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CAVA Group (NYSE: CAVA) delivers 31% Q2 revenue growth and reaffirms 2026 outlook

Filing Impact
(High)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

CAVA Group reported strong fiscal second quarter 2026 results, highlighted by rapid growth and continued expansion. CAVA Revenue reached $365.4 million, up 31.3% year over year, driven by 9.0% Same Restaurant Sales growth, including 5.3% Guest Traffic growth, and Net New CAVA Restaurant Openings of 17. Total CAVA Restaurants increased to 476, a 19.6% year-over-year increase.

CAVA Restaurant-Level Profit was $93.8 million with a Restaurant-Level Profit Margin of 25.7%. Net income rose to $23.0 million, or $0.19 diluted EPS, and Adjusted EBITDA grew 30.0% to $54.7 million, representing a 14.9% Adjusted EBITDA margin. Digital Revenue Mix was 39.0%, reflecting the importance of digital and delivery channels.

For the year-to-date period, net cash provided by operating activities was $134.5 million with $44.8 million in Free Cash Flow. Cash and cash equivalents totaled $322.8 million at July 12, 2026. The company reaffirmed its fiscal full-year 2026 outlook, including 75 to 77 Net New CAVA Restaurant Openings, 4.5% to 6.5% Same Restaurant Sales growth, CAVA Restaurant-Level Profit Margin of 23.7% to 24.3%, Pre-opening costs of $22.0 to $22.5 million, and Adjusted EBITDA of $181.0 to $191.0 million.

Positive

  • Revenue growth of 31.3% to $365.4 million, driven by 9.0% Same Restaurant Sales and new units, signals strong top-line momentum.
  • Adjusted EBITDA increased 30.0% to $54.7 million with a 14.9% margin, showing solid profitability alongside rapid growth.
  • Restaurant base grew 19.6% year over year to 476 locations, supporting a larger revenue and earnings platform.
  • Free Cash Flow more than doubled year to date to $44.8 million, enhancing financial flexibility while funding expansion.

Negative

  • None.

Filing Explained

Restaurant-level margin fell to 25.7% despite higher profit dollars, reflecting specified input, delivery-mix, and wage pressures.

The Form 8-K reports completed fiscal second-quarter results for the period ended July 12, 2026; the new operating information shows restaurant-level margin pressure despite higher restaurant-level profit dollars.

CAVA Restaurant-Level Profit is a segment measure calculated before depreciation and amortization and excluding pre-opening costs, while its margin expresses that profit as a percentage of CAVA Revenue.

The company said the 25.7% restaurant-level profit margin, down 60 basis points year over year, reflected input costs from the Pomegranate Glazed Salmon launch, a higher mix of third-party delivery, and incremental wage investments; higher sales partly offset those effects.

Year-to-date Free Cash Flow was $44.8 million, defined here as operating cash flow less property and equipment purchases; the company says this measure excludes financing cash flows and is not cash available for discretionary use.

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
CAVA Revenue Q2 2026 $365.4 million CAVA Revenue for the fiscal second quarter 2026, up 31.3% year over year
Same Restaurant Sales Growth 9.0% Same Restaurant Sales increase for fiscal second quarter 2026
Net Income Q2 2026 $23.0 million Net income for the fiscal second quarter 2026, a 25.3% increase over prior year quarter
Adjusted EBITDA Q2 2026 $54.7 million Adjusted EBITDA for fiscal second quarter 2026, up 30.0% year over year
CAVA Restaurant-Level Profit Margin 25.7% CAVA Restaurant-Level Profit Margin in fiscal second quarter 2026
Total CAVA Restaurants 476 CAVA Restaurants at end of period as of July 12, 2026
Year-to-date Free Cash Flow $44.8 million Free Cash Flow for the twenty-eight weeks ended July 12, 2026
FY 2026 Adjusted EBITDA Guidance $181.0 to $191.0 million Reaffirmed fiscal full-year 2026 Adjusted EBITDA outlook
Same Restaurant Sales financial
"Same Restaurant Sales increased 9.0%, including Guest Traffic growth of 5.3%"
Same-restaurant sales measure how revenue at a company’s existing dining locations changed over a given period, excluding any new openings or permanently closed outlets. Investors use it to see whether underlying customer demand and day-to-day operations are improving or worsening — like checking whether the same group of stores is selling more or less this year, so you’re comparing apples to apples rather than counting growth from new locations.
Adjusted EBITDA financial
"Adjusted EBITDA1 grew 30.0% to $54.7 million"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
Free Cash Flow financial
"Free Cash Flow1 of $44.8 million"
Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.
Restaurant-Level Profit Margin financial
"CAVA Restaurant-Level Profit Margin of 25.7%"
Restaurant-level profit margin measures how much money a single restaurant keeps from its sales after paying all the costs directly tied to running that location — food, labor, rent, utilities and local supplies — but before corporate overhead, interest and taxes. Investors use it like a car’s fuel efficiency: it shows how well each location turns revenue into cash flow and reveals whether the core unit is healthy and scalable before corporate costs are applied.
Digital Revenue Mix financial
"Digital Revenue Mix was 39.0%"
The share of a company's total sales that comes from digital sources such as websites, apps, online subscriptions, digital advertising, or cloud services. Investors watch this because a higher digital revenue mix often means faster growth, lower costs and easier scaling, similar to a bakery getting more orders from an online delivery app than from walk-in customers—it can signal improved margins, customer reach and future resilience.
CAVA Revenue $365.4 million up 31.3% year over year
Net income $23.0 million increased 25.3% over the prior year quarter
Same Restaurant Sales 9.0% driven by 5.3% Guest Traffic and 3.7% price/mix
Adjusted EBITDA $54.7 million up 30.0% compared to the second quarter of fiscal 2025
Guidance

Reaffirmed fiscal full-year 2026 outlook: 75 to 77 Net New CAVA Restaurant Openings, 4.5% to 6.5% Same Restaurant Sales growth, CAVA Restaurant-Level Profit Margin of 23.7% to 24.3%, Pre-opening costs of $22.0 to $22.5 million, and Adjusted EBITDA of $181.0 to $191.0 million.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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FAQ

How did CAVA (CAVA) perform financially in Q2 2026?
CAVA reported $365.4 million in CAVA Revenue for Q2 2026, up 31.3% year over year. Net income was $23.0 million, and Adjusted EBITDA reached $54.7 million, reflecting 30.0% growth versus the prior-year quarter.

What were CAVA (CAVA) same restaurant sales and traffic in Q2 2026?
Same Restaurant Sales increased 9.0% in Q2 2026 for CAVA, driven by 5.3% Guest Traffic growth and 3.7% from menu price and product mix. This indicates both higher visit frequency and effective pricing/mix strategies.

How many restaurants does CAVA (CAVA) operate after Q2 2026?
CAVA ended Q2 2026 with 476 CAVA Restaurants, up from 398 a year earlier. The company opened 17 net new restaurants in the quarter and 38 net new locations year to date, reflecting rapid footprint expansion.

What profitability metrics did CAVA (CAVA) report for Q2 2026?
CAVA posted CAVA Restaurant-Level Profit of $93.8 million with a 25.7% Restaurant-Level Profit Margin in Q2 2026. Net income margin was 6.2%, and Adjusted EBITDA margin was 14.9%, supported by higher sales leverage.

What is CAVA’s (CAVA) fiscal full-year 2026 guidance?
For fiscal 2026, CAVA reaffirmed guidance of 75 to 77 Net New CAVA Restaurant Openings, 4.5% to 6.5% Same Restaurant Sales growth, CAVA Restaurant-Level Profit Margin of 23.7% to 24.3%, Pre-opening costs of $22.0 to $22.5 million, and Adjusted EBITDA of $181.0 to $191.0 million.

What was CAVA’s (CAVA) cash and Free Cash Flow position in 2026 year to date?
As of July 12, 2026, CAVA held $322.8 million in cash and cash equivalents and had investments at fair value of $112.8 million. Year to date, net cash from operating activities was $134.5 million, with Free Cash Flow of $44.8 million.
0001639438FALSE00016394382026-08-112026-08-11

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): August 11, 2026
CAVA Group, Inc.
(Exact name of registrant as specified in its charter)
Delaware001-4172147-3426661
(State or other jurisdiction
of incorporation)
(Commission
File Number)
(IRS Employer
Identification No.)
14 Ridge Square NW, Suite 500
Washington, DC 20016
(Address of principal executive offices) (Zip Code)
Registrant’s telephone number, including area code: (202) 400-2920
Not applicable
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of
each class
Trading
Symbol
Name of each exchange
on which registered
Common Stock, par value $0.0001 per shareCAVANew York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐


Item 2.02Results of Operations and Financial Condition
On August 11, 2026, CAVA Group, Inc. (the "Company") issued a press release announcing earnings and other financial results for the fiscal quarter ended July 12, 2026. A copy of the press release is attached hereto as Exhibit 99.1 and incorporated herein by reference.

The information in this Item 2.02, including the corresponding Exhibit 99.1, is being furnished and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act") or otherwise subject to the liabilities under that section and shall not be deemed to be incorporated by reference into any filings under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01Financial Statements and Exhibits.
(d) Exhibits.
The following exhibit is being furnished as part of this report:

Exhibit No.Description
99.1
CAVA Group, Inc. Press Release, dated August 11, 2026
104The cover page from this Current Report on Form 8-K, formatted in Inline XBRL


Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: August 11, 2026
CAVA Group, Inc.
By:/s/ Tricia Tolivar
Name:Tricia Tolivar
Title:
Title: Chief Financial Officer (duly authorized officer and principal financial officer)


Exhibit 99.1
image.jpg
CAVA GROUP REPORTS SECOND QUARTER 2026 RESULTS
___________________________________________
YEAR OVER YEAR CAVA REVENUE GROWTH OF 31.3% INCLUDING SAME RESTAURANT SALES OF 9.0% DRIVEN BY GUEST TRAFFIC GROWTH OF 5.3%
___________________________________________
17 NET NEW CAVA RESTAURANT OPENINGS DURING QUARTER
___________________________________________
SECOND QUARTER 2026 CAVA RESTAURANT-LEVEL PROFIT MARGIN OF 25.7%
___________________________________________
WASHINGTON, D.C. (August 11, 2026) - CAVA Group, Inc. (NYSE: CAVA) (“CAVA Group” or the “Company”), the category-defining Mediterranean fast-casual restaurant brand that brings heart, health, and humanity to food, today announced financial results for its fiscal second quarter ended July 12, 2026.
“Our second quarter results underscore the continued strength of our category-defining brand and the resonance of our value proposition with today’s consumer,” said Brett Schulman, Co-Founder and CEO. “Same restaurant sales increased 9.0%, including guest traffic growth of 5.3%, and we opened 17 net new restaurants during the quarter. From Mishawaka, Indiana to Downingtown, Pennsylvania, our newest restaurants continue to outperform our expectations, reinforcing the proven portability of our concept and the growing demand for our differentiated Mediterranean cuisine and welcoming hospitality. This strength, combined with the power of our unit economic model, gives us confidence not only in our momentum today, but in the long runway that lies ahead.”
Fiscal Second Quarter 2026 Highlights:
•CAVA Revenue grew 31.3% to $365.4 million as compared to $278.2 million in the prior year quarter and 57.9% as compared to the second quarter of fiscal 2024.
•Net New CAVA Restaurant Openings of 17, bringing total CAVA Restaurants to 476, a 19.6% increase in total CAVA Restaurants year over year.
•Same Restaurant Sales increased 9.0%, including Guest Traffic growth of 5.3%.
•AUV of $3.1 million as compared to $2.9 million in the prior year quarter.
•CAVA Restaurant-Level Profit of $93.8 million or growth of 28.1% over the prior year quarter, with CAVA Restaurant-Level Profit Margin of 25.7%.
•Digital Revenue Mix was 39.0%.
•Net Income of $23.0 million, a 25.3% increase over the prior year quarter.
•Adjusted EBITDA1 grew 30.0% to $54.7 million.
•Year to date net cash provided by operating activities of $134.5 million with Free Cash Flow1 of $44.8 million.

1



Fiscal Second Quarter 2026 Review:
CAVA Revenue was $365.4 million, an increase of 31.3% compared with the second quarter of fiscal 2025. The increase was primarily driven by 94 Net New CAVA Restaurant Openings during or subsequent to the second quarter of fiscal 2025, which are exceeding our performance expectations, and an increase in Same Restaurant Sales of 9.0%. Same Restaurant Sales increased 5.3% from Guest Traffic and 3.7% from menu price and product mix.
CAVA Restaurant-Level Profit Margin was 25.7%, a decrease of 60 basis points compared to the second quarter of fiscal 2025. The decrease was driven by input costs associated with the launch of Pomegranate Glazed Salmon on April 20, 2026 and a higher mix of third-party delivery, both of which were dilutive to margin rate, but had a positive impact on margin dollars due to a higher guest price, and incremental wage investments, partially offset by leverage from higher sales.
General and administrative expenses were $39.8 million, or 10.8% of revenue, as compared to $32.1 million, or 11.4% of revenue, in the second quarter of fiscal 2025. General and administrative expenses, excluding equity-based compensation and executive transition costs1, were $34.1 million, or 9.3% of revenue, as compared to $27.5 million, or 9.8% of revenue, in the second quarter of fiscal 2025. The decrease as a percentage of revenue was primarily due to leverage from higher sales, the timing of our CAVA Connect conference in the prior year quarter, and the timing of performance-based incentive compensation, partially offset by investments to support future growth.
Net income was $23.0 million, or 6.2% of revenue compared to $18.4 million in the second quarter of fiscal 2025. The increase in net income was primarily due to improved operating performance as noted below, partially offset by a higher effective tax rate driven by a lower tax benefit associated with equity-based compensation, as well as higher depreciation and amortization.
Adjusted EBITDA1 was $54.7 million, or 14.9% of revenue, an increase of $12.6 million, or 30.0%, compared to the second quarter of fiscal 2025. The increase was primarily driven by the increase in Same Restaurant Sales and the number of and continued strength in the performance of Net New CAVA Restaurant Openings during or subsequent to the second quarter of fiscal 2025, partially offset by investments to support future growth.
__________________
1    Adjusted EBITDA, Free Cash Flow, and General and administrative expenses, excluding equity-based compensation and executive transition costs, are non-GAAP financial measures. Reconciliations to the most directly comparable financial measures presented in accordance with GAAP are set forth in the tables at the end of this press release.

Fiscal Full-Year 2026 Outlook:
CAVA Group announced today that it reaffirmed fiscal full-year 2026 guidance, as follows:
Net New CAVA Restaurant Openings75 to 77
Same Restaurant Sales4.5% to 6.5%
CAVA Restaurant-Level Profit Margin23.7% to 24.3%
Pre-opening costs$22.0 to $22.5 million
Adjusted EBITDA$181.0 to $191.0 million

Actual results may differ materially from CAVA Group’s fiscal full-year 2026 guidance as a result of, among other things, the factors described under “Cautionary Statement Regarding Forward-Looking Statements” below.
A reconciliation of the forward-looking fiscal 2026 Adjusted EBITDA to net income cannot be provided without unreasonable effort because of the inherent difficulty of accurately forecasting the occurrence and financial impact of the various adjusting items necessary for such reconciliation that have not yet occurred, are out of our control, or cannot be reasonably predicted. For these reasons, we are unable to assess the potential significance of the unavailable information.
2



About CAVA Group:
CAVA is the category-defining Mediterranean fast-casual restaurant brand bringing together bold, healthful flavors and ingredients at scale. A founder-led company, CAVA is guided by the belief that food should taste as good as it makes you feel, and that great meals and warm Mediterranean hospitality go hand in hand. Across more than 450 restaurants in 29 states and Washington, D.C., guests can choose from an abundant selection of chef-curated or build your own bowls and pitas to meet their dietary and taste preferences. There are more than 17 billion possible ingredient combinations, featuring a variety of proteins, vegetables, signature dips such as Crazy Feta®, house-made beverages, and more. Guided by its mission to bring heart, health, and humanity to food, CAVA provides meaningful career opportunities for more than 15,000 team members and continues to invest in its people and communities. Learn more at cava.com.
Earnings Conference Call:
The Company will host a conference call on August 11, 2026, at 5:00 PM Eastern Time to discuss second quarter 2026 financial results as well as provide a business update. Investors will have the opportunity to listen to the conference call live through the webcast from the Company’s website on the investor relations page at investor.cava.com. A recorded webcast will be available on CAVA’s investor relations website shortly after the call and available for up to one year.
Cautionary Statement Regarding Forward-Looking Statements:
This press release contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, that reflect our current views with respect to, among other things, our operations and financial performance. Forward-looking statements include all statements that are not historical facts. These forward-looking statements relate to matters such as our fiscal full-year 2026 outlook, including Net New CAVA Restaurant Openings, Same Restaurant Sales, CAVA Restaurant-Level Profit Margin, Pre-opening costs, and Adjusted EBITDA, industry, business strategy, goals, growth opportunities and expectations, expectations concerning our market position, future operations, margins, profitability, capital expenditures, liquidity and capital resources, and other financial and operating information. These statements may include words such as “anticipate,” “assume,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “future,” “will,” “seek,” “foreseeable,” “outlook,” the negative version of these words or similar terms and phrases.
The forward-looking statements contained in this press release are based on management’s current expectations and are not guarantees of future performance. The forward-looking statements are subject to various risks, uncertainties, assumptions, or changes in circumstances that are difficult to predict or quantify. Our expectations, beliefs, and projections are expressed in good faith, and we believe there is a reasonable basis for them. However, there can be no assurance that management’s expectations, beliefs, and projections will result or be achieved. Moreover, we operate in a very competitive and rapidly changing environment, and new risks may emerge from time to time. Actual results may differ materially from these expectations due to changes in global, regional, or local economic, business, competitive, market, regulatory, and other factors, many of which are beyond our control. We believe that these factors include but are not limited to the following: we operate in a highly competitive industry; our future growth depends on our ability to open new restaurants while managing our growth effectively and maintaining our culture, and our historical growth may not be indicative of our future growth; we may not be able to successfully identify appropriate locations and develop and expand our operations in existing and new markets; new restaurants may not be profitable and may negatively impact sales at our existing locations; negative changes in guest perception of our brand could negatively impact our business; our efforts to market our restaurants and brand may not be successful; food safety issues, and food-borne illness concerns may harm our business; if we are unable to maintain or increase prices, our margins may decrease; the growth of our business depends on our ability to accurately predict guest trends and demand and successfully introduce new menu offerings and improve our existing menu offerings; economic factors and guest behavior trends, which are uncertain and largely beyond our control, may adversely affect guests’ behavior and our ability to maintain or increase sales at our restaurants; we are subject to risks associated with leasing property; we may not be able to successfully expand our digital and delivery business, which is subject to risks outside of our control; our inability or failure to utilize, recognize, respond to, and effectively manage the immediacy of social media could have a material adverse effect on our
3



business; we may not realize the anticipated benefits from past and potential future acquisitions, investments, or other strategic initiatives; we may not be able to manage our manufacturing and supply chain effectively, which may adversely affect our results of operations; our reliance on third parties could have an adverse effect on our business, financial condition, and results of operations; we may experience shortages, delays, or interruptions in the delivery of food items and other products; we may not successfully optimize, operate, and manage our production facilities; we may face increases in food, commodity, energy, and other costs; we may face increases in labor costs, labor shortages, and difficulties in our ability to identify, hire, train, motivate, and retain the right team members; our success depends on our ability to attract, develop, and retain our management team and key team members; security breaches of our information systems or data including in relation to the electronic processing of credit and debit card transactions, the CAVA app, or confidential guest or team member information (including personal information) may adversely affect our business; our business is subject to complex and evolving laws and regulations regarding privacy, data protection, and cybersecurity; we rely heavily on information technology systems and failures of, or interruptions in, or not effectively scaling and adapting our information technology systems could harm our business; we are subject to extensive laws and regulatory requirements, and failure to comply with, or changes in, these laws or regulations could have an adverse impact on our business; we are subject to evolving rules and regulations with respect to sustainability; climate change and volatile adverse weather conditions could adversely affect our restaurant sales or results of operations; and each of the other factors set forth in “Part I—Item 1A. Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 28, 2025, and in other reports filed with the United States Securities and Exchange Commission, all of which are available on the investor relations page of our website at investor.cava.com.
You should not put undue reliance on any forward-looking statement. Any forward-looking statement made by us in this press release speaks only as of the date of this press release and are expressly qualified in their entirety by the cautionary statements included in this press release. We do not undertake any obligation to revise or update any forward-looking statements, except as required by law. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them.
Investor Relations:
Media Relations:
Katie Semple, Investor Relations
media@cava.com
investor.relations@cava.com
4



CAVA GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Twelve Weeks EndedTwenty-Eight Weeks Ended
(in thousands, except per share amounts)July 12,
2026		July 13,
2025		July 12,
2026		July 13,
2025
Revenue $368,436 $280,615 $806,706 $612,441 
Operating expenses:
Restaurant operating costs (excluding depreciation and amortization)
Food, beverage, and packaging110,502 82,950 238,180 180,509 
Labor92,401 69,496 203,952 154,058 
Occupancy23,065 18,791 52,922 43,199 
Other operating expenses46,886 34,697 104,878 75,931 
Total restaurant operating expenses272,854 205,934 599,932 453,697 
General and administrative expenses39,800 32,051 91,390 73,445 
Depreciation and amortization20,966 16,815 46,432 37,626 
Pre-opening costs6,741 5,096 12,902 9,577 
Impairment and asset disposal costs1,229 1,074 3,947 2,741 
Total operating expenses341,590 260,970 754,603 577,086 
Income from operations26,846 19,645 52,103 35,355 
Interest income, net(3,293)(3,581)(7,375)(8,198)
Other income, net(439)(474)(1,139)(501)
Income before taxes30,578 23,700 60,617 44,054 
Provision for (benefit from) income taxes7,561 5,332 14,034 (21)
Net income$23,017 $18,368 $46,583 $44,075 
Earnings per share:
Basic$0.20 $0.16 $0.40 $0.38 
Diluted$0.19 $0.16 $0.39 $0.37 
Weighted-average common shares outstanding:
Basic116,603 115,783 116,453 115,635 
Diluted118,379 118,334 118,343 118,392 


5



The following tables summarize the results of the CAVA segment:
Twelve Weeks Ended
July 12,
2026		July 13,
2025		Change
(in thousands)
$% of Revenue$% of Revenue$%
Revenue
$365,433 100.0 %$278,249 100.0 %$87,184 31.3 %
Restaurant operating expenses (excluding depreciation and amortization)
Food, beverage, and packaging109,496 30.0 82,210 29.5 27,286 33.2 
Labor
92,401 25.3 69,496 25.0 22,905 33.0 
Occupancy
23,065 6.3 18,791 6.8 4,274 22.7 
Other operating expenses
46,659 12.8 34,490 12.4 12,169 35.3 
Total restaurant operating expenses
271,621 74.3 204,987 73.7 66,634 32.5 
Restaurant-level profit
$93,812 25.7 %$73,262 26.3 %$20,550 28.1 %
Twenty-Eight Weeks Ended
July 12,
2026		July 13,
2025
Change
(in thousands)
$
% of Revenue
$
% of Revenue
$
%
Revenue
$799,825 100.0 %$606,731 100.0 %$193,094 31.8 %
Restaurant operating expenses (excluding depreciation and amortization)
Food, beverage, and packaging235,914 29.5 178,434 29.4 57,480 32.2 
Labor
203,952 25.5 154,058 25.4 49,894 32.4 
Occupancy
52,922 6.6 43,199 7.1 9,723 22.5 
Other operating expenses
104,373 13.0 75,473 12.4 28,900 38.3 
Total restaurant operating expenses
597,161 74.7 451,164 74.4 145,997 32.4 
Restaurant-level profit
$202,664 25.3 %$155,567 25.6 %$47,097 30.3 %
The following table presents selected quarterly financial and other data:
($ in thousands)
Q2 2026
Q1 20261
Q4 2025Q3 2025Q2 2025
Net New CAVA Restaurant Openings
17
20
24
17
16
CAVA Restaurants, end of period
476
459
439
415
398
Same Restaurant Sales
9.0 
%
9.7 
%
0.5 
%
1.9 
%
2.1 
%
AUV
$
3,088 
$
3,027 
$
2,934 
$
2,935 
$
2,939 
CAVA Restaurant-Level Profit
$93,812$108,852$58,312$71,165$73,262
CAVA Restaurant-Level Profit Margin
25.7 
%
25.1 
%
21.4 
%
24.6 
%
26.3 
%
Restaurant Operating Weeks
5,606
7,150
5,140
4,881
4,659
__________________
1    In a 52-week fiscal year, the first fiscal quarter contains sixteen weeks and the second, third, and fourth fiscal quarters each contain twelve weeks.


6



The following table presents the Company’s selected balance sheet data:
(in thousands)July 12,
2026		December 28,
2025
Cash and cash equivalents$322,763 $282,917 
Investments at fair value112,836 110,112 
Total assets1,499,773 1,360,027 
Total liabilities658,497 580,371 
Total stockholders’ equity841,276 779,656 
Total liabilities and stockholders’ equity1,499,773 1,360,027 
The following table shows the growth in our company-owned CAVA Restaurant base:
Twelve Weeks EndedTwenty-Eight Weeks Ended
July 12,
2026		July 13,
2025		July 12,
2026		July 13,
2025
Beginning of period459 382 439 367 
New CAVA Restaurant openings17 16 38 31 
Permanent closure— — (1)— 
End of period476398476 398 


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Non-GAAP Financial Measures
In addition to our consolidated financial statements, which are prepared in accordance with GAAP, we present Adjusted EBITDA, Adjusted EBITDA Margin, general and administrative expenses, excluding equity-based compensation and executive transition costs, and Free Cash Flow in this press release as supplemental measures of financial performance that are not required by, or presented in accordance with, GAAP. We believe they assist investors and analysts in comparing our operating performance across reporting periods on a consistent basis by excluding items that we do not believe are indicative of our operating performance. Management believes Adjusted EBITDA, Adjusted EBITDA Margin, general and administrative expenses, excluding equity-based compensation and executive transition costs, and Free Cash Flow are useful to investors in highlighting trends in our operating performance, while other measures can differ significantly depending on long-term strategic decisions regarding capital structure, the tax jurisdictions in which we operate, and capital investments. Management uses Adjusted EBITDA, Adjusted EBITDA Margin, general and administrative expenses, excluding equity-based compensation and executive transition costs, and Free Cash Flow to supplement GAAP measures of performance in the evaluation of the effectiveness of our business strategies, to make budgeting decisions, and to compare our performance against that of other peer companies using similar measures. Management supplements GAAP results with non-GAAP financial measures to provide a more complete understanding of the factors and trends affecting the business than GAAP results alone provide.
Adjusted EBITDA, Adjusted EBITDA Margin, general and administrative expenses, excluding equity-based compensation and executive transition costs, and Free Cash Flow are not recognized terms under GAAP and should not be considered as alternatives to net income, net income margin, or general and administrative expenses, as applicable, as measures of financial performance or cash provided by operating activities as measures of liquidity, or any other performance measure derived in accordance with GAAP. Additionally, Adjusted EBITDA and Free Cash Flow are not intended to be measures of cash flow available for management’s discretionary use, as Adjusted EBITDA does not consider certain cash requirements such as tax payments and financing cash flows, and Free Cash Flow does not consider certain cash requirements such as financing cash flows. Our non-GAAP measures have limitations as analytical tools, and you should not consider them in isolation, or as substitutes for analysis of our results as reported under GAAP. Some of these limitations are:
•Adjusted EBITDA does not reflect our cash expenditures or future requirements for capital expenditures or contractual commitments;
•Adjusted EBITDA does not reflect changes in, or cash requirements for, our working capital needs;
•Adjusted EBITDA and Free Cash Flow do not reflect cash flows from financing activities of our business;
•Adjusted EBITDA does not reflect period to period changes in taxes, income tax expense, or the cash necessary to pay income taxes;
•Adjusted EBITDA does not reflect the impact of earnings or cash charges resulting from matters we consider not to be indicative of our ongoing operations;
•although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and Adjusted EBITDA does not reflect any cash requirements for such replacements; and
•other companies in our industry may calculate Adjusted EBITDA, Adjusted EBITDA Margin, general and administrative expenses, excluding equity-based compensation and executive transition costs, and Free Cash Flow differently than we do, limiting their usefulness as comparative measures.

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The following table reconciles net income to Adjusted EBITDA and net income margin to Adjusted EBITDA margin:
Twelve Weeks EndedTwenty-Eight Weeks Ended
(in thousands)July 12,
2026		July 13,
2025		July 12,
2026		July 13,
2025
Net income$23,017$18,368$46,583$44,075
Non-GAAP Adjustments
Interest income, net(3,293)(3,581)(7,375)(8,198)
Provision for (benefit from) income taxes7,5615,33214,034(21)
Depreciation and amortization20,96616,81546,43237,626
Equity-based compensation5,6754,57013,42311,232
Other income, net(439)(474)(1,139)(501)
Impairment and asset disposal costs1,2291,0743,9472,741
Executive transition costs——545—
Adjusted EBITDA$54,716$42,104$116,450$86,954
Revenue$368,436$280,615$806,706$612,441
Net income margin 6.2 %6.5 %5.8 %7.2 %
Adjusted EBITDA margin14.9 %15.0 %14.4 %14.2 %

The following table reconciles general and administrative expenses to general and administrative expenses, excluding equity-based compensation and executive transition costs:
Twelve Weeks EndedTwenty-Eight Weeks Ended
(in thousands)July 12,
2026		July 13,
2025		July 12,
2026		July 13,
2025
General and administrative expenses$39,800 $32,051 $91,390 $73,445 
Equity-based compensation 5,675 4,570 13,423 11,232 
Executive transition costs— — 545 — 
General and administrative expenses, excluding equity-based compensation and executive transition costs$34,125 $27,481 $77,422 $62,213 
Revenue$368,436 $280,615 $806,706 $612,441 
General and administrative expenses, as a percentage of revenue10.8 %11.4 %11.3 %12.0 %
General and administrative expenses, excluding equity-based compensation and executive transition costs, as a percentage of revenue9.3 %9.8 %9.6 %10.2 %

The following table reconciles net cash provided by operating activities to Free Cash Flow:
Twenty-Eight Weeks Ended
(in thousands)July 12,
2026		July 13,
2025
Net cash provided by operating activities$134,520 $98,895 
Purchases of property and equipment(89,738)(76,994)
Free Cash Flow$44,782 $21,901 
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Glossary:
The following definitions apply to these terms as used in this press release:
“Adjusted EBITDA” is defined as net income adjusted to exclude interest income, net, provision for (benefit from) income taxes, and depreciation and amortization, further adjusted to exclude equity-based compensation, other income, net, impairment and asset disposal costs, and executive transition costs, in each case, to the extent applicable in a given fiscal period. See “Non-GAAP Financial Measures” for a reconciliation of net income to Adjusted EBITDA for the periods presented;
“Adjusted EBITDA Margin” is defined as Adjusted EBITDA as a percentage of revenue;
“Average Unit Volume” or “AUV” represents total revenue of operating CAVA Restaurants that were open for the entire trailing thirteen periods, and Digital Kitchens sales for such period, divided by the number of operating CAVA Restaurants that were open for the entire trailing thirteen periods;
“CAVA Restaurant-Level Profit” a segment measure of profit and loss, represents CAVA Revenue less food, beverage, and packaging, labor, occupancy, and other operating expenses, excluding depreciation and amortization. CAVA Restaurant-Level Profit excludes pre-opening costs;
“CAVA Restaurant-Level Profit Margin” represents CAVA Restaurant-Level Profit as a percentage of CAVA Revenue;
“CAVA Restaurants” is defined to include all CAVA restaurants and Hybrid Kitchens that are open or temporarily closed as of the end of the specific period. CAVA Restaurants exclude restaurants operating under license agreements and Digital Kitchens;
“CAVA Revenue” is defined to include all revenue attributable to CAVA restaurants in the specified period, excluding restaurants operating under license agreements;
“Digital Kitchen” is defined to include kitchens used for third-party marketplace and native delivery, Digital Order pick-up and/or centralized catering production, and that has neither in-restaurant dining nor customer-facing make lines;
“Digital Orders” means orders made through catering, digital channels, such as the CAVA app and the CAVA website. Digital Orders include orders fulfilled through third-party marketplace and native delivery and digital order pick-up;
“Digital Revenue Mix” represents the portion of CAVA Revenue related to Digital Orders as a percentage of total CAVA Revenue;
“Free Cash Flow” means net cash provided by operating activities less purchases of property and equipment;
“Guest Traffic” means the number of entrees ordered in-restaurant and through Digital Orders;
“Hybrid Kitchen” is defined to include kitchens that have enhanced kitchen capabilities to support centralized catering production and that also have in-restaurant dining and customer-facing make lines;
“Net New CAVA Restaurant Openings” is defined as new CAVA restaurant openings during a specified reporting period, net of any permanent CAVA restaurant closures during the same period;
“Restaurant Operating Weeks” represents the aggregate number of weeks each of our CAVA Restaurants has been open in a given period; and
“Same Restaurant Sales” is defined as the period-over-period sales comparison for CAVA restaurants that have been open for 365 days or longer.
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We operate on a 52-week or 53-week fiscal year that ends on the last Sunday of the calendar year. In a 52-week fiscal year, the first fiscal quarter contains sixteen weeks and the second, third, and fourth fiscal quarters each contain twelve weeks. In a 53-week fiscal year, the first fiscal quarter contains sixteen weeks, the second and third fiscal quarters each contain twelve weeks, and the fourth fiscal quarter contains thirteen weeks. References to “thirteen periods” are to the 13 accounting periods we have in each fiscal year, with each accounting period being four weeks, except in a 53-week fiscal year which will contain one accounting period of five weeks.
Certain numerical figures have been subject to rounding adjustments. Accordingly, numerical figures shown as totals in various tables may not be arithmetic aggregations of the figures that precede them.
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Source: View Original Filing on SEC EDGAR

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