Company: RRGB
Filing Date: 2025-02-26
Form Type: 10-K
Source: 0001171759-25-000012
Chunk: 93

Company: RED ROBIN GOURMET BURGERS INC
Filing Date: 2025-02-26
Form: 10-K
Item: Item 8
Chunk 93
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 consolidated financial statements.

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Table of Contents

3. RevenueDisaggregation of RevenueIn the following table, revenue is disaggregated by type of good or service (in thousands):Year EndedDecember 29, 2024December 31, 2023December 25, 2022Restaurant revenue$1,224,254 $1,274,294 $1,230,189 Franchise revenue14,941 15,867 19,306 Gift card breakage7,930 9,874 13,808 Other revenue1,435 3,011 2,231 Total revenues$1,248,560 $1,303,046 $1,265,534 Contract LiabilitiesComponents of Unearned revenue in the Consolidated Balance Sheets are as follows (in thousands):December 29, 2024December 31, 2023Unearned gift card revenue$24,333 $28,558 Deferred loyalty revenue2,750 7,509 Unearned revenue$27,083 $36,067 Revenue recognized in the Consolidated Statements of Operations and Comprehensive Loss for the redemption of gift cards that were included in the liability balance at the beginning of the fiscal year was as follows (in thousands):Year EndedDecember 29, 2024December 31, 2023December 25, 2022Gift card revenue$16,782 $19,224 $24,109 We recognize Royalty revenue within Restaurant revenue in the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) when a customer redeems an earned reward. Unearned revenue associated with Royalty is included in Unearned revenue in our Condensed Consolidated Balance Sheets.Changes in our Unearned revenue balance related to our Royalty program (in thousands):Year EndedDecember 29, 2024December 31, 2023Unearned Royalty Revenue, beginning balance$7,509 $11,107 Revenue deferred4,817 6,870 Revenue recognized (1)(9,576)(10,468)Unearned Royalty revenue, ending balance$2,750 $7,509 (1) Restaurant revenue includes an approximately $6.4 million credit related to the transition to the new Royalty program in the second quarter of fiscal 2024, primarily due to the cancellation of unused points that were earned more than 365 days prior to the launch of the new program.

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