Dine Brands Global (DIN) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenues rose to $240.9M, driven by company-owned restaurant acquisitions, but net income declined to $4.3M due to higher costs and increased interest expense.

• IHOP outperformed industry benchmarks for sales and traffic for the third consecutive quarter, with comp sales up 1.5%, while Applebee's comp sales declined 1.8%.

• Dual-brand locations expanded to 45–44 domestic and 37 international—with strong franchisee interest and plans to reach 80 by year-end.

• Company-owned restaurant count nearly doubled due to acquisitions of 12 and 48 Applebee's restaurants in February and June 2026, respectively.

• Fuzzy's posted its second consecutive quarter of positive comp sales, outperforming its competitive set, though system sales declined 11.8%.

Financial highlights

• Total revenues for Q2 2026 were $240.9M (up from $230.8M in Q2 2025); six-month revenues were $466.1M (up from $445.5M in 2025).

• Adjusted EBITDA for Q2 2026 was $54.2M, down from $56.2M in Q2 2025.

• Adjusted diluted EPS was $1.16, nearly flat versus $1.17 last year; reported diluted EPS was $0.35, down from $0.89.

• Adjusted free cash flow for the first six months was $3.7M, down from $48.7M, due to higher CapEx and lower operating cash flow.

• Net income for Q2 2026 was $4.3M (down from $13.8M in Q2 2025); six-month net income was $11.7M (down from $22.0M in 2025).

Outlook and guidance

• Full-year 2026 financial guidance is maintained, with expectations to remain within the guided range, possibly toward the lower end.

• Early Q3 trends are positive, with menu innovation and value platforms driving performance.

• Management expects continued investment in company-owned and dual-branded restaurant initiatives, with higher employee and incentive compensation costs anticipated.