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Texas Roadhouse’s 7.1% Same-Store Sales Surge: Is Inflation Still The Real Risk?

The full first quarter 2026 results for Texas Roadhouse, Inc. reflected continued top-line growth and operational focus amid ongoing inflationary pressures and a competitive casual dining environment. Total revenue rose 12.8% year-over-year to over $1.6 billion, driven primarily by a 7.1% increase in same-store sales—comprising 4.5% traffic growth and 2.6% average check growth. Weekly average sales per Texas Roadhouse unit exceeded $174,000 in the quarter, with significant contributions from an improving to-go business, which constituted 14.6% of average weekly sales, its highest mix since early in the COVID-19 period. Operationally, the company reported a 10.5% increase in restaurant margin dollars to $264 million; however, restaurant margin as a percentage of sales declined 36 basis points to 16.3%. This contraction was mainly due to commodity inflation, particularly a 6.2% increase in food and beverage costs, partially offset by menu price increases. Labor costs, while increasing 5.