Texas Roadhouse (TXRH) 10-Q2 Aug 192019 Q2 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 25, 2019	Jul. 24, 2019
Document and Entity Information [Abstract]
Entity Registrant Name	Texas Roadhouse, Inc.
Entity Central Index Key	0001289460
Document Type	10-Q
Document Period End Date	Jun. 25, 2019
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Trading Symbol	TXRH
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		69,573,832
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	000-50972
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	20-1083890
Entity Address, Address Line One	6040 Dutchmans Lane, Suite 200
Entity Address, City or Town	Louisville
Entity Address, State or Province	KY
Entity Address, Postal Zip Code	40205
City Area Code	502
Local Phone Number	426-9984
Title of 12(b) Security	Common Stock
Security Exchange Name	NASDAQ
Entity Interactive Data Current	Yes

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 25, 2019	Dec. 25, 2018
Current assets:
Cash and cash equivalents	$ 144,839	$ 210,125
Receivables, net of allowance for doubtful accounts of $15 at June 25, 2019 and $34 at December 25, 2018	39,409	92,114
Inventories, net	17,907	18,827
Prepaid income taxes	104	7,569
Prepaid expenses	15,169	16,384
Total current assets	217,428	345,019
Property and equipment, net of accumulated depreciation of $642,555 at June 25, 2019 and $602,451 at December 25, 2018	991,339	956,676
Operating lease right-of-use asset	485,818
Goodwill	123,220	123,220
Intangible assets, net of accumulated amortization of $13,862 at June 25, 2019 and $13,416 at December 25, 2018	1,513	1,959
Other assets	49,533	42,402
Total assets	1,868,851	1,469,276
Current liabilities:
Current portion of operating lease liabilities	16,472
Accounts payable	65,799	62,060
Deferred revenue-gift cards	119,557	192,242
Accrued wages	35,892	34,159
Income taxes payable	4,687
Accrued taxes and licenses	24,250	24,631
Dividends payable	21,224	17,904
Other accrued liabilities	71,184	54,146
Total current liabilities	359,065	385,142
Operating lease liabilities, net of current portion	521,820
Restricted stock and other deposits	8,652	7,703
Deferred rent		48,079
Deferred tax liabilities, net	13,630	17,268
Other liabilities	60,066	50,376
Total liabilities	963,233	508,568
Texas Roadhouse, Inc. and subsidiaries stockholders' equity:
Preferred stock ($0.001 par value, 1,000,000 shares authorized; no shares issued or outstanding)
Common stock ($0.001 par value, 100,000,000 shares authorized, 69,801,550 and 71,617,510 shares issued and outstanding at June 25, 2019 and December 25, 2018, respectively)	70	72
Additional paid-in-capital	152,872	257,388
Retained earnings	738,123	688,337
Accumulated other comprehensive loss	(213)	(228)
Total Texas Roadhouse, Inc. and subsidiaries stockholders' equity	890,852	945,569
Noncontrolling interests	14,766	15,139
Total equity	905,618	960,708
Total liabilities and equity	$ 1,868,851	$ 1,469,276

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 25, 2019	Dec. 25, 2018
Consolidated Balance Sheets
Receivables, allowance for doubtful accounts (in dollars)	$ 15	$ 34
Property and equipment, accumulated depreciation (in dollars)	642,555	602,451
Intangible assets, accumulated amortization (in dollars)	$ 13,862	$ 13,416
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	69,801,550	71,617,510
Common stock, shares outstanding	69,801,550	71,617,510

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income and Comprehensive Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2019	Jun. 26, 2018	Jun. 25, 2019	Jun. 26, 2018
Revenue:
Revenue	$ 689,828	$ 629,237	$ 1,380,436	$ 1,256,942
Restaurant operating costs (excluding depreciation and amortization shown separately below):
Cost of sales	221,266	204,048	444,978	406,834
Labor	225,490	199,647	449,370	395,677
Rent	13,051	12,119	26,179	23,970
Other operating	103,811	94,858	205,613	187,236
Pre-opening	4,197	4,107	8,065	9,151
Depreciation and amortization	28,454	25,165	56,227	49,649
Impairment and closure	316	22	333	108
General and administrative	39,960	35,004	75,943	65,179
Total costs and expenses	636,545	574,970	1,266,708	1,137,804
Income from operations	53,283	54,267	113,728	119,138
Interest income (expense), net	691	(283)	1,445	(642)
Equity income from investments in unconsolidated affiliates	141	445	254	769
Income before taxes	54,115	54,429	115,427	119,265
Provision for income taxes	7,427	8,466	16,546	16,923
Net income including noncontrolling interests	46,688	45,963	98,881	102,342
Less: Net income attributable to noncontrolling interests	1,843	1,736	3,646	3,574
Net income attributable to Texas Roadhouse, Inc. and subsidiaries	44,845	44,227	95,235	98,768
Other comprehensive (loss) income, net of tax:
Foreign currency translation adjustment, net of tax of $28, $40, ($5) and ($9), respectively	(82)	(118)	15	(8)
Total other comprehensive (loss) income, net of tax	(82)	(118)	15	(8)
Total comprehensive income	$ 44,763	$ 44,109	$ 95,250	$ 98,760
Net income per common share attributable to Texas Roadhouse, Inc. and subsidiaries:
Basic (in dollars per share)	$ 0.63	$ 0.62	$ 1.33	$ 1.38
Diluted (in dollars per share)	$ 0.63	$ 0.62	$ 1.32	$ 1.37
Weighted average shares outstanding:
Basic (in shares)	71,362	71,445	71,558	71,389
Diluted (in shares)	71,733	71,897	71,961	71,853
Cash dividends declared per share (in dollars per share)	$ 0.30	$ 0.25	$ 0.60	$ 0.50
Restaurant and other sales
Revenue:
Revenue	$ 684,373	$ 624,073	$ 1,369,490	$ 1,246,475
Franchise royalties and fees
Revenue:
Revenue	$ 5,455	$ 5,164	$ 10,946	$ 10,467

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Income and Comprehensive Income (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2019	Jun. 26, 2018	Jun. 25, 2019	Jun. 26, 2018
Consolidated Statements of Income and Comprehensive Income
Foreign currency translation adjustment, (tax)/benefit	$ 28	$ 40	$ (5)	$ (9)

Condensed Consolidated Statem_3

Condensed Consolidated Statement of Stockholders' Equity - USD ($)	Total Texas Roadhouse, Inc. and Subsidiaries	Common Stock	Additional Paid-in-Capital	Retained Earnings	Accumulated Other Comprehensive Loss	Noncontrolling Interests	Total
Balance at Dec. 26, 2017	$ 839,079,000	$ 71,000	$ 236,548,000	$ 602,499,000	$ (39,000)	$ 12,312,000	$ 851,391,000
Balance (in shares) at Dec. 26, 2017		71,168,897
Increase (Decrease) in Stockholders' Equity
Net income	98,768,000			98,768,000		3,574,000	102,342,000
Other comprehensive income (loss), net	(8,000)				(8,000)		(8,000)
Noncontrolling interests contribution						865,000	865,000
Distributions to noncontrolling interest holders						(3,202,000)	(3,202,000)
Contribution from executive officer	1,000,000		1,000,000				1,000,000
Dividends declared	(35,721,000)			(35,721,000)			(35,721,000)
Shares issued under share-based compensation plans including tax effects (in shares)		478,690
Indirect repurchase of shares for minimum tax withholdings	(10,047,000)		(10,047,000)				(10,047,000)
Indirect repurchase of shares for minimum tax withholdings (in shares)		(173,378)
Cumulative effect of change in accounting principle \| ASU 2014-09 (Topic 606)	(878,000)			(878,000)			(878,000)
Share-based compensation	15,856,000		15,856,000				15,856,000
Balance at Jun. 26, 2018	908,049,000	$ 71,000	243,357,000	664,668,000	(47,000)	13,549,000	921,598,000
Balance (in shares) at Jun. 26, 2018		71,474,209
Balance at Mar. 27, 2018	874,222,000	$ 71,000	235,771,000	638,309,000	71,000	12,643,000	886,865,000
Balance (in shares) at Mar. 27, 2018		71,414,201
Increase (Decrease) in Stockholders' Equity
Net income	44,227,000			44,227,000		1,736,000	45,963,000
Other comprehensive income (loss), net	(118,000)				(118,000)		(118,000)
Noncontrolling interests contribution						865,000	865,000
Distributions to noncontrolling interest holders						(1,695,000)	(1,695,000)
Contribution from executive officer	1,000,000		1,000,000				1,000,000
Dividends declared	(17,868,000)			(17,868,000)			(17,868,000)
Shares issued under share-based compensation plans including tax effects		$ 88,062
Indirect repurchase of shares for minimum tax withholdings	(1,795,000)	(28,054)	(1,795,000)				(1,795,000)
Share-based compensation	8,381,000		8,381,000				8,381,000
Balance at Jun. 26, 2018	908,049,000	$ 71,000	243,357,000	664,668,000	(47,000)	13,549,000	921,598,000
Balance (in shares) at Jun. 26, 2018		71,474,209
Balance at Dec. 25, 2018	945,569,000	$ 72,000	257,388,000	688,337,000	(228,000)	15,139,000	$ 960,708,000
Balance (in shares) at Dec. 25, 2018		71,617,510					71,617,510
Increase (Decrease) in Stockholders' Equity
Net income	95,235,000			95,235,000		3,646,000	$ 98,881,000
Other comprehensive income (loss), net	15,000				15,000		15,000
Distributions to noncontrolling interest holders						(3,346,000)	(3,346,000)
Acquisition of noncontrolling interest	(70,000)		(70,000)			(673,000)	(743,000)
Dividends declared	(42,771,000)			(42,771,000)			(42,771,000)
Shares issued under share-based compensation plans including tax effects (in shares)		433,917
Repurchase of shares of common stock	(112,052,000)	$ (2,000)	(112,050,000)				$ (112,052,000)
Repurchase of shares of common stock (in shares)		(2,096,677)					(2,096,677)
Indirect repurchase of shares for minimum tax withholdings	(9,269,000)		(9,269,000)				$ (9,269,000)
Indirect repurchase of shares for minimum tax withholdings (in shares)		(153,200)
Cumulative effect of change in accounting principle \| ASU 2016-02 (Topic 842)	(2,678,000)			(2,678,000)			(2,678,000)
Share-based compensation	16,873,000		16,873,000				16,873,000
Balance at Jun. 25, 2019	890,852,000	$ 70,000	152,872,000	738,123,000	(213,000)	14,766,000	$ 905,618,000
Balance (in shares) at Jun. 25, 2019		69,801,550					69,801,550
Balance at Mar. 26, 2019	973,493,000	$ 72,000	259,050,000	714,502,000	(131,000)	14,654,000	$ 988,147,000
Balance (in shares) at Mar. 26, 2019		71,827,836
Increase (Decrease) in Stockholders' Equity
Net income	44,845,000			44,845,000		1,843,000	46,688,000
Other comprehensive income (loss), net	(82,000)				(82,000)		(82,000)
Distributions to noncontrolling interest holders						(1,731,000)	(1,731,000)
Dividends declared	(21,224,000)			(21,224,000)			(21,224,000)
Shares issued under share-based compensation plans including tax effects (in shares)		103,289
Repurchase of shares of common stock	(112,052,000)	$ (2,000)	(112,050,000)				$ (112,052,000)
Repurchase of shares of common stock (in shares)		(2,096,677)					(2,096,677)
Indirect repurchase of shares for minimum tax withholdings	(1,869,000)		(1,869,000)				$ (1,869,000)
Indirect repurchase of shares for minimum tax withholdings (in shares)		(32,898)
Share-based compensation	7,741,000		7,741,000				7,741,000
Balance at Jun. 25, 2019	$ 890,852,000	$ 70,000	$ 152,872,000	$ 738,123,000	$ (213,000)	$ 14,766,000	$ 905,618,000
Balance (in shares) at Jun. 25, 2019		69,801,550					69,801,550

Condensed Consolidated Statem_4

Condensed Consolidated Statement of Stockholders' Equity (Parenthetical) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 25, 2019	Jun. 26, 2018	Jun. 25, 2019	Jun. 26, 2018
Consolidated Statement of Stockholders' Equity
Dividends declared (in dollars per share)	$ 0.30	$ 0.25	$ 0.60	$ 0.50

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 25, 2019	Jun. 26, 2018
Cash flows from operating activities:
Net income including noncontrolling interests	$ 98,881	$ 102,342
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	56,227	49,649
Deferred income taxes	(2,734)	3,609
Loss on disposition of assets	2,322	2,852
Impairment and closure costs	312
Contribution from executive officer		1,000
Equity income from investments in unconsolidated affiliates	(254)	(769)
Distributions of income received from investments in unconsolidated affiliates	346	367
Provision for doubtful accounts	(19)	17
Share-based compensation expense	16,873	15,856
Changes in operating working capital:
Receivables	53,894	44,328
Inventories	920	(719)
Prepaid expenses	1,215	870
Other assets	(7,653)	(4,600)
Accounts payable	(299)	(61)
Deferred revenue-gift cards	(72,685)	(59,082)
Accrued wages	1,733	3,066
Prepaid income taxes and income taxes payable	12,152	(980)
Accrued taxes and licenses	(381)	(765)
Other accrued liabilities	13,749	2,247
Operating lease right-of-use assets and lease liabilities	2,799
Deferred rent		2,382
Other liabilities	9,618	3,498
Net cash provided by operating activities	187,016	165,107
Cash flows from investing activities:
Capital expenditures-property and equipment	(87,782)	(66,718)
Net cash used in investing activities	(87,782)	(66,718)
Cash flows from financing activities:
Proceeds from noncontrolling interest contibution		865
Distributions to noncontrolling interest holders	(3,346)	(3,202)
Acquisition of noncontrolling interest	(743)
Proceeds from restricted stock and other deposits, net	340	232
Indirect repurchase of shares for minimum tax withholdings	(9,269)	(10,047)
Principal payments on long-term debt and finance lease obligation		(50,004)
Repurchase of shares of common stock	(112,050)
Dividends paid to shareholders	(39,452)	(32,798)
Net cash used in financing activities	(164,520)	(94,954)
Net (decrease) increase in cash and cash equivalents	(65,286)	3,435
Cash and cash equivalents-beginning of period	210,125	150,918
Cash and cash equivalents-end of period	144,839	154,353
Supplemental disclosures of cash flow information:
Interest paid, net of amounts capitalized	367	485
Income taxes paid	7,128	14,295
Capital expenditures included in current liabilities	$ 15,267	$ 14,268

Basis of Presentation

Basis of Presentation	6 Months Ended
Basis of Presentation	Jun. 25, 2019
Description of Business
Basis of Presentation	(1) Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of Texas Roadhouse, Inc. ("TRI"), our wholly-owned subsidiaries and subsidiaries in which we have a controlling interest (collectively the "Company," "we," "our" and/or "us") as of June 25, 2019 and December 25, 2018 and for the 13 and 26 weeks ended June 25, 2019 and June 26, 2018. As of June 25, 2019, we owned and operated 498 restaurants and franchised an additional 93 restaurants in 49 states and ten foreign countries. Of the 498 company restaurants that were operating at June 25, 2019, 478 were wholly-owned and 20 were majority-owned. Of the 93 franchise restaurants, 70 were domestic restaurants and 23 were international restaurants. As of June 26, 2018, we owned and operated 476 restaurants and franchised an additional 90 restaurants in 49 states and eight foreign countries. Of the 476 company restaurants that were operating at June 26, 2018, 458 were wholly-owned and 18 were majority-owned. Of the 90 franchise restaurants, 70 were domestic restaurants and 20 were international restaurants. As of June 25, 2019 and June 26, 2018, we owned a 5.0% to 10.0% equity interest in 24 domestic franchise restaurants. Additionally, as of June 25, 2019 and June 26, 2018, we owned a non-Texas Roadhouse restaurants as part of a joint venture agreement with a casual dining restaurant operator in China. The unconsolidated restaurants are accounted for using the equity method. Our investments in these unconsolidated affiliates are included in other assets in our unaudited condensed consolidated balance sheets, and we record our percentage share of net income earned by these unconsolidated affiliates in our unaudited condensed consolidated statements of income and comprehensive income under equity income from investments in unconsolidated affiliates. All significant intercompany balances and transactions for these unconsolidated restaurants as well as the entities whose accounts have been consolidated have been eliminated. We have made a number of estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reporting of revenue and expenses during the periods to prepare these unaudited condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles ("GAAP"). Significant items subject to such estimates and assumptions include the carrying amount of property and equipment, goodwill, obligations related to insurance reserves, leases and leasehold improvements, legal reserves, gift card breakage and third party fees and income taxes. Actual results could differ from those estimates. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, consisting only of normal recurring adjustments, necessary to present fairly our consolidated financial position, results of operations and cash flows for the periods presented. The unaudited condensed consolidated financial statements have been prepared in accordance with GAAP, except that certain information and footnotes have been condensed or omitted pursuant to rules and regulations of the Securities and Exchange Commission ("SEC"). Operating results for the 13 and 26 weeks ended June 25, 2019 are not necessarily indicative of the results that may be expected for the year ending December 31, 2019. The unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 25, 2018. Our significant interim accounting policies include the recognition of income taxes using an estimated annual effective tax rate.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	6 Months Ended
Recent Accounting Pronouncements	Jun. 25, 2019
Recent Accounting Pronouncements
Recent Accounting Pronouncements	(2) Recent Accounting Pronouncements Leases (Accounting Standards Codification 842, "ASC 842") On December 26, 2018, we adopted ASC 842, Leases As further described in note 3, we lease land and/or buildings for the majority of our restaurants under non-cancelable lease agreements. We adopted ASC 842 using a modified retrospective approach. As a result, the comparative financial information has not been updated and the required disclosures prior to the date of adoption have not been updated and continue to be reported under the accounting standards in effect for those periods. ASC 842 also permitted the election of certain practical expedients upon adoption. We elected the transition package of practical expedients which allowed us to carryforward the historical lease classification. We also elected the practical expedient to not separate lease and non-lease components for all leases entered into after the date of adoption. Finally, we elected the hindsight practical expedient which required us to assess the lease term for all existing leases. This resulted in extending the terms for certain existing leases in which renewal options had already been exercised or were reasonably certain of being exercised and shortening the terms for certain existing leases in which renewal options were not reasonably certain of being exercised. As a result of the hindsight election, we recorded a million reduction, net of tax, to retained earnings as of the first day of fiscal 2019 to reflect the change in lease terms. The adoption of this standard had a significant impact on our consolidated balance sheet. There was no significant impact to our results of operations or cash flows. This standard did not have a significant impact on our liquidity or on our compliance with our financial covenants associated with our credit facility. Financial Instruments (Accounting Standards Update 2016-13, "ASU 2016-13") In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments Goodwill (Accounting Standards Update 2017-04, "ASU 2017-04") In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment, Fair Value Measurement (Accounting Standards Update 2018-13, "ASU 2018-13") In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, modifies and adds disclosure requirements for fair value measurements. ASU 2018-13 is effective for fiscal years beginning after December 15, 2019 (our 2020 fiscal year) and for interim periods within those years, with early adoption permitted. We are currently assessing the impact of this new standard on our consolidated financial statements.

Leases

Leases	6 Months Ended
Leases	Jun. 25, 2019
Leases
Leases	(3) Leases We recognize right-of-use assets and lease liabilities for both real estate and equipment leases that have a term in excess of one year . As of June 25, 2019, these amounts were as follows (in thousands): Leases Real estate Equipment Total Operating lease right-of-use assets $ 482,086 $ 3,732 $ 485,818 Current portion of operating lease liabilities 15,230 1,242 16,472 Operating lease liabilities, net of current portion 519,330 2,490 521,820 Total operating lease liabilities $ 534,560 $ 3,732 $ 538,292 Information related to our real estate leases as of and for the 13 and 26 week periods ended June 25, 2019 was as follows (in thousands): 13 Weeks Ended 26 Weeks Ended Real estate costs June 25, 2019 June 25, 2019 Operating lease $ 13,486 $ 26,913 Variable lease 403 851 Short-term lease 30 60 Total lease costs $ 13,919 $ 27,824 Real estate lease liability maturity analysis Total 2019 $ 24,955 2020 51,032 2021 51,659 2022 52,498 2023 52,462 Thereafter 725,365 Total $ 957,971 Less interest 423,411 Total discounted operating lease liabilities $ 534,560 13 Weeks Ended 26 Weeks Ended Real estate leases other information June 25, 2019 June 25, 2019 Cash paid for amounts included in measurement of operating lease liabilities $ 12,166 $ 24,114 Right-of-use assets obtained in exchange for new operating lease liabilities $ 18,532 $ 26,872 Weighted-average remaining lease term (years) 17.83 Weighted-average discount rate 6.77 Operating lease payments exclude approximately $18.3 million of minimum lease payments for executed real estate leases that we have not yet taken possession. respectively. The right-of-use asset balance is included as a component of other assets and the lease liability balance as a component of other liabilities in the unaudited condensed consolidated balance sheets. We lease land and/or buildings for the majority of our restaurants under non-cancelable lease agreements. These leases typically have initial terms ranging from periods. When determining the lease term, we include option periods for which failure to renew the lease imposes a penalty on us in such an amount that renewal appears, at the inception of the lease, to be reasonably certain. The primary penalty to which we are subject is the economic detriment associated with the existence of leasehold improvements which might become impaired if we choose not to continue the use of the leased property. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants that would impact lease classification. Beginning in 2019, we recognize operating lease right-of-use assets and operating lease liabilities for real estate leases, including our restaurant leases and Support Center lease, as well as certain restaurant equipment leases based on the present value of the lease payments over the lease term. We estimate the present value based on our incremental borrowing rate which corresponds to the underlying lease term. In addition, operating lease right-of-use assets are reduced for accrued rent and increased for any initial direct costs recognized at lease inception. For leases commencing in 2019 and later, we account for lease and non-lease components as a single lease component. Certain of our operating leases contain predetermined fixed escalations of the minimum rent over the lease term. For these leases, we recognize the related rent expense on a straight- line basis over the lease term. We may receive rent concessions or leasehold improvement incentives upon opening a restaurant that is subject to a lease which we consider when determining straight-line rent expense. We also may receive rent holidays, which would begin on the possession date and end when the store opens, during which no cash rent payments are typically due under the terms of the lease. Rent holidays are included in the lease term when determining straight- line rent expense. In recognizing straight-line rent expense, we record the difference between amounts charged to operations and amounts paid as accrued rent. Straight-line rent expense is included as an operating lease cost in the table above. Certain of our operating leases contain clauses that provide for additional contingent rent based on a percentage of sales greater than certain specified target amounts. We recognize contingent rent expense prior to the achievement of the specified target that triggers the contingent rent, provided achievement of the target is considered probable. In addition, certain of our operating leases have variable escalations of the minimum rent that depend on an index or rate. We recognize variable rent expense when the escalation is determinable. Contingent rent and variable rent expense are included as variable lease costs in the table above. The following is a schedule of future minimum lease payments required for real estate and equipment operating leases that have a remaining term in excess of one year as of December 25, 2018 (in thousands): Operating Leases 2019 $ 50,030 2020 49,582 2021 49,917 2022 50,237 2023 49,854 Thereafter 677,710 Total $ 927,330 Rent expense for operating leases consisted of the following for the 13 and 26 week periods ended June 26, 2018 (in thousands): 13 Weeks Ended 26 Weeks Ended June 26, 2018 June 26, 2018 Minimum rent—occupancy $ 11,836 $ 23,369 Contingent rent 283 601 Rent expense, occupancy 12,119 23,970 Minimum rent—equipment and other 1,399 2,959 Rent expense $ 13,518 $ 26,929

Long-term Debt

Long-term Debt	6 Months Ended
Long-term Debt	Jun. 25, 2019
Long-term Debt
Long-term Debt and Obligations Under Capital Lease	(4) Long-term Debt On August 7, 2017, we entered into the Amended and Restated Credit Agreement (the "Amended Credit Agreement") with respect to our revolving credit facility with a syndicate of commercial lenders led by JPMorgan Chase Bank, N.A., PNC Bank, N.A., and Wells Fargo Bank, N.A. The revolving credit facility remains an unsecured, revolving credit agreement under which we may borrow up to $200.0 million with the option to increase the revolving credit facility by an additional $200.0 million subject to certain limitations. The Amended Credit Agreement extends the maturity date of our revolving credit facility until August 5, 2022. The terms of the Amended Credit Agreement require us to pay interest on outstanding borrowings at the London Interbank Offered Rate ("LIBOR") plus a margin of 0.875% to 1.875% and to pay a commitment fee of 0.125% to 0.30% per year on any unused portion of the revolving credit facility, in each case depending on our leverage ratio, or the Alternate Base Rate, which is the highest of the issuing banks’ prime lending rate, the Federal Reserve Bank of New York rate plus 0.50% or the Adjusted Eurodollar Rate for a one month interest period on such day plus 1.0%. In April 2018, we paid off our outstanding credit facility of $50.0 million. The weighted-average interest rate for the amended revolving credit facility as of June 25, 2019 and December 25, 2018 was The lenders’ obligation to extend credit pursuant to the Amended Credit Agreement depends on us maintaining certain financial covenants, including a minimum consolidated fixed charge coverage ratio of 2.00 to 1.00 and a maximum consolidated leverage ratio of 3.00 to 1.00. The Amended Credit Agreement permits us to incur additional secured or unsecured indebtedness outside the amended revolving credit facility, except for the incurrence of secured indebtedness that in the aggregate is equal to or greater than $125.0 million and 20 % of our consolidated tangible net worth. We were in compliance with all financial covenants as of June 25, 2019.

Revenue

Revenue	6 Months Ended
Revenue	Jun. 25, 2019
Revenue
Revenue	( 5) Revenue The following table disaggregates our revenue by major source (in thousands): 13 weeks ended 26 weeks ended June 25, 2019 June 26, 2018 June 25, 2019 June 25, 2019 Restaurant and other sales $ 684,373 $ 624,073 $ 1,369,490 $ 1,246,475 Franchise royalties 4,814 4,336 9,671 8,820 Franchise fees 641 828 1,275 1,647 Total revenue $ 689,828 $ 629,237 $ 1,380,436 $ 1,256,942 We record deferred revenue for gift cards which includes cards that have been sold but not yet redeemed, a breakage adjustment for a percentage of gift cards that are not expected to be redeemed, and fees paid on gift cards sold through third party retailers. When the gift cards are redeemed, we recognize restaurant sales and reduce deferred revenue. We amortize breakage and third party fees consistent with the historic redemption pattern of the associated gift card and recognize as a component of other sales. As of June 25, 2019 and December 25, 2018, our deferred revenue balance related to gift cards was approximately million, respectively. We recognized sales of approximately million for the 13 and 26 weeks ended June 25, 2019, respectively, related to the amount in deferred revenue as of December 25, 2018. We recognized sales of approximately

Income Taxes

Income Taxes	6 Months Ended
Income Taxes	Jun. 25, 2019
Income Taxes
Income Taxes	(6) Income Taxes A reconciliation of the statutory federal income tax rate to our effective tax rate for the 13 and 26 weeks ended June 25, 2019 and June 26, 2018 is as follows: 13 Weeks Ended 26 Weeks Ended June 25, 2019 June 26, 2018 June 25, 2019 June 26, 2018 Tax at statutory federal rate 21.0 % 21.0 % 21.0 % 21.0 % State and local tax, net of federal benefit 3.6 3.5 3.6 3.8 FICA tip tax credit (10.3) (9.2) (9.9) (9.4) Work opportunity tax credit (1.5) (1.6) (1.4) (1.4) Stock compensation — (0.6) (0.3) (1.4) Net income attributable to noncontrolling interests (0.6) (0.2) (0.5) (0.7) Officers compensation 0.7 1.3 1.1 1.1 Other 0.8 1.4 0.7 1.2 Total 13.7 % 15.6 % 14.3 % 14.2 % Our effective tax rate decreased to 13.7% for the 13 weeks ended June 25, 2019 compared to 15.6 % for the 13 weeks ended June 26, 2018. This decrease was primarily driven by higher FICA tip credits and lower non-deductible officers’ compensation partially offset by lower excess tax benefits related to our share-based compensation program. For the 26 weeks ended June 25, 2019 our effective tax rate increased to 14.3% compared to 14.2 % for the 26 weeks ended June 25, 2018. This increase was primarily driven by lower excess tax benefits related to our share-based compensation program partially offset by higher FICA tip credits.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
Commitments and Contingencies	Jun. 25, 2019
Commitments and Contingencies
Commitments and Contingencies	(7) Commitments and Contingencies The estimated cost of completing capital project commitments at June 25, 2019 and December 25, 2018 was approximately $197.2 million and $168.3 million, respectively. As of June 25, 2019 and December 25, 2018, we were contingently liable for $14.3 million and $14.8 million, respectively, for seven lease guarantees, listed in the table below. These amounts represent the maximum potential liability of future payments under the guarantees. In the event of default, the indemnity and default clauses in our assignment agreements govern our ability to pursue and recover damages incurred. No material liabilities have been recorded as of June 25, 2019 and December 25, 2018 as the likelihood of default was deemed to be less than probable and the fair value of the guarantees is not considered significant. Lease Current Lease Everett, Massachusetts (1)(2) September 2002 February 2023 Longmont, Colorado (1) October 2003 May 2029 Montgomeryville, Pennsylvania (1) October 2004 March 2021 Fargo, North Dakota (1)(2) February 2006 July 2021 Logan, Utah (1) January 2009 August 2024 Irving, Texas (3) December 2013 December 2019 Louisville, Kentucky (3)(4) December 2013 November 2023 (1) Real estate lease agreements for restaurant locations which we entered into before granting franchise rights to those restaurants. We have subsequently assigned the leases to the franchisees, but remain contingently liable under the terms of the lease if the franchisee defaults . (2) As discussed in note 8, these restaurants are owned, in part, by our founder or the former president of the company. (3) Leases associated with non-Texas Roadhouse restaurants which were sold. The leases were assigned to the acquirer, but we remain contingently liable under the terms of the lease if the acquirer defaults. (4) We may be released from liability after the initial contractual lease term expiration contingent upon certain conditions being met by the acquirer. During the 13 and 26 weeks ended June 25, 2019, we bought most of our beef from three suppliers. A change in suppliers could cause supply shortages and/or higher costs to secure adequate supplies and a possible loss of sales, which would affect operating results adversely. We have no material minimum purchase commitments with our vendors that extend beyond a year. Occasionally, we are a defendant in litigation arising in the ordinary course of our business, including "slip and fall" accidents, employment related claims, claims related to our service of alcohol, and claims from guests or employees alleging illness, injury or food quality, health or operational concerns. None of these types of litigation, most of which are covered by insurance, has had a material effect on us and, as of the date of this report, we are not party to any litigation that we believe could have a material adverse effect on our business.

Related Party Transactions

Related Party Transactions	6 Months Ended
Related Party Transactions	Jun. 25, 2019
Related Party Transactions
Related Party Transactions	(8) Related Party Transactions As of June 25, 2019, we had nine franchise restaurants and one majority-owned company restaurant owned in part by certain officers or the former president of the Company. As of June 26, 2018, we had franchise restaurants owned in part by certain officers of the Company. For the 13 week periods ended June 25, 2019 and June 26, 2018, these franchise entities paid us fees of approximately million, respectively. For both 26 week periods ended June 25, 2019 and June 26, 2018, these franchise entities paid us fees of approximately million. As disclosed in note 7, we are contingently liable on leases related to of these franchise restaurants. In addition, for the 13 weeks ended June 26, 2018, our founder made a personal contribution of $1.0 million to cover a portion of the planned expenses incurred as part of the 2018 annual managing partner conference which marked our 25th anniversary. This amount was recorded as general and administrative expense on the unaudited condensed consolidated statement of income and as additional paid-in-capital on the unaudited condensed consolidated statement of stockholders’ equity.

Earnings Per Share

Earnings Per Share	6 Months Ended
Earnings Per Share	Jun. 25, 2019
Earnings Per Share
Earnings Per Share	(9) Earnings Per Share The share and net income per share data for all periods presented are based on the historical weighted-average shares outstanding. The diluted earnings per share calculations show the effect of the weighted-average restricted stock units from our equity incentive plans. Performance stock units are not included in the diluted earnings per share calculation until the performance-based criteria have been met. For the 13 week periods ended June 25, 2019 and June 26, 2018, there were 14,925 and 1,231 shares of nonvested stock that were outstanding but not included in the computation of diluted earnings per share because their inclusion would have had an anti-dilutive effect. For the 26 week periods ended June 25, 2019 and June 26, 2018, there were 4,469 and 7,937 shares of nonvested stock, respectively, that were not included because they would have had an anti-dilutive effect. The following table sets forth the calculation of earnings per share and weighted-average shares outstanding (in thousands) as presented in the accompanying unaudited condensed consolidated statements of income and comprehensive income: 13 Weeks Ended 26 Weeks Ended June 25, 2019 June 26, 2018 June 25, 2019 June 26, 2018 Net income attributable to Texas Roadhouse, Inc. and subsidiaries $ 44,845 $ 44,227 $ 95,235 $ 98,768 Basic EPS: Weighted-average common shares outstanding 71,362 71,445 71,558 71,389 Basic EPS $ 0.63 $ 0.62 $ 1.33 $ 1.38 Diluted EPS: Weighted-average common shares outstanding 71,362 71,445 71,558 71,389 Dilutive effect of nonvested stock 371 452 403 464 Shares-diluted 71,733 71,897 71,961 71,853 Diluted EPS $ 0.63 $ 0.62 $ 1.32 $ 1.37

Fair Value Measurement

Fair Value Measurement	6 Months Ended
Fair Value Measurement	Jun. 25, 2019
Fair Value Measurement
Fair Value Measurement	(10) Fair Value Measurements ASC 820, Fair Value Measurements and Disclosures ("ASC 820"), establishes a framework for measuring fair value and expands disclosures about fair value measurements. ASC 820 establishes a three-level hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs in measuring fair value. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability on the measurement date. Level 1 Inputs based on quoted prices in active markets for identical assets. Level 2 Inputs other than quoted prices included within Level 1 that are observable for the assets, either directly or indirectly. Level 3 Inputs that are unobservable for the asset. There were no transfers among levels within the fair value hierarchy during the 13 and 26 weeks ended June 25, 2019. The following table presents the fair values for our financial assets and liabilities measured on a recurring basis: Fair Value Measurements Level June 25, 2019 December 25, 2018 Deferred compensation plan—assets 1 $ 39,382 $ 31,632 Deferred compensation plan—liabilities 1 (39,481) (31,721) The Second Amended and Restated Deferred Compensation Plan of Texas Roadhouse Management Corp., as amended, (the "Deferred Compensation Plan") is a nonqualified deferred compensation plan which allows highly compensated employees to defer receipt of a portion of their compensation and contribute such amounts to one or more investment funds held in a rabbi trust. We report the amounts of the rabbi trust in other assets and the corresponding liability in other liabilities in our unaudited condensed consolidated financial statements. These investments are considered trading securities and are reported at fair value based on quoted market prices. The realized and unrealized holding gains and losses related to these investments, as well as the offsetting compensation expense, are recorded in general and administrative expense in the unaudited condensed consolidated statements of income and comprehensive income. At June 25, 2019 and December 25, 2018, the fair values of cash and cash equivalents, accounts receivable and accounts payable approximated their carrying values based on the short-term nature of these instruments.

Stock Repurchase Program

Stock Repurchase Program	6 Months Ended
Stock Repurchase Program	Jun. 25, 2019
Stockholders' Equity
Stockholders' Equity	(11) Stock Repurchase Program On May 31, 2019, our Board of Directors approved a stock repurchase program under which we may repurchase up to $250.0 million of our common stock. This stock repurchase program has no expiration date and replaced a previous stock repurchase program which was approved on May 22, 2014. All repurchases to date under our stock repurchase programs have been made through open market transactions. The timing and the amount of any repurchases are determined by management under parameters established by our Board of Directors, based on an evaluation of our stock price, market conditions and other corporate considerations. For the 13 and 26 week periods ended June 25, 2019, we paid approximately $112.1 million to repurchase 2,096,677 shares of our common stock. This includes repurchases of $61.8 million under the new repurchase program and repurchases of $50.3 million under the previous stock repurchase program. We did not repurchase any shares of common stock during the 13 and 26 week periods ended June 26, 2018. As of June 25, 2019, we had approximately million remaining under our authorized stock repurchase program.

Leases (Tables)

Leases (Tables)	6 Months Ended
Leases (Tables)	Jun. 25, 2019
Schedule of rent expense for operating leases	Rent expense for operating leases consisted of the following for the 13 and 26 week periods ended June 26, 2018 (in thousands): 13 Weeks Ended 26 Weeks Ended June 26, 2018 June 26, 2018 Minimum rent—occupancy $ 11,836 $ 23,369 Contingent rent 283 601 Rent expense, occupancy 12,119 23,970 Minimum rent—equipment and other 1,399 2,959 Rent expense $ 13,518 $ 26,929
Operating Leasing Arrangement of Real Estate
Schedule of right-of-use assets and lease liabilities	We recognize right-of-use assets and lease liabilities for both real estate and equipment leases that have a term in excess of one year . As of June 25, 2019, these amounts were as follows (in thousands): Leases Real estate Equipment Total Operating lease right-of-use assets $ 482,086 $ 3,732 $ 485,818 Current portion of operating lease liabilities 15,230 1,242 16,472 Operating lease liabilities, net of current portion 519,330 2,490 521,820 Total operating lease liabilities $ 534,560 $ 3,732 $ 538,292
Real estate
Schedule of real estate leases other information	13 Weeks Ended 26 Weeks Ended Real estate costs June 25, 2019 June 25, 2019 Operating lease $ 13,486 $ 26,913 Variable lease 403 851 Short-term lease 30 60 Total lease costs $ 13,919 $ 27,824 Real estate lease liability maturity analysis Total 2019 $ 24,955 2020 51,032 2021 51,659 2022 52,498 2023 52,462 Thereafter 725,365 Total $ 957,971 Less interest 423,411 Total discounted operating lease liabilities $ 534,560 13 Weeks Ended 26 Weeks Ended Real estate leases other information June 25, 2019 June 25, 2019 Cash paid for amounts included in measurement of operating lease liabilities $ 12,166 $ 24,114 Right-of-use assets obtained in exchange for new operating lease liabilities $ 18,532 $ 26,872 Weighted-average remaining lease term (years) 17.83 Weighted-average discount rate 6.77
Real estate and equipment
Schedule of future minimum lease payments required for operating leases that have initial or remaining non-cancellable terms in excess of one year	The following is a schedule of future minimum lease payments required for real estate and equipment operating leases that have a remaining term in excess of one year as of December 25, 2018 (in thousands): Operating Leases 2019 $ 50,030 2020 49,582 2021 49,917 2022 50,237 2023 49,854 Thereafter 677,710 Total $ 927,330

Revenue (Tables)

Revenue (Tables)	6 Months Ended
Revenue (Tables)	Jun. 25, 2019
Revenue
Schedule of disaggregated revenue	13 weeks ended 26 weeks ended June 25, 2019 June 26, 2018 June 25, 2019 June 25, 2019 Restaurant and other sales $ 684,373 $ 624,073 $ 1,369,490 $ 1,246,475 Franchise royalties 4,814 4,336 9,671 8,820 Franchise fees 641 828 1,275 1,647 Total revenue $ 689,828 $ 629,237 $ 1,380,436 $ 1,256,942

Income Taxes (Tables)

Income Taxes (Tables)	6 Months Ended
Income Taxes (Tables)	Jun. 25, 2019
Income Taxes
Schedule of reconciliation of the statutory federal income tax rate to our effective tax rate	13 Weeks Ended 26 Weeks Ended June 25, 2019 June 26, 2018 June 25, 2019 June 26, 2018 Tax at statutory federal rate 21.0 % 21.0 % 21.0 % 21.0 % State and local tax, net of federal benefit 3.6 3.5 3.6 3.8 FICA tip tax credit (10.3) (9.2) (9.9) (9.4) Work opportunity tax credit (1.5) (1.6) (1.4) (1.4) Stock compensation — (0.6) (0.3) (1.4) Net income attributable to noncontrolling interests (0.6) (0.2) (0.5) (0.7) Officers compensation 0.7 1.3 1.1 1.1 Other 0.8 1.4 0.7 1.2 Total 13.7 % 15.6 % 14.3 % 14.2 %

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
Commitments and Contingencies (Tables)	Jun. 25, 2019
Commitments and Contingencies
Schedule of real estate lease agreements for franchises	Lease Current Lease Everett, Massachusetts (1)(2) September 2002 February 2023 Longmont, Colorado (1) October 2003 May 2029 Montgomeryville, Pennsylvania (1) October 2004 March 2021 Fargo, North Dakota (1)(2) February 2006 July 2021 Logan, Utah (1) January 2009 August 2024 Irving, Texas (3) December 2013 December 2019 Louisville, Kentucky (3)(4) December 2013 November 2023 (1) Real estate lease agreements for restaurant locations which we entered into before granting franchise rights to those restaurants. We have subsequently assigned the leases to the franchisees, but remain contingently liable under the terms of the lease if the franchisee defaults . (2) As discussed in note 8, these restaurants are owned, in part, by our founder or the former president of the company. (3) Leases associated with non-Texas Roadhouse restaurants which were sold. The leases were assigned to the acquirer, but we remain contingently liable under the terms of the lease if the acquirer defaults. (4) We may be released from liability after the initial contractual lease term expiration contingent upon certain conditions being met by the acquirer.

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
Earnings Per Share (Tables)	Jun. 25, 2019
Earnings Per Share
Schedule of calculation of earnings per share and weighted average shares outstanding	The following table sets forth the calculation of earnings per share and weighted-average shares outstanding (in thousands) as presented in the accompanying unaudited condensed consolidated statements of income and comprehensive income: 13 Weeks Ended 26 Weeks Ended June 25, 2019 June 26, 2018 June 25, 2019 June 26, 2018 Net income attributable to Texas Roadhouse, Inc. and subsidiaries $ 44,845 $ 44,227 $ 95,235 $ 98,768 Basic EPS: Weighted-average common shares outstanding 71,362 71,445 71,558 71,389 Basic EPS $ 0.63 $ 0.62 $ 1.33 $ 1.38 Diluted EPS: Weighted-average common shares outstanding 71,362 71,445 71,558 71,389 Dilutive effect of nonvested stock 371 452 403 464 Shares-diluted 71,733 71,897 71,961 71,853 Diluted EPS $ 0.63 $ 0.62 $ 1.32 $ 1.37

Fair Value Measurement (Tables)

Fair Value Measurement (Tables)	6 Months Ended
Fair Value Measurement (Tables)	Jun. 25, 2019
Fair Value Measurement
Schedule of fair values for our financial assets and liabilities measured on a recurring basis	Fair Value Measurements Level June 25, 2019 December 25, 2018 Deferred compensation plan—assets 1 $ 39,382 $ 31,632 Deferred compensation plan—liabilities 1 (39,481) (31,721)

Basis of Presentation (Details)

Basis of Presentation (Details)	Jun. 25, 2019restaurantitem	Jun. 26, 2018restaurantitem
Description of Business
Number of states in which restaurants operate \| item	49	49
Number of countries in which restaurants operate \| item	10	8
Company
Description of Business
Number of restaurants	498	476
Company \| Wholly-owned
Description of Business
Number of restaurants	478	458
Company \| Majority-owned
Description of Business
Number of restaurants	20	18
Franchise
Description of Business
Number of restaurants	93	90
Franchise \| Domestic
Description of Business
Number of restaurants	70	70
Franchise \| International
Description of Business
Number of restaurants	23	20
Franchise \| Unconsolidated
Description of Business
Number of restaurants	24	24
Franchise \| Minimum \| Unconsolidated
Description of Business
Ownership percentage by entity	5.00%	5.00%
Franchise \| Maximum \| Unconsolidated
Description of Business
Ownership percentage by entity	10.00%	10.00%
Non-Texas Roadhouse restaurants \| Unconsolidated
Description of Business
Number of restaurants	4	4
Ownership percentage by entity	40.00%	40.00%

Recent Accounting Pronounceme_2

Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands	Dec. 26, 2018	Jun. 25, 2019
Accounting pronouncements
Lease liability		$ 538,292
Cumulative effect on retained earnings	$ 2,700
ASU 2016-02 (Topic 842)
Accounting pronouncements
Cumulative effect on retained earnings		$ (2,678)

Leases (Details)

Leases (Details) $ in Thousands	Jun. 25, 2019USD ($)
Leases
Term (in years)	1 year
Operating lease right-of-use asset	$ 485,818
Current portion of operating lease liabilities	16,472
Operating lease liabilities, net of current portion	521,820
Total operating lease liabilities	538,292
Real estate
Leases
Operating lease right-of-use asset	482,086
Current portion of operating lease liabilities	15,230
Operating lease liabilities, net of current portion	519,330
Total operating lease liabilities	534,560
Equipment
Leases
Operating lease right-of-use asset	3,732
Current portion of operating lease liabilities	1,242
Operating lease liabilities, net of current portion	2,490
Total operating lease liabilities	$ 3,732

Leases - Real estate costs (Det

Leases - Real estate costs (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 25, 2019	Jun. 25, 2019
Lease costs
Operating lease	$ 13,486	$ 26,913
Variable lease	403	851
Short-term lease	30	60
Total lease costs	$ 13,919	$ 27,824

Leases - Real estate lease liab

Leases - Real estate lease liability maturity analysis (Details) - USD ($) $ in Thousands	Jun. 25, 2019	Dec. 25, 2018
Leases
Total operating lease liabilities	$ 538,292
Real estate
Leases
2019	24,955
2020	51,032
2021	51,659
2022	52,498
2023	52,462
Thereafter	725,365
Total	957,971
Less interest	423,411
Total operating lease liabilities	$ 534,560
Real estate and equipment
Leases
2019		$ 50,030
2020		49,582
2021		49,917
2022		50,237
2023		49,854
Thereafter		677,710
Total		$ 927,330

Leases - Real estate leases oth

Leases - Real estate leases other information (Details) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 25, 2019USD ($)	Jun. 25, 2019USD ($)lease
Leases
Cash paid for amounts included in measurement of operating lease liabilities	$ 12,166	$ 24,114
Right-of-use assets obtained in exchange for new operating lease liabilities	$ 18,532	$ 26,872
Weighted-average remaining lease term	17 years 9 months 29 days	17 years 9 months 29 days
Weighted-average discount rate	6.77%	6.77%
Operating lease not yet taken possession	$ 18,300	$ 18,300
Number of finance leases \| lease		1
Right-of-use asset	1,800	$ 1,800
Lease liability	$ 2,100	$ 2,100

Leases - Rent expense (Details)

Leases - Rent expense (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
Leases - Rent expense (Details) - USD ($) $ in Thousands	Jun. 26, 2018	Jun. 26, 2018	Jun. 25, 2019
Leases
Rent expense	$ 13,518	$ 26,929
Term (in years)			1 year
Minimum
Leases
Term (in years)			10 years
Lease renewal term			1 year
Maximum
Leases
Term (in years)			15 years
Lease renewal term			5 years
Occupancy
Leases
Minimum rent	11,836	23,369
Contingent rent	283	601
Rent expense	12,119	23,970
Equipment and other
Leases
Minimum rent	$ 1,399	$ 2,959

Long-term Debt (Details)

Long-term Debt (Details) - Revolver - USD ($) $ in Millions	Aug. 07, 2017	Apr. 30, 2018	Jun. 25, 2019	Dec. 25, 2018
Revolving Credit Facility
Revolving credit facility, maximum borrowing capacity	$ 200
Revolving credit facility contingent increase in maximum borrowing capacity	200
Repayment of credit facility		$ 50
Weighted-average interest rate (as a percent)			3.32%	3.81%
Revolving credit facility, remaining borrowing capacity			$ 191.6
Letters of credit outstanding			$ 8.4
Threshold for aggregate secured indebtedness	$ 125
Debt instrument condition for additional borrowing of secured debt, based on percentage of consolidated tangible net worth	20.00%
Minimum
Revolving Credit Facility
Percentage of commitment fee on unused credit facility	0.125%
Revolving credit facility, fixed charge coverage ratio	2
Maximum
Revolving Credit Facility
Percentage of commitment fee on unused credit facility	0.30%
Revolving credit facility, leverage ratio	3
LIBOR \| Minimum
Revolving Credit Facility
Interest rate added to base rate (as a percent)	0.875%
LIBOR \| Maximum
Revolving Credit Facility
Interest rate added to base rate (as a percent)	1.875%
Federal Reserve Bank of New York
Revolving Credit Facility
Interest rate added to base rate (as a percent)	0.50%
Adjusted Eurodollar Rate
Revolving Credit Facility
Interest rate added to base rate (as a percent)	1.00%
Interest period	1 month

Revenue (Details)

Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Revenue (Details) - USD ($) $ in Thousands	Jun. 25, 2019	Jun. 26, 2018	Jun. 25, 2019	Jun. 26, 2018
Revenue
Total revenue	$ 689,828	$ 629,237	$ 1,380,436	$ 1,256,942
Restaurant and other sales
Revenue
Total revenue	684,373	624,073	1,369,490	1,246,475
Franchise royalties
Revenue
Total revenue	4,814	4,336	9,671	8,820
Franchise fees
Revenue
Total revenue	$ 641	$ 828	$ 1,275	$ 1,647

Revenue - Other (Details)

Revenue - Other (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Revenue - Other (Details) - USD ($) $ in Thousands	Jun. 25, 2019	Jun. 26, 2018	Jun. 25, 2019	Jun. 26, 2018	Dec. 25, 2018
Revenue
Deferred revenue-gift cards	$ 119,557		$ 119,557		$ 192,242
Gift cards
Revenue
Deferred revenue-gift cards	119,600		119,600		$ 192,200
Deferred revenue recognized	$ 26,600	$ 21,800	$ 105,000	$ 86,400

Income Taxes (Details)

Income Taxes (Details)	3 Months Ended		6 Months Ended
Income Taxes (Details)	Jun. 25, 2019	Jun. 26, 2018	Jun. 25, 2019	Jun. 26, 2018
Reconciliation of the statutory federal income tax rate to our effective tax rate:
Tax at statutory federal rate (as a percent)	21.00%	21.00%	21.00%	21.00%
State and local tax, net of federal benefit (as a percent)	3.60%	3.50%	3.60%	3.80%
FICA tip tax credit (as a percent)	(10.30%)	(9.20%)	(9.90%)	(9.40%)
Work opportunity tax credit (as a percent)	(1.50%)	(1.60%)	(1.40%)	(1.40%)
Stock compensation (as a percent)		(0.60%)	(0.30%)	(1.40%)
Net income attributable to noncontrolling interests (as a percent)	(0.60%)	(0.20%)	(0.50%)	(0.70%)
Officer compensation (as a percent)	0.70%	1.30%	1.10%	1.10%
Other (as a percent)	0.80%	1.40%	0.70%	1.20%
Total (as a percent)	13.70%	15.60%	14.30%	14.20%

Commitments and Contingencies_2

Commitments and Contingencies (Details) $ in Millions	3 Months Ended	6 Months Ended	12 Months Ended
Commitments and Contingencies (Details) $ in Millions	Jun. 25, 2019USD ($)item	Jun. 25, 2019USD ($)item	Dec. 25, 2018USD ($)item
Commitments and Contingencies
Estimated cost to complete capital project commitments (in dollars) \| $	$ 197.2	$ 197.2	$ 168.3
Number of suppliers providing most of the company's beef \| item	3	3
Lease Agreements
Commitments and Contingencies
Number of leases guarantees entity contingently liable \| item		7	7
Lease Agreements \| Maximum
Commitments and Contingencies
Contingently liable amount \| $	$ 14.3	$ 14.3	$ 14.8

Related Party Transactions (Det

Related Party Transactions (Details) $ in Millions	3 Months Ended		6 Months Ended
Related Party Transactions (Details) $ in Millions	Jun. 25, 2019USD ($)restaurant	Jun. 26, 2018USD ($)restaurant	Jun. 25, 2019USD ($)restaurant	Jun. 26, 2018USD ($)restaurant
Related Party Transactions
Fees received from franchise and license restaurants \| $			$ 1.1	$ 1.1
Franchise
Related Party Transactions
Number of restaurants	93	90	93	90
Officers, directors and shareholders \| Majority-owned
Related Party Transactions
Number of restaurants	1		1
Officers, directors and shareholders \| Franchise
Related Party Transactions
Number of restaurants	9	10	9	10
Fees received from franchise and license restaurants \| $	$ 0.5	$ 0.6
Number of restaurants for which the entity is contingently liable on the lease			2
Founder \| Personal contribution
Related Party Transactions
Transactions with related party \| $		$ 1

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 25, 2019	Jun. 26, 2018	Jun. 25, 2019	Jun. 26, 2018
Earnings per share
Net income attributable to Texas Roadhouse, Inc. and subsidiaries	$ 44,845	$ 44,227	$ 95,235	$ 98,768
Basic EPS:
Weighted-average common shares outstanding (in shares)	71,362,000	71,445,000	71,558,000	71,389,000
Basic EPS (in dollars per share)	$ 0.63	$ 0.62	$ 1.33	$ 1.38
Diluted EPS:
Weighted-average common shares outstanding (in shares)	71,362,000	71,445,000	71,558,000	71,389,000
Dilutive effect of stock options and nonvested stock (in shares)	371,000	452,000	403,000	464,000
Shares-diluted (in shares)	71,733,000	71,897,000	71,961,000	71,853,000
Diluted EPS (in dollars per share)	$ 0.63	$ 0.62	$ 1.32	$ 1.37
Nonvested stock
Antidilutive securities
Anti-dilutive securities (in shares)	14,925	1,231	4,469	7,937

Fair Value Measurement (Details

Fair Value Measurement (Details) $ in Thousands	3 Months Ended	6 Months Ended
Fair Value Measurement (Details) $ in Thousands	Jun. 25, 2019USD ($)	Jun. 25, 2019USD ($)item	Dec. 25, 2018USD ($)
Fair value of financial instruments
Transfer of asset levels within the fair value hierarchy	$ 0	$ 0
Minimum number of investment funds in rabbi trust for deferred compensation plan \| item		1
Fair value measured on a recurring basis \| Level 1
Fair value of financial instruments
Deferred compensation plan - assets	39,382	$ 39,382	$ 31,632
Deferred compensation plan - liabilities	$ (39,481)	$ (39,481)	$ (31,721)

Stock Repurchase Program (Detai

Stock Repurchase Program (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
Stock Repurchase Program (Details) - USD ($) $ in Thousands	Jun. 25, 2019	Jun. 25, 2019	May 22, 2014
Stockholders' Equity
Repurchase of common stock authorized by board of directors			$ 250,000
Number of shares repurchased	2,096,677	2,096,677
Payments to repurchase common stock	$ 112,100	$ 112,050
Amount remaining under authorized stock repurchase program	188,200	188,200
Stock Repurchase Program [Member]
Stockholders' Equity
Payments to repurchase common stock	61,800	61,800
Previous Stock Repurchase Program [Member]
Stockholders' Equity
Payments to repurchase common stock	$ 50,300	$ 50,300