Company: CAVA
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001628280-25-049080
Chunk: 57

Company: CAVA GROUP, INC.
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 2
Chunk 57
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 occupancy decreased primarily due to operating leverage associated with higher sales.  

CAVA other operating expenses:

The increase in CAVA other operating expenses was primarily due to the 106 Net New CAVA Restaurant Openings during or subsequent to the forty weeks ended October 6, 2024 and CAVA Same Restaurant Sales Growth of 5.1%. As a percentage of CAVA Revenue, CAVA other operating expenses increased due to a higher mix of third-party delivery, insurance costs, and other individually insignificant items, partially offset by operating leverage associated with higher sales.

20

Other Results

The following table summarizes remaining activity related to CPG operations and the production of dips, spreads, and certain dressing bases used in CAVA restaurants:

Forty Weeks EndedOctober 5,2025October 6,2024Change(in thousands)$% of Revenue$% of Revenue$%Revenue$8,161 100.0 %$7,145 100.0 %$1,016 14.2 %Food, beverage, and packaging3,119 38.2 3,912 54.8 (793)(20.3)Other operating expenses664 8.1 560 7.8 104 18.6 

The increase in revenue noted above was primarily due to higher CPG sales. As a percentage of revenue, food, beverage, and packaging decreased due to operational efficiencies realized since the commencement of operations at our facility in Verona, VA in the first quarter of fiscal 2024.

21

Consolidated Results

The following table summarizes our consolidated results of operations:

Forty Weeks Ended(in thousands)October 5,2025October 6,2024Change$% of Revenue$% of Revenue$%Revenue $904,679 100.0 %$736,318 100.0 %$168,361 22.9 %Operating expenses:Restaurant operating costs (excluding depreciation and amortization)Food, beverage, and packaging268,798 29.7 216,326 29.4 52,472 24.3 Labor227,907 25.2 186,134 25.3 41,773 22.4 Occupancy62,722 6.9 52,751 7.2 9,971 18.9 Other operating expenses114,142 12.6 90,734 12.3 23,408 25.8