By Dean Seal
Cracker Barrel Old Country Store is expected to report fiscal fourth-quarter results before the market opens Wednesday. Here's what you need to know.
PROFIT: The restaurant chain is expected to post a profit of $15 million, or 67 cents a share, for the quarter ended Aug. 1, according to the forecasts for three analysts surveyed by FactSet. That's down from $18.1 million, or 81 cents a share, in the same quarter a year earlier.
EARNINGS: Adjusted earnings, which strip out one-time items, are projected to hit 77 cents a share, according to eight analysts polled by FactSet.
REVENUE: Revenue is forecast to fall to $855 million from $894 million a year earlier, according to eight analysts surveyed by FactSet.
The stock rose 38% during the quarter to about $59 and has fallen 13% since then, opening Tuesday at $52.08.
WHAT TO WATCH
--The stock has been under pressure since Cracker Barrel tried to rebrand and was hit with significant backlash from some customers and the White House, but it should get some relief if the company can come up with solid margin guidance for the year ahead, Truist analysts Jake Bartlett and Larson Rice said in a research note this week.
--The company's recently improved menu innovation and focus on a barbell menu strategy should help it raise prices, as should improved service levels, the Truist analysts said. The recent rebranding fiasco shouldn't affect any of those catalysts, they said.
--Management is expected to give weak initial guidance for fiscal 2026 with a muted sales outlook that's partially offset by cost-cutting, but investor expectations are low, the Truist analysts said. A potential increase in the return of cash to shareholders could trigger a short squeeze, they said.
Write to Dean Seal at dean.seal@wsj.com
(END) Dow Jones Newswires
September 16, 2025 13:25 ET (17:25 GMT)
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