Company: RRGB
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001628280-25-051046
Chunk: 95

Company: RED ROBIN GOURMET BURGERS INC
Filing Date: 2025-11-10
Form: 10-Q
Item: Part I, Item 2
Chunk 95
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 operations and Restaurant level operating profit for the periods presented:

Twelve Weeks EndedForty Weeks Ended(Dollars in thousands)October 5, 2025October 6, 2024October 5, 2025October 6, 2024Income (loss) from operations$(12,113)(4.6)%$(12,877)(4.7)%$6,765 0.7%$(19,551)(2.0)%Less:Franchise revenue 3,265 1.2%3,007 1.1%10,940 1.2%12,635 1.3%Other revenue954 0.4%1,026 0.4%4,218 0.4%7,068 0.7%Add:Other charges (gains), net6,426 2.41,532 0.6%6,846 0.7487 0.1%General and administrative expenses16,912 6.420,823 7.6%61,320 6.563,277 6.6%Selling6,797 2.65,467 2.0%22,523 2.431,052 3.2%Depreciation and amortization12,019 4.513,330 4.9%39,031 4.144,886 4.7%Restaurant level operating profit$25,822 9.9%$24,242 9.0%$121,327 13.1%$100,448 10.6%

The Company believes restaurant level operating profit is an important measure for management and investors because it is widely regarded in the restaurant industry as a useful metric by which to evaluate restaurant level operating efficiency and performance. The Company defines restaurant level operating profit to be income from operations less franchise revenue and other revenue, plus other charges (gains), net, pre-opening costs, selling costs, general and administrative expenses, and depreciation and amortization. The measure includes restaurant level occupancy costs that include fixed rents, percentage rents, common area maintenance charges, real estate and personal property taxes, general liability insurance, and other property costs, but excludes depreciation and amortization expense, substantially all of which is related to restaurant level assets, because such expenses represent historical sunk costs which do not reflect current cash outlay for the restaurants. The measure also excludes costs associated with selling, general and administrative functions, and pre-opening