Quarterly report [Sections 13 or 15(d)]

Segment Reporting

v3.25.1
Segment Reporting
 4 Months Ended
Apr. 20, 2025
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
In accordance with Segment Reporting, the Company uses the management approach for determining its reportable segments. The management approach is based upon the way that management reviews performance and allocates resources.
The Company has one operating and one reportable segment: restaurants. We manage our business activities on a consolidated basis, as Red Robin restaurants all have similar customers, sell similar products, and have a similar process to sell those products. We primarily derive our revenue in the United States through the sale of food and beverage through its Company-owned locations as well as earn royalties and fees from franchise restaurants. There have been no material changes to the accounting policies of the restaurant segment, which can be found in the filing of the 2024 Annual Report on Form 10-K for the fiscal year ended December 29, 2024.
Our Chief Operating Decision Maker ("CODM") is our Chief Executive Officer. The Company measures segment profit using consolidated Net income (loss). The CODM uses consolidated Net income (loss), as reported on our Condensed Consolidated Statements of Operations and Comprehensive Loss, in deciding whether to reinvest excess cash flow into the restaurant segment or into other parts of the Company. The CODM does not review assets in evaluating the results of the restaurant segment, and therefore, such information is not presented.
Financial information for the Company's reportable segment is as follows (in thousands):
Sixteen Weeks Ended
April 20, 2025 April 21, 2024
Revenues:
Restaurant revenue $ 385,809  $ 378,568 
Franchise revenue 4,489  5,341 
Other revenue 2,053  4,632 
Total revenues 392,351  388,541 
Costs and expenses:
Cost of sales 88,028  90,209 
Labor 143,058  148,958 
Other operating 67,532  66,490 
Occupancy 32,197  31,428 
General and administrative expenses 26,989  25,842 
Selling 9,376  13,547 
Other segment items(1)
676  (3,976)
Depreciation and amortization 15,434  18,154 
Interest expense, net and other 7,815  7,168 
Income tax expense (benefit) (3) 181 
Segment net income (loss) $ 1,249  $ (9,460)
(1) Other segment items consists primarily of other charges (gains) and pre-opening costs.