UPDATE 2-Texas Roadhouse Q1 earnings rise marginally
(Recasts, adds analysts comments, conference call details)
By Shivani Singh
BANGALORE, April 28 (Reuters) - Restaurant chain operator Texas Roadhouse Inc (TXRH.O: Quote, Profile, Research) posted a marginally higher quarterly earnings despite an environment of uncertain consumer spending and inflation in food, labour and utility.
Restaurants have been hurt by high costs for foodstuffs like bread, meat and dairy products and a weak economy that has consumers cutting back on extras such as eating out.
"While we have experienced some modest easing of cost pressures over the past few months, inflation and consumer spending remain uncertain," CEO G.J. Hart said in a statement.
Dairy costs and costs of non-protein related food items such as bread mix, shortening and frying oils were high, the company said.
The company beat Wall Street estimates on earnings per share as it opened fewer stores than expected and had lower pre-opening expenses, Raymond James analyst Bryan Elliott said by phone.
The company opened 6 restaurants in the first quarter and plans to open 30 restaurants in 2008.
"Opening expenses were $750,000 less than last year due to four less restaurants being opened during the first quarter this year as compared to last," the company said in a conference call with analysts. Continued...

