Cracker Barrel Old Country Store (CBRL) Q4 2024 earnings summary

Executive summary

• Q4 revenue rose 6.9% year-over-year to $894.4 million, aided by a 53rd week, with Adjusted EBITDA in line with guidance and marking the 55th anniversary milestone.

• Strategic transformation underway, focusing on brand refinement, menu innovation, store remodels, digital growth, and employee experience.

• Loyalty program reached 6 million members in its first year, driving higher frequency and check size.

• Operational improvements include reduced turnover, faster service, and higher guest satisfaction.

• GAAP net income for Q4 was $18.1 million (2.0% margin), with adjusted net income at $22.0 million (2.5% margin), both including a $5.5 million benefit from the 53rd week.

Financial highlights

• Q4 total revenue was $894.4 million, up 6.9% from the prior quarter, aided by a 53rd week; comparable store restaurant sales increased 0.4% year-over-year, retail sales decreased 4.2%.

• Adjusted EBITDA for Q4 was $57.4 million (6.4% of revenue), down from $70.4 million (8.4%) year-over-year.

• Adjusted EPS was $0.98, including a $0.25 benefit from the 53rd week; GAAP EPS was $0.81.

• Restaurant cost of goods sold improved by 60 bps to 26% of sales; retail COGS increased by 130 bps to 50.1%.

• Labor costs rose to 37.5% of revenue, up 100 bps year-over-year.

Outlook and guidance

• Fiscal 2025 is positioned as an investment year, with significant improvement expected in the back half of 2026 and into 2027.

• FY25 revenue guidance: $3.4–$3.5 billion, with 5% menu pricing, 2–3% commodity inflation, and 3–4% hourly wage inflation.

• Adjusted EBITDA expected at $200–$215 million for FY25.

• Capital expenditures projected at $160–$180 million, driven by maintenance, remodels, and IT.

• Plans for 2 new Cracker Barrel stores and 3–4 new Maple Street Biscuit Company units.