Core Insights - BJ's Restaurants, Inc. (BJRI) is set to report its third-quarter fiscal 2025 results on October 30, 2025, after market close [1] - In the previous quarter, BJRI's earnings exceeded the Zacks Consensus Estimate by 40.6%, while revenues fell short by 1% [1] - The company has surpassed earnings estimates in three out of the last four quarters, with an average surprise of 102.7% [1] Financial Estimates - The Zacks Consensus Estimate for the third quarter indicates a loss of 1 cent per share, compared to a loss of 13 cents per share in the same quarter last year [2] - Revenue expectations are set at approximately $335.6 million, reflecting a 3% increase from the prior-year quarter [2] Growth Drivers - Strong traffic momentum is anticipated, driven by the Pizookie Meal Deal (PMD), which is expected to enhance repeat visits and attract new customers [3] - Menu innovations, including the Smash Burger and upgrades to existing offerings, are likely to improve customer engagement and value perception [3][4] - The focus on group dining and social occasions has led to a significant rise in large-party reservations, contributing positively to third-quarter performance [3] Menu and Beverage Innovations - The relaunch of the pizza menu is expected to reinvigorate a core category and enhance brand value, with early tests showing positive results in traffic and check averages [4] - The broader beverage strategy, featuring new craft pours and shareable samplers, is designed to increase guest engagement and spending opportunities [4] Sales Projections - Comparable restaurant sales are projected to grow by 1.9% year-over-year, with average weekly sales expected to rise by 2% in the third quarter [5] Challenges - Earnings may face pressure due to margin compression linked to a value-heavy mix shift, as increased traffic from PMD and late-night channels often results in lower average checks [6] - Ongoing food cost inflation, particularly in beef and seafood, remains a challenge, although some categories like wings have seen easing [6] - Increased marketing and brand investment, while beneficial for sales, also raises operating expenses [7] - External factors such as tariffs and higher labor costs may negatively impact profitability, with total costs and expenses expected to rise by 2% to $334.8 million for the quarter [7] Earnings Prediction - The current model does not predict an earnings beat for BJRI, as it lacks a positive Earnings ESP and a favorable Zacks Rank [10] - The Earnings ESP for BJRI stands at -233.33%, and it currently holds a Zacks Rank of 4 (Sell) [10]