Cracker Barrel Old Country Store, Inc. (NASDAQ: CBRL), based in Lebanon, Tennessee, reported fourth-quarter and full-year fiscal 2026 results on September 23, 2026, and issued fiscal 2027 guidance projecting a return to comparable restaurant sales growth as new President and Chief Executive Officer David Deno lays out a turnaround plan for the chain.
The outlook follows a fiscal year in which total revenue fell 5% to $3.32 billion from $3.48 billion, and adjusted EBITDA declined to $147.7 million from $224.3 million, reflecting the operating pressures the company's new leadership aims to address.
#Cracker Barrel Guides to Sales and EBITDA Growth in Fiscal 2027
For fiscal 2027, Cracker Barrel guided to total revenue of $3.325 billion to $3.4 billion, including comparable store restaurant sales growth of 3% to 5%. The company does not plan to open new stores during the fiscal year.
Cracker Barrel guided to adjusted EBITDA of $180 million to $200 million for fiscal 2027, above the $147.7 million in adjusted EBITDA it reported for fiscal 2026.
The guidance assumes commodity inflation of approximately 3.0% and hourly wage inflation of 2.5% to 3.0% for fiscal 2027.
Cracker Barrel expects capital expenditures of $110 million to $125 million in fiscal 2027.
#Cracker Barrel Cuts Total Debt to $337 Million
Cracker Barrel ended fiscal 2026 with total debt of $337.2 million, down from $484.6 million a year earlier, with no outstanding borrowings on its credit facility.
The company reported a consolidated total leverage ratio of 1.7x and a consolidated senior leverage ratio of 0.0x, with approximately $541.3 million of available capacity under its credit facility at quarter end.
During the fourth quarter, Cracker Barrel repaid $150 million of 0.625% convertible senior notes that matured in June 2026.
The company also completed a sale-leaseback transaction for 26 company-owned Cracker Barrel store locations, generating approximately $77 million in net proceeds that were used for debt reduction. Cracker Barrel said the transaction was tax-efficient and allowed it to use capital loss carryforwards that otherwise would have expired.
Cracker Barrel's board of directors declared a quarterly dividend of $0.25 per share, payable November 12, 2026, to shareholders of record as of October 16, 2026.
"I'm honored to lead such a differentiated and iconic brand. ... I am excited about the opportunity ahead and confident that our strategic priorities around food, experience, and people will sustain this momentum and drive long-term value creation," David Deno, President and Chief Executive Officer, Cracker Barrel, said in the earnings release.
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#Cracker Barrel's Fourth-Quarter Profit Rises on One-Time Gains
Fourth-quarter revenue was $849.3 million, down 2.2% from $868 million in the prior-year quarter.
Comparable store restaurant sales decreased 2.1% in the quarter, while comparable store retail sales increased 0.7%, compared with the prior-year quarter.
GAAP net income was $12.2 million, or $0.54 per diluted share, compared with $6.8 million, or $0.30 per diluted share, in the prior-year quarter.
Adjusted earnings per diluted share were $0.99 for the quarter, compared with $0.74 a year earlier.
Adjusted EBITDA was $62.1 million in the fourth quarter, up from $55.7 million a year earlier. Cracker Barrel said the total included a $9.1 million benefit related to tariff refunds, net of investments.
Cracker Barrel operates a chain of restaurant and retail stores that combine Southern-style dining with a country store concept, according to the company. At fiscal year-end, Cracker Barrel operated 655 company-owned stores in 43 states, compared with 657 Cracker Barrel stores a year earlier. The prior-year total of 725 also included 68 Maple Street Biscuit Company locations, a business Cracker Barrel divested in July 2026.
Cracker Barrel cautioned that its fiscal 2027 guidance is subject to risks including inflation in commodities and labor, competitive pressures, execution of its operating plans, and broader economic conditions, according to the release.
Deno said Cracker Barrel's strategic priorities around food, experience, and people are intended to sustain the improving trends into fiscal 2027, though the company said commodity and wage inflation, competitive pressures, and its ability to execute the plan remain risks to that outlook.