# Texas Roadhouse, Inc. > Clarifo company profile — qualitative business description generated from > the company's filings. Financial statements, charts and ratios are > available on Clarifo (https://www.clarifo.com/en/companies/Texas Roadhouse, Inc.). ## Overview Texas Roadhouse, Inc. is a U.S.-based restaurant company centered on full-service casual dining. It operates three concepts—Texas Roadhouse, Bubba’s 33, and Jaggers—through company-owned restaurants, franchised locations, and related retail initiatives across the United States and select international markets. ## Products & services • Texas Roadhouse full-service steakhouse dining • Bubba’s 33 casual dining with burgers, pizza, wings • Jaggers fast-casual burgers, chicken, salads, milkshakes • Franchise development and restaurant operations • Retail initiatives tied to the restaurant brands - **Texas Roadhouse restaurants** (82%) — Full-service casual dining steakhouses serving steaks, ribs, chicken, seafood, and sides. - **Bubba’s 33 restaurants** (12%) — Casual dining restaurants offering burgers, pizza, wings, appetizers, and drinks. - **Jaggers restaurants** (3%) — Fast-casual restaurants focused on burgers, chicken sandwiches, salads, and shakes. - **Franchise operations** (2%) — Domestic and international franchised restaurants under the company’s concepts. - **Retail initiatives** (1%) — Brand-related retail and other ancillary initiatives outside restaurant sales. - Texas Roadhouse full-service steakhouse dining - Bubba’s 33 casual dining with burgers, pizza, wings - Jaggers fast-casual burgers, chicken, salads, milkshakes - Franchise development and restaurant operations - Retail initiatives tied to the restaurant brands ## Customers The company serves consumers seeking moderately priced, sit-down meals with a strong value proposition and a family-friendly dining experience. Its customer base spans broad casual-dining guests, local communities around each restaurant, and diners who prefer steaks, burgers, and other made-to-order menu items. Franchisees and development partners are also important counterparties for concept expansion outside company-operated restaurants. - **Casual dining consumers** (primary) — Guests buying sit-down meals at Texas Roadhouse and Bubba’s 33 for value, service, and atmosphere. - **Fast-casual diners** (secondary) — Guests choosing Jaggers for quicker service, drive-thru, carry-out, and made-to-order food. - **Franchise operators** (secondary) — Domestic and international partners that buy development rights and operate branded restaurants. - **Retail customers** (emerging) — Consumers purchasing branded retail items tied to the company’s restaurant concepts. - Casual dining guests seeking affordable full-service meals - Families and local community diners - Guests drawn to steak, burgers, pizza, and comfort food - Customers valuing dine-in service and atmosphere - Franchise partners developing domestic and international locations ## Geography Texas Roadhouse operates primarily in the United States, with restaurants in 49 states and one U.S. territory. The company also has franchised restaurants in ten foreign countries, giving it a small but meaningful international footprint alongside its domestic base. - U.S. is the core market, with restaurants in 49 states - One U.S. territory adds a small non-state domestic presence - International franchising spans ten foreign countries - Louisville, Kentucky is the principal executive office - Geographic expansion is driven by site selection and development rights ## Strategy The company’s strategy is to expand its restaurant base in attractive domestic and international markets while preserving the brand’s value-and-service positioning. It also seeks to grow through franchised development, acquisition of domestic franchise locations, and disciplined capital allocation to new stores and restaurant remodels. - **Expand the restaurant base** (medium-term) — Growth depends on adding profitable locations in markets with strong demand and suitable sites. - **Acquire domestic franchise restaurants** (medium-term) — Buying franchise locations can increase company-operated scale and control over economics. - **Optimize restaurant-level economics** (short-term) — Restaurant margin is the key operating measure used to evaluate performance and capital decisions. - Open new restaurants in existing and new markets - Acquire domestic franchise locations when attractive - Expand internationally through area development agreements - Use restaurant margin to guide capital allocation - Refurbish, expand, or relocate existing restaurants ## Risks The business is exposed to intense restaurant competition, site-selection risk, labor availability, and changing consumer preferences. Growth also depends on opening new restaurants on schedule and on maintaining brand reputation, food quality, and guest traffic across a large, dispersed store base. - **Restaurant expansion execution risk** [high] — Growth depends on opening profitable restaurants on time and in the right locations. - **Intense industry competition** [high] — Guests can switch to other casual dining, fast-casual, delivery, or grocery options. - **Labor and human capital pressure** [medium] — Restaurants require large frontline staffing and service quality depends on retention and recruiting. - **Food quality, safety, and litigation risk** [medium] — Any food-related incident or lawsuit can damage guest trust and create legal costs. - **Cybersecurity and vendor disruption** [medium] — Digital systems and third-party vendors support operations and guest experience. - Intense competition on price, quality, service, and location - New restaurant openings can be delayed or fail to meet targets - Suitable site availability is limited in target markets - Labor shortages and turnover can affect service and costs - Food safety, litigation, and reputational issues can hurt demand ## Accounting Key accounting judgments include impairment testing for individual restaurants, operating lease right-of-use assets, and goodwill. The company also uses estimates for closure costs, lease guarantees, and other contingencies, while restaurant sales are affected by promotions, discounts, and the timing of franchise and other revenue recognition. - **Long-lived asset impairment** — Can create impairment charges for underperforming or closed locations - **Goodwill impairment** — Could materially affect earnings if brand or segment value declines - **Lease accounting and guarantees** — Impacts occupancy-related assets, liabilities, and disclosures - **Closure and relocation costs** — Can cause volatility in operating results - Restaurant-level impairment testing uses estimated future cash flows - Goodwill is tested annually and when triggering events occur - Operating lease accounting affects restaurant occupancy assets and liabilities - Lease guarantees and closure costs require judgment and estimates - Restaurant sales net of promotions and discounts affect reported revenue --- *Last updated: 2026-04-29T05:03:35.783238+00:00*