Cracker Barrel Q3 Adjusted EPS $0.29, Revenue $797M Top Estimates; Raises EBITDA Forecast
CBRL•Cracker Barrel delivered Q3 adjusted EPS of $0.29, beating an expected loss of $0.48, and recorded $797.4 million in revenue versus a $776.7 million consensus despite a 2.9% sales decline. The company raised full-year revenue guidance to $3.27B–$3.30B and lifted adjusted EBITDA outlook to $120M–$125M after cost cuts and a $47.4M litigation settlement.
1. Q3 Financial Results
Cracker Barrel reported adjusted Q3 earnings of $0.29 per share, compared with an expected adjusted loss of $0.48, while GAAP net income rose to $42.8 million, or $1.90 per share, up from $12.6 million, or $0.56 per share a year earlier. Quarterly revenue reached $797.4 million, surpassing the $776.7 million consensus and representing a 2.9% decline year-over-year. Restaurant same-store sales fell 2.6% and retail comps declined 1.8%, while guest traffic dropped 6.7%.
2. Guidance Revisions
Management increased full-year revenue guidance to $3.27 billion–$3.30 billion from $3.24 billion–$3.27 billion and boosted adjusted EBITDA outlook to $120 million–$125 million, up from $85 million–$100 million, reflecting stronger cost management and operating improvements. These revisions sit above analyst models and signal confidence in margin recovery despite modest sales headwinds.
3. Cost Management and Restructuring
A corporate restructuring completed in Q2 is projected to save $20 million–$25 million annually in general and administrative expenses, while commodity and wage inflation estimates were trimmed to low 2% ranges. The quarter also benefited from $47.4 million in interchange fee litigation proceeds, which was excluded from the adjusted earnings calculation.
