BJs RESTAURANTS INC
For the period ended Jun 30, 2026. Filed Jul 31, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2026 · Filed Jul 31, 2026
BJRI$55.67-4.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-03-31; filed 2026-05-06.
0001193125-26-206922
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-06-30; filed 2026-07-31.
0001193125-26-326418
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 49 previous paragraphs and 65 current paragraphs.
29 unchanged; 16 reworded; 16 added; 4 removed; 0 previous and 4 current paragraphs rearranged.
Tables are not compared: 4 previous and 4 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (16)
Current report
Cost of sales increased by $11.4 million, or 6.4%, to $189.0 million during the twenty-six weeks ended June 30, 2026, from $177.6 million during the comparable twenty-six-week period of 2025. As a percentage of revenues, cost of sales increased to 25.3% for the current twenty-six-week period from 24.9% for the prior year comparable period. The increase was primarily due to approximately 3% inflation in our commodity basket led by beef inflation, partially offset by menu price increases and the effectiveness of improved operations.
Current report
Labor and Benefits. Labor and benefit costs for our restaurants increased by $5.0 million, or 3.8%, to $134.3 million during the thirteen weeks ended June 30, 2026, from $129.4 million during the comparable thirteen-week period of 2025. As percentage of revenues, labor and benefit costs decreased to 34.5% for the current thirteen-week period from 35.4% for the prior year comparable period. The change was primarily driven by a 1.6% reduction due to leveraging our fixed costs over a higher revenue base, partially offset by a 0.7% increase due to wage inflation.
Current report
Labor and benefit costs for our restaurants increased by $9.2 million, or 3.6%, to $264.2 million during the twenty-six weeks ended June 30, 2026, from $255.0 million during the comparable twenty-six-week period of 2025. As a percentage of revenues, labor and benefit costs decreased to 35.4% for the current twenty-six-week period from 35.7% for the prior year comparable period. The change was primarily driven by a 1.3% reduction due to leveraging our fixed costs over a higher revenue base, partially offset by a 0.6% increase due to wage inflation, 0.2% increase in taxes and benefit costs, and 0.1% increase in workers' compensation costs.
Current report
Occupancy and Operating. Occupancy and operating expenses increased by $5.3 million, or 6.4%, to $88.6 million during the thirteen weeks ended June 30, 2026, from $83.3 million during the comparable thirteen-week period of 2025. As a percentage of revenues, occupancy and operating expenses are unchanged at 22.8% for the current thirteen-week period and the prior year comparable period. This resulted from a 0.2% increased investment in marketing, offset by a decrease of 0.2% in rent and related costs due to our ability to leverage our fixed costs over a higher revenue base.
Current report
General and Administrative. General and administrative expenses increased by $4.6 million, or 21.1%, to $26.3 million during the thirteen weeks ended June 30, 2026, from $21.8 million during the comparable thirteen-week period of 2025. The change was led by $1.4 million of legal and leadership transition expenses, $1.2 million related to higher stock-based compensation led by forfeitures in 2025 that reduced the expense, and $1.0 million related to our non-cash deferred compensation liability. As a percentage of revenues, general and administrative expenses increased to 6.8% for the current thirteen-week period from 5.9% for the prior year comparable period. This increase was primarily due to the increase in the aforementioned expenses.
Current report
General and administrative expenses increased by $4.8 million, or 11.0%, to $48.3 million during the twenty-six weeks ended June 30, 2026, from $43.5 million during the comparable twenty-six-week period of 2025. The change was led by $1.4 million of legal and leadership transition expenses, $1.3 million related to stock-based compensation led by forfeitures in fiscal 2025 that reduced the expense, $0.6 million related to our non-cash deferred compensation liability, and $1.2 million in subscription costs as we focus on laying the foundation for our technology infrastructures. As a percentage of revenues, general and administrative expenses increased to 6.5% for the current twenty-six-week period from 6.1% for the prior year comparable period. This increase was primarily due to the increase in the aforementioned expenses.
Current report
Depreciation and Amortization. Depreciation and amortization increased by $2.2 million, or 11.8%, to $21.0 million during the thirteen weeks ended June 30, 2026, compared to $18.7 million during the comparable thirteen-week period of 2025. This increase is primarily due to increased capital expenditures related to our restaurant maintenance and remodel programs. As a percentage of revenues, depreciation and amortization increased to 5.4% for the current thirteen-week period from 5.1% for the prior year comparable period.
Current report
Restaurant opening expenses decreased by $0.6 million to $0.1 million during the twenty-six weeks ended June 30, 2026, compared to $0.7 million during the comparable twenty-six-week period of 2025.
Current report
For both periods, this decrease in restaurant openings was primarily due to the timing of openings.
Current report
Loss on disposal and impairment of assets, net, was $2.8 million during the twenty-six weeks ended June 30, 2026, compared to $0.4 million during the comparable twenty-six-week period of 2025.
Current report
Interest expense, net, was $1.9 million during the twenty-six weeks ended June 30, 2026, compared to $2.5 million during the comparable twenty-six-week period of 2025.
Current report
Other Income, Net. Other income, net, was $1.4 million during the thirteen weeks ended June 30, 2026, compared to $3.8 million during the comparable thirteen-week period of 2025.
Current report
Other income, net, was $0.9 million during the twenty-six weeks ended June 30, 2026, compared to $3.7 million during the comparable twenty-six-week period of 2025.
Current report
For both periods, this decrease in other income, net, was primarily related to a payroll tax credit in the prior year, offset by increases in the cash surrender value of certain life insurance policies.
Current report
Our effective income tax expense rate for the twenty-six weeks ended June 30, 2026, was 1.0% compared to 4.4% for the comparable twenty-six-week period of 2025.
Current report
Net cash provided by operating activities was $74.0 million during the twenty-six weeks ended June 30, 2026, representing a $7.1 million increase from the $66.9 million provided during the twenty-six weeks ended July 1, 2025. The increase over prior year is led by increased profitability after non-cash items.
Removed paragraphs (4)
Previous report
Labor and Benefits. Labor and benefit costs for our restaurants increased by $4.2 million, or 3.4%, to $129.9 million during the thirteen weeks ended March 31, 2026, from $125.7 million during the comparable thirteen-week period of 2025. This increase was primarily due to $2.7 million related to hourly labor, $0.8 million in taxes and benefits, and $0.5 million related to higher workers’ compensation costs. Included in labor and benefits for the thirteen weeks ended March 31, 2026 and April 1, 2025, was approximately $0.9 million and $0.4 million, or 0.2% and 0.1% of revenues, respectively, of stock-based compensation expense related to equity awards granted in accordance with our Gold Standard Stock Ownership Program for certain restaurant management team members. As a percentage of revenues, labor and benefit costs increased to 36.3% for the current thirteen-week period from 36.1% for the prior year comparable period. This increase was primarily due to higher stock-based compensation expense and workers’ compensation costs.
Previous report
General and Administrative. General and administrative expenses increased by $0.2 million, or 1.0%, to $22.0 million during the thirteen weeks ended March 31, 2026, from $21.8 million during the comparable thirteen-week period of 2025. This was primarily due to increases of $0.7 million related to less internal costs capitalized with fewer new restaurant openings, $0.2 million related to higher stock-based compensation, and $0.2 million in corporate expenses, offset by decreases of $0.4 million related to our deferred compensation liability, $0.2 million in recruiting costs and $0.3 million in external services. Included in general and administrative costs for the thirteen weeks ended March 31, 2026 and April 1, 2025, was approximately $1.7 million and $1.5 million, or 0.5% and 0.4% of revenues, respectively, of stock-based compensation expense. As a percentage of revenues, general and administrative expenses decreased to 6.1% for the current thirteen-week period from 6.3% for the prior year comp arable period. This decrease was primarily due to our ability to leverage our fixed costs over a higher revenue base.
Previous report
Other Expense, Net. Other expense, net, was $0.4 million during the thirteen weeks ended March 31, 2026, compared to $0.1 million during the comparable thirteen-week period of 2025. This change is primarily due to decreases in the cash surrender value of certain life insurance policies.
Previous report
Net cash provided by operating activities was $43.0 million during the thirteen weeks ended March 31, 2026, representing a $38.4 million increase from the $4.6 million provided during the thirteen weeks ended April 1, 2025. The increase over prior year is primarily due to the timing of accounts payable payments. During the thirteen weeks ended April 1, 2025, and in preparation for our new Enterprise Resource Planning (“ERP”) system, we prepaid invoices and reduced our accounts payable balance, which decreased our operating cash flow for the period.
Reworded paragraphs (16)
Previous wording
Certain information included in this Form 10-Q and other filings with the Securities and Exchange Commission, in our press releases, in other written communications, and in oral statements made by or with the approval of one of our authorized officers may contain “forward-looking” statements about our current and expected performance trends, growth plans, business goals and other matters. Words or phrases such as “believe,” “plan,” “will likely result,” “expect,” “intend,” “will continue,” “is anticipated,” “estimate,” “project,” “may,” “could,” “would,” “should,” and similar expressions are intended to identify “forward-looking” statements. These statements, and any other statements that are not historical facts, are “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, as codified in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended from time to time. The cautionary statements made in this Form 10-Q should be read as being applicable to all related “forward-looking” statements wherever they appear in this Form 10-Q. These forward-looking statements are based on information available to us as of the date any such statements are made, and we assume no obligation to update these forward-looking statements. These statements are subject to risks and uncertainties that could cause actual results to differ materially from those described in the statements. These risks and uncertainties include, but are not limited to, the risk factors described in Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 30, 2025, as updated in our Form 10-Q for the thirteen weeks ended March 31, 2026, and in other reports filed subsequently with the SEC.
Current wording
Certain information included in this Form 10-Q and other filings with the Securities and Exchange Commission, in our press releases, in other written communications, and in oral statements made by or with the approval of one of our authorized officers may contain “forward-looking” statements about our current and expected performance trends, growth plans, business goals and other matters. Words or phrases such as “believe,” “plan,” “will likely result,” “expect,” “intend,” “will continue,” “is anticipated,” “estimate,” “project,” “may,” “could,” “would,” “should,” and similar expressions are intended to identify “forward-looking” statements. These statements, and any other statements that are not historical facts, are “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, as codified in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended from time to time. The cautionary statements made in this Form 10-Q should be read as being applicable to all related “forward-looking” statements wherever they appear in this Form 10-Q. These forward-looking statements are based on information available to us as of the date any such statements are made, and we assume no obligation to update these forward-looking statements. These statements are subject to risks and uncertainties that could cause actual results to differ materially from those described in the statements. These risks and uncertainties include, but are not limited to, the risk factors described in Item 1A of our Annual Report on Form 10-K for the fiscal year ended December 30, 2025, as updated in our Form 10-Q for the twenty-six weeks ended June 30, 2026, and in other reports filed subsequently with the SEC.
Previous wording
The following table provides, for the periods indicated, our unaudited Consolidated Statements of Income expressed as percentages of total revenues. The results of operations for the thirteen weeks ended March 31, 2026 and April 1, 2025, are not necessarily indicative of the results to be expected for the full fiscal year. Percentages below may not reconcile due to rounding.
Current wording
The following table provides, for the periods indicated, our unaudited Consolidated Statements of Income expressed as percentages of total revenues. The results of operations for the thirteen and twenty-six weeks ended June 30, 2026 and July 1, 2025, are not necessarily indicative of the results to be expected for the full fiscal year. Percentages below may not reconcile due to rounding.
Previous wording
Thirteen Weeks Ended March 31, 2026 Compared to Thirteen Weeks Ended April 1, 2025
Current wording
Thirteen and Twenty-Six Weeks Ended June 30, 2026 Compared to Thirteen and Twenty-Six Weeks Ended July 1, 2025
Previous wording
Revenues. Total revenues increased by $10.1 million, or 2.9%, to $358.1 million during the thirteen weeks ended March 31, 2026, from $348.0 million during the comparable thirteen-week period of 2025. The change in revenues primarily consisted of an increase of 2.4%, or $8.1 million, related to sales from restaurants in our comparable restaurant sales base, and $1.7 million related to sales from new restaurants. The increase in comparable restaurant sales was due to an increase in guest traffic of approximately 2.2%, coupled with an increase in average check of approximately 0.2%, resulting from changes in mix and menu price increases.
Current wording
Total revenues increased by $33.4 million, or 4.7%, to $747.0 million during the twenty-six weeks ended June 30, 2026, from $713.6 million during the comparable twenty-six-week period of 2025. The change in revenues primarily consisted of an increase of 4.5%, or $31.5 million, related to sales from restaurants in our comparable restaurant sales base, and $1.3 million related to sales from new restaurants. The increase in comparable restaurant sales was due to an increase in guest traffic of approximately 5.3%, offset by a decrease in average check of approximately 0.8%, resulting from changes in product mix, partially offset by menu price increases.
Previous wording
Cost of Sales. Cost of sales increased by $3.1 million, or 3.6%, to $89.9 million during the thirteen weeks ended March 31, 2026, from $86.8 million during the comparable thirteen-week period of 2025. This increase was primarily due to higher guest traffic counts and higher commodity costs. As a percentage of revenues, cost of sales increased to 25.1% for the current thirteen-week period from 25.0% for the prior year comparable period. This increase was primarily due to higher commodity costs partially offset by menu price increases and the effectiveness of improved operations and our cost savings initiatives.
Current wording
Cost of Sales. Cost of sales increased by $8.3 million, or 9.1%, to $99.1 million during the thirteen weeks ended June 30, 2026, from $90.8 million during the comparable thirteen-week period of 2025. As a percentage of revenues, cost of sales increased to 25.5% for the current thirteen-week period from 24.8% for the prior year comparable period. The increase was primarily due to approximately 5% inflation in our commodity basket costs led by beef inflation, partially offset by menu price increases and the effectiveness of improved operations.
Previous wording
Occupancy and Operating. Occupancy and operating expenses increased by $1.3 million, or 1.6%, to $81.2 million during the thirteen weeks ended March 31, 2026, from $79.9 million during the comparable thirteen-week period of 2025. This was primarily due to increases of $0.8 million in supplies, $0.6 million in utilities, $0.5 million in credit card processing fees, $0.1 million in repairs and maintenance, and $0.1 million in rent and related, offset by lower marketing-related expenses of $1.2 million. As a percentage of revenues, occupancy and operating expenses decreased to 22.7% for the current thirteen-week period from 23.0% for the prior year comparable period. This decrease was primarily due to reduced marketing spend during the thirteen weeks ended March 31, 2026.
Current wording
Occupancy and operating expenses increased by $6.6 million, or 4.0%, to $169.8 million during the twenty-six weeks ended June 30, 2026, from $163.2 million during the comparable twenty-six-week period of 2025. As a percentage of revenues, occupancy and operating expenses decreased to 22.7% for the current twenty-six-week period from 22.9% for the prior year comparable period. This was primarily driven by a decrease of 0.2% in rent and related costs due to our ability to leverage the fixed nature of these costs over a higher revenue base.
Previous wording
Depreciation and Amortization. Depreciation and amortization increased by $4.5 million, or 24.8%, to $22.8 million during the thirteen weeks ended March 31, 2026, compared to $18.3 million during the comparable thirteen-week period of 2025. The increase included a $2.7 million catch-up adjustment to depreciation expense. As a percentage of revenues, depreciation and amortization increased to 6.4% for the current thirteen-week period from 5.3% for the prior year comparable period.
Current wording
Depreciation and amortization increased by $6.8 million, or 18.2%, to $43.8 million during the twenty-six weeks ended June 30, 2026, compared to $37.0 million during the comparable twenty-six-week period of 2025. The increase included a $2.7 million catch-up adjustment to depreciation expense recorded in the first quarter of 2026. As a percentage of revenues, depreciation and amortization increased to 5.9% for the current twenty-six-week period from 5.2% for the prior year comparable period.
Previous wording
Restaurant Opening. Restaurant opening expenses decreased by $0.4 million during the thirteen weeks ended March 31, 2026, compared to $0.4 million during the comparable thirteen-week period of 2025. This decrease was primarily due to the timing of openings.
Current wording
Restaurant Opening. Restaurant opening expenses decreased by $0.1 million to $0.1 million during the thirteen weeks ended June 30, 2026, compared to $0.2 million during the comparable thirteen-week period of 2025.
Previous wording
Loss on Disposal and Impairment of Assets, Net. Loss on disposal and impairment of assets, net, was $1.7 million during the thirteen weeks ended March 31, 2026, compared to $0.2 million during the comparable thirteen-week period of 2025. For the thirteen weeks ended March 31, 2026 and April 1, 2025, these costs primarily related to disposals of assets in conjunction with initiatives to keep our restaurants up to date.
Current wording
Loss on Disposal and Impairment of Assets, Net. Loss on disposal and impairment of assets, net, was $1.0 million during the thirteen weeks ended June 30, 2026, compared to $0.2 million during the comparable thirteen-week period of 2025.
Previous wording
Interest Expense, Net. Interest expense, net, was $1.1 million during the thirteen weeks ended March 31, 2026, compared to $1.2 million during the comparable thirteen-week period of 2025. This decrease was primarily due to a lower outstanding debt balance.
Current wording
Interest Expense, Net. Interest expense, net, was $0.8 million during the thirteen weeks ended June 30, 2026, compared to $1.3 million during the comparable thirteen-week period of 2025.
Previous wording
Income Tax (Benefit) Expense. Our effective income tax rate for the thirteen weeks ended March 31, 2026, was an expense of 0.6% compared to 1.2% for the comparable thirteen-week period of 2025. The effective tax rate expense for the thirteen weeks ended March 31, 2026 and April 1, 2025, was different than the statutory rate primarily due to FICA tax tip credits.
Current wording
Income Tax Expense. Our effective income tax expense rate for the thirteen weeks ended June 30, 2026, was 1.3% compared to 6.3% for the comparable thirteen-week period of 2025.
Previous wording
Our capital requirements are driven by our fundamental financial objective to improve total shareholder return through a balanced approach of new restaurant expansion plans, enhancements and initiatives focused on existing restaurants and return of capital to our shareholders through our share repurchase program.
Current wording
Our capital requirements are driven by our fundamental financial objective to drive shareholder return through a balanced approach of new restaurant expansion plans, enhancements and initiatives focused on existing restaurants and return of capital to our shareholders through our share repurchase program.
Previous wording
Net cash used in investing activities was $15.8 million during the thirteen weeks ended March 31, 2026, representing a $0.9 million decrease from the $16.6 million used during the thirteen weeks ended April 1, 2025. The decrease over prior year is primarily due to the timing of capital expenditures related to restaurant remodel activity.
Current wording
Net cash used in investing activities was $40.4 million during the twenty-six weeks ended June 30, 2026, representing a $3.4 million increase from the $37.0 million used during the twenty-six weeks ended July 1, 2025. The increase versus prior year is primarily due to restaurant maintenance and remodels.
Previous wording
Net cash used in financing activities was $28.3 million during the thirteen weeks ended March 31, 2026, representing a $33.3 million increase from the $4.9 million provided by in financing activities during the thirteen weeks ended April 1, 2025. The increase in cash used is primarily due to higher repayments of borrowings, offset by lower share repurchases.
Current wording
Net cash used in financing activities was $43.0 million during the twenty-six weeks ended June 30, 2026, representing a $12.9 million increase from the $30.0 million used in financing activities during the twenty-six weeks ended July 1, 2025. The increase in cash used is primarily due to higher repayments of borrowings, offset by lower share repurchases.
Previous wording
We do not participate in transactions that generate relationships with unconsolidated entities or financial partnerships, such as entities often referred to as structured finance or variable interest entities (“VIEs”), which would have been established for the purpose of facilitating off-balance sheet arrangements or other contractually narrow limited purposes. As of March 31, 2026, we are not involved in any off-balance sheet arrangements.
Current wording
We do not participate in transactions that generate relationships with unconsolidated entities or financial partnerships, such as entities often referred to as structured finance or variable interest entities, which would have been established for the purpose of facilitating off-balance sheet arrangements or other contractually narrow limited purposes. As of June 30, 2026, we are not involved in any off-balance sheet arrangements.
Previous wording
A summary of our other critical accounting policies is included in Management’s Discussion and Analysis of Financial Condition and Results of Operations contained in our Annual Report on Form 10-K for the fiscal year ended December 30, 2025. During the thirteen weeks ended March 31, 2026, there were no significant changes in our critical accounting policies.
Current wording
A summary of our other critical accounting policies is included in Management’s Discussion and Analysis of Financial Condition and Results of Operations contained in our Annual Report on Form 10-K for the fiscal year ended December 30, 2025. During the twenty-six weeks ended June 30, 2026, there were no significant changes in our critical accounting policies.
Rearranged current paragraphs (4)
Current report — wording carried from elsewhere
Revenues. Total revenues increased by $23.3 million, or 6.4%, to $388.9 million during the thirteen weeks ended June 30, 2026, from $365.6 million during the comparable thirteen-week period of 2025. The change in revenues primarily consisted of an increase of 6.5%, or $23.5 million, related to sales from restaurants in our comparable restaurant sales base, offset by decreases in non-comparable restaurant sales. The increase in comparable restaurant sales was due to an increase in guest traffic of approximately 8.3%, offset by a decrease in average check of approximately 1.8%, resulting from changes in product mix, partially offset by menu price increases.
Current report — wording carried from elsewhere
For both periods, these costs primarily related to disposals of assets in conjunction with initiatives to keep our restaurants up to date and costs incurred for previously closed locations.
Current report — wording carried from elsewhere
For both periods, this decrease in interest expense, net, was primarily due to a lower outstanding debt balance.
Current report — wording carried from elsewhere
The effective tax rate expense for the thirteen and twenty-six weeks ended June 30, 2026 and July 1, 2025, was different than the statutory rate primarily due to FICA tax tip credits.