Brinker International, Inc. (NYSE:EAT) shares are trading higher in the premarket session on Wednesday.Menu updates, competitive pricing and continued advertising helped bring in new customers, while better restaurant operations supported repeat visits in the company’s second quarter results.Quarterly SalesThe company reported second-quarter adjusted earnings per share of $2.87, beating the analyst consensus estimate of $2.62. Quarterly sales of $1.452 billion outpaced the Street view of $1.411 billion.Comp ...

For the quarter ended December 2025, Brinker International (EAT) reported revenue of $1.45 billion, up 6.9% over the same period last year. EPS came in at $2.87, compared to $2.80 in the year-ago quarter.The reported revenue represents a surprise of +3.44% over the Zacks Consensus Estimate of $1.4 billion. With the consensus EPS estimate being $2.53, the EPS surprise was +13.39%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to deter ...

Q2 F26 January 28, 2026 SAME STORE SALES – F25, F26 | | Brinker | Chili's | Maggiano's | Domestic Franchise | International Franchise | | --- | --- | --- | --- | --- | --- | | Q1 F25 | 13.0% | 14.1% | 4.2% | 12.3% | 3.7% | | Q2 F25 | 27.4% | 31.4% | 1.8% | 21.1% | (1.0%) | | Q3 F25 | 28.2% | 31.6% | 0.4% | 24.1% | 5.8% | | Q4 F25 | 21.3% | 23.7% | (0.4%) | 15.5% | 9.0% | | FY F25 | 22.7% | 25.3% | 1.5% | 19.9% | 6.8% | | | Brinker | Chili's | Maggiano's | Domestic Franchise | International Franchise | | Q1 ...

You can find original article here Nrn. Subscribe to our free daily Nrn newsletters. Brinker International announced its financial results for the second quarter ended Dec. 24, including an 8.6% increase in same-store sales for its flagship Chili’s brand.  The growth was primarily driven by higher traffic yet again, as well as menu enhancements, competitive pricing, ongoing advertising initiatives, and improved operations. Chili’s leveraged its higher sales to improve margins, while also repurchasin ...

Brinker topped earnings and revenue expectations and raised full-year guidance as Chili's continues to outperform a sluggish restaurant sector. ...

Key Takeaways EAT reports Q2 FY26 results on Jan. 28, with revenues expected to rise year over year on Chili's strength.Brinker International expects Chili's comps to be up 2.9% and revenues rising 3.9% to $1.26 billion.EAT's margins may be pressured by Maggiano's decline, commodity inflation, wage growth and higher costs.Brinker International, Inc. (EAT) is scheduled to report second-quarter fiscal 2026 results on Jan. 28, before the opening bell.In the last reported quarter, adjusted earnings and revenues ...

Core Viewpoint - Brinker International (EAT) has shown a positive performance over the past year, with a 14% increase, although recent performance has been more volatile [1] Company Performance - The company has successfully reinvigorated its Chili's brand, making it one of the top-performing brands in the industry [1]

Core Insights - Brinker International, Inc. (EAT) reported a strong quarter with Chili's achieving 13% traffic growth in Q1 fiscal 2026, significantly outperforming the casual dining industry [1][11] - The sustainability of this growth is questioned, but management suggests it reflects structural gains rather than just promotional timing [2][5] Management Commentary - Chili's has outperformed the industry in traffic for eight consecutive quarters, indicating consistent execution rather than temporary boosts [2] - Traffic growth is attributed to everyday value, improved food quality, and better in-restaurant execution, rather than reliance on short-term discounts [2] - The $10.99 value platform remains stable and profitable, with operational upgrades driving repeat visits [2] Cohort-Level Data - Management tracks monthly guest cohorts, showing stable return rates for both new and existing guests, which counters the idea that traffic spikes are solely due to promotions [3] - This data indicates that advertising-driven traffic is being retained, suggesting sustained engagement [3] Promotional Impact - While promotional timing does influence traffic, management noted that explicit value pricing leads to stronger traffic lifts compared to unpriced promotions [4] - This indicates that marketing strategies can affect traffic dynamics even within a structurally strong base [4] Comparison with Peers - Darden Restaurants (DRI) relies more on limited-time offers, which leads to softer traffic trends when promotions rotate, indicating a dependence on timing [6] - Texas Roadhouse (TXRH) maintains traffic resilience through consistent execution and service culture, but its higher prices make it vulnerable to economic slowdowns [7] - EAT's Chili's stands out as its traffic growth appears more structural, supported by everyday value and operational improvements, placing it between DRI's promotional reliance and TXRH's execution-led model [8] Price Performance and Valuation - EAT's shares have increased by 14.2% over the past three months, outperforming the industry's 1% growth [9] - EAT is currently trading at a forward 12-month price-to-earnings ratio of 12.99, significantly lower than the industry average of 23.94 [12] - The Zacks Consensus Estimate for EAT's fiscal 2026 earnings per share has seen an increase over the past 30 days [15]

Core Insights - Brinker International (EAT) is experiencing strong performance at Chili's, driven by increased traffic, effective marketing, and improvements in food quality and in-restaurant experience [1] - The company's shares have risen by 18.1% over the past three months, significantly outperforming the Zacks Retail - Restaurants industry's growth of 1.4% [2] - Fiscal 2026 earnings estimates have increased slightly to $11.74 per share, reflecting improving operating efficiencies and margin expansion despite challenges from rising costs and inflation [3] Factors Supporting Performance - Sales growth is being driven by a disciplined focus on food, service, and atmosphere, with consistent price-pointed offerings and strategic marketing initiatives [5] - In Q1 FY26, total revenues reached $1.35 billion, an 18.5% year-over-year increase, with same-store sales growth of 21.4% and a 13.1% increase in traffic [6] - Remodeling efforts are underway to enhance brand identity and guest experience, with pilot projects expected to complete by the end of the current quarter [10] - Menu innovation is contributing to traffic and brand relevance, with notable sales increases in upgraded offerings such as ribs and frozen Patrón Margaritas [11] Challenges Facing the Company - Total operating costs rose to $1.23 billion in Q1 FY26, up from $1.08 billion the previous year, indicating pressure from elevated costs [12] - Commodity inflation, particularly in food and beverages, has negatively impacted margins, with expectations for mid-single-digit inflation rates for fiscal 2026 [13]

Core Insights - Dave & Buster's Entertainment, Inc. (PLAY) is implementing a focused remodel strategy as part of its Back to Basics plan, which has resulted in a 700-basis-point positive impact on performance in the third quarter of fiscal 2025 [1][10] Group 1: Remodel Strategy - The company has recognized past overinvestment in remodels that did not enhance guest experience, leading to ineffective capital spending [2] - Recent consumer insights have guided the company to focus on remodel elements that directly influence guest experience, aiming for improved outcomes and reduced ineffective spending [2] - Currently, three remodels are under construction, with plans to open six additional remodeled locations in the next five months, indicating an accelerated execution of the remodel strategy [3] Group 2: Strategic Importance - The remodel program is a key strategic lever for the company, with a refined investment approach and a faster rollout timetable, contributing to the Back to Basics strategy [4] - Management views the remodels as essential for strengthening operations and enhancing guest experience, positioning the brand for better performance in the future [4] Group 3: Competitive Landscape - Competitors like Restaurant Brands International Inc. (QSR) and Brinker International, Inc. (EAT) are also focusing on remodel and reimage programs to enhance unit performance and long-term growth [5] - QSR is modernizing the Burger King system, reporting solid post-remodel uplifts and average unit volumes nearing $2 million, with a significant portion of remodels outperforming the broader system [6] - Brinker is implementing a targeted refresh strategy for Chili's and Maggiano's, with new prototypes and foundational approaches to stabilize traffic [7] Group 4: Financial Performance - Dave & Buster's shares have declined 14.4% over the past three months, compared to a 1.4% decline in the industry [8] - The stock trades at a forward price-to-sales ratio of 0.32, significantly below the industry average of 3.23, indicating potential undervaluation [11] - The Zacks Consensus Estimate for fiscal 2026 earnings per share (EPS) suggests an 83% year-over-year decline, with no changes in EPS estimates over the past 30 days [13]