Red Robin Q2 results beat estimates on average guest check improvement

Red Robin Gourmet Burgers

12/08/2026 21:19

Overview
US casual dining chain's fiscal Q2 revenue and adjusted EPS beat analyst expectations
Comparable restaurant revenue rose 1.3%, driven by higher average guest check
Company announced three refranchising deals for 116 restaurants, expected to raise $96 mln

Outlook
Red Robin sees 2026 comparable restaurant revenue growth of 0.5% to 1.5%
Company expects 2026 restaurant level operating profit of about 13.0%
Red Robin forecasts 2026 adjusted EBITDA of $70 mln to $73 mln

Result Drivers
HIGHER AVERAGE GUEST CHECK - Co said a 1.5% increase in average guest check drove comparable restaurant revenue growth
EFFICIENCY INITIATIVES - Co attributed improved restaurant-level operating profit margin to efficiency initiatives and pricing, offsetting inflation
MARKETING SPEND - Increased selling expenses supported value platform marketing strategy, contributing to adjusted EBITDA growth

Company press release: ID:nPn45cflYa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$277.60 mln
$265.80 mln (3 Analysts)
Q2 Adjusted EPS
Beat
$0.12
$0.003 (3 Analysts)
Q2 EPS
 
$0.02
 
Q2 Net Income
 
$400,000
 
Q2 Adjusted EBITDA
Beat
$18.90 mln
$17.79 mln (2 Analysts)
Q2 Income From Operations
 
$6.20 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the restaurants & bars peer group is "buy"
Wall Street's median 12-month price target for Red Robin Gourmet Burgers Inc is $8.00, about 2.2% above its August 11 closing price of $7.83

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)