The Cheesecake Factory: Provides Business Update

Calabas Hills / CA. (cf) The Cheesecake Factory Incorporated provided a business update given the ongoing COVID-19 pandemic. The Company began to reopen dining rooms across its concepts the second week of May. As of today, approximately 25 percent of the Company’s restaurants across its concepts, including 34 Cheesecake Factory restaurants, have reopened dining rooms with limited capacity in accordance with local mandates.

The reopened Cheesecake Factory restaurants have recaptured, on average, approximately 75 percent of prior year sales levels, reflecting continued strength in off-premise sales and building dine-in business. For The Cheesecake Factory restaurants that are continuing to operate an off-premise only model at present, current weekly off-premise sales would equate to nearly USD 4 million per unit on an annualized basis, on average. Fiscal second quarter to-date through May 31, 2020 comparable sales at The Cheesecake Factory restaurants are down approximately 63 percent, including the impact of 87 full or partial closures due to demonstrations across the United States this past weekend.

The Company expects to have approximately 65 percent of dining rooms across its concepts that closed due to COVID-19 reopened with limited capacity by mid-June, including an anticipated 124 Cheesecake Factory restaurants, subject to any closures due to further demonstrations and other factors related to the ongoing COVID-19 pandemic.