Chili's Traffic Boom Powers Brinker's FY25 Revenue Outlook, But EPS Miss Raises Caution Flags
Portfolio Pulse from Anusuya Lahiri
Brinker International (NYSE:EAT) reported a 12.3% increase in revenue for fiscal Q4 2024, beating estimates. However, adjusted EPS missed expectations, leading to a 15.3% drop in share price. Chili's saw a significant traffic increase, boosting overall sales. Brinker expects FY25 revenue to be in line with estimates but EPS to fall short.
August 14, 2024 | 11:56 am
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Brinker International reported a 12.3% increase in revenue for fiscal Q4 2024, beating estimates. However, adjusted EPS missed expectations, leading to a 15.3% drop in share price. Chili's saw a significant traffic increase, boosting overall sales. Brinker expects FY25 revenue to be in line with estimates but EPS to fall short.
Despite strong revenue growth and increased traffic at Chili's, the miss on EPS and cautious FY25 EPS outlook have led to a significant drop in share price. Investors are likely concerned about profitability despite revenue gains.
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