--- title: "Restaurants Industry: Companies, KPIs" description: "36 SEC filers are classified under the Standard Industrial Classification codes that describe the restaurants industry." canonical: https://www.getswoopr.com/stocks/industries/consumer-discretionary/restaurants/ source: "Swoopr Investment: https://www.getswoopr.com" --- # Restaurants Industry ## Direct Answer 36 SEC filers are classified under the Standard Industrial Classification codes that describe the restaurants industry, and their latest annual reports show $154.0 billion of combined revenue and a median operating margin of 3.2%. Investors should still evaluate its revenue model, industry-specific KPIs, valuation framework and the risks that can change the group's economics. ## Industry Overview Restaurants prepare and sell meals to consumers through dine-in, takeout and delivery, from fast food to fine dining. Results depend on traffic, pricing, food and labor costs, and unit growth. The first numbers to compare across companies here are same-store sales, restaurant-level margin and traffic and check. ## Key Industry Metrics - **Same-store sales**: Sales growth at restaurants open at least a year. It excludes new units and shows whether existing locations are drawing more spending, in price or traffic. - **Restaurant-level margin**: Profit at the restaurant before corporate costs as a share of sales. It shows unit economics after food, labor and occupancy, and trends show cost control. - **Traffic and check**: Number of guest visits and average amount per check. Price increases lift check, so declining traffic suggests customers are resisting prices. - **Unit growth**: Growth in the number of restaurants. New units add sales but need capital, and the performance of recent openings shows whether expansion is working. - **Labor and food cost**: Cost of ingredients and wages as shares of sales. These are the largest expenses, so inflation not covered by pricing appears here first. ## Primary Macro Drivers - **Consumer spending**: Dining out is optional, so household budgets influence traffic and check, which shows in same-store sales. - **Food and wage inflation**: Ingredients and labor are the largest costs, so inflation squeezes margin unless menus rise. - **Menu pricing**: Price increases lift check but can reduce traffic, so same-store sales show the balance. - **Digital and delivery**: Online ordering and delivery add sales occasions and loyalty, but fees can reduce margin. ## Major Risks - **Cost inflation**: Rapid rises in food and wages squeeze restaurant-level margin faster than menu prices can adjust. - **Traffic declines**: Fewer visits reduce sales and spread fixed costs, so margin falls faster than sales; watch traffic and check separately. - **Competition**: Rival restaurants and grocery prepared foods compete for the same meals, limiting pricing power. - **Food safety**: Contamination or outbreaks cause closures and harm trust, hitting traffic across affected locations for months. ## Industry Characteristics | Characteristic | Profile | | --- | --- | | Cyclicality | Mixed | | Capital Intensity | Medium | | Regulatory Intensity | Medium | | Industry Maturity | Mature | | Geographic Importance | U.S. | ## Restaurants Filers in the SEC Record 36 companies with annual reports in the dataset are classified by the SEC in the Standard Industrial Classification codes 5810, 5812. Their latest fiscal years end between 2025 and 2026, and together they reported $154.0 billion of revenue. Median revenue growth over the prior year was 4.0%. Median operating margin was 3.2% and median net margin 1.2%. Median total liabilities were 69% of total assets, and 20 of 36 reported a profit in their latest year. | Company | Revenue | Growth | Operating margin | Net margin | Year | | --- | --- | --- | --- | --- | --- | | [Starbucks Corp](https://www.getswoopr.com/stocks/companies/starbucks/) | $37.2 billion | 2.8% | 7.9% | 5.0% | FY 2025 | | [Mcdonalds Corp](https://www.getswoopr.com/stocks/companies/mcdonalds/) | $26.9 billion | 3.7% | 46.1% | 31.9% | FY 2025 | | [Aramark](https://www.getswoopr.com/stocks/companies/aramark/) | $18.5 billion | 6.4% | 4.3% | 1.8% | FY 2025 | | [Darden Restaurants Inc](https://www.getswoopr.com/stocks/companies/darden-restaurants/) | $13.2 billion | 9.4% | 12.0% | 9.1% | FY 2026 | | [Chipotle Mexican Grill Inc](https://www.getswoopr.com/stocks/companies/chipotle-mexican-grill/) | $11.9 billion | 5.4% | 16.2% | 12.9% | FY 2025 | | [Yum China Holdings, Inc.](https://www.getswoopr.com/stocks/companies/yum-china-holdings-inc/) | $11.8 billion | 4.4% | 10.9% | 7.9% | FY 2025 | | [Yum Brands Inc](https://www.getswoopr.com/stocks/companies/yum-brands/) | $8.2 billion | 8.8% | 31.3% | 19.0% | FY 2025 | | [Texas Roadhouse, Inc.](https://www.getswoopr.com/stocks/companies/texas-roadhouse-inc/) | $5.9 billion | 9.4% | 8.1% | 6.9% | FY 2025 | The 8 largest of 36 by revenue. Source: each company's own annual report as filed with the SEC (XBRL data), figures in U.S. dollars. A company's SIC code reflects its main business as the SEC records it, so it can differ from how an index provider or analyst classifies the company, and a diversified group appears under only one code. ## Where to Go Next The Restaurants guide describes how the industry earns money, what to measure and what can go wrong. To see how it compares, read the neighbouring industries in the same sector, then apply the same checks to a specific company. ### More in Consumer Discretionary - [Consumer Discretionary sector overview](https://www.getswoopr.com/stocks/industries/consumer-discretionary/) - [Smart Home Devices](https://www.getswoopr.com/stocks/industries/consumer-discretionary/smart-home-devices/) - [Restaurant Franchisors](https://www.getswoopr.com/stocks/industries/consumer-discretionary/restaurant-franchisors/) - [Specialty Retail](https://www.getswoopr.com/stocks/industries/consumer-discretionary/specialty-retail/) - [Residential Furniture](https://www.getswoopr.com/stocks/industries/consumer-discretionary/residential-furniture/) - [Sporting Goods Manufacturing](https://www.getswoopr.com/stocks/industries/consumer-discretionary/sporting-goods-manufacturing/) - [Residential Building Products](https://www.getswoopr.com/stocks/industries/consumer-discretionary/residential-building-products/) - [Sporting Goods Retail](https://www.getswoopr.com/stocks/industries/consumer-discretionary/sporting-goods-retail/) - [Recreational Vehicles](https://www.getswoopr.com/stocks/industries/consumer-discretionary/recreational-vehicles/) ### Put it to work - [How to analyze a stock](https://www.getswoopr.com/stocks/how-to-analyze-a-stock/) - [Fundamental analysis guides](https://www.getswoopr.com/learn/fundamental-analysis/) - [Company research](https://www.getswoopr.com/stocks/companies/) - [All industries](https://www.getswoopr.com/stocks/industries/) ## Frequently Asked Questions What are the main KPIs for the Restaurants industry? Key performance indicators for the Restaurants industry include: Same-store sales, Restaurant-level margin, Traffic and check, Unit growth, Labor and food cost. Which matter most depends on the company's model, so compare them across several companies rather than relying on one. How cyclical is the Restaurants industry? The Restaurants industry exhibits mixed cyclicality characteristics. Some segments move with the broader economy while others maintain more stable demand, making stock selection within the group particularly important. What are the biggest risks in the Restaurants industry? The primary risks for Restaurants companies include: Cost inflation, Traffic declines, Competition, Food safety. Investors should assess each company's exposure to these factors and its track record of navigating them. **[Swoopr Editorial Team](https://www.getswoopr.com/authors/swoopr-editorial-team/)** Swoopr's editorial team produces independent investment education content reviewed for accuracy and clarity. We do not provide personalized financial advice. See our [editorial policy](https://www.getswoopr.com/legal/editorial-policy/) and [corrections policy](https://www.getswoopr.com/legal/corrections-policy/).