Quarterly report [Sections 13 or 15(d)]

Segment Reporting

v3.25.2
Segment Reporting
 6 Months Ended
Jul. 13, 2025
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
In accordance with ASC 820 - 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):
Twelve Weeks Ended Twenty-Eight Weeks Ended
July 13, 2025 July 14, 2024 July 13, 2025 July 14, 2024
Revenues:
Restaurant revenue $ 279,305  $ 294,457  $ 665,115  $ 673,025 
Franchise revenue 3,186  4,287  7,675  9,628 
Other revenue 1,212  1,410  3,265  6,042 
Total revenues 283,703  300,154  676,055  688,695 
Costs and expenses:
Cost of sales 65,159  69,444  153,186  159,653 
Labor 99,709  113,908  242,767  262,866 
Other operating 49,600  51,783  117,132  118,273 
Occupancy 24,329  24,595  56,526  56,023 
General and administrative expenses 17,418  16,612  44,408  42,454 
Selling 6,350  12,040  15,726  25,587 
Other segment items(1)
(256) 2,931  420  (1,045)
Depreciation and amortization 11,579  13,402  27,013  31,556 
Interest expense, net and other 5,919  4,968  13,734  12,136 
Income tax expense (benefit) (97) (40) (99) 141 
Segment net income (loss) $ 3,993  $ (9,489) $ 5,242  $ (18,949)
(1) Other segment items consists primarily of other charges (gains).