1145 ET - Cheesecake Factory says it can absorb the impact of current tariffs without changing its expectations for adjusted margins. The American dining chain reported an increase revenue and same-store sales in 1Q.CFO Matthew Clark on an earnings call says the uncertain business environment would most impact certain operating expenses such as small wares and to-go packaging that it primarily imports. He adds that there will be a taper of such goods as such items were bought in advance or in place for the current quarter, but may build back up starting into 3Q."We're not going to change our margin outlook regardless of that or the sales piece," said Clark, who notes any potential price increases will be between 50 basis points and 75 basis points. (denny.jacob@wsj.com; @pennedbyden)
(END) Dow Jones Newswires
May 01, 2025 11:45 ET (15:45 GMT)
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