Jon Tower: And then just the last one for me, I know you spoke about the idea of wage investments starting in this fourth quarter, carrying over into next year, are there any other investments we should think about potentially getting the P&L in ‘24?
Tricia Tolivar: Yes. We’re continuing to evaluate other opportunities for investments on the labor line. So that is another area that we’re testing different concepts and different ideas that could evolve into something in ‘24. And as those get more solidified, we’ll give more color on that on the next call. But then for the rest of the P&L from a restaurant standpoint, we’re not anticipating significant investments any of the other line items.
Jon Tower: Great. Thanks for the time.
Operator: Thank you. The next question comes from Matt Curtis from William Blair. Please go ahead.
Matthew Curtis: Yes, thanks. Good evening. I just wanted to know what your outlook is for commodity inflation in the fourth quarter as well as maybe just a preliminary thoughts on what commodity inflation might look like in 2024.
Tricia Tolivar: Yes. So thanks, Matt. So 2023 has benefited from some favorable input pricing, particularly as it relates to chicken. That will continue into fourth quarter. Nothing significantly different than what we’ve already experienced in Q3, but as we go into 2024, we’re anticipating low to mid-single-digit potential commodity inflation.
Matthew Curtis: Okay. Great. And then just separately, I was wondering if you could tell us a little bit more about how the class of 2023 openings has been ramping both in terms of sales and profitability to this point.
Tricia Tolivar: We’re very pleased with our 2023 class. And they have opened above our expectations, both on the sales side as well as the restaurant-level margin perspective. So really pleased with that cohort and what they’ve been able to deliver and much like the other vintages prior to that. Where we do think, as we go into 2024, is being thoughtful in the new classes themselves and wanting to think about them from an 80% productivity standpoint. Nothing is concerning us in what we’re seeing, but this class has significantly outperformed this year. I just want to be thoughtful on how we think about classes in future years.
Matthew Curtis: Okay. I understood. Thanks for that.
Operator: Thank you. The next question comes from Aisling Grueninger from Piper Sandler. Please go ahead.
Aisling Grueninger: Hi. This is Aisling on for Brian. Congrats on the impressive results today. My question is on the catering opportunity. I believe you’re testing in a traditional restaurant format. I was wondering if you could talk about what you’re seeing in the test. And if it’s successful, is this something you’d imagine incorporating into all the stores? Or is it something where you’d expect this to influence the design or lay out of new store builds? Thanks.
Brett Schulman: Yes. This is Brett. Thanks for the question. We continue to progress on our catering test, and we are now up to 8, what we call, CAVA hybrid kitchens. So these are new units we’ve built with an expanded back of house for centralized catering production. In addition, to your point, we are testing in a traditional CAVA restaurant, and we’re growing that to a few other units as we expand that format test because we know that there aren’t all units that really support catering. Because the AUVs are so significant and the production capacity is so limited that we don’t want catering to come at the detriment of the other channels. So we’re looking at other formats or other locations around those locations to supplement production to be able to have catering offered across the country.
So we’re performing these different format tests over the next year or so to understand how we orient this production successfully to support what we think is a great opportunity to launch catering nationally across the Board. Just an example, we catered almost every single Major League Baseball team this summer. We catered for the Texas Rangers during their World Series run. We catered the Lakers when they were in the playoffs last spring. So not only office workers or schools but athletes, colleges, professional, we see our cuisine being a great fit for our catering channel. We just want to be thoughtful about how we build out the production capabilities to deliver a great guest experience when we’re ready to launch it nationally.
