Cracker Barrel Old Country Store ($CBRL) experienced a significant upswing in its stock price on Thursday following the release of its preliminary fiscal first-quarter results, which exceeded expectations. The restaurant chain is projecting that its revenue for the first quarter, which concluded on November 1, reached approximately $845.1 million.
This figure represents a 2.6% increase compared to the $823.8 million recorded during the same quarter last year. In contrast, the average analyst forecast on Capital IQ anticipated revenue of $826.4 million. As a result, Cracker Barrel’s shares increased by 9.1% during Thursday’s trading session. The company reported that comparable restaurant sales likely rose by 2.9%, outperforming the Black Box Intelligence Casual Dining Index by around 290 basis points.
However, comparable store retail sales are anticipated to have declined by 1.6%. For reference, same-store sales decreased by 0.5% in the previous year’s quarter, with comparable retail sales dropping by 8.1%. Projected adjusted earnings per share for the first quarter stand at $0.45, showing a year-over-year decrease from $0.51 yet exceeding the consensus estimate of $0.34.
Cracker Barrel is set to disclose its final quarterly results on December 4. In a statement, Chief Executive Julie Masino expressed optimism, stating, "Our fiscal year is off to a strong start, as our strategic transformation plan continues to take hold and helped deliver financial results that were in line with our expectations.
We are pleased that our comparable store sales and traffic results outperformed the casual dining industry." Looking ahead, Cracker Barrel affirmed its fiscal 2025 revenue guidance, estimating a range between $3.4 billion and $3.5 billion, compared to total sales of $3.47 billion in fiscal 2024. Analysts project revenue to be around $3.43 billion for the ongoing year. Masino added, "We are building momentum across our operations, and while we have more work to do, we are encouraged and energized by the early favorable results of our strategic initiatives." The restaurant operator remains optimistic about adjusted earnings before interest, taxes, depreciation, and amortization, expecting it to fall between $200 million and $215 million during fiscal 2025, compared with $211.6 million last year..