By Emon Reiser
Cracker Barrel Old Country Store lifted the lower end of its full-year revenue guidance after the Southern country theme store and restaurant chain served up better-than-expected adjusted earnings and sales during the second quarter.
Lebanon, Tenn.-based Cracker Barrel said net income for the quarter ended Jan. 31 fell to $22.2 million, or 99 cents a share, from $26.5 million, or $1.19 cents a share, a year earlier.
Stripping out one-time items, adjusted earnings were $1.38 a share, beating the $1.08 a share expected by analysts polled by FactSet.
Second-quarter revenue rose about 2% year over year to $949.4 million, beating the $944 million analysts expected. The company reported revenue of $935.4 million in the year-ago quarter.
Cracker Barrel updated its outlook, saying it now expects full-year revenue in the range of $3.45 billion and $3.5 billion, from a previous guidance of between $3.4 billion and $3.5 billion.
The company attributed its second-quarter performance to the high-volume holiday season and improved profitability in its off-premise channels.
"Despite some recent industry-wide softness, these results, together with the continued improvements in key guest and operational metrics and the initiatives we have planned for our important fourth quarter, make us confident in raising our financial outlook for the remainder of the year," said Chief Executive Julie Masino.
The company expects to open up to two new Cracker Barrel stores for the year, and up to four new Maple Street Biscuit Co. units.
Shares rose nearly 2% to $41 in premarket trading.
Write to Emon Reiser at emon.reiser@wsj.com
(END) Dow Jones Newswires
March 06, 2025 08:27 ET (13:27 GMT)
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