Company: RRGB
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001171759-25-000028
Chunk: 85

Company: RED ROBIN GOURMET BURGERS INC
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 85
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 compared to the same period of fiscal 2024, primarily due to a decrease in franchisee contributions for marketing programs. Franchise restaurants reported a decrease of 2.9% in comparable restaurant revenue in the second quarter of fiscal 2025 compared to the same period in fiscal 2024 and a decrease of 2.3% for the year to date period of fiscal 2025 compared to the same period in fiscal 2024.

 Other revenue decreased $0.2 million and $2.8 million in the second quarter and year to date periods of fiscal 2025, respectively, compared to the same periods of fiscal 2024. The decreases are primarily related to lower gift card breakage in the current periods.

Cost of Sales

Twelve Weeks EndedTwenty-Eight Weeks Ended(In thousands, except percentages)July 13, 2025July 14, 2024Percent ChangeJuly 13, 2025July 14, 2024Percent ChangeCost of sales$65,159 $69,444 (6.2)%$153,186 $159,653 (4.1)%As a percent of restaurant revenue23.3 %23.6 %(0.3)%23.0 %23.7 %(0.7)%

Cost of sales, which comprises food and beverage costs, is variable and generally fluctuates with sales volume. 

Cost of sales as a percentage of restaurant revenue decreased 30 basis points for the second quarter of fiscal 2025 as compared to the comparable period in fiscal 2024. The decrease was primarily driven by menu price increases and cost saving initiatives, partially offset by an increase in commodity prices. 

19

Cost of sales as a percentage of restaurant revenue decreased 70 basis points for the year to date period of fiscal 2025 as compared to the comparable period in fiscal 2024. The decrease was primarily driven by menu price increases, cost saving initiatives and vendor contributions to support our annual Partner recognition events which is recorded as a reduction to cost of sales, partially offset by an increase in commodity prices. 

LaborTwelve Weeks EndedTwenty-Eight Weeks Ended(In thousands, except percentages)July 13, 2025July 14, 2024Percent ChangeJuly 13, 2025July 14, 2024Percent ChangeLabor$99,709 $113,908 (12.5)%$242,767 $262,866 (7.6)%