1. CBRL expects adjusted EBITDA of $210M-$220M for fiscal 2025. 2. Total revenue for Q2 2025 increased by 1.5%, reaching $949.4M. 3. Comparable restaurant sales rose 4.7% with menu price increases of 6.0%. 4. GAAP net income decreased by 16.3% to $22.2M in Q2 2025. 5. Quarterly dividend of $0.25 per share announced, payable May 14.
Despite net income decline, revenue and EBITDA growth indicate solid operations.
Positive revenue growth and adjusted EBITDA raise investor confidence, crucial for stock performance.
Strong second half outlook and consistent revenue trends may drive long-term growth.
Company now expects fiscal 2025 adjusted EBITDA1 of $210 million to $220 million2.
-- Cracker Barrel Old Country Store, Inc. ("Cracker Barrel" or the "Company") (Nasdaq: CBRL) today reported its financial results for the second quarter of fiscal 2025 ended January 31, 2025.
Commenting on the second quarter results, Cracker Barrel President and Chief Executive Officer Julie Masino said, "Outstanding execution by our teams, coupled with our actions to improve the profitability of our off-premise channels during the high-volume holiday season, delivered strong second quarter results that exceeded our expectations. Despite some recent industry-wide softness, these results, together with the continued improvements in key guest and operational metrics and the initiatives we have planned for our important fourth quarter, make us confident in raising our financial outlook for the remainder of the year."
The Company reported total revenue of $949.4 million for the second quarter of fiscal 2025, representing an increase of 1.5% compared to the second quarter of fiscal 2024.
Cracker Barrel comparable store restaurant sales increased 4.7%, including total menu pricing increases of 6.0%. Comparable store retail sales increased 0.2% from the prior year quarter.
GAAP net income for the second quarter was $22.2 million, or 2.3% of total revenue. This represented a 16.3% decrease compared to prior year quarter GAAP net income of $26.5 million, or 2.8% of total revenue. Adjusted EBITDA1 was $74.6 million, or 7.9% of total revenue, a 19.6% increase compared to the prior year quarter adjusted EBITDA1 of $62.4 million, or 6.7% of total revenue.
GAAP earnings per diluted share for the second quarter were $0.99, a 16.8% decrease compared to the prior year quarter GAAP earnings per diluted share of $1.19. Adjusted1 earnings per diluted share were $1.38, a 9.5% increase compared to the prior year quarter adjusted1 earnings per diluted share of $1.26.
The Company announced that its Board of Directors declared a quarterly dividend of $0.25 per share on the Company's common stock. The quarterly dividend is payable on May 14, 2025 to shareholders of record as of April 11, 2025.
The Company updated its outlook and expects the following for fiscal 2025:
The Company reminds investors that its outlook reflects a number of assumptions, many of which are outside the Company's control. In particular, uncertainties created by macroeconomic conditions, such as ongoing inflation, low consumer confidence, and high interest rates may adversely affect consumer behavior and cause actual results to differ materially from those expected.
1 Adjusted net income, adjusted EBITDA, and adjusted earnings per diluted share are non-GAAP financial measures. For definitions of these non-GAAP measures and reconciliations of these non-GAAP measures to the most directly comparable GAAP measures, please refer to the Reconciliation of GAAP-Basis Operating Results to Non-GAAP Operating Results section of this release.
2 The Company has determined to provide guidance focused on adjusted EBITDA because the Company believes it will be more useful to investors to evaluate the Company's performance prior to the impact of depreciation (given the expected increase in investments and the resulting higher expected depreciation expense), taxes, impairment charges, and other items that management believes are not reflective of the Company's current operations... (continued)
As previously announced, the live broadcast of Cracker Barrel's quarterly conference call will be available to the public online at investor.crackerbarrel.com today beginning at 11:00 a.m. (ET). The online replay will be available at 2:00 p.m. (ET) and continue through March 20, 2025.
Cracker Barrel Old Country Store, Inc. (Nasdaq: CBRL) is on a mission to bring craveable, delicious homestyle food and unique retail products to all guests while serving up memorable, distinctive experiences that make everyone feel welcome. Established in 1969 in Lebanon, Tenn., Cracker Barrel and its affiliates operate approximately 660 company-owned Cracker Barrel Old Country Store® locations in 43 states and own the fast-casual Maple Street Biscuit Company. For more information about the company, visit www.crackerbarrel.com.
Adam Hanan
(615) 443-9887
Heidi Pearce
(615) 235-4135
SOURCE Cracker Barrel Old Country Store, Inc.