Bloomin' Brands (BLMN) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenues declined 1.8% year-over-year to $1.05 billion, with U.S. comparable sales down 0.5% and Outback Steakhouse down 1.3%; operating income margin fell to 5.5% from 6.6% last year.

• Net income was $42.2 million ($0.50 per diluted share), compared to a net loss of $83.9 million in Q1 2024, aided by the Brazil business sale and cost controls.

• Adjusted diluted EPS was $0.59, down from $0.64 last year, within guidance; adjusted operating margin was 6.1%, down from 7.8%.

• The company is focused on menu simplification, operational improvements, and a multi-year turnaround at Outback, supported by a third-party consulting firm.

• The sale of a 67% stake in Brazil shifted international operations to a primarily franchised model, with a $2.9 million pretax gain recorded.

Financial highlights

• Restaurant sales were $1.03 billion; franchise and other revenues were $20.1 million.

• Restaurant-level operating margin was 13.9%, down from 15.4% last year.

• Adjusted net income was $49.7 million ($0.58 per share), compared to $63.5 million ($0.67 per share) last year.

• Cash and cash equivalents at quarter-end were $57.7 million; net cash from operating activities was $70.8 million.

• No share repurchases in 2025; $96.8 million remains authorized.

Outlook and guidance

• Full-year adjusted diluted EPS expected at the low end of $1.20–$1.40 range; 2025 guidance reaffirmed.

• Q2 U.S. comparable sales expected to decline (2.5%) to (1.5%) year-over-year; Q2 adjusted diluted EPS guidance is $0.22–$0.27.

• Capital expenditures for 2025 estimated at $190–$210 million, focused on remodeling, new development, and technology.

• Second installment from Brazil sale due December 2025, to be applied to debt reduction.

• Guidance assumes continued macroeconomic volatility and cautious consumer behavior.