CHEESECAKE FACTORY INC Segments Disclosure
18. Segment Information
Our chief operating decision maker (“CODM”) is the Chief Executive Officer, President and Chief Financial Officer. Our CODM allocates resources and evaluates the performance of each operating segment based on the segment’s revenue and income/(loss) from operations, comparing actual results to historical and previously forecasted financial information. Significant expenses are expenses that are regularly provided to the CODM and are included in segment income/(loss). Our operating segments, are aligned with our strategic priorities and are the businesses for which our CODM reviews discrete financial information for decision-making purposes, are comprised of The Cheesecake Factory, North Italia, Flower Child, the other FRC brands and our bakery division. Based on quantitative thresholds set forth in ASC 280, Segment Reporting, The Cheesecake Factory, North Italia and the other FRC brands are the only businesses that meet the criteria of a reportable operating segment. The remaining operating segments (Flower Child and our bakery division) along with our businesses that do not qualify as operating segments are combined in Other. Unallocated corporate expenses, capital expenditures and assets are also combined in Other.
Segment information is presented below (in thousands):
For the fifty-two weeks ended December 30, 2025
The Cheesecake | |||||||||||||||
Factory | North | ||||||||||||||
| Restaurants | | Italia | | Other FRC | | Other | | Total | ||||||
Revenues | $ | 2,688,797 | $ | 345,896 | $ | 355,060 | $ | 362,053 | $ | 3,751,806 | |||||
|
|
|
| ||||||||||||
Costs and expenses: |
|
|
| ||||||||||||
Food and beverage costs |
| 581,264 | 76,607 |
| 77,985 |
| 77,291 |
| 813,147 | ||||||
Labor expenses |
| 913,001 | 128,179 |
| 132,777 |
| 138,937 |
| 1,312,894 | ||||||
Other operating costs and expenses |
| 707,738 | 94,700 |
| 107,936 |
| 103,641 |
| 1,014,015 | ||||||
General and administrative expenses |
| — | — |
| — |
| 244,915 |
| 244,915 | ||||||
Depreciation and amortization expenses |
| 66,733 | 12,257 |
| 13,215 |
| 16,826 |
| 109,031 | ||||||
Impairment of assets and lease termination expenses |
| 505 | 7,869 |
| 9,603 |
| 5,013 |
| 22,990 | ||||||
Acquisition-related contingent consideration, compensation and amortization expenses |
| — | — |
| 1,262 |
| 13,187 |
| 14,449 | ||||||
Preopening costs |
| 10,253 | 7,917 |
| 11,544 |
| 3,366 |
| 33,080 | ||||||
Total costs and expenses |
| 2,279,494 | 327,529 |
| 354,322 |
| 603,176 |
| 3,564,521 | ||||||
Income/(loss) from operations |
| $ | 409,303 | $ | 18,367 | $ | 738 | $ | (241,123) | $ | 187,285 | ||||
Capital expenditures |
| $ | 75,255 | $ | 26,190 | $ | 18,409 | $ | 26,350 | $ | 146,204 | ||||
Total assets |
| $ | 1,636,027 | $ | 441,827 | $ | 447,978 | $ | 735,840 | $ | 3,261,672 | ||||
For the fifty-two weeks ended December 31, 2024
The Cheesecake | |||||||||||||||
Factory | North | ||||||||||||||
| Restaurants | | Italia | | Other FRC | | Other | | Total | ||||||
Revenues | $ | 2,661,627 | $ | 299,575 | $ | 299,969 | $ | 320,528 | $ | 3,581,699 | |||||
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|
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Costs and expenses: |
|
|
|
| |||||||||||
Food and beverage costs |
| 599,899 | 69,505 |
| 66,665 |
| 69,952 |
| 806,021 | ||||||
Labor expenses |
| 913,560 | 111,082 |
| 108,377 |
| 131,363 |
| 1,264,382 | ||||||
Other operating costs and expenses |
| 696,739 | 82,290 |
| 88,672 |
| 91,520 |
| 959,221 | ||||||
General and administrative expenses |
| — | — |
| — |
| 228,737 |
| 228,737 | ||||||
Depreciation and amortization expenses |
| 66,010 | 9,244 |
| 11,389 |
| 14,807 |
| 101,450 | ||||||
Impairment of assets and lease termination (income)/expenses |
| (1,402) | — |
| 14,893 |
| 156 |
| 13,647 | ||||||
Acquisition-related contingent consideration, compensation and amortization expenses |
| — | — |
| 1,262 |
| 1,167 |
| 2,429 | ||||||
Preopening costs |
| 7,499 | 7,409 |
| 9,206 |
| 3,381 |
| 27,495 | ||||||
Total costs and expenses |
| 2,282,305 | 279,530 |
| 300,464 |
| 541,083 |
| 3,403,382 | ||||||
Income/(loss) from operations |
| $ | 379,322 | $ | 20,045 | $ | (495) | $ | (220,555) | $ | 178,317 | ||||
Capital expenditures |
| $ | 65,465 | $ | 37,811 | $ | 30,405 | $ | 26,683 | $ | 160,364 | ||||
Total assets |
| $ | 1,545,227 | $ | 419,812 | $ | 420,957 | $ | 655,764 | $ | 3,041,760 | ||||
For the fifty-two weeks ended January 2, 2024
| The Cheesecake | | | | | | | | |||||||
Factory | North | ||||||||||||||
| Restaurants | | Italia | | Other FRC | | Other | | Total | ||||||
Revenues | $ | 2,595,066 | $ | 258,878 | $ | 263,923 | $ | 321,636 | $ | 3,439,503 | |||||
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|
| |||||||||||||
Costs and expenses: |
|
|
| ||||||||||||
Food and beverage costs |
| 607,439 | 64,425 | 59,865 |
| 71,771 |
| 803,500 | |||||||
Labor expenses |
| 907,579 | 93,540 | 93,840 |
| 132,936 |
| 1,227,895 | |||||||
Other operating costs and expenses |
| 685,521 | 69,918 | 72,554 |
| 94,435 |
| 922,428 | |||||||
General and administrative expenses |
| — | — | — |
| 217,449 |
| 217,449 | |||||||
Depreciation and amortization expenses |
| 64,206 | 6,407 | 7,916 |
| 14,607 |
| 93,136 | |||||||
Impairment of assets and lease termination expenses |
| 20,401 | 1,015 | 2,582 |
| 5,466 |
| 29,464 | |||||||
Acquisition-related contingent consideration, compensation and amortization expenses |
| — | — | 1,262 |
| 10,424 |
| 11,686 | |||||||
Preopening costs |
| 12,857 | 5,058 | 6,482 |
| 982 |
| 25,379 | |||||||
Total costs and expenses |
| 2,298,003 | 240,363 | 244,501 |
| 548,070 |
| 3,330,937 | |||||||
Income/(loss) from operations |
| $ | 297,063 | $ | 18,515 | $ | 19,422 | $ | (226,434) | $ | 108,566 | ||||
Capital expenditures |
| $ | 80,752 | $ | 26,882 | $ | 27,562 | $ | 16,369 | $ | 151,565 | ||||
Total assets |
| $ | 1,571,943 | $ | 346,810 | $ | 399,038 | $ | 522,592 | $ | 2,840,383 | ||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 23, 2026 | Showing above |
| 2024 | Feb 24, 2025 | |
| 2023 | Feb 27, 2023 | |
| 2021 | Feb 22, 2022 | |
| 2020 | Feb 24, 2021 | |
| 2019 | Mar 12, 2020 | |
| 2018 | Feb 28, 2018 | |
| 2017 | Mar 2, 2017 | |
| 2015 | Feb 25, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.