CAVA GROUP, INC., 10-Q filed on 11/13/2024
Quarterly Report
v3.24.3
Cover - shares
 9 Months Ended
Oct. 06, 2024
Nov. 05, 2024
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Oct. 06, 2024  
Document Transition Report false  
Entity File Number 001-41721  
Entity Registrant Name CAVA Group, Inc.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 47-3426661  
Entity Address, Address Line One 14 Ridge Square NW  
Entity Address, Address Line Two Suite 500  
Entity Address, City or Town Washington  
Entity Address, State or Province DC  
Entity Address, Postal Zip Code 20016  
City Area Code 202  
Local Phone Number 400-2920  
Title of 12(b) Security Common Stock, par value $0.0001 per share  
Trading Symbol CAVA  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Non-accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company true  
Entity Ex Transition Period false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   114,579,714
Entity Central Index Key 0001639438  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q3  
Current Fiscal Year End Date --12-29  
Amendment Flag false  
v3.24.3
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Oct. 06, 2024
Dec. 31, 2023
Current assets:    
Cash and cash equivalents $ 367,160 $ 332,428
Trade accounts receivable, net 6,483 3,662
Other accounts receivable 6,717 8,223
Inventories 7,335 5,637
Prepaid expenses and other 5,565 4,962
Total current assets 393,260 354,912
Property and equipment, net 363,216 330,730
Operating lease assets 314,073 289,451
Goodwill 1,944 1,944
Intangible assets 1,355 1,355
Other long-term assets 5,691 5,365
Total assets 1,079,539 983,757
Current liabilities:    
Accounts payable 25,336 17,234
Accrued expenses and other 67,894 59,219
Operating lease liabilities, current 41,211 32,583
Total current liabilities 134,441 109,036
Deferred income taxes 79 79
Operating lease liabilities 328,582 303,615
Other long-term liabilities 0 225
Total liabilities 463,102 412,955
Commitments and Contingencies (Note 9)
Stockholders' equity:    
Common stock, par value $0.0001 per share; 2,500,000 shares authorized; 114,563 and 113,708 issued and outstanding, respectively 11 11
Treasury stock, at cost; 1,382 shares and 1,086 shares, respectively (27,563) (9,727)
Additional paid-in capital 1,039,952 1,028,181
Accumulated deficit (395,963) (447,663)
Total stockholders’ equity 616,437 570,802
Total liabilities and stockholders' equity $ 1,079,539 $ 983,757
v3.24.3
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares
Oct. 06, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Common stock, par value (in usd per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 2,500,000,000 2,500,000,000
Common stock, shares issued (in shares) 114,563,000 113,708,000
Common stock, shares outstanding (in shares) 114,563,000 113,708,000
Treasury stock (in shares) 1,382,000 1,086,000
v3.24.3
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Income Statement [Abstract]        
Total revenue $ 243,817 $ 175,553 $ 736,318 $ 551,530
Restaurant operating expenses (excluding depreciation and amortization)        
Food, beverage, and packaging 73,540 51,818 216,326 161,936
Labor 61,233 43,913 186,134 138,484
Occupancy 16,412 13,782 52,751 43,781
Other operating expenses 29,985 21,553 90,734 66,847
Total restaurant operating expenses 181,170 131,066 545,945 411,048
General and administrative expenses 29,830 24,472 91,951 76,817
Depreciation and amortization 14,325 11,528 45,380 35,096
Restructuring and other costs 230 1,092 582 5,160
Pre-opening costs 2,819 3,410 9,500 12,809
Impairment and asset disposal costs 1,675 1,190 3,795 4,295
Total operating expenses 230,049 172,758 697,153 545,225
Income from operations 13,768 2,795 39,165 6,305
Other income (expense):        
Interest income, net (4,091) (3,956) (12,829) (4,630)
Other income, net 50 120 188 412
Income before taxes 17,909 6,871 52,182 11,347
(Benefit from) provision for income taxes (57) 38 482 116
Net income $ 17,966 $ 6,833 $ 51,700 $ 11,231
Earnings per share:        
Basic (in usd per share) $ 0.16 $ 0.06 $ 0.45 $ 0.26
Diluted (in usd per share) $ 0.15 $ 0.06 $ 0.44 $ 0.24
Weighted-average common shares outstanding:        
Basic (in shares) 114,434 113,584 114,158 43,244
Diluted (in shares) 118,430 117,713 118,191 45,966
v3.24.3
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF PREFERRED STOCK AND STOCKHOLDERS' EQUITY - USD ($)
$ in Thousands
Total
Common Stock
Treasury Stock
Additional Paid in Capital
Accumulated Deficit
Beginning Balance (in shares) at Dec. 25, 2022 95,204,000        
Beginning Balance at Dec. 25, 2022 $ 662,308        
Redeemable Preferred Stock          
Conversion of preferred stock (in shares) (95,204,000)        
Conversion of preferred stock $ (662,308)        
Ending Balance (in shares) at Oct. 01, 2023 0        
Ending Balance at Oct. 01, 2023 $ 0        
Beginning balance (in shares) at Dec. 25, 2022   1,409,000      
Beginning balance at Dec. 25, 2022 (448,503) $ 0 $ (6,619) $ 19,059 $ (460,943)
Beginning balance (in shares) at Dec. 25, 2022     886,000    
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Equity-based compensation 5,854     5,854  
Shares purchased under equity plans (in shares)   62,000      
Shares purchased under equity plans 292     292  
RSU vesting (in shares)   458,000      
Tax withholding on equity-based compensation awards (in shares)   154,000 154,000    
Tax withholding on equity-based compensation awards (1,571)   $ (1,571)    
Proceeds from initial public offering, net of underwriting fees and offering costs of $29.3 million (in shares)   16,611,000      
Proceeds from initial public offering, net of underwriting fees and offering costs of $29.3 million 336,111 $ 1   336,110  
Conversion of preferred stock (in shares)   95,204,000      
Conversion of preferred stock 662,309 $ 10   662,299  
Net income 11,231       11,231
Ending balance (in shares) at Oct. 01, 2023   113,590,000      
Ending balance at Oct. 01, 2023 $ 565,723 $ 11 $ (8,190) 1,023,614 (449,712)
Ending balance (in shares) at Oct. 01, 2023     1,040,000    
Ending Balance (in shares) at Oct. 01, 2023 0        
Ending Balance at Oct. 01, 2023 $ 0        
Beginning balance (in shares) at Jul. 09, 2023   113,581,000      
Beginning balance at Jul. 09, 2023 555,809 $ 11 $ (8,085) 1,020,428 (456,545)
Beginning balance (in shares) at Jul. 09, 2023     1,037,000    
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Equity-based compensation 3,183     3,183  
Shares purchased under equity plans (in shares)   1,000      
Shares purchased under equity plans 3     3  
RSU vesting (in shares)   11,000      
Tax withholding on equity-based compensation awards (in shares)   3,000 3,000    
Tax withholding on equity-based compensation awards (105)   $ (105)    
Net income 6,833       6,833
Ending balance (in shares) at Oct. 01, 2023   113,590,000      
Ending balance at Oct. 01, 2023 $ 565,723 $ 11 $ (8,190) 1,023,614 (449,712)
Ending balance (in shares) at Oct. 01, 2023     1,040,000    
Beginning Balance (in shares) at Dec. 31, 2023 0        
Beginning Balance at Dec. 31, 2023 $ 0        
Ending Balance (in shares) at Oct. 06, 2024 0        
Ending Balance at Oct. 06, 2024 $ 0        
Beginning balance (in shares) at Dec. 31, 2023 113,708,000 113,708,000      
Beginning balance at Dec. 31, 2023 $ 570,802 $ 11 $ (9,727) 1,028,181 (447,663)
Beginning balance (in shares) at Dec. 31, 2023 1,086,000   1,086,000    
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Equity-based compensation $ 9,943     9,943  
Shares purchased under equity plans (in shares)   361,000      
Shares purchased under equity plans 1,828     1,828  
RSU vesting (in shares)   790,000      
Tax withholding on equity-based compensation awards (in shares)   296,000 296,000    
Tax withholding on equity-based compensation awards (17,836)   $ (17,836)    
Net income $ 51,700       51,700
Ending balance (in shares) at Oct. 06, 2024 114,563,000 114,563,000      
Ending balance at Oct. 06, 2024 $ 616,437 $ 11 $ (27,563) 1,039,952 (395,963)
Ending balance (in shares) at Oct. 06, 2024 1,382,000   1,382,000    
Ending Balance (in shares) at Oct. 06, 2024 0        
Ending Balance at Oct. 06, 2024 $ 0        
Beginning balance (in shares) at Jul. 14, 2024   114,306,000      
Beginning balance at Jul. 14, 2024 595,437 $ 11 $ (27,066) 1,036,421 (413,929)
Beginning balance (in shares) at Jul. 14, 2024     1,378,000    
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Equity-based compensation 2,994     2,994  
Shares purchased under equity plans (in shares)   250,000      
Shares purchased under equity plans 537     537  
RSU vesting (in shares)   11,000      
Tax withholding on equity-based compensation awards (in shares)   4,000 4,000    
Tax withholding on equity-based compensation awards (497)   $ (497)    
Net income $ 17,966       17,966
Ending balance (in shares) at Oct. 06, 2024 114,563,000 114,563,000      
Ending balance at Oct. 06, 2024 $ 616,437 $ 11 $ (27,563) $ 1,039,952 $ (395,963)
Ending balance (in shares) at Oct. 06, 2024 1,382,000   1,382,000    
v3.24.3
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF PREFERRED STOCK AND STOCKHOLDERS' EQUITY (Parenthetical)
$ in Millions
 9 Months Ended
Oct. 01, 2023
USD ($)
Statement of Stockholders' Equity [Abstract]  
Underwriting fees and offering costs $ 29.3
v3.24.3
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Cash flows from operating activities:    
Net income $ 51,700 $ 11,231
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation 45,380 35,069
Amortization of intangible assets 0 27
Equity-based compensation 9,943 5,854
Impairment and asset disposal costs 3,795 4,295
Changes in operating assets and liabilities:    
Trade accounts receivable (2,821) (2,365)
Other accounts receivable 1,506 (2,591)
Inventories (1,698) (586)
Prepaid expenses and other (929) 643
Operating lease assets (24,735) (26,177)
Accounts payable 5,037 1,601
Accrued expenses and other 10,395 16,437
Operating lease liabilities 33,601 29,650
Net cash provided by operating activities 131,174 73,088
Cash flows from investing activities:    
Purchases of property and equipment (80,389) (107,564)
Net cash used in investing activities (80,389) (107,564)
Cash flows from financing activities:    
Proceeds from long-term debt 0 6,000
Payments on long-term debt 0 (6,000)
Tax withholding on equity-based compensation awards (17,836) (1,571)
Shares purchased under equity plans 1,828 292
Proceeds from initial public offering, net of underwriting fees of $22.8 million 0 342,604
Offering costs paid 0 (5,141)
Payment of loan acquisition fees 0 (368)
Payments on finance lease obligations (45) (66)
Net cash (used in) provided by financing activities (16,053) 335,750
Net change in cash and cash equivalents 34,732 301,274
Cash and cash equivalents - beginning of year 332,428 39,125
Cash and cash equivalents - end of period 367,160 340,399
Supplemental Disclosure of Cash Flow Information:    
Offering costs not yet paid 0 243
Cash paid for income taxes 1,046 260
Change in accrued purchases of property and equipment 1,272 4,087
Conversion of redeemable preferred stock into common stock in connection with initial public offering $ 0 $ 662,309
v3.24.3
NATURE OF OPERATIONS AND BASIS OF PRESENTATION
 9 Months Ended
Oct. 06, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
NATURE OF OPERATIONS AND BASIS OF PRESENTATION NATURE OF OPERATIONS AND BASIS OF PRESENTATION
CAVA Group, Inc. (together with its wholly owned subsidiaries, referred to as the “Company”, “CAVA”, “we”, “us”, and “our” unless specified otherwise) was formed as a Delaware corporation in 2015, and prior to that, the first CAVA restaurant opened in 2011 in Bethesda, Maryland. The Company is headquartered in Washington, D.C. and, as of October 6, 2024, the Company operated 352 fast-casual CAVA Restaurants in 25 states and Washington, D.C. The Company’s authentic Mediterranean cuisine unites taste and health, with a menu that features chef-curated and customizable bowls and pitas. The Company’s dips, spreads, and dressings are centrally produced for use in its restaurants and to be sold in grocery stores.
The Company’s operations are conducted as two reportable segments: CAVA and Zoes Kitchen. These segments were determined on the same basis that the Company’s Chief Executive Officer, who is the chief operating decision maker (“CODM”), manages, evaluates, and makes key decisions regarding the business. As of March 2, 2023, the Company no longer operates any Zoes Kitchen locations.
Initial Public Offering—On June 20, 2023, the Company completed an initial public offering (the “IPO”) of 16.6 million shares of common stock at a price of $22.00 per share, which included 2.2 million shares sold to the underwriters pursuant to their option to purchase additional shares. After underwriting discounts and commissions of $22.8 million and offering expenses of $6.5 million, the Company received net proceeds from the offering of $336.1 million. In connection with the IPO, 95.2 million outstanding shares of preferred stock were converted into an equivalent number of shares of common stock.
Interim Financial Statements—The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles and practices of the United States of America (“GAAP”) for interim financial information. Certain information and footnote disclosures normally included in annual financial statements presented in accordance with GAAP have been omitted pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair statement of the results for interim periods have been included.
The unaudited interim financial information should be read in conjunction with the audited consolidated financial statements included in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2023. Interim results of operations are not necessarily indicative of the results that may be achieved for the full year.
Recently Issued Accounting Standards—In November 2023, the Financial Accounting Standards Board (“FASB”), issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which improves reportable segment disclosure through enhanced disclosures about significant segment expenses. The Company will apply the guidance beginning with its consolidated financial statements for the fiscal year ending December 29, 2024, which will, among other items, include additional segment expense disclosures.
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which improves income tax disclosures through enhanced disaggregation within the rate reconciliation table and disaggregation of income taxes paid by jurisdiction. The amendment is effective for fiscal years beginning after December 15, 2024 (our fiscal 2025) and early adoption is permitted. The amendments should be applied on a prospective basis, however, retrospective application is permitted. The Company is currently evaluating the impact of adopting this ASU on its disclosures.
The Company reviewed all other recently issued accounting standards and determined they were either not applicable or not expected to have a material impact on the Company’s financial position or results from operations.
JOBS Act Election—In April 2012, the JOBS Act was enacted. Section 107(b) of the JOBS Act provides that an emerging growth company can take advantage of an extended transition period for complying with new or revised accounting standards. Thus, an emerging growth company can delay adoption of certain accounting standards until those standards would apply to private companies. The Company is currently an emerging growth company and has elected to take advantage of the extended transition period to comply with new or revised accounting standards and to adopt certain of the reduced disclosure requirements available to emerging growth companies. As a result of the accounting standards election, the Company will not be subject to the same implementation timing for new or revised accounting standards as other public companies that are not emerging growth companies and, as a result, the Company’s financial statements may
not be comparable to companies that comply with new or revised accounting pronouncements as of public company effective dates.
As of July 14, 2024, the market value of the Company’s common stock held by non-affiliates exceeded $700.0 million. As a result, the Company will become a large accelerated filer beginning December 30, 2024, the first day of our next fiscal year, and will no longer be an emerging growth company for future filings. As a large accelerated filer, the Company will be subject to certain disclosure and compliance requirements that apply to other public companies that did not previously apply to the Company due to its status as an emerging growth company. These requirements include, but are not limited to: the requirement that the Company’s independent registered public accounting firm attest to the effectiveness of the Company’s internal control over financial reporting under Section 404 of the Sarbanes-Oxley Act of 2002; compliance with any requirements that may be adopted by the Public Company Accounting Oversight Board regarding mandatory audit firm rotation or a supplement to the auditors’ report providing additional information about the audit and the financial statements; the requirement that the Company provide more detailed disclosures regarding executive compensation; and, the requirement that the Company hold a non-binding advisory vote on executive compensation and obtain shareholder approval of any golden parachute payments not previously approved.
v3.24.3
REVENUE
 9 Months Ended
Oct. 06, 2024
Revenue from Contract with Customer [Abstract]  
REVENUE REVENUE
The Company’s revenue was as follows:
Twelve Weeks EndedForty Weeks Ended
(in thousands)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Restaurant revenue$241,499 $173,759 $729,173 $545,476 
CPG revenue and other2,318 1,794 7,145 6,054 
Revenue$243,817 $175,553 $736,318 $551,530 
Revenue from the redemption of the Company’s gift cards and loyalty program is included in restaurant revenue. Refer to Note 5 (Accrued Expenses and Other) for the Company’s gift card and loyalty liability balances. Revenue recognized from the redemption of gift cards, included in the gift card liability at the beginning of the year was $0.3 million during each of the twelve weeks ended October 6, 2024 and October 1, 2023. Revenue recognized from the redemption of gift cards, included in the gift card liability at the beginning of the year was $1.5 million and $0.7 million during the forty weeks ended October 6, 2024 and October 1, 2023, respectively.
On October 7, 2024, the Company launched its reimagined loyalty program nationwide with the goal of developing personal relationships with guests as the Company scales its business. Under the reimagined loyalty program, points can be redeemed for various rewards, which consist of free food and beverage items. Points expire if an account is inactive for a period of six months, and earned rewards converted from points expire 60 days after they are issued. The Company expects that the change in the loyalty program will increase the loyalty liability balance in the future.
v3.24.3
FAIR VALUE
 9 Months Ended
Oct. 06, 2024
Fair Value Disclosures [Abstract]  
FAIR VALUE FAIR VALUE
Assets and Liabilities Measured at Fair Value on a Recurring Basis—The carrying amounts of the Company’s financial instruments, which include cash and cash equivalents, accounts receivable, accounts payable, and other accrued expenses, approximate their fair values due to their short maturities.
Assets and Liabilities Measured at Fair Value on a Non-recurring Basis—Assets recognized or disclosed at fair value in the accompanying unaudited condensed consolidated financial statements on a nonrecurring basis may include items such as property and equipment, net, operating lease assets, goodwill, and intangible assets. These assets are measured at fair value whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable.
Certain operating lease assets and leasehold improvements were measured at fair value, on a non-recurring basis, as of October 1, 2023 and April 16, 2023, in connection with impairment charges of $0.6 million and $1.3 million included within impairment and asset disposal costs in the accompanying unaudited condensed consolidated statements of operations for the twelve and forty weeks ended October 1, 2023, respectively. The fair value of these assets was concluded to be $0.7 million using an income approach (discounted cash flow method), which was measured using Level 3 inputs (unobservable inputs), including the discount rate and projected restaurant revenues and expenses.
v3.24.3
PROPERTY AND EQUIPMENT, NET
 9 Months Ended
Oct. 06, 2024
Property, Plant and Equipment [Abstract]  
PROPERTY AND EQUIPMENT, NET PROPERTY AND EQUIPMENT, NET
The following table presents the Company’s property and equipment, net:
(in thousands)October 6,
2024		December 31,
2023
Land$600 $600 
Building24,284 — 
Leasehold improvements315,602 268,245 
Equipment and other103,622 79,268 
Furniture and fixtures20,526 19,694 
Computer hardware and software50,668 46,437 
Construction in progress28,770 58,501 
Total property and equipment, gross544,072 472,745 
Less accumulated depreciation(180,856)(142,015)
Total property and equipment, net$363,216 $330,730 
Construction in progress includes CAVA new restaurant openings and technology improvements as of both periods presented above. Building, as of October 6, 2024 and construction in progress as of December 31, 2023, includes the new production facility in Verona, Virginia, which commenced operations in the first quarter of fiscal 2024.
v3.24.3
ACCRUED EXPENSES AND OTHER
 9 Months Ended
Oct. 06, 2024
Payables and Accruals [Abstract]  
ACCRUED EXPENSES AND OTHER ACCRUED EXPENSES AND OTHER
The following table presents the Company’s accrued expenses and other:
(in thousands)October 6,
2024		December 31,
2023
Accrued payroll and payroll taxes$29,244 $23,370 
Accrued capital purchases6,142 7,935 
Sales and use tax payable6,096 3,807 
Gift card and loyalty liabilities4,479 4,096 
Other accrued expenses21,933 20,011 
Total accrued expenses and other$67,894 $59,219 
v3.24.3
DEBT
 9 Months Ended
Oct. 06, 2024
Debt Disclosure [Abstract]  
DEBT DEBT
As of October 6, 2024, the Company had a revolving loan commitment with available borrowing capacity of $74.3 million, net of $0.7 million of outstanding letters of credit (the “2022 Credit Facility”), with JPMorgan Chase Bank, N.A. as administrative agent. The 2022 Credit Facility has a five-year term and matures on March 11, 2027. The 2022 Credit Facility included a delayed draw term loan facility (“DDTL”) of $24.0 million, which facility commitment terminated on August 15, 2024. Interest on loans under the 2022 Credit Facility are based on the one, three or six months Adjusted Term Secured Overnight Financing Rate (as described in the 2022 Credit Facility), as applicable, plus an applicable margin of 1.50% to 2.50% based on the Company’s Total Rent Adjusted Net Leverage Ratio (as defined in the 2022 Credit Facility). The Company is also required to pay a commitment fee for unused amounts under the 2022 Credit Facility (and a similar ticking fee with respect to undrawn loans under the DDTL through its termination), which ranges from 0.20% to 0.35% based on the Total Rent Adjusted Net Leverage Ratio. The 2022 Credit Facility is unconditionally guaranteed by certain of the Company’s domestic restricted subsidiaries and is secured, subject to permitted liens and other exceptions, by a first-priority security interest in and pledge of certain assets of the borrower and the guarantors. The 2022 Credit Facility includes customary restrictive covenants and covenants that require compliance with certain leverage ratios. As of October 6, 2024, the Company was in compliance with these financial and other covenants, and the Company had no borrowings under the 2022 Credit Facility.
v3.24.3
INCOME TAXES
 9 Months Ended
Oct. 06, 2024
Income Tax Disclosure [Abstract]  
INCOME TAXES INCOME TAXES
The Company’s full pretax income for the twelve and forty weeks ended October 6, 2024 and October 1, 2023 was from U.S. domestic operations. The Company’s effective tax rate differs from the statutory rate primarily due to the valuation allowance recorded against deferred tax assets (“DTAs”).
A valuation allowance is provided when it is more likely than not that some portion or all of the DTAs will not be realized. The factors used to assess the likelihood of realization include the Company’s historical and forecasted future taxable income and available tax planning strategies that could be implemented to realize the net DTAs. The Company assesses the available positive and negative evidence to estimate whether sufficient future taxable income will be generated. A significant piece of objective negative evidence evaluated was the cumulative losses incurred over the most recent three-year period ended October 6, 2024. Such objective evidence limits the ability to consider other subjective evidence, such as projections for future growth. On the basis of this evaluation, as of October 6, 2024 and December 31, 2023, a full valuation allowance has been recorded on the Company’s DTAs.
However, management has evaluated the Company’s recent profitability trends and believes that, if current trends persist, it is reasonably possible that in the fourth quarter of fiscal 2024, sufficient positive evidence will become available to allow the Company to reach the conclusion that a significant portion of the valuation allowance will no longer be needed. Release of the valuation allowance would result in the recognition of certain DTAs and a decrease to income tax expense for the period the release is recorded. However, the exact timing and amount of the valuation allowance to be released are subject to change based on the positive evidence, including, but not limited to, the level of expected profitability, that the Company is able to actually achieve in future periods.
v3.24.3
LEASES
 9 Months Ended
Oct. 06, 2024
Leases [Abstract]  
LEASES LEASES
The Company leases all of its CAVA Restaurants, its digital kitchens, its production facility in Laurel, Maryland, its collaboration center in Washington, D.C., and its support centers in Brooklyn, New York and Plano, Texas. The Company determines if a contract contains a lease at inception, and determines the classification of a lease, if necessary. Typically, restaurant leases have initial terms of 10 years and include five-year renewal options.
Supplemental disclosures of cash flow information related to leases were as follows:
Twelve Weeks EndedForty Weeks Ended
(in thousands)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Cash paid for operating lease liabilities$14,580 $12,067 $42,990 $35,220 
Operating lease assets obtained in exchange for operating lease liabilities17,297 8,457 50,694 42,341 
Derecognition of operating lease assets due to termination or impairment— 236 109 3,022 
v3.24.3
COMMITMENTS AND CONTINGENCIES
 9 Months Ended
Oct. 06, 2024
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES COMMITMENTS AND CONTINGENCIES
Purchase Obligations—The Company enters into various purchase obligations in the ordinary course of business, generally of a short-term nature. Those that are binding primarily relate to amounts owed for produce and other ingredients and supplies, including supplies and materials used for new restaurant openings.
Letters of Credit—As of October 6, 2024 and December 31, 2023, the Company had four irrevocable letters of credit in favor of various landlords in the aggregate amount of $0.7 million. The letters of credit do not require a compensating balance and automatically renew in accordance with the terms of the underlying lease agreement.
Litigation—The Company is currently involved in various claims and legal actions that arise in the ordinary course of its business, including claims resulting from employment related matters. While the ultimate outcome and the costs associated with litigation are inherently uncertain and difficult to predict, as of the date hereof, the Company does not believe that any of its pending legal proceedings, most of which are covered by insurance, will have a material effect on the Company’s business, financial condition, results of operations, or cash flows. However, a significant increase in the number of these claims or an increase in uninsured amounts owed under successful claims could materially and adversely affect the Company’s business, financial condition, results of operations, or cash flows.
On April 27, 2022, the Company was named as a defendant in Hamman et al. v. Cava Group, Inc. in the U.S. District Court for the Southern District of California, which alleged that certain of the Company’s products were unfit for human consumption due to the packaging containing allegedly heightened levels of organic fluorine and unsafe per- and polyfluoroalkyl substances (“PFAS”), and that consumers were misled by certain marketing claims asserted by the Company regarding the health and sustainability of its products. Plaintiffs sought, among other relief, compensatory damages in an unspecified amount and medical monitoring. The Company settled the matter and the action was dismissed with prejudice on April 15, 2024.
On October 12, 2023, the Company was named as a defendant in GMO Free USA d/b/a Toxin Free USA v. Cava Group, Inc. in the Superior Court of the District of Columbia Civil Division, which alleged that the Company used unhealthy and unsustainable PFAS in its packaging, that its products contained synthetic biocides, and that its “healthy” and “sustainable” marketing claims constituted false and deceptive advertising. Plaintiffs sought declaratory and injunctive relief, including that the Company refrain from using or sourcing packaging containing PFAS and that it add certain product warnings, as well as payment of the plaintiffs’ attorney’s fees. The Company settled the matter and the action was dismissed with prejudice on April 16, 2024.
In connection to the aforementioned Hamman matter, Travelers Property Casualty Company of America et al v. Cava Group, Inc. was filed on September 21, 2022 in the Superior Court of the State of California, County of Orange and subsequently transferred to the U.S. District Court for the District of Columbia on February 13, 2024. Plaintiff sought a declaratory judgment that it was not liable for insurance coverage in relation to the allegations asserted in the Hamman complaint related to PFAS, as well as recoupment of the Company’s legal costs in the Hamman action. The Company settled the matter and the action was dismissed with prejudice on April 17, 2024.
The accompanying unaudited condensed consolidated financial statements include an immaterial expense for the matters described above.
v3.24.3
EQUITY-BASED COMPENSATION
 9 Months Ended
Oct. 06, 2024
Share-Based Payment Arrangement [Abstract]  
EQUITY-BASED COMPENSATION EQUITY-BASED COMPENSATION
The Company recognized equity-based compensation expense (including applicable payroll taxes) of $3.5 million and $12.2 million during the twelve and forty weeks ended October 6, 2024, and $3.2 million and $6.2 million during the twelve and forty weeks ended October 1, 2023, respectively, related to its equity incentive plans and employee stock purchase plan, recorded within general and administrative expenses in the accompanying unaudited condensed consolidated statements of operations.
A summary of the Company’s stock option activity is as follows:
Weighted Average
(in thousands, except per share amounts)Number Of OptionsExercise PriceRemaining Contractual Term (Years)Aggregate Intrinsic Value
Outstanding - December 31, 20233,078 $11.45 6.8$97,054 
Granted7 47.84 
Exercised(316)2.42 
Forfeited or expired(53)15.34 
Outstanding - October 6, 20242,716 $12.52 6.5$309,841 
Exercisable - October 6, 20241,522 $8.20 4.9
Vested and expected to vest - October 6, 20242,716 $12.52 6.5$309,841 
As of October 6, 2024, unrecognized compensation expense related to option awards was $9.6 million, which is expected to be recognized over a weighted-average period of 3.2 years.
A summary of the Company’s restricted stock unit (“RSU”) activity is as follows:
(in thousands, except per share amounts)Number of UnitsWeighted-Average Grant Date Fair ValueAggregate Intrinsic Value
Non-vested - December 31, 20232,653 $12.69 $113,985 
Granted34 63.24 
Vested(790)11.31 
Forfeited(137)14.77 
Non-vested - October 6, 20241,760 $14.12 $222,816 
As of October 6, 2024, unrecognized compensation expense related to RSU awards was $20.6 million, which is expected to be recognized over a weighted-average period of 2.7 years.
v3.24.3
EARNINGS PER SHARE
 9 Months Ended
Oct. 06, 2024
Earnings Per Share [Abstract]  
EARNINGS PER SHARE EARNINGS PER SHARE
Basic earnings per share is calculated by dividing net income by the weighted average shares outstanding during the period. Diluted earnings per share is calculated by adjusting the weighted average shares outstanding for the dilutive effect of outstanding equity awards for the period using the treasury-stock method.
The following table sets forth the computation of earnings per common share:
Twelve Weeks EndedForty Weeks Ended
(in thousands, except per share amounts)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Net income$17,966 $6,833 $51,700 $11,231 
Weighted-average shares outstanding:
Basic114,434 113,584 114,158 43,244 
Dilutive awards3,996 4,129 4,033 2,722 
Diluted118,430117,713118,191 45,966
Earnings per common share:
Basic$0.16 $0.06 $0.45 $0.26 
Diluted$0.15 $0.06 $0.44 $0.24 
The Company excluded the following potential common shares, presented based on amounts outstanding at each period end, from the computation of diluted earnings per share as their impact would have been anti-dilutive:
Twelve Weeks EndedForty Weeks Ended
(in thousands)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Options to purchase common stock— — 2 — 
Time-based vesting restricted stock units— — 1 — 
Total common stock equivalents— — 3 — 
v3.24.3
SEGMENT REPORTING
 9 Months Ended
Oct. 06, 2024
Segment Reporting [Abstract]  
SEGMENT REPORTING SEGMENT REPORTING
The CODM reviews segment performance and allocates resources based upon restaurant level profit, which is defined as segment revenues less food, beverage, and packaging, labor, occupancy, and other operating expenses. All segment revenue is earned in the United States, and all intersegment revenues have been eliminated. Sales from external customers are derived principally from sales of food, beverage, and CPG. The Company does not rely on any major customers as sources of sales. As the CODM is not provided with asset information by segment, assets are reported only on a consolidated basis. As described in Note 1 (Nature of Operations and Basis of Presentation), the Company no longer operates any Zoes Kitchen locations as of March 2, 2023. Other includes the Company’s CPG sales from CAVA Foods.
Financial information for the Company’s reportable segments was as follows:
Twelve Weeks EndedForty Weeks Ended
(in thousands)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Revenue
CAVA$241,499 $173,759 $729,173 $541,609 
Zoes Kitchen— — — 3,867 
Other2,318 1,794 7,145 6,054 
Total revenue243,817 175,553 736,318 551,530 
Restaurant operating expenses (1)
CAVA179,680 130,179 541,473 403,430 
Zoes Kitchen— — — 4,044 
Other1,490 887 4,472 3,574 
Total restaurant operating expenses181,170 131,066 545,945 411,048 
Restaurant-level profit (loss)
CAVA61,819 43,580 187,700 138,179 
Zoes Kitchen— — — (177)
Other828 907 2,673 2,480 
Total restaurant-level profit62,647 44,487 190,373 140,482 
Reconciliation of restaurant-level profit to income before income taxes:
General and administrative expenses29,830 24,472 91,951 76,817 
Depreciation and amortization14,325 11,528 45,380 35,096 
Restructuring and other costs230 1,092 582 5,160 
Pre-opening costs2,819 3,410 9,500 12,809 
Impairment and asset disposal costs1,675 1,190 3,795 4,295 
Interest income, net(4,091)(3,956)(12,829)(4,630)
Other income, net(50)(120)(188)(412)
Income before taxes$17,909 $6,871 $52,182 $11,347 
__________________
(1)    Restaurant operating expenses consist of food, beverage, and packaging (excluding depreciation and amortization), labor, occupancy, and other operating expenses.
v3.24.3
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Pay vs Performance Disclosure        
Net Income (Loss) $ 17,966 $ 6,833 $ 51,700 $ 11,231
v3.24.3
Insider Trading Arrangements
 3 Months Ended
Oct. 06, 2024
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.24.3
NATURE OF OPERATIONS AND BASIS OF PRESENTATION (Policies)
 9 Months Ended
Oct. 06, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Interim Financial Statements
Interim Financial Statements—The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles and practices of the United States of America (“GAAP”) for interim financial information. Certain information and footnote disclosures normally included in annual financial statements presented in accordance with GAAP have been omitted pursuant to rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair statement of the results for interim periods have been included.
The unaudited interim financial information should be read in conjunction with the audited consolidated financial statements included in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2023. Interim results of operations are not necessarily indicative of the results that may be achieved for the full year.
Recently Issued Accounting Standards
Recently Issued Accounting Standards—In November 2023, the Financial Accounting Standards Board (“FASB”), issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which improves reportable segment disclosure through enhanced disclosures about significant segment expenses. The Company will apply the guidance beginning with its consolidated financial statements for the fiscal year ending December 29, 2024, which will, among other items, include additional segment expense disclosures.
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which improves income tax disclosures through enhanced disaggregation within the rate reconciliation table and disaggregation of income taxes paid by jurisdiction. The amendment is effective for fiscal years beginning after December 15, 2024 (our fiscal 2025) and early adoption is permitted. The amendments should be applied on a prospective basis, however, retrospective application is permitted. The Company is currently evaluating the impact of adopting this ASU on its disclosures.
The Company reviewed all other recently issued accounting standards and determined they were either not applicable or not expected to have a material impact on the Company’s financial position or results from operations.
JOBS Act Election
JOBS Act Election—In April 2012, the JOBS Act was enacted. Section 107(b) of the JOBS Act provides that an emerging growth company can take advantage of an extended transition period for complying with new or revised accounting standards. Thus, an emerging growth company can delay adoption of certain accounting standards until those standards would apply to private companies. The Company is currently an emerging growth company and has elected to take advantage of the extended transition period to comply with new or revised accounting standards and to adopt certain of the reduced disclosure requirements available to emerging growth companies. As a result of the accounting standards election, the Company will not be subject to the same implementation timing for new or revised accounting standards as other public companies that are not emerging growth companies and, as a result, the Company’s financial statements may
not be comparable to companies that comply with new or revised accounting pronouncements as of public company effective dates.
As of July 14, 2024, the market value of the Company’s common stock held by non-affiliates exceeded $700.0 million. As a result, the Company will become a large accelerated filer beginning December 30, 2024, the first day of our next fiscal year, and will no longer be an emerging growth company for future filings. As a large accelerated filer, the Company will be subject to certain disclosure and compliance requirements that apply to other public companies that did not previously apply to the Company due to its status as an emerging growth company. These requirements include, but are not limited to: the requirement that the Company’s independent registered public accounting firm attest to the effectiveness of the Company’s internal control over financial reporting under Section 404 of the Sarbanes-Oxley Act of 2002; compliance with any requirements that may be adopted by the Public Company Accounting Oversight Board regarding mandatory audit firm rotation or a supplement to the auditors’ report providing additional information about the audit and the financial statements; the requirement that the Company provide more detailed disclosures regarding executive compensation; and, the requirement that the Company hold a non-binding advisory vote on executive compensation and obtain shareholder approval of any golden parachute payments not previously approved.
Assets and Liabilities Measured at Fair Value on a Recurring Basis/Non-Recurring Basis
Assets and Liabilities Measured at Fair Value on a Recurring Basis—The carrying amounts of the Company’s financial instruments, which include cash and cash equivalents, accounts receivable, accounts payable, and other accrued expenses, approximate their fair values due to their short maturities.
Assets and Liabilities Measured at Fair Value on a Non-recurring Basis—Assets recognized or disclosed at fair value in the accompanying unaudited condensed consolidated financial statements on a nonrecurring basis may include items such as property and equipment, net, operating lease assets, goodwill, and intangible assets. These assets are measured at fair value whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable.
v3.24.3
REVENUE (Tables)
 9 Months Ended
Oct. 06, 2024
Revenue from Contract with Customer [Abstract]  
Disaggregation of Revenue
The Company’s revenue was as follows:
Twelve Weeks EndedForty Weeks Ended
(in thousands)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Restaurant revenue$241,499 $173,759 $729,173 $545,476 
CPG revenue and other2,318 1,794 7,145 6,054 
Revenue$243,817 $175,553 $736,318 $551,530 
v3.24.3
PROPERTY AND EQUIPMENT, NET (Tables)
 9 Months Ended
Oct. 06, 2024
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment
The following table presents the Company’s property and equipment, net:
(in thousands)October 6,
2024		December 31,
2023
Land$600 $600 
Building24,284 — 
Leasehold improvements315,602 268,245 
Equipment and other103,622 79,268 
Furniture and fixtures20,526 19,694 
Computer hardware and software50,668 46,437 
Construction in progress28,770 58,501 
Total property and equipment, gross544,072 472,745 
Less accumulated depreciation(180,856)(142,015)
Total property and equipment, net$363,216 $330,730 
v3.24.3
ACCRUED EXPENSES AND OTHER (Tables)
 9 Months Ended
Oct. 06, 2024
Payables and Accruals [Abstract]  
Schedule of Accrued Liabilities
The following table presents the Company’s accrued expenses and other:
(in thousands)October 6,
2024		December 31,
2023
Accrued payroll and payroll taxes$29,244 $23,370 
Accrued capital purchases6,142 7,935 
Sales and use tax payable6,096 3,807 
Gift card and loyalty liabilities4,479 4,096 
Other accrued expenses21,933 20,011 
Total accrued expenses and other$67,894 $59,219 
v3.24.3
LEASES (Tables)
 9 Months Ended
Oct. 06, 2024
Leases [Abstract]  
Supplemental cash flow information related to leases
Supplemental disclosures of cash flow information related to leases were as follows:
Twelve Weeks EndedForty Weeks Ended
(in thousands)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Cash paid for operating lease liabilities$14,580 $12,067 $42,990 $35,220 
Operating lease assets obtained in exchange for operating lease liabilities17,297 8,457 50,694 42,341 
Derecognition of operating lease assets due to termination or impairment— 236 109 3,022 
v3.24.3
EQUITY-BASED COMPENSATION (Tables)
 9 Months Ended
Oct. 06, 2024
Share-Based Payment Arrangement [Abstract]  
Schedule of Stock Options Roll Forward
A summary of the Company’s stock option activity is as follows:
Weighted Average
(in thousands, except per share amounts)Number Of OptionsExercise PriceRemaining Contractual Term (Years)Aggregate Intrinsic Value
Outstanding - December 31, 20233,078 $11.45 6.8$97,054 
Granted7 47.84 
Exercised(316)2.42 
Forfeited or expired(53)15.34 
Outstanding - October 6, 20242,716 $12.52 6.5$309,841 
Exercisable - October 6, 20241,522 $8.20 4.9
Vested and expected to vest - October 6, 20242,716 $12.52 6.5$309,841 
Share-Based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity
A summary of the Company’s restricted stock unit (“RSU”) activity is as follows:
(in thousands, except per share amounts)Number of UnitsWeighted-Average Grant Date Fair ValueAggregate Intrinsic Value
Non-vested - December 31, 20232,653 $12.69 $113,985 
Granted34 63.24 
Vested(790)11.31 
Forfeited(137)14.77 
Non-vested - October 6, 20241,760 $14.12 $222,816 
v3.24.3
EARNINGS PER SHARE (Tables)
 9 Months Ended
Oct. 06, 2024
Earnings Per Share [Abstract]  
Schedule of Earnings Per Share, Basic and Diluted
The following table sets forth the computation of earnings per common share:
Twelve Weeks EndedForty Weeks Ended
(in thousands, except per share amounts)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Net income$17,966 $6,833 $51,700 $11,231 
Weighted-average shares outstanding:
Basic114,434 113,584 114,158 43,244 
Dilutive awards3,996 4,129 4,033 2,722 
Diluted118,430117,713118,191 45,966
Earnings per common share:
Basic$0.16 $0.06 $0.45 $0.26 
Diluted$0.15 $0.06 $0.44 $0.24 
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share
The Company excluded the following potential common shares, presented based on amounts outstanding at each period end, from the computation of diluted earnings per share as their impact would have been anti-dilutive:
Twelve Weeks EndedForty Weeks Ended
(in thousands)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Options to purchase common stock— — 2 — 
Time-based vesting restricted stock units— — 1 — 
Total common stock equivalents— — 3 — 
v3.24.3
SEGMENT REPORTING (Tables)
 9 Months Ended
Oct. 06, 2024
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment
Financial information for the Company’s reportable segments was as follows:
Twelve Weeks EndedForty Weeks Ended
(in thousands)October 6,
2024		October 1,
2023		October 6,
2024		October 1,
2023
Revenue
CAVA$241,499 $173,759 $729,173 $541,609 
Zoes Kitchen— — — 3,867 
Other2,318 1,794 7,145 6,054 
Total revenue243,817 175,553 736,318 551,530 
Restaurant operating expenses (1)
CAVA179,680 130,179 541,473 403,430 
Zoes Kitchen— — — 4,044 
Other1,490 887 4,472 3,574 
Total restaurant operating expenses181,170 131,066 545,945 411,048 
Restaurant-level profit (loss)
CAVA61,819 43,580 187,700 138,179 
Zoes Kitchen— — — (177)
Other828 907 2,673 2,480 
Total restaurant-level profit62,647 44,487 190,373 140,482 
Reconciliation of restaurant-level profit to income before income taxes:
General and administrative expenses29,830 24,472 91,951 76,817 
Depreciation and amortization14,325 11,528 45,380 35,096 
Restructuring and other costs230 1,092 582 5,160 
Pre-opening costs2,819 3,410 9,500 12,809 
Impairment and asset disposal costs1,675 1,190 3,795 4,295 
Interest income, net(4,091)(3,956)(12,829)(4,630)
Other income, net(50)(120)(188)(412)
Income before taxes$17,909 $6,871 $52,182 $11,347 
__________________
(1)    Restaurant operating expenses consist of food, beverage, and packaging (excluding depreciation and amortization), labor, occupancy, and other operating expenses.
v3.24.3
NATURE OF OPERATIONS AND BASIS OF PRESENTATION (Details)
$ / shares in Units, $ in Thousands
 9 Months Ended
Jun. 20, 2023
USD ($)
$ / shares
shares
Oct. 06, 2024
USD ($)
segment
restaurant
state
Oct. 01, 2023
USD ($)
shares
Description Of Business And Significant Accounting Policies [Line Items]      
Number of restaurants | restaurant   352  
Number of states in which entity operates | state   25  
Number of reportable segments | segment   2  
Underwriting discounts and commissions   $ 22,800  
Offering expenses   0 $ 5,141
Proceeds from IPO   $ 0 $ 342,604
Conversion of preferred stock (in shares) | shares 95,200,000   95,204,000
IPO      
Description Of Business And Significant Accounting Policies [Line Items]      
Number of shares issued in IPO (in shares) | shares 16,600,000    
Sale of stock (in usd per share) | $ / shares $ 22.00    
Underwriting discounts and commissions $ 22,800    
Offering expenses 6,500    
Proceeds from IPO $ 336,100    
Over-Allotment Option      
Description Of Business And Significant Accounting Policies [Line Items]      
Number of shares issued in IPO (in shares) | shares 2,200,000    
v3.24.3
REVENUE - Schedule of Revenue (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Disaggregation of Revenue [Line Items]        
Total revenue $ 243,817 $ 175,553 $ 736,318 $ 551,530
Restaurant revenue        
Disaggregation of Revenue [Line Items]        
Total revenue 241,499 173,759 729,173 545,476
CPG revenue and other        
Disaggregation of Revenue [Line Items]        
Total revenue $ 2,318 $ 1,794 $ 7,145 $ 6,054
v3.24.3
REVENUE - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Oct. 07, 2024
Disaggregation of Revenue [Line Items]          
Gift card revenue recognized $ 0.3 $ 0.3 $ 1.5 $ 0.7  
Subsequent Event          
Disaggregation of Revenue [Line Items]          
Inactive accounts, points expiration period         6 months
Converted points, expiration period         60 days
v3.24.3
FAIR VALUE (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Dec. 31, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]          
Operating lease, impairment loss $ 0 $ 236 $ 109 $ 3,022  
Operating lease assets $ 314,073   $ 314,073   $ 289,451
Fair Value, Nonrecurring | Fair Value, Inputs, Level 3          
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]          
Operating lease, impairment loss   600   1,300  
Operating lease assets   $ 700   $ 700  
v3.24.3
PROPERTY AND EQUIPMENT, NET (Details) - USD ($)
$ in Thousands
Oct. 06, 2024
Dec. 31, 2023
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross $ 544,072 $ 472,745
Less accumulated depreciation (180,856) (142,015)
Total property and equipment, net 363,216 330,730
Land    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross 600 600
Building    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross 24,284 0
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross 315,602 268,245
Equipment and other    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross 103,622 79,268
Furniture and fixtures    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross 20,526 19,694
Computer hardware and software    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross 50,668 46,437
Construction in progress    
Property, Plant and Equipment [Line Items]    
Total property and equipment, gross $ 28,770 $ 58,501
v3.24.3
ACCRUED EXPENSES AND OTHER (Details) - USD ($)
$ in Thousands
Oct. 06, 2024
Dec. 31, 2023
Payables and Accruals [Abstract]    
Accrued payroll and payroll taxes $ 29,244 $ 23,370
Accrued capital purchases 6,142 7,935
Sales and use tax payable 6,096 3,807
Gift card and loyalty liabilities 4,479 4,096
Other accrued expenses 21,933 20,011
Total accrued expenses and other $ 67,894 $ 59,219
v3.24.3
DEBT (Details) - USD ($)
 9 Months Ended
Oct. 06, 2024
Dec. 31, 2023
2022 Credit Facility | Line of Credit    
Line of Credit Facility [Line Items]    
Debt instrument term (in years) 5 years  
Borrowings outstanding $ 0  
2022 Credit Facility | Line of Credit | Minimum    
Line of Credit Facility [Line Items]    
Basis spread (in percentage) 1.50%  
2022 Credit Facility | Line of Credit | Maximum    
Line of Credit Facility [Line Items]    
Basis spread (in percentage) 2.50%  
Revolving Credit Facility | 2022 Credit Facility | Line of Credit    
Line of Credit Facility [Line Items]    
Line of credit, maximum borrowing capacity $ 74,300,000  
Letter of Credit    
Line of Credit Facility [Line Items]    
Aggregate amount of letters of credit 700,000 $ 700,000
Secured Debt | Delayed Draw Facility | Line of Credit    
Line of Credit Facility [Line Items]    
Line of credit, maximum borrowing capacity $ 24,000,000.0  
Secured Debt | Delayed Draw Facility | Line of Credit | Minimum    
Line of Credit Facility [Line Items]    
Ticking fee (in percent) 0.20%  
Secured Debt | Delayed Draw Facility | Line of Credit | Maximum    
Line of Credit Facility [Line Items]    
Ticking fee (in percent) 0.35%  
v3.24.3
LEASES - Narrative (Details)
Oct. 06, 2024
Leases [Abstract]  
Term of contract (in years) 10 years
Renewal term (in years) 5 years
v3.24.3
LEASES - Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Leases [Abstract]        
Cash paid for operating lease liabilities $ 14,580 $ 12,067 $ 42,990 $ 35,220
Operating lease assets obtained in exchange for operating lease liabilities 17,297 8,457 50,694 42,341
Derecognition of operating lease assets due to termination or impairment $ 0 $ 236 $ 109 $ 3,022
v3.24.3
COMMITMENTS AND CONTINGENCIES (Details)
$ in Millions
Oct. 06, 2024
USD ($)
letterOfCredit
Dec. 31, 2023
USD ($)
letterOfCredit
Other Commitments [Line Items]    
Number of irrevocable letters of credit | letterOfCredit 4 4
Letter of Credit    
Other Commitments [Line Items]    
Aggregate amount of letters of credit | $ $ 0.7 $ 0.7
v3.24.3
EQUITY-BASED COMPENSATION - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]        
Compensation expense $ 3.5 $ 3.2 $ 12.2 $ 6.2
Options to purchase common stock        
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]        
Unrecognized compensation costs related to option awards 9.6   $ 9.6  
Vesting period (in years)     3 years 2 months 12 days  
Time-based vesting restricted stock units        
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]        
Vesting period (in years)     2 years 8 months 12 days  
Unrecognized compensation expense related to RSUs $ 20.6   $ 20.6  
v3.24.3
EQUITY-BASED COMPENSATION - Schedule of Stock Option Activity (Details) - USD ($)
$ / shares in Units, $ in Thousands
 9 Months Ended 12 Months Ended
Oct. 06, 2024
Dec. 31, 2023
Number Of Options    
Beginning Balance (in shares) 3,078,000  
Granted (in shares) 7,000  
Exercised (in shares) (316,000)  
Forfeited or expired (in shares) (53,000)  
Ending Balance (in shares) 2,716,000 3,078,000
Exercise Price    
Options outstanding, Weighted average exercise price per share - Beginning Balance (in $ per share) $ 11.45  
Options granted, Weighted average exercise price per share (in $ per share) 47.84  
Options exercised, Weighted average exercise price per share (in $ per share) 2.42  
Options forfeited or expired, Weighted average exercise price per share (in $ per share) 15.34  
Options outstanding, Weighted average exercise price per share - Ending Balance (in $ per share) $ 12.52 $ 11.45
Stock Options Additional Disclosures    
Options outstanding, Weighted average remaining contractual term (in years) 6 years 6 months 6 years 9 months 18 days
Options outstanding, Aggregate intrinsic value (in USD) $ 309,841 $ 97,054
Options exercisable, Number of options (in shares) 1,522,000  
Options exercisable, Weighted average exercise price per share (in $ per share) $ 8.20  
Options exercisable, Weighted average remaining contractual term (in years) 4 years 10 months 24 days  
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Vested and Expected to Vest [Abstract]    
Options vested and expected to vest (in shares) 2,716,000  
Options vested and expected to vest, Weighted average exercise price per share (in $ per share) $ 12.52  
Options vested and expected to vest, Weighted average remaining contractual term (in years) 6 years 6 months  
Options vested and expected to vest, Aggregate intrinsic value (in USD) $ 309,841  
v3.24.3
EQUITY-BASED COMPENSATION - Schedule of Restricted Stock (Details) - Time-based vesting restricted stock units - USD ($)
$ / shares in Units, $ in Thousands
 9 Months Ended
Oct. 06, 2024
Dec. 31, 2023
Unvested Restricted Stock Outstanding    
Beginning balance (in shares) 2,653,000  
Granted (in shares) 34,000  
Vested (in shares) (790,000)  
Forfeited (in shares) (137,000)  
Ending balance (in shares) 1,760,000  
Weighted Average Grant Date Fair Value    
Outstanding, Weighted average grant date fair value, Beginning Balance ($ per share) $ 12.69  
Granted, Weighted average grant date fair value ($ per share) 63.24  
Vested, Weighted average grant date fair value ($ per share) 11.31  
Forfeited, Weighted average grant date fair value ($ per share) 14.77  
Outstanding, Weighted average grant date fair value, Ending Balance ($ per share) $ 14.12  
Aggregate Intrinsic Value $ 222,816 $ 113,985
v3.24.3
EARNINGS PER SHARE - Schedule of Basic and Diluted Earnings Per Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Earnings Per Share [Abstract]        
Net income $ 17,966 $ 6,833 $ 51,700 $ 11,231
Weighted-average shares outstanding:        
Basic (in shares) 114,434 113,584 114,158 43,244
Dilutive awards (in shares) 3,996 4,129 4,033 2,722
Diluted (in shares) 118,430 117,713 118,191 45,966
Earnings per common share:        
Basic (in usd per share) $ 0.16 $ 0.06 $ 0.45 $ 0.26
Diluted (in usd per share) $ 0.15 $ 0.06 $ 0.44 $ 0.24
v3.24.3
EARNINGS PER SHARE - Schedule of Antidilutive Shares (Details) - shares
shares in Thousands
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Total common stock equivalents (in shares) 0 0 3 0
Options to purchase common stock        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Total common stock equivalents (in shares) 0 0 2 0
Time-based vesting restricted stock units        
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]        
Total common stock equivalents (in shares) 0 0 1 0
v3.24.3
SEGMENT REPORTING (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Oct. 06, 2024
Oct. 01, 2023
Oct. 06, 2024
Oct. 01, 2023
Segment Reporting Information [Line Items]        
Total revenue $ 243,817 $ 175,553 $ 736,318 $ 551,530
Total restaurant operating expenses 181,170 131,066 545,945 411,048
Total restaurant-level profit 62,647 44,487 190,373 140,482
Reconciliation of restaurant-level profit to income before income taxes:        
General and administrative expenses 29,830 24,472 91,951 76,817
Depreciation and amortization 14,325 11,528 45,380 35,096
Restructuring and other costs 230 1,092 582 5,160
Pre-opening costs 2,819 3,410 9,500 12,809
Impairment and asset disposal costs 1,675 1,190 3,795 4,295
Interest income, net (4,091) (3,956) (12,829) (4,630)
Other income, net (50) (120) (188) (412)
Income before taxes 17,909 6,871 52,182 11,347
Segment Reconciling Items        
Segment Reporting Information [Line Items]        
Total revenue 2,318 1,794 7,145 6,054
Total restaurant operating expenses 1,490 887 4,472 3,574
Total restaurant-level profit 828 907 2,673 2,480
CAVA | Operating Segments        
Segment Reporting Information [Line Items]        
Total revenue 241,499 173,759 729,173 541,609
Total restaurant operating expenses 179,680 130,179 541,473 403,430
Total restaurant-level profit 61,819 43,580 187,700 138,179
Zoes Kitchen | Operating Segments        
Segment Reporting Information [Line Items]        
Total revenue 0 0 0 3,867
Total restaurant operating expenses 0 0 0 4,044
Total restaurant-level profit $ 0 $ 0 $ 0 $ (177)