Cracker Barrel Reports Growth Amid Profit Challenges

Cracker Barrel Old Country Store ( (CBRL) ) has released its Q2 earnings. Here is a breakdown of the information Cracker Barrel Old Country Store presented to its investors.

Cracker Barrel Old Country Store, Inc., a prominent player in the restaurant and retail industry, is known for its homestyle food offerings and unique retail products across its numerous locations in the United States. In its latest earnings report for the second quarter of fiscal 2025, Cracker Barrel reported a total revenue of $949.4 million, marking a 1.5% increase from the previous year. The company also noted a rise in comparable store restaurant sales by 4.7% and a slight increase in retail sales by 0.2%. Despite these gains, the company’s GAAP net income saw a decline of 16.3% to $22.2 million, while adjusted EBITDA rose by 19.6% to $74.6 million.

Key financial metrics from the report highlighted a decrease in GAAP earnings per diluted share to $0.99, down 16.8% from the prior year, while adjusted earnings per share increased by 9.5% to $1.38. The company also declared a quarterly dividend of $0.25 per share. Cracker Barrel’s strategic focus on enhancing profitability in off-premise channels during the holiday season contributed to these results, as noted by CEO Julie Masino.

Looking ahead, Cracker Barrel has updated its fiscal 2025 outlook, projecting total revenue between $3.45 billion and $3.50 billion and adjusted EBITDA between $210 million and $220 million. The company plans to open 1 to 2 new Cracker Barrel stores and 4 new Maple Street Biscuit Company units. However, it remains cautious about macroeconomic factors such as inflation and consumer confidence, which could impact future performance.

Overall, Cracker Barrel’s second quarter results reflect a mix of growth in sales and strategic adjustments, with a focus on improving profitability and expanding its store footprint. As the company moves forward, it remains optimistic about its initiatives and financial guidance for the remainder of the fiscal year.