marcus vice president of finance and investor relations please go ahead good afternoon and welcome to our first quarter fiscal 2024 earnings call on the call with me today are David Overton our chairman and chief executive officer of

David Gordon, our President, and Matt Clark, our Executive Vice President and Chief Financial Officer. Before we begin, let me quickly remind you that during this call, items will be discussed that are not based on historical fact and are considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could be materially different from those stated or implied in forward-looking statements as a result of the factors detailed in today's press release, which is available on our website at investors.thecheesecakefactory.com and in our filings with the Securities and Exchange Commission. All forward-looking statements made on this call speak only as of today's date, and the company undertakes no duty to update any forward-looking statements. In addition, during this conference call, we will be presenting results on an adjusted basis, which exclude impairment of assets and lease terminations and acquisition related expenses. An explanation of our use of non-GAAP financial measures and reconciliations to the most directly comparable GAAP measures appear in our press release on our website as previously described. David Overton will begin today's call with some opening remarks and David Gordon will provide an operational update. Matt will then review our first quarter financial results and finish up with some commentary on our outlook for the second quarter and full year 2024 before opening the call up to questions. With that, I'll turn the call over to David Overton.

Thank you, Etienne. We were pleased with our first quarter results with revenues finishing near the high end of our expected range and superior operational execution contributing to better than projected profitability, resulting in 20% year-over-year growth and adjusted earnings per share. The Cheesecake Factory restaurants, comparable sales and traffic, once again, meaningfully outperformed the industry, underscoring the strength of consumer demand for our brand and demonstrating our ability to capture market share. Execution within the restaurant four walls was outstanding, with our operators delivering better than planned results across several key areas. This performance, combined with slightly better than expected input costs, resulted in consolidated four-wall margins of 15% and adjusted net income margin of 4% for the quarter, both exceeding expectations. On the development front, we successfully opened five restaurants in the first quarter, including two North Italian restaurants, two FRC restaurants, and one Flower Child location. and one Cheesecake Factory restaurant opened in Mexico. Additionally, subsequent to quarter end, another Cheesecake Factory opened in Asia. With the five restaurant openings in the first quarter, we remain on track to open as many as 22 new restaurants in 2024, including as many as three to four Cheesecake Factories, six to seven North Italia's, six to seven Flower Child, and 67 FRC restaurants. Before I turn the call over to David Gordon, I'm proud to share that the Cheesecake Factory has been named one of Fortune Magazine's 100 Best Companies to Work For for the 11th consecutive year. This recognition speaks to our culture and our incredible people, and we believe it should continue to support our ability to attract and retain talent as an employer of choice in our industry. With that, I will now turn the call over to David Gordon to provide an operational update.