Companies

Cracker Barrel Retail Comp Flips Positive After a Decline

The Tip Desk · September 24, 2026 · 3 min read

Fourth-quarter revenue was $849.3 million as comparable restaurant sales fell 2.1% and retail comps turned 0.7% higher, with fiscal 2027 restaurant comps guided at 3% to 5%.

Cracker Barrel Old Country Store (CBRL) closed fiscal 2026 with a slower year-over-year sales decline and a retail comparable that flipped positive, after two quarters of broader weakness.

Total revenue for the fourth quarter ended July 31, 2026, was $849.3 million, down 2.2% from the year-earlier quarter. That compared with a 2.9% year-over-year drop in the third quarter.

Comparable store restaurant sales decreased 2.1% versus the prior-year quarter, improving from a 2.6% decline in the third quarter. Comparable store retail sales increased 0.7%, reversing a 1.8% decline in the third quarter.

President and Chief Executive Officer David Deno said the company is focused on the right areas and pointed to continued improvements in the underlying traffic trend, key guest metrics, and EBITDA results. He said he is confident that strategic priorities around food, experience, and people will sustain that momentum.

GAAP net income was $12.2 million, or $0.54 a share, compared with $6.8 million, or $0.30 a share, a year earlier. Adjusted earnings were $0.99 a share versus $0.74. Adjusted EBITDA was $62.1 million and included a benefit of approximately $9.1 million related to tariff refunds, net of investments, compared with $55.7 million a year earlier.

The quarter also marked the end of Maple Street Biscuit Company. The company completed the sale-leaseback of 26 company-owned Cracker Barrel locations, generating about $77 million of net proceeds used for debt reduction, and recorded a $47.4 million net gain on the transaction. It divested MSBC on July 20, 2026, selling 35 locations and closing 16, and recorded a $27.0 million loss on sale of business assets. MSBC units in operation fell to zero from 68 a year earlier. Deno was appointed chief executive effective August 10, 2026.

Cracker Barrel-only restaurant revenue was $686.2 million and retail revenue was $150.8 million. Average unit volume was $1,045.2 thousand for restaurants and $229.7 thousand for retail, with 655 Cracker Barrel units in operation.

The company repaid $150 million of 0.625% convertible notes at their June 2026 maturity. Total debt ended fiscal 2026 at $337.2 million, versus $484.6 million at fiscal 2025 year-end, with a 1.7x consolidated total leverage ratio and 0.0x senior leverage. Available capacity under the credit facility was about $541.3 million. The board declared a quarterly dividend of $0.25 a share, payable November 12, 2026.

For fiscal 2027, Cracker Barrel provided an outlook of total revenue of $3.325 billion to $3.4 billion, including comparable store restaurant sales growth of 3% to 5% and no new store openings. Adjusted EBITDA is guided at $180 million to $200 million. The company also cited commodity inflation of approximately 3.0%, hourly wage inflation of 2.5% to 3.0%, and capital expenditures of $110 million to $125 million.

The retail turn and the narrowing restaurant comparable are the operating inflection the company is carrying into that plan. Restaurant sales still declined year over year, and the fiscal 2027 revenue range sits against a no-openings store count of 655 Cracker Barrel locations. Adjusted EBITDA guidance of $180 million to $200 million is the forward earnings frame the company chose to present, alongside the 3% to 5% restaurant comparable growth it now expects.