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CFO Mitch Reback affirmed the 15-20% unit growth algorithm remains intact, as the return on capital for new stores, especially those with an Infinite Kitchen, is still very strong. CEO Jonathan Neman shared that the new SG Rewards program is acquiring about 20,000 new members per week, with much of the conversion happening in-store, providing valuable data on a previously anonymous channel. He noted the team is already seeing promising opportunities to drive incremental visits through personalized journeys.

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CFO Mitch Reback reported continued satisfaction with IK performance, citing consistent 7-point labor savings, 1-point COGS improvement, and 90% favorable customer survey results. He highlighted that the Penn Plaza retrofit is comping around 15% on its digital lines. For 2025, the plan includes at least 25 new IK deployments: 20 in new stores, 1-3 retrofits, and 2 relocations, with the majority scheduled for the second half of the year.

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CFO Mika Ware stated that over 80% of their supply chain is sourced domestically and they have flexibility to shift sourcing for international products. She quantified the potential tariff impact as relatively small compared to their total food and beverage spend and believes it can be absorbed within their current pricing strategy, which protects opening price points while using a barbell approach to maintain margins.

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CEO Kevin Hochman outlined two key priorities. First, building an in-house capability to mine tokenized data more efficiently, moving away from slower, more expensive third-party services. Second, he has directed the team to pause expansion of the "My Chili's Rewards" loyalty program until they can remove operational friction for both guests and team members during offer redemption. The goal is to make the process "supermarket easy" before driving growth in the program.

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CEO Robert Lynch explained that tests in eight drive-thrus demonstrated significant improvements in ordering time, speed of service, accuracy, and guest satisfaction. Based on these positive results, the company is rolling out the new combo strategy across all its drive-thrus by the end of the month and is exploring extending it to other channels like in-store kiosks.

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CFO Katie Fogertey explained that the company faced 150 to 200 basis points of traffic pressure from the fires and weather. Despite this, the underlying business showed strength, supported by a price mix of approximately 5-6%. Fogertey emphasized that the positive result signifies that Shake Shack's marketing and operational strategies are effectively offsetting the external pressures.

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CEO Michael Skipworth responded that the company is very encouraged by the early results of the tender relaunch. He confirmed the sales mix for tenders spiked, similar to the chicken sandwich launch, and is now mixing at a higher rate than the sandwich. He emphasized that tenders are proving to be a great entry point to the brand, evidenced by a record number of new guest acquisitions in March, indicating a significant long-term opportunity.

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CEO Michael Skipworth confirmed a significant spike in the tender sales mix following the relaunch, noting it is now mixing higher than the chicken sandwich. He emphasized that the strategic opportunity is to use tenders as an entry point for new guests who are unfamiliar with the brand, a playbook that proved successful with the chicken sandwich and was validated by record new guest acquisition in March.

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Executive Alex Kaleida confirmed the importance of existing partners, highlighting that over 70 different partners opened a restaurant in 2023. He explained that operators of various sizes are scaling their portfolios (e.g., from 5 to 15 units), which drives the 95% reinvestment rate from existing franchisees and fuels the record development pipeline.

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Brian Niccol, Chairman and Chief Executive Officer, reported that the pilot, now in over 400 stores, has successfully reduced average cafe wait times by over two minutes and brought drive-thru times under four minutes without negatively impacting mobile order satisfaction. For partners, the technology works 'behind the scenes' to create a calmer, more efficient environment, enabling more time for customer connection.

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CEO Brian Niccol stated the goal is to win with all age groups, from Gen Z to the over-50 crowd. He noted that younger customers are particularly attracted to the tea and refresher platforms, citing the success of matcha lattes. The strategy is to have a balanced approach, using innovation in flavors across tea, refreshers, and cold coffee beverages to appeal to younger tastes while maintaining a broad menu for all customers seeking a premium, handcrafted experience.

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CEO Scott Boatwright reported strong performance and growth in Canada with U.S.-level margins, and significant margin progress in Europe. He expressed high confidence in returning to mid-single-digit growth and reaffirmed the company's commitment to its long-term goal of 7,000 restaurants in North America, citing brand strength and a robust innovation pipeline.

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CFO Adam Rymer explained that the current pricing level is comfortable for offsetting projected inflation and that the company prefers to grow margins via transaction growth. He confirmed they would consider more pricing if a permanent inflationary hit occurred. Regarding mix, he noted a 50 basis point underlying drag from smaller group sizes, partially offset by strong performance in sides like queso and extra meat.

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Interim CEO Scott Boatwright responded that while direct ROI is hard to quantify, portioning is a core brand equity. He noted significant positive indicators, including improved social media sentiment with customers posting about large portions, higher brand tracker scores for value, and a 500-point increase in positive portioning scores from internal consumer feedback channels since the spring.

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President and CEO Ricardo Cardenas noted that while BOTO was historically their second-best traffic driver, the current environment and offer structure (not a deep discount) make direct comparisons difficult. He stated the promotion fits Olive Garden's brand equity of 'abundance' and its operational capabilities. He suggested it would likely not be expanded to other brands as it may not align with their specific strategic filters.

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CEO Kirk Tanner attributed the strong international comp growth to successful innovation, including a key collaboration in Canada, and strategic adjustments in markets like the U.K. For 2025, he expects to open 150-200 new international units, which is about two-thirds of the total. The growth will be geographically diverse, with approximately one-third from Canada/Europe, half from the APMEA region, and additional growth in Latin America.

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CEO Kirk Tanner expressed excitement about the recent changes, stating they have brought in high-level, focused talent. He explained the organizational structure is now deliberately designed to drive the U.S. business and accelerate international development, giving him confidence in achieving future growth.

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CEO Jerry Morgan explained that while corporate provides support, the strategy is to foster each brand individually with its own dedicated Head of Operations. He stressed that successful growth is about having the right people and execution for each unique concept, rather than a one-size-fits-all synergy model, to ensure high-quality openings.

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CEO Darin Harris highlighted the success of the 'Munchies Under $4' everyday value platform, which improved trends by approximately 120 basis points in its first full quarter and drove check add-ons. He also noted that promoted digital offers, such as the $5 breakfast and 'Two for' deals, performed well and contributed to results.

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