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0001067294
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2025-03-06
2025-03-06
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (date of earliest event
reported): March 6, 2025
CRACKER BARREL OLD COUNTRY STORE, INC.
(Exact Name of Registrant as Specified in its Charter)
| Tennessee |
|
001-25225 |
|
62-0812904 |
(State or
Other Jurisdiction
of Incorporation) |
|
(Commission File Number) |
| (IRS Employer
Identification No.) |
| |
|
|
|
|
305 Hartmann Drive, Lebanon, Tennessee 37087
(Address of Principal Executive Offices) (Zip code)
(615) 444-5533
(Registrant’s Telephone Number, Including Area Code)
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| |
¨ |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| |
¨ |
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| |
¨ |
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| |
¨ |
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class |
|
Trading Symbol(s) |
|
Name of each exchange on which
registered |
|
Common Stock (Par Value $0.01)
Rights to Purchase Series A Junior Participating
Preferred Stock (Par Value $0.01) |
|
CBRL |
|
The Nasdaq Stock Market LLC
(Nasdaq Global Select Market) |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
Emerging growth company ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
| Item 2.02. | Results of Operations and Financial Condition. |
On March 6, 2025, Cracker
Barrel Old Country Store, Inc. (the “Company”) issued a press release (the “Press Release”) announcing the
Company’s fiscal 2025 second quarter results of operations and updated projected outlook of certain items for fiscal year 2025.
A copy of the Press Release is furnished herewith as Exhibit 99.1 and is incorporated herein by reference.
| Item 9.01. | Financial Statements and
Exhibits. |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.
| Date: March 6, 2025 |
CRACKER BARREL OLD COUNTRY STORE, INC. |
| |
|
| |
By: |
/s/ Richard M. Wolfson |
| |
Name: |
Richard M. Wolfson |
| |
Title: |
Senior Vice President, General Counsel and Corporate Secretary |
Exhibit 99.1
| Investor Contact: |
Adam Hanan |
|
(615) 443-9887 |
| |
|
| Media
Contact: |
Heidi Pearce |
|
(615) 235-4135 |
CRACKER BARREL REPORTS SECOND QUARTER FISCAL
2025 RESULTS AND INCREASES GUIDANCE
Company now expects fiscal 2025 adjusted EBITDA1
of $210 million to $220 million2
LEBANON, Tenn. – March 6,
2025 – Cracker Barrel Old Country Store, Inc. (“Cracker Barrel” or the “Company”) (Nasdaq: CBRL)
today reported its financial results for the second quarter of fiscal 2025 ended January 31, 2025.
Second Quarter Fiscal 2025 Highlights
| |
· | Second quarter total revenue was $949.4 million.
Compared to the prior year second quarter, total revenue increased 1.5%. |
| o | Comparable store restaurant sales increased 4.7% over the prior year quarter, and comparable store retail
sales increased 0.2%. |
| |
· | GAAP earnings per diluted share were $0.99,
and adjusted1 earnings per diluted share were $1.38. |
| |
· | GAAP net income for the second quarter was $22.2 million, a 16.3% decrease compared to the prior year
quarter GAAP net income of $26.5 million. Adjusted EBITDA1 was $74.6 million, a 19.6% increase compared to the prior year quarter
adjusted EBITDA1 of $62.4 million. |
Commenting on the second quarter results, Cracker
Barrel President and Chief Executive Officer Julie Masino said, “Outstanding execution by our teams, coupled with our actions to
improve the profitability of our off-premise channels during the high-volume holiday season, delivered strong second quarter results that
exceeded our expectations. 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.”
Second Quarter Fiscal 2025 Results
Revenue
The Company reported total revenue of $949.4 million
for the second quarter of fiscal 2025, representing an increase of 1.5% compared to the second quarter of fiscal 2024.
Cracker Barrel comparable store restaurant sales
increased 4.7%, including total menu pricing increases of 6.0%. Comparable store retail sales increased 0.2% from the prior year quarter.
Page 2
March 6, 2025
Net Income, EBITDA, and Earnings per Diluted Share
GAAP
net income for the second quarter was $22.2 million, or 2.3% of total revenue. This represented a 16.3% decrease compared to prior
year quarter GAAP net income of $26.5 million, or 2.8% of total revenue. Adjusted EBITDA1 was $74.6 million, or 7.9% of total
revenue, a 19.6% increase compared to the prior year quarter adjusted EBITDA1 of $62.4 million, or 6.7% of total revenue.
GAAP
earnings per diluted share for the second quarter were $0.99, a 16.8% decrease compared to the prior year quarter GAAP earnings
per diluted share of $1.19. Adjusted1 earnings per diluted share were $1.38, a 9.5% increase compared to the prior year quarter
adjusted1 earnings per diluted share of $1.26.
Quarterly Dividend Declaration
The Company announced that its Board of Directors
declared a quarterly dividend of $0.25 per share on the Company’s common stock. The quarterly dividend is payable on May 14,
2025 to shareholders of record as of April 11, 2025.
Fiscal 2025 Outlook
The
Company updated its outlook and expects the following for fiscal 2025:
| · | Total revenue of $3.45 billion to $3.50 billion
(vs. previous outlook of $3.4 billion to $3.5 billion) |
| · | Adjusted EBITDA1 of $210 million to
$220 million2 (vs. previous outlook of $200 million to $215 million2) |
| · | Commodity inflation of 2% to 3% compared to the
prior year (no change vs. previous outlook) |
| · | Hourly wage inflation of approximately 3% compared
to the prior year (vs. previous outlook of 3% to 4%) |
| · | Capital expenditures of $160 million to $180
million (no change vs. previous outlook) |
| · | 1 to 2 new Cracker Barrel stores (vs. previous
outlook of 2), which includes 1 store opened fiscal year-to-date |
| · | 4 new Maple Street Biscuit Company units (vs.
previous outlook of 3 to 4), which includes 3 units opened fiscal year-to-date |
The
Company reminds investors that its outlook reflects a number of assumptions, many of which are outside the Company’s control. In
particular, uncertainties created by macroeconomic conditions, such as ongoing inflation, low consumer confidence and high interest
rates may adversely affect consumer behavior and cause actual results to differ materially from those expected.
1
Adjusted net income, adjusted EBITDA, and adjusted earnings per diluted share are non-GAAP financial measures. For definitions of these
non-GAAP measures and reconciliations of these non-GAAP measures to the most directly comparable GAAP measures, please refer to the Reconciliation
of GAAP-Basis Operating Results to Non-GAAP Operating Results section of this release.
2
The Company has determined to provide guidance focused on adjusted EBITDA because the Company believes it will
be more useful to investors to evaluate the Company’s performance prior to the impact of depreciation (given the expected increase
in investments and the resulting higher expected depreciation expense), taxes, impairment charges, and other items that management believes
are not reflective of the Company’s current operations. The Company is not able to reconcile the forward-looking estimate of adjusted
EBITDA set forth above to a forward-looking estimate of net income, the most directly comparable estimated measure calculated in accordance
with GAAP, without unreasonable efforts because the Company is unable to predict, forecast or determine the probable significance of certain
items impacting these estimates, including interest expense, taxes, impairment charges and share-based compensation, with a reasonable
degree of accuracy. Accordingly, the most directly comparable forward-looking GAAP estimate is not provided.
Page 3
March 6, 2025
Fiscal 2025 Second Quarter Conference Call
As previously announced, the live broadcast of
Cracker Barrel’s quarterly conference call will be available to the public online at investor.crackerbarrel.com today beginning
at 11:00 a.m. (ET). The online replay will be available at 2:00 p.m. (ET) and continue through March 20, 2025.
About Cracker
Barrel Old Country Store®
Cracker Barrel Old Country Store, Inc. (Nasdaq:
CBRL) is on a mission to bring craveable, delicious homestyle food and unique retail products to all guests while serving up memorable,
distinctive experiences that make everyone feel welcome. Established in 1969 in Lebanon, Tenn., Cracker Barrel and its affiliates operate
approximately 660 company-owned Cracker Barrel Old Country Store® locations in 43 states and own the fast-casual Maple Street Biscuit
Company. For more information about the company, visit www.crackerbarrel.com.
CBRL-F
Except for specific historical information,
certain of the matters discussed in this press release may express or imply projections of items such as revenues or expenditures, statements
of plans and objectives or future operations or statements of future economic performance. These and similar statements regarding events
or results that the Company expects will or may occur in the future are forward-looking statements concerning matters that involve risks,
uncertainties and other factors which may cause the actual results and performance of the Company to differ materially from those expressed
or implied by such forward-looking statements. All forward-looking information is provided pursuant to the safe harbor established under
the Private Securities Litigation Reform Act of 1995 and should be evaluated in the context of these risks, uncertainties and other factors.
Forward-looking statements generally can be identified by the use of forward-looking terminology such as "trends," "assumptions,"
"target," "guidance," "outlook," "opportunity," "future," "plans," "goals,"
"objectives," "expectations," "near-term," "long-term," "projection," "may,"
"will," "would," "could," "expect," "intend," "estimate," "anticipate,"
"believe," "potential," "regular," "should," "projects," "forecasts," or "continue"
(or the negative or other derivatives of each of these terms) or similar terminology. The Company believes that the assumptions underlying
any forward-looking statements are reasonable; however, any of the assumptions could be inaccurate, and therefore, actual results may
differ materially from those projected in or implied by the forward-looking statements. In addition to the risks of ordinary business
operations, factors and risks that may result in actual results differing from this forward-looking information include, but are not limited
to risks and uncertainties associated with inflationary conditions with respect to the price of commodities, ingredients, transportation,
distribution and labor; disruptions to the Company’s restaurant or retail supply chain; the Company’s ability to manage retail
inventory and merchandise mix; the Company’s ability to sustain or the effects of plans intended to improve operational or marketing
execution and performance, including the Company’s strategic transformation plan; the effects of increased competition at the Company’s
locations on sales and on labor recruiting, cost, and retention; consumer behavior based on negative publicity or changes in consumer
health or dietary trends or safety aspects of the Company’s food or products or those of the restaurant industry in general, including
concerns about outbreaks of infectious disease as well as the possible effects of such events on the price or availability of ingredients
used in our restaurants; the effects of the Company’s indebtedness and associated restrictions on the Company’s financial
and operating flexibility and ability to execute or pursue its operating plans and objectives; changes in interest rates, increases in
borrowed capital or capital market conditions affecting the Company’s financing costs and ability to refinance its indebtedness,
in whole or in part; the Company’s reliance on a single distribution facility and certain significant vendors, particularly for
foreign-sourced retail products; information technology disruptions and data privacy and information security breaches, whether as a result
of infrastructure failures, employee or vendor errors or actions of third parties; the Company’s compliance with privacy and data
protection laws; changes in or implementation of additional governmental or regulatory rules, regulations and interpretations affecting
tax, health and safety, animal welfare, pensions, insurance or other undeterminable areas; the actual results of pending, future or threatened
litigation or governmental investigations; or the Company’s ability to manage the impact of negative social media attention and
the costs and effects of negative publicity; the impact of activist shareholders; the Company’s ability to achieve aspirations,
goals and projections related to its environmental, social and governance initiatives; the Company’s ability to enter successfully
into new geographic markets that may be less familiar to it; changes in land, building materials and construction costs; the availability
and cost of suitable sites for restaurant development and the Company’s ability to identify those sites; the Company’s ability
to retain key personnel; the ability of and cost to the Company to recruit, train, and retain qualified hourly and management employees;
uncertain performance of acquired businesses, strategic investments and other initiatives that the Company may pursue from time to time;
the effects of business trends on the outlook for individual restaurant locations and the effect on the carrying value of those locations;
general or regional economic weakness, business and societal conditions and the weather impact on sales and customer travel; discretionary
income or personal expenditure activity of the Company’s customers; implementation of new or changes in interpretation of existing
accounting principles generally accepted in the United States of America ("GAAP"); and other factors described from time to
time in the Company’s filings with the Securities and Exchange Commission, press releases, and other communications. Any forward-looking
statement made by the Company herein, or elsewhere, speaks only as of the date on which made. The Company expressly disclaims any intent,
obligation or undertaking to update or revise any forward-looking statements made herein to reflect any change in the Company’s
expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based.
Page 4
March 6, 2025
CRACKER BARREL OLD COUNTRY STORE, INC.
CONDENSED CONSOLIDATED INCOME STATEMENT
(Unaudited)
(In thousands, except share and per share amounts,
percentages and ratios)
| | |
Second Quarter Ended | | |
Six Months Ended |
|
| | |
| 1/31/25 | | |
| 1/26/24 | | |
| Percentage Change | | |
| 1/31/25 | | |
| 1/26/24 | | |
| Percentage Change | |
| Total revenue | |
$ | 949,439 | | |
$ | 935,401 | | |
| 2 | % | |
$ | 1,794,528 | | |
$ | 1,759,240 | | |
| 2 | % |
| Cost of goods sold (exclusive of depreciation & rent) | |
| 309,832 | | |
| 314,851 | | |
| (2 | ) | |
| 568,733 | | |
| 570,410 | | |
| (0 | ) |
| Labor and other related expenses | |
| 326,336 | | |
| 323,196 | | |
| 1 | | |
| 633,561 | | |
| 627,643 | | |
| 1 | |
| Other store operating expenses | |
| 220,025 | | |
| 214,056 | | |
| 3 | | |
| 431,573 | | |
| 417,741 | | |
| 3 | |
| General and administrative expenses | |
| 61,672 | | |
| 52,536 | | |
| 17 | | |
| 121,316 | | |
| 101,271 | | |
| 20 | |
| Impairment and store closing costs | |
| 2,451 | | |
| 0 | | |
| | | |
| 3,151 | | |
| 0 | | |
| | |
| Operating income | |
| 29,123 | | |
| 30,762 | | |
| (5 | ) | |
| 36,194 | | |
| 42,175 | | |
| (14 | ) |
| Interest expense | |
| 4,978 | | |
| 5,067 | | |
| (2 | ) | |
| 10,800 | | |
| 10,005 | | |
| 8 | |
| Income before income taxes | |
| 24,145 | | |
| 25,695 | | |
| (6 | ) | |
| 25,394 | | |
| 32,170 | | |
| (21 | ) |
| Provision for income taxes (income tax benefit) | |
| 1,938 | | |
| (839 | ) | |
| 331 | | |
| (1,657 | ) | |
| 180 | | |
| (1021 | ) |
| Net income | |
$ | 22,207 | | |
$ | 26,534 | | |
| (16 | ) | |
$ | 27,051 | | |
$ | 31,990 | | |
| (15 | ) |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Earnings per share – Basic: | |
$ | 1.00 | | |
$ | 1.20 | | |
| (17 | ) | |
$ | 1.22 | | |
$ | 1.44 | | |
| (15 | ) |
| Earnings per share – Diluted: | |
$ | 0.99 | | |
$ | 1.19 | | |
| (17 | ) | |
$ | 1.21 | | |
$ | 1.44 | | |
| (16 | ) |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Weighted average shares: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Basic | |
| 22,258,289 | | |
| 22,196,758 | | |
| 0 | | |
| 22,238,013 | | |
| 22,181,305 | | |
| 0 | |
| Diluted | |
| 22,456,421 | | |
| 22,295,532 | | |
| 1 | | |
| 22,423,335 | | |
| 22,279,611 | | |
| 1 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Ratio Analysis | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Total revenue: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Restaurant | |
| 79.0 | % | |
| 78.1 | % | |
| | | |
| 79.9 | % | |
| 79.1 | % | |
| | |
| Retail | |
| 21.0 | | |
| 21.9 | | |
| | | |
| 20.1 | | |
| 20.9 | | |
| | |
| Total revenue | |
| 100.0 | | |
| 100.0 | | |
| | | |
| 100.0 | | |
| 100.0 | | |
| | |
| Cost of goods sold (exclusive of depreciation & rent) | |
| 32.6 | | |
| 33.7 | | |
| | | |
| 31.7 | | |
| 32.4 | | |
| | |
| Labor and other related expenses | |
| 34.4 | | |
| 34.5 | | |
| | | |
| 35.3 | | |
| 35.7 | | |
| | |
| Other store operating expenses | |
| 23.2 | | |
| 22.9 | | |
| | | |
| 24.0 | | |
| 23.7 | | |
| | |
| General and administrative expenses | |
| 6.5 | | |
| 5.6 | | |
| | | |
| 6.8 | | |
| 5.8 | | |
| | |
| Impairment and store closing costs | |
| 0.2 | | |
| 0.0 | | |
| | | |
| 0.2 | | |
| 0.0 | | |
| | |
| Operating income | |
| 3.1 | | |
| 3.3 | | |
| | | |
| 2.0 | | |
| 2.4 | | |
| | |
| Interest expense | |
| 0.6 | | |
| 0.6 | | |
| | | |
| 0.6 | | |
| 0.6 | | |
| | |
| Income before income taxes | |
| 2.5 | | |
| 2.7 | | |
| | | |
| 1.4 | | |
| 1.8 | | |
| | |
| Provision for income taxes (income tax benefit) | |
| 0.2 | | |
| (0.1 | ) | |
| | | |
| (0.1 | ) | |
| 0.0 | | |
| | |
| Net income | |
| 2.3 | % | |
| 2.8 | % | |
| | | |
| 1.5 | % | |
| 1.8 | % | |
| | |
Page 5
March 6, 2025
CRACKER BARREL OLD COUNTRY STORE, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited and in thousands, except share amounts)
| |
|
|
1/31/25 |
|
|
|
1/26/24 |
|
| Assets |
|
|
|
|
|
|
|
|
| Cash and cash equivalents |
|
$ |
10,346 |
|
|
$ |
12,602 |
|
| Accounts receivable |
|
|
38,018 |
|
|
|
41,524 |
|
| Inventories |
|
|
172,988 |
|
|
|
172,702 |
|
| Prepaid expenses and other current assets |
|
|
58,906 |
|
|
|
40,972 |
|
| Property and equipment, net |
|
|
969,790 |
|
|
|
965,667 |
|
| Operating lease right-of-use assets, net |
|
|
829,146 |
|
|
|
877,580 |
|
| Goodwill |
|
|
0 |
|
|
|
4,690 |
|
| Intangible assets |
|
|
24,387 |
|
|
|
24,498 |
|
| Other assets |
|
|
45,976 |
|
|
|
44,824 |
|
| Total assets |
|
$ |
2,149,557 |
|
|
$ |
2,185,059 |
|
| |
|
|
|
|
|
|
|
|
| Liabilities and Shareholders’ Equity |
|
|
|
|
|
|
|
|
| Accounts payable |
|
$ |
143,161 |
|
|
$ |
136,388 |
|
| Other current liabilities |
|
|
311,079 |
|
|
|
322,449 |
|
| Long-term debt |
|
|
471,465 |
|
|
|
452,278 |
|
| Long-term operating lease liabilities |
|
|
655,669 |
|
|
|
689,499 |
|
| Other long-term obligations |
|
|
107,268 |
|
|
|
122,478 |
|
| Shareholders’ equity, net |
|
|
460,915 |
|
|
|
461,967 |
|
| Total liabilities and shareholders’ equity |
|
$ |
2,149,557 |
|
|
$ |
2,185,059 |
|
| |
|
|
|
|
|
|
|
|
| Common shares issued and outstanding |
|
|
22,263,481 |
|
|
|
22,201,086 |
|
Page 6
March 6, 2025
CRACKER BARREL OLD COUNTRY STORE, INC.
CONDENSED CONSOLIDATED CASH FLOW STATEMENT
(Unaudited and in thousands)
| | |
Six Months Ended | |
| | |
| 1/31/25 | | |
| 1/26/24 | |
| Cash flows from operating activities: | |
| | | |
| | |
| Net income | |
$ | 27,051 | | |
$ | 31,990 | |
| Depreciation and amortization | |
| 59,388 | | |
| 54,428 | |
| Amortization of debt issuance costs | |
| 884 | | |
| 874 | |
| Loss on disposition of property and equipment | |
| 4,246 | | |
| 2,898 | |
| Impairment | |
| 2,863 | | |
| 0 | |
| Share-based compensation | |
| 6,505 | | |
| 6,253 | |
| Noncash lease expense | |
| 30,436 | | |
| 30,162 | |
| Amortization of asset recognized from gain on sale and leaseback transaction | |
| 6,368 | | |
| 6,368 | |
| Decrease in inventories | |
| 7,970 | | |
| 16,662 | |
| Decrease in accounts payable | |
| (19,127 | ) | |
| (29,096 | ) |
| Net changes in other assets and liabilities | |
| (32,891 | ) | |
| (58,660 | ) |
| Net cash provided by operating activities | |
| 93,693 | | |
| 61,879 | |
| Cash flows from investing activities: | |
| | | |
| | |
| Purchase of property and equipment, net of insurance recoveries | |
| (76,986 | ) | |
| (51,080 | ) |
| Proceeds from sale of property and equipment | |
| 894 | | |
| 91 | |
| Net cash used in investing activities | |
| (76,092 | ) | |
| (50,989 | ) |
| Cash flows from financing activities: | |
| | | |
| | |
| Net proceeds from/principal payments on long-term debt | |
| (6,000 | ) | |
| 36,500 | |
| Taxes withheld from issuance of share-based compensation awards | |
| (1,379 | ) | |
| (1,597 | ) |
| Dividends on common stock | |
| (11,911 | ) | |
| (58,338 | ) |
| Net cash used in financing activities | |
| (19,290 | ) | |
| (23,435 | ) |
| | |
| | | |
| | |
| Net decrease in cash and cash equivalents | |
| (1,689 | ) | |
| (12,545 | ) |
| Cash and cash equivalents, beginning of period | |
| 12,035 | | |
| 25,147 | |
| Cash and cash equivalents, end of period | |
$ | 10,346 | | |
$ | 12,602 | |
Page 7
March 6, 2025
| | |
Second Quarter Ended | |
| | |
1/31/25 | | |
1/26/24 | |
| Net Change in Company-Owned Units During Quarter: | |
| | | |
| | |
| Cracker Barrel | |
| (1 | ) | |
| 1 | |
| Maple Street Biscuit Company | |
| 0 | | |
| 3 | |
| Company-Owned Units in Operation at End of Quarter: | |
| | | |
| | |
| Cracker Barrel | |
| 657 | | |
| 662 | |
| Maple Street Biscuit Company | |
| 69 | | |
| 63 | |
| |
|
Second Quarter Ended |
|
|
Six Months Ended |
|
| |
|
|
1/31/25 |
|
|
|
1/26/24 |
|
|
|
1/31/25 |
|
|
|
1/26/24 |
|
| Total revenue*: (In thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Restaurant |
|
$ |
733,303 |
|
|
$ |
714,310 |
|
|
$ |
1,399,736 |
|
|
$ |
1,359,199 |
|
| Retail |
|
|
198,757 |
|
|
|
204,517 |
|
|
|
360,357 |
|
|
|
367,551 |
|
| Total revenue |
|
$ |
932,060 |
|
|
$ |
918,827 |
|
|
$ |
1,760,093 |
|
|
$ |
1,726,750 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Cost of goods sold* (exclusive of depreciation and rent): (In thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Restaurant |
|
$ |
199,243 |
|
|
$ |
201,608 |
|
|
$ |
373,326 |
|
|
$ |
371,180 |
|
| Retail |
|
|
106,222 |
|
|
|
108,914 |
|
|
|
186,669 |
|
|
|
190,998 |
|
| Total cost of goods sold |
|
$ |
305,465 |
|
|
$ |
310,522 |
|
|
$ |
559,995 |
|
|
$ |
562,178 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Average unit volume*: (In thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Restaurant |
|
$ |
1,116.2 |
|
|
$ |
1,079.0 |
|
|
$ |
2,128.9 |
|
|
$ |
2,054.7 |
|
| Retail |
|
|
302.5 |
|
|
|
309.0 |
|
|
|
548.0 |
|
|
|
555.7 |
|
| Total |
|
$ |
1,418.7 |
|
|
$ |
1,388.0 |
|
|
$ |
2,676.9 |
|
|
$ |
2,610.4 |
|
| Operating weeks*: |
|
|
8,541 |
|
|
|
8,606 |
|
|
|
17,095 |
|
|
|
17,199 |
|
Note*: This information is for Cracker Barrel stores only and excludes
Maple Street Biscuit Company
Page 8
March 6, 2025
CRACKER BARREL OLD COUNTRY STORE, INC.
Reconciliation of GAAP-Basis Operating Results
to Non-GAAP Operating Results
(Unaudited and in thousands, except per share
amounts)
Adjusted Net Income and Earnings Per Share
In
the accompanying press release, the Company makes reference to its second quarter fiscal 2024 and fiscal 2025 adjusted net income and
earnings per share. The Company defines adjusted net income as net income, calculated in accordance with GAAP, excluding, to the
extent the following items occurred during the periods presented: (i) impairment charges, (ii) expenses related to the proxy
contest in connection with the Company’s 2024 annual meeting of shareholders, (iii) expenses related to the Company’s
CEO transition, (iv) expenses associated with the Company’s strategic transformation initiative, (v) a corporate restructuring
charge, (vi) an employee benefits policy change, (vii) goodwill impairment charges, and (viii) the related tax impacts
of the foregoing. The Company believes excluding these items from its financial results provides investors with an enhanced understanding
of the Company's financial results and enhances comparability across periods. The Company calculates adjusted net income margin by dividing
adjusted net income by consolidated GAAP revenue. Beginning with the Company’s second quarter fiscal 2025, the Company is no longer
adjusting its non-GAAP financial measures for store closing costs. The Company believes this modification to its adjusted net income definition
will improve comparability period-to-period and with respect to similar measures presented by peers and enhance investors’ understanding
of the Company’s operating performance. Prior period results presented below have been restated in accordance with this revised
definition. This information is not intended to be considered in isolation or as a substitute for net income or earnings per share information
prepared in accordance with GAAP.
| | |
Second Quarter
Ended | | |
Six Months
Ended | |
| | |
1/31/25 | | |
Margin | | |
1/26/24 | | |
Margin | | |
1/31/25 | | |
Margin | | |
1/26/24 | | |
Margin | |
| Revenue | |
$ | 949,439 | | |
| 100 | % | |
$ | 935,401 | | |
| 100 | % | |
$ | 1,794,528 | | |
| 100 | % | |
$ | 1,759,240 | | |
| 100 | % |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| GAAP net income | |
| 22,207 | | |
| 2.3 | | |
| 26,534 | | |
| 2.8 | | |
| 27,051 | | |
| 1.5 | | |
| 31,990 | | |
| 1.8 | |
| CEO transition expenses | |
| 0 | | |
| 0.0 | | |
| 3,473 | | |
| 0.4 | | |
| 0 | | |
| 0.0 | | |
| 5,109 | | |
| 0.3 | |
| Strategic transformation initiative
expenses | |
| 3,965 | | |
| 0.4 | | |
| 3,815 | | |
| 0.4 | | |
| 7,263 | | |
| 0.4 | | |
| 4,956 | | |
| 0.3 | |
| Employee benefit adjustment | |
| 0 | | |
| 0.0 | | |
| (5,284 | ) | |
| (0.6 | ) | |
| 0 | | |
| 0.0 | | |
| (5,284 | ) | |
| (0.3 | ) |
| Corporate restructuring charge | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 0.0 | | |
| 0 | | |
| 0.0 | | |
| 1,643 | | |
| 0.1 | |
| Proxy contest expenses | |
| 5,263 | | |
| 0.6 | | |
| 0 | | |
| 0.0 | | |
| 8,220 | | |
| 0.5 | | |
| 0 | | |
| 0.0 | |
| Impairment | |
| 2,163 | | |
| 0.2 | | |
| 0 | | |
| 0.0 | | |
| 2,863 | | |
| 0.2 | | |
| 0 | | |
| 0.0 | |
| Tax impacts of the foregoing | |
| (2,677 | ) | |
| (0.3 | ) | |
| (471 | ) | |
| (0.1 | ) | |
| (4,311 | ) | |
| (0.2 | ) | |
| (1,510 | ) | |
| (0.1 | ) |
| Adjusted net income | |
$ | 30,921 | | |
| 3.3 | % | |
$ | 28,067 | | |
| 3.0 | % | |
$ | 41,086 | | |
| 2.3 | % | |
$ | 36,904 | | |
| 2.1 | % |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| GAAP Earnings per share - basic | |
$ | 1.00 | | |
| | | |
$ | 1.20 | | |
| | | |
$ | 1.22 | | |
| | | |
$ | 1.44 | | |
| | |
| GAAP Earnings per share - diluted | |
$ | 0.99 | | |
| | | |
$ | 1.19 | | |
| | | |
$ | 1.21 | | |
| | | |
$ | 1.44 | | |
| | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Adjusted Earnings per share - basic | |
$ | 1.39 | | |
| | | |
$ | 1.26 | | |
| | | |
$ | 1.85 | | |
| | | |
$ | 1.66 | | |
| | |
| Adjusted Earnings per share - diluted | |
$ | 1.38 | | |
| | | |
$ | 1.26 | | |
| | | |
$ | 1.83 | | |
| | | |
$ | 1.66 | | |
| | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Weighted average shares - basic | |
| 22,258,289 | | |
| | | |
| 22,196,758 | | |
| | | |
| 22,238,013 | | |
| | | |
| 22,181,305 | | |
| | |
| Weighted average shares - diluted | |
| 22,456,421 | | |
| | | |
| 22,295,532 | | |
| | | |
| 22,423,335 | | |
| | | |
| 22,279,611 | | |
| | |
Page 9
March 6, 2025
CRACKER BARREL OLD COUNTRY STORE, INC.
Reconciliation of GAAP-Basis Operating Results
to Non-GAAP Operating Results
(Unaudited and in thousands)
EBITDA/Adjusted EBITDA
In
the accompanying press release and the below reconciliation tables, the Company makes reference to EBITDA and adjusted EBITDA. The Company
defines EBITDA as net income, calculated in accordance with GAAP, excluding depreciation and amortization, interest expense and tax expense.
The Company further adjusts EBITDA to exclude, to the extent the following items occurred during the periods presented: (i) expenses
related to share-based compensation, (ii) impairment charges, (iii) the proxy contest in connection with the Company’s
2024 annual meeting of shareholders, (iv) goodwill impairment charges, (v) the Company’s CEO transition, (vi) expenses
associated with the Company’s strategic transformation initiative, (vii) a corporate restructuring charge, and (viii) an
employee benefits policy change. The Company calculates EBITDA and adjusted EBITDA margin by dividing EBITDA and adjusted EBITDA by consolidated
GAAP revenue. Beginning with the Company’s second quarter fiscal 2025, the Company is no longer adjusting its non-GAAP financial
measures for store closing costs. The Company believes this modification to its EBITDA definition will improve comparability period-to-period
and with respect to similar measures presented by peers and enhance investors’ understanding of the Company’s operating performance.
Prior period results presented below have been restated in accordance with this revised definition. The Company believes that presentation
of EBITDA and adjusted EBITDA (together with related margin figures) provides investors with an enhanced understanding of the Company's
operating performance and debt leverage metrics and enhances comparability with the Company’s historical results, and that the presentation
of this non-GAAP financial measure, when combined with the primary presentation of net income, is beneficial to an investor’s complete
understanding of the Company’s operating performance. This information is not intended to be considered in isolation or as a substitute
for net income or net income margin prepared in accordance with GAAP.
| |
|
Second Quarter Ended
1/31/25 |
|
|
Margin |
|
|
Six Months Ended
1/31/25 |
|
|
Margin |
|
| Revenue |
|
$ |
949,439 |
|
|
|
100 |
% |
|
$ |
1,794,528 |
|
|
|
100 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| GAAP Net income |
|
|
22,207 |
|
|
|
2.3 |
|
|
|
27,051 |
|
|
|
1.5 |
|
| (+) Depreciation& amortization |
|
|
30,234 |
|
|
|
3.2 |
|
|
|
59,388 |
|
|
|
3.3 |
|
| (+) Interest expense |
|
|
4,978 |
|
|
|
0.6 |
|
|
|
10,800 |
|
|
|
0.6 |
|
| (+) Tax expense (tax benefit) |
|
|
1,938 |
|
|
|
0.2 |
|
|
|
(1,657 |
) |
|
|
(0.1 |
) |
| EBITDA |
|
$ |
59,357 |
|
|
|
6.3 |
% |
|
$ |
95,582 |
|
|
|
5.3 |
% |
| Adjustments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (+) Share-based compensation, net |
|
|
3,880 |
|
|
|
0.4 |
|
|
|
6,506 |
|
|
|
0.4 |
|
| (+) Strategic transformation initiative expenses |
|
|
3,965 |
|
|
|
0.4 |
|
|
|
7,263 |
|
|
|
0.4 |
|
| (+) Impairment |
|
|
2,163 |
|
|
|
0.2 |
|
|
|
2,863 |
|
|
|
0.2 |
|
| (+) Proxy contest expenses |
|
|
5,263 |
|
|
|
0.6 |
|
|
|
8,220 |
|
|
|
0.5 |
|
| Adjusted EBITDA |
|
$ |
74,628 |
|
|
|
7.9 |
% |
|
$ |
120,434 |
|
|
|
6.7 |
% |
| |
|
Second Quarter Ended
1/26/24 |
|
|
Margin |
|
|
Six Months Ended
1/26/24 |
|
|
Margin |
|
| Revenue |
|
$ |
935,401 |
|
|
|
100 |
% |
|
$ |
1,759,240 |
|
|
|
100 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| GAAP Net income |
|
|
26,534 |
|
|
|
2.8 |
|
|
|
31,990 |
|
|
|
1.8 |
|
| (+) Depreciation& amortization |
|
|
27,759 |
|
|
|
3.0 |
|
|
|
54,428 |
|
|
|
3.1 |
|
| (+) Interest expense |
|
|
5,067 |
|
|
|
0.6 |
|
|
|
10,005 |
|
|
|
0.6 |
|
| (+) Tax expense (tax benefit) |
|
|
(839 |
) |
|
|
(0.1 |
) |
|
|
180 |
|
|
|
0.0 |
|
| EBITDA |
|
|
58,521 |
|
|
|
6.3 |
% |
|
$ |
96,603 |
|
|
|
5.5 |
% |
| Adjustments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (+) Share-based compensation |
|
|
1,893 |
|
|
|
0.2 |
|
|
|
3,288 |
|
|
|
0.2 |
|
| (+) CEO transition expenses |
|
|
3,473 |
|
|
|
0.4 |
|
|
|
5,109 |
|
|
|
0.3 |
|
| (+) Strategic transformation initiative expenses |
|
|
3,815 |
|
|
|
0.4 |
|
|
|
4,956 |
|
|
|
0.3 |
|
| (+) Corporate restructuring charge |
|
|
0 |
|
|
|
0.0 |
|
|
|
1,643 |
|
|
|
0.1 |
|
| (-) Employee benefit adjustment |
|
|
(5,284 |
) |
|
|
(0.6 |
) |
|
|
(5,284 |
) |
|
|
(0.3 |
) |
| Adjusted EBITDA |
|
$ |
62,418 |
|
|
|
6.7 |
% |
|
$ |
106,315 |
|
|
|
6.0 |
% |
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- DefinitionBoolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as written communications pursuant to Rule 425 under the Securities Act. Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Securities Act
-Number 230
-Section 425
| Name: |
dei_WrittenCommunications |
| Namespace Prefix: |
dei_ |
| Data Type: |
xbrli:booleanItemType |
| Balance Type: |
na |
| Period Type: |
duration |
|
Cracker Barrel Old Count... (NASDAQ:CBRL)
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From Feb 2025 to Mar 2025
Cracker Barrel Old Count... (NASDAQ:CBRL)
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From Mar 2024 to Mar 2025
