Bloomin' Brands (BLMN) Q1 2026 earnings summary

Executive summary

• Q1 2026 total revenues rose 1.0% year-over-year to $1.06 billion, driven by higher average check, new restaurant openings, and improved guest metrics, with continued execution of a turnaround strategy focused on guest experience, brand relevancy, and operational efficiency.

• Diluted EPS was $0.64 and adjusted diluted EPS was $0.67, both up from the prior year, reflecting improved execution and cost-saving initiatives.

• Operating income increased to $59M (5.6% margin), with restaurant-level operating margin at 14.0%, both slightly improved year-over-year.

• The company operates 1,452 restaurants across 12 countries, with 75% domestic and a focus on Outback Steakhouse.

• Strategic initiatives include a new steak lineup, enhanced service model, refreshed compensation for managing partners, and a multi-year restaurant refresh plan.

Financial highlights

• Q1 total revenues were $1.06 billion, up 1% year-over-year; restaurant sales increased, partially offset by lower franchise revenue.

• GAAP diluted EPS was $0.64, up from $0.50 last year; adjusted diluted EPS was $0.67, up from $0.59.

• Restaurant-level operating margin improved to 14.0% from 13.9% year-over-year.

• Adjusted operating margin was 5.9%, down slightly from 6.1% in Q1 2025 due to higher impairment and closure costs.

• Cash and cash equivalents stood at $71.3 million as of March 29, 2026.

Outlook and guidance

• Full-year 2026 guidance reaffirmed; U.S. comparable restaurant sales expected to grow 0.5% to 2.5%.

• Q2 2026 U.S. comparable sales expected to rise 1% to 2%; adjusted diluted EPS guidance is $0.27 to $0.32.

• Full-year capital expenditures projected at $185M–$195M, with higher spend in later quarters as remodels ramp up.

• Commodity inflation for the year expected at 4.5%–5.5%, with beef locked in at high single-digit inflation.

• Liquidity sources are adequate for debt service, lease obligations, and working capital needs over the next 12 months.