Company: CAVA
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001628280-25-049080
Chunk: 37

Company: CAVA GROUP, INC.
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 1
Chunk 37
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ed Net Income and net income margin to Adjusted Net Income margin:

Twelve Weeks EndedForty Weeks Ended(in thousands)October 5,2025October 6,2024October 5,2025October 6,2024Net income$14,747 $17,966 $58,822 $51,700 Quarterly allocation of income tax expense, excluding VA Release1— (2,954)— (7,959)Adjusted Net Income$14,747 $15,012 $58,822 $43,741 Revenue$292,238 $243,817 $904,679 $736,318 Net income margin5.0 %7.4 %6.5 %7.0 %Adjusted Net Income margin5.0 %6.2 %6.5 %5.9 %

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1    Reflects an allocation of income tax expense excluding the net benefit from the release of the valuation allowance previously recorded against our deferred tax assets, or the VA Release, recorded in Q4 2024 assuming a consistent effective tax rate.

Liquidity and Capital Resources

We assess our liquidity in terms of our ability to generate adequate amounts of cash to meet our current and expected future operating needs. Our expected primary uses of cash on a short- and long-term basis are for the expansion of our restaurant base, working capital, and other capital expenditures. 

We believe that cash provided by operating activities and existing cash on hand, together with amounts available under our 2022 Credit Facility, will be sufficient to satisfy our anticipated cash requirements for the next twelve months and foreseeable future, including our expected capital expenditures for expansion of our CAVA restaurant base, operating lease obligations, and working capital requirements. Our sources of liquidity could be affected by general macroeconomic 

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conditions, as well as tariff policy and geopolitical tensions between the United States and foreign countries, as well as the factors described under the section entitled “Risk Factors” in our 2024 Annual Report. Depending on the severity and direct impact of these factors on us, we may not be able to secure additional financing on acceptable terms, or at all.

Cash Overview

We had cash and cash equivalents of $284.6 million and $366.1 million as of October 5, 2025 and December 29, 2024, respectively. In addition, we had investments in fixed income debt securities of $103.1 million as