Brinker International

Brinker International (EAT) Q3 2025 Earnings

Reported Apr 29, 2025 at 8:07 AM ET · SEC Source

Q3 25 EPS

$2.66

BEAT +3.59%

Est. $2.57

Q3 25 Revenue

$1.43B

BEAT +2.67%

Est. $1.39B

vs S&P Since Q3 25

-2.2%

TRAILING MARKET

EAT +34.0% vs S&P +36.1%

Market Reaction

Did EAT Beat Earnings? Q3 2025 Results

Brinker International turned in a standout third quarter of fiscal 2025, beating Wall Street on both the top and bottom lines as Chili's value-focused turnaround strategy continued to gain momentum. Non-GAAP diluted EPS came in at $2.66, clearing the… Read more Brinker International turned in a standout third quarter of fiscal 2025, beating Wall Street on both the top and bottom lines as Chili's value-focused turnaround strategy continued to gain momentum. Non-GAAP diluted EPS came in at $2.66, clearing the $2.57 consensus estimate by 3.59%, while revenue of $1.43 billion exceeded expectations by 2.67% and climbed 27.2% year-over-year. The central driver was a 31.6% surge in Chili's comparable restaurant sales, powered by a remarkable 20.9% traffic increase that underscored genuine consumer demand for the brand's value positioning, including its widely promoted "$10.99 3 for Me" offering. That volume translated directly into margin expansion, with restaurant operating margin rising to 18.9% from 14.2% a year ago and adjusted EBITDA nearly doubling to $220.60 million. Brinker also used the quarter's strong cash generation to repay $125.00 million in funded debt. Looking ahead, management raised its full-year fiscal 2025 guidance, now projecting total revenues of $5.33 billion to $5.35 billion and non-GAAP EPS of $8.50 to $8.75.

Key Takeaways

  • Chili's comparable restaurant sales increased 31.6% driven by 20.9% traffic growth
  • Advertising highlighting industry-leading value and encouraging guest trial
  • Operational improvements driving repeat visits
  • Menu pricing contributed 4.4% to comparable sales growth
  • Favorable menu item mix-shift contributed 6.3% to comparable sales growth
  • Sales leverage drove operating income margin expansion to 11.0% from 6.2%
  • Restaurant operating margin improved to 18.9% from 14.2%
24/7 Wall St

EAT YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

24/7 Wall St

EAT Revenue by Segment

With YoY comparisons, source: SEC Filings

Q3 25 Q3 26

“Chili's delivered another positive quarter in our turnaround with +31% same store sales driven by +21% traffic. Our continued progress on the fundamentals of great food, great service in a fun, friendly atmosphere is clearly winning with guests.”

— Kevin Hochman, Q3 2025 Earnings Press Release