By Janet H. Cho

Cracker Barrel Old Country Store stock was rising ahead of its earnings report, which should show how the homestyle restaurant chain is recovering from a backlash to its controversial logo redesign.

The stock was up 2.4% in midday trading, while the S&P 500 was flat.

For the first quarter of its 2026 fiscal year ended Oct. 31, analysts polled by FactSet expect the restaurant operator to report a loss of 79 cents a share on revenue of $800 million. They expect same-store sales to drop 5.9% and its restaurant count to decline to 711 locations, from 725 in the previous quarter.

In the previous first quarter, Cracker Barrel reported earnings of 45 cents a share on $845 million in revenue. Same-store sales rose 2.1%.

Cracker Barrel shareholders last month voted to keep CEO Julie Felss Masino, but not board member Gilbert Dávila, a marketing and diversity specialist and compensation committee chair, after the since-canceled logo change and rebranding campaign.

The company took the "old timer" character off its logo in August, a simplification to the company's brand meant to attract a wider customer base. It restored the image of the old timer to the logo after an outcry from customers and political conservatives, who railed against "woke" culture, including President Donald Trump.

Activist shareholder Sardar Biglari, who also owns and runs restaurant chain Steak 'n Shake, had urged shareholders to oust both Masino and Dávila, saying they had destroyed Cracker Barrel's value and heritage, alienated customers, and wasted millions on failed initiatives including the rebranding campaign.

Both Institutional Shareholder Services and Glass Lewis had recommended that investors vote against Dávila, but not Masino.

For the full fiscal year that started Aug. 2, analysts project adjusted earnings of 70 cents a share on sales of $3.38 billion. They expect same-store sales to drop 3.3%.

Write to Janet H. Cho at janet.cho@dowjones.com

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December 09, 2025 13:59 ET (18:59 GMT)

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