Share of Chili’s parent Brinker International Inc.
EAT,
rallied 1.4% toward a nine-month high in premarket trading Tuesday, after a grand slam of an earnings report, in which the restaurant chain beat fiscal second-quarter profit, revenue and same-store sales and expectations and provided an upbeat outlook. Net income rose to $27.9 million, or 62 cents a share, from $27.6 million, or 60 cents a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of 76 cents was well above the FactSet consensus of 52 cents. Revenue grew 10.1% to $1.02 billion, beating the FactSet consensus of $991.7 million. Overall same-store sales (SSS) growth of 9.7% topped the FactSet consensus for a 6.8% rise, as Chili’s SSS rose 8.0% to beat expectations of 5.6% growth and Maggiano’s SSS jumped 21.2% to exceed expectations of a 17.9% increase. For fiscal 2023, the company expects adjusted EPS of $2.60 to $2.90 and revenue of $4.05 billion to $4.15 billion, both above the FactSet consensus for EPS of $2.56 and revenue of $4.04 billion. The stock has rallied hiked up 21.5% over the past three months through Tuesday while the S&P 500
SPX,
has gained 5.7%.
