Total Revenue

+28%

Q1 2025 Total Revenue increased to $331.83M from $259.01M in Q1 2024, a 28% jump. This was driven by enhanced same-restaurant performance, increased customer traffic, and the continued momentum from new restaurant openings that built upon previous period improvements. " "

Net Income

+84%

Net Income surged from $13.99M in Q1 2024 to $25.71M in Q1 2025, an 84% increase. This reflects not only the significant revenue growth but also improved operating leverage and cost control measures implemented in prior periods that continued to bear fruit in Q1 2025. " "

Operating Income

+70%

Operating Income expanded by 70%, rising from $9.25M in Q1 2024 to $15.71M in Q1 2025. This improvement highlights better operational efficiency and a favorable pricing mix, as operating expense increases were contained compared to the stronger revenue base, a trend established in the previous period. " "

Basic Earnings Per Share

+83%

Basic EPS increased from $0.12 in Q1 2024 to $0.22 in Q1 2025, reflecting an approximate 83% gain. The improvement is closely tied to the rising net income and limited dilution effects, demonstrating that profitability gains from prior initiatives carried forward into the current period. " "

Cash and Cash Equivalents

-12%

Cash and Cash Equivalents declined by about 12%, from $329.12M in Q1 2024 to $289.35M in Q1 2025. This reduction likely reflects a strategic use of cash for reinvestments or higher financing outflows, offsetting previous high liquidity levels that were enhanced by IPO proceeds in earlier periods. " "

Net New CAVA Restaurant Openings

FY 2025

62 to 66 net new CAVA restaurant openings "

64 to 68 "

raised

CAVA Same-Restaurant Sales Growth

FY 2025

6% to 8% "

6% to 8% "

no change

CAVA Restaurant Level Profit Margin

FY 2025

Between 24.8% to 25.2% "

Between 24.8% and 25.2% "

no change

Preopening Costs

FY 2025

Between $14 million and $15 million "

Between $14.5 million and $15.5 million "

raised

Adjusted EBITDA (including the burden of preopening costs)

FY 2025

Between $150 million and $157 million "

Between $152 million and $159 million "

raised

Loyalty Program Engagement

Q2 mentioned a successful pilot, national rollout ahead of schedule and reimagined program with a transaction-to-earn & bank transition " " ; Q3 noted a 200–basis point increase and positive early results " " ; Q4 highlighted a 230–basis point increase, lower entry barriers and testing tactics. " "

Q1 2025 emphasized robust engagement with a 340–basis point improvement, approximately 8 million members and plans for a tiered, national rollout. "

Consistently positive performance with incremental improvements and additional program features reinforcing strong customer retention.

Same-Restaurant Sales Growth and Guest Traffic

Q2 reported 14.4% same-store sales, driven by 9.5% traffic with emerging deceleration concerns " " ; Q3 showed strong momentum at 18.1% sales growth with consistent trends and no deceleration concerns " " ; Q4 noted very high growth (21.2% quarterly sales) but also signaled moderation for future periods. " "

Q1 2025 delivered 10.8% same-store sales growth and 7.5% traffic growth with solid three-year stacking and positive guest trends despite acknowledging macro headwinds. " " "

Strong performance continues, though the growth rate has moderated. Positive guest traffic persists amidst cautious outlook driven by possible macro headwinds.

Menu Innovation and Product Launches

Q2 highlighted a highly successful steak launch and strong social media support, with plans for further innovation " " ; Q3 reinforced steak’s positive mix impact together with flavor experiments like Garlic Ranch pita chips and a multiyear pipeline " " ; Q4 emphasized grilled steak introduction and garlic branch chips as part of an ongoing innovation strategy. " "

Q1 2025 continued to build on protein innovation with a successful steak launch, a test of chicken shawarma and the announcement of a tentpole protein launch later in 2025, although sustainability sentiments were less emphasized. " " "

Ongoing innovation remains central as new protein offerings expand and momentum continues, with anticipation of future tentpole events bolstering the menu, while the mixed sustainability sentiment appears less prominent.

Expansion and New Market Scaling

Q2 discussed strong new-store performance and community-driven marketing in markets like Chicago " " ; Q3 featured 11 new restaurants with a balanced pipeline, strong leadership challenges and expansion plans into greenfield markets like South Florida " " ; Q4 detailed 15 net new restaurants, rising brand awareness and emphasized execution and leadership enhancements. " " "

Q1 2025 reported 15 net new restaurants, expansion into Indiana and deepening in key markets like Florida, along with continued emphasis on leadership development and operational excellence. " " "

Robust expansion persists with consistently strong new-store performance and strategic market entries; execution and leadership challenges remain in focus but are being actively managed.

Brand Awareness Growth Across Demographics

Q2 noted broad appeal with social media and earned media driving awareness, particularly among younger customers " ; Q3 reported an 8–point increase in awareness with especially strong growth among Gen Z and Gen Alpha " ; Q4 mentioned significant awareness tailwinds from strong marketing efforts though without detailed demographic breakdowns. "

Q1 2025 did not include any specific discussion on brand awareness across demographics.

This topic is no longer mentioned in Q1 2025, suggesting it has been deprioritized or integrated into a broader marketing narrative without separate emphasis on younger demographics.

Macroeconomic Uncertainty and Its Impact on Consumer Demand

Q2 acknowledged consumer caution due to macro uncertainty and election factors, adjusting guidance accordingly " " ; Q3 indicated that prior uncertainties were removed from guidance based on strong business visibility " ; Q4 had minor mentions linked to guidance assumptions. "

In Q1 2025, leadership recognized ongoing macroeconomic fluidity and headwinds but highlighted robust consumer behavior with increased premium attachments and consistent traffic across segments. " " "

Continued cautious sentiment remains, though strong consumer data in Q1 2025 mitigates concerns. The risk is still acknowledged but appears less disruptive than earlier anticipated.

Operational Efficiency Enhancements

Q2 focused on testing new labor models and connected kitchen initiatives, including AI video technology pilots " " ; Q3 emphasized a new labor scheduling deployment model, initial KDS tests in 25 locations and generative AI support " " ; Q4 reported KDS live in 25 locations and refined labor deployment to improve speed and service. " " "

Q1 2025 showcased significant operational focus with an expanded KDS rollout (42 stores, targeting 250 by year-end) and further refinements in labor deployment yielding productivity and enhanced guest experience. " "

Greater emphasis and progress are evident as technology rollouts and refined labor models advance, reinforcing efficiency improvements compared to earlier periods.

Strategic Pricing Adjustments

Q2 noted a modest <3% price increase and a historical trend of restrained price adjustments (total ~12%) to protect value " ; Q4 highlighted a 1.7% restaurant-level price increase—below CPI—and stressed no further hikes planned " " " ; Q3 did not mention pricing.

Q1 2025 reaffirmed a 1.7% menu price adjustment in early January with no additional increases planned, underscoring a continued strategic restraint aimed at preserving guest value. " " "

The pricing strategy has remained consistent with modest, carefully calibrated adjustments aimed at protecting consumer value, with less emphasis in Q1 compared to the detailed discussion in Q4.

Rising Labor Costs and Regulatory Impacts

Q2 discussed increasing labor costs—with a 9% wage investment and explicit reference to AB 1228—and noted that costs were absorbed rather than passed on " " " ; Q3 reiterated similar wage increases (around 8%) and management of AB 1228 impacts without raising menu prices " ; Q4 again emphasized these wage investments and their absorption despite regulatory pressure. " "

Q1 2025 did not include any direct discussion of rising labor costs or regulatory impacts, indicating that this topic was not reiterated in the latest update.

The absence of discussion in Q1 2025 suggests that earlier concerns over wage pressures and regulations such as AB 1228 have either been resolved or are no longer prominent in management’s current discourse.

Adjusted EBITDA and G&A Expense Concerns

Q2 reported improved Adjusted EBITDA ($34.3M) and a modest improvement in G&A as a percentage of revenue " " ; Q3 cited a 69.2% increase in Adjusted EBITDA with G&A leverage improvements despite higher nominal expenses " " ; Q4 detailed a 60% EBITDA increase with strong margin improvements in G&A expenses, addressing previous analyst concerns. " " "

Q1 2025 delivered an Adjusted EBITDA of $44.9M, a notable 34.6% increase year-over-year, accompanied by improved G&A margins (10.5% vs. 11.1%), reflecting solid financial performance without renewed concerns. "

Financial performance continues to improve, with EBITDA gains and enhanced G&A efficiency. Earlier concerns have largely been mitigated through disciplined cost management, leaving a positive outlook in Q1 2025.