Bloomin' Brands (BLMN) Q2 2025 earnings summary

Executive summary

• Q2 2025 total revenues were $1,002.4M, nearly flat year-over-year, with U.S. comparable sales down 0.1% and Outback Steakhouse down 0.6%.

• Operating income margin declined to 3.0% from 4.4% last year, mainly due to higher labor, commodity, and insurance costs.

• Adjusted diluted EPS was $0.32, down from $0.45 last year, reflecting restructuring and FX contract costs.

• Leadership changes included new CFO Elect and SVPs in HR, analytics, supply chain, and brand presidents, effective September 2025.

• Outback Steakhouse turnaround remains a top priority, with expanded test initiatives and menu simplification underway.

Financial highlights

• Restaurant-level operating margin was 12.0%, down from 14.0% last year; adjusted operating margin was 3.5% versus 6.0%.

• Net income attributable to the company was $25.4M, nearly flat year-over-year.

• Cash and cash equivalents at quarter-end were $50.3M, with $563.7M available under the revolving credit facility.

• Declared a $0.15/share quarterly dividend, payable September 3, 2025; $96.8M remains under share repurchase authorization.

• Net debt at quarter-end was $917.1M; net debt-to-adjusted EBITDA at 2.7x pro forma for Brazil sale proceeds.

Outlook and guidance

• FY 2025 adjusted diluted EPS guidance is $1.00–$1.10; GAAP diluted EPS expected at $0.80–$0.90.

• Q3 2025 U.S. comparable sales expected (1%) to flat; adjusted diluted loss per share of ($0.15) to ($0.10).

• Full-year capital expenditures expected at approximately $190M.

• No additional pricing actions planned for the year.

• Guidance reflects commodity inflation of 3–3.5% and labor wage inflation of ~4%.