BRINKER INTERNATIONAL REPORTS SECOND QUARTER OF FISCAL 2025 RESULTS AND UPDATES FISCAL 2025 GUIDANCE

Core Insights - Brinker International reported strong financial results for the second quarter of fiscal 2025, with company sales reaching $1,346.1 million, a 26.5$1,063.7 million in the same quarter of fiscal 2024 [2][3] - Comparable restaurant sales increased by 27.4%, with Chili's showing a significant growth of 31.4%, driven by increased traffic and operational improvements [2][4] - The company’s operating income margin improved to 11.5%, up from 5.8% in the previous year, indicating enhanced operational efficiency [3][8] Financial Performance - Total revenues for the second quarter were $1,358.2 million, compared to$1,074.1 million in the prior year, marking a variance of $284.1 million [3] - Net income for the quarter was$118.5 million, a substantial increase from $42.1 million in the same quarter last year, resulting in a net income per diluted share of$2.61 [3][29] - Adjusted EBITDA for the quarter was $215.8 million, up from$107.0 million in the previous year, reflecting strong operational performance [3][35] Segment Performance - Chili's company sales increased to $1,196.9 million from$916.9 million, while Maggiano's sales rose slightly to $149.2 million from$146.8 million [8] - Chili's operating income was $175.1 million, with an operating income margin of 14.5$28.2 million, with a slight decrease in operating income margin to 18.9% [8][32] Guidance and Outlook - The company updated its full-year fiscal 2025 guidance, projecting total revenues between $5.15 billion and$5.25 billion, with net income per diluted share expected to be in the range of $7.50 to$8.00 [5][6] - Capital expenditures are anticipated to be between $240 million and$260 million for the fiscal year [6] Comparable Restaurant Sales - Comparable restaurant sales for Brinker increased by 27.4%, with Chili's at 31.4% and Maggiano's at 1.8% [4][25] - The increase in comparable sales was attributed to higher traffic, favorable menu item mix, and menu pricing strategies [13][25] Operational Efficiency - The company reported a decrease in restaurant expenses as a percentage of company sales, indicating improved cost management [13][32] - General and administrative expenses increased due to higher incentive compensation and technology initiatives [2][3]