Latest news with #BigQP
Yahoo
30-04-2025
- Business
- Yahoo
Brinker International Inc (EAT) Q3 2025 Earnings Call Highlights: Strong Revenue Growth and ...
Total Revenue: $1,425 million for the third quarter. Consolidated Comp Sales: Positive 28.2%. Adjusted Diluted EPS: $2.66, up from $1.24 last year. Chili's Same Restaurant Sales: Up 31.6%. Chili's Traffic: Increased by 20.9%. Restaurant Operating Margin: 18.9% for the quarter. Maggiano's Comp Sales: Positive 0.4%. Adjusted EBITDA: Approximately $221 million, an 80% increase from prior year. Capital Expenditures: Approximately $80 million for the quarter. Debt Repayment: Approximately $125 million repaid during the quarter. Lease Adjusted Leverage Ratio: 1.9 times. Fiscal 2025 Revenue Guidance: $5.33 billion to $5.35 billion. Fiscal 2025 Adjusted Diluted EPS Guidance: $8.50 to $8.75. Fiscal 2025 Capital Expenditures Guidance: $265 million to $275 million. Warning! GuruFocus has detected 3 Warning Signs with EAT. Release Date: April 29, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Chili's delivered a strong quarter with same restaurant sales up 31.6% and traffic up 21%, significantly outpacing the industry. Restaurant operating margin improved to 18.9%, driven by sales leverage and operational simplification. The Big QP launch was successful, generating more media impressions than previous campaigns and boosting sales. Operational improvements, such as menu simplification and enhanced kitchen systems, have streamlined operations and improved efficiency. Brinker International Inc (NYSE:EAT) reported total revenues of $1,425 million with consolidated comp sales of positive 28.2%. Maggiano's reported only a 0.4% increase in comp sales, with traffic down 8.2%, indicating challenges in its turnaround strategy. The company faces macroeconomic headwinds, including consumer economic uncertainty and competitive promotional offers. There is concern about sustaining same-store sales growth as comparisons become tougher in upcoming quarters. Increased advertising spend and capital expenditures could pressure margins if not managed effectively. The company is still in the early stages of its turnaround strategy for Maggiano's, which may lead to traffic choppiness in the near term. Q: With tougher comparisons coming up, how confident are you in sustaining same-store sales growth? A: Kevin Hochman, President and CEO, emphasized their focus on improving the fundamentals of casual diningfood, service, and atmosphere. He expressed confidence in continuing to grow comps by maintaining these improvements, despite the challenges of tougher comparisons. Q: Are there any notable shifts in the contributors to your recent momentum, such as 3 for Me utilization or marketing benefits? A: Mika Ware, CFO, noted that momentum has been sustainable moving from Q3 into Q4. While they will roll off some price and mix, traffic remains strong year over year, indicating consistent momentum. Q: Can you clarify the CapEx guidance increase and what it entails? A: Mika Ware explained that the increase is primarily due to the installation of new TurboChef ovens and general equipment maintenance. This investment is part of their strategy to maintain updated assets and support elevated sales. Q: How do you plan to maintain or grow restaurant-level margins into FY26? A: Mika Ware expressed confidence in maintaining or growing margins by continuing to invest in the business, leveraging pricing power, and improving productivity as teams adapt to higher traffic levels. Q: How are you managing potential tariff impacts on costs, particularly for items like Tequila and avocados? A: Mika Ware stated that over 80% of their supply chain is domestically sourced, minimizing tariff impacts. They have flexibility to adjust their supply chain and believe their current pricing strategy can absorb any potential tariffs. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Express Tribune
16-04-2025
- Business
- Express Tribune
Chili's introduces 'fast food financing' amid soaring meal prices
As fast food prices continue to climb into absurd territory, Chili's is making a bold (and slightly cheeky) move to help hungry Americans fight back. The fan-favorite grill and bar chain is stepping in with a campaign that's part PSA, part real-world solution, and all sass. Introducing: Fast Food Financing — a two-day-only pop-up 'office' in New York City's Union Square (April 16–17), where Chili's is handing out $20 gift cards to offset the outrageous cost of fast food meals. And if that wasn't enough, they're giving away free Big QP burgers complete with fries, bottomless chips and salsa, and an unlimited drink—all part of the value-packed 3 For Me menu. The setup? Wild. Guests will go through a mock loan-approval process, mimicking an actual financing office, before being 'approved' to receive their gift card (while supplies last). Once cleared, they'll be ushered into a Chili's speakeasy for the full Big QP meal experience. The goal? Calling out the so-called value meals of major fast food chains by offering something actually worth your money. 'We believe Chili's 3 For Me menu, starting at just $10.99, has been the best value in the industry since we introduced it in 2022, and we just made it even better with the new Big QP burger, featuring a fast food flavour profile our guests will recognise,' said George Felix, Chili's chief marketing officer. 'But for those times when you can't get to a Chili's and find yourself settling for the drive-thru, we opened Fast Food Financing to help customers in their time of need.' The Big QP is Chili's latest burger flex, featuring 85% more beef than a Quarter Pounder® with Cheese and all the familiar flavors—American cheese, mustard, ketchup, pickles, and diced onions on deck. It joins the 3 For Me lineup alongside last year's Big Smasher, which doubled up the beef compared to a Big Mac. Even better? Unlike most fast food spots, $10.99 at Chili's gets you a full sit-down experience with bottomless everything. Meanwhile, McDonald's prices are creeping higher than your gas bill. So whether you're in NYC to take advantage of the Fast Food Financing stunt or just heading to your local Chili's, the message is clear: the best value doesn't come in a paper bag—it comes with a basket of bottomless chips.
Yahoo
15-04-2025
- Business
- Yahoo
The Restaurant Chain That Just Dropped A Quarter Pounder Copycat With More Beef
Chili's has been in the fast casual restaurant game for decades, and as food prices keep climbing, the chain's had to provide affordable menu options for hungry customers. Thankfully, Chili's just added a new burger to it's frugal 3 for Me lineup, offering a beverage, starter, and entree for $10.99 — and this new burger is taking a shot at McDonald's. In an email to Daily Meal, Chili's writes, "The Big QP delivers all the craveable flavors of your favorite classics, with two slices of American cheese, mustard, ketchup, pickles, dice onions, and 85% more beef than a Quarter Pounder® with Cheese." With nearly half a pound of beef in one patty, Chili's Big QP certainly earns its name. On April 16 and 17, Chili's fans in New York City can enjoy this burger at Fast Food Financing, a pop-up mock payday lender that "loans" visitors a coupon card to cover the price of the expensive burgers at the joint next door, which happens to be a McDonald's. However, attentive guests may notice a speakeasy-style setup inside, slinging the Big QP. Read more: The Ultimate Ranking Of Mexican Restaurant Chains Chili's has seen its ups and downs over the years but is now resurgent, and this innovative marketing campaign suggests that the chain is betting big on the Big QP's success. While this almost half-pound Quarter Pounder copycat might be another one of the big changes coming to Chili's in 2025 along with upgraded kitchen equipment, this burger is not the restaurant chain's first stab at a McDonald's-inspired sandwich. In 2024, Chili's released the Big Smasher, a version of its existing smash burger, dressed with diced red onions, lettuce, pickles, American cheese, and Thousand Island dressing. Although it lacks a sesame seed bun this structure is quite similar (and drew direct comparisons) to McDonald's Big Mac and its Thousand Island-like Big Mac sauce. The Big Smasher debuted on Chili's 3 for Me menu deal, and it seems to be a success, as it's still on the menu and now available alongside its copycat sibling, the Big QP. Hungry for more? Sign up for the free Daily Meal newsletter for delicious recipes, cooking tips, kitchen hacks, and more, delivered straight to your inbox. Read the original article on The Daily Meal.
Yahoo
15-04-2025
- Business
- Yahoo
Chili's is taking on McDonald's with a new menu item
Chili's has been among the hottest restaurant performers in year-over-year sales. The chain has deftly created a cool 'vibe' on social media, forged value on its menu, and become the darling of Darden, its corporate owner. It's largely been able to do this by giving diners a sit-down restaurant experience at a price comparable to fast-food. And the restaurant chain's latest salvo against the fast-food titans? The QP, an offering that will bring some head-to-head competition to McDonald's. The burger includes toppings familiar to lovers of the quarter pounder, which has long been a Golden Arches menu mainstay: two slices of American cheese, pickles, ketchup and diced onions. The QP, which boasts more beef than its fast-food rival, will join the chain's popular 3 For Me menu, which includes an entree, appetizer, and a beverage for $10.99. 'We believe Chili's 3 For Me menu has been the best value in the industry since we introduced it in 2022, and we just made it even better with the new Big QP burger, featuring a fast food flavor profile our guests will recognize,' Chili's chief marketing officer George Felix said in a press release. Christena Garduno, CEO of performance marketing agency Media Culture, calls the move a 'bold brand play.' It 'flirts with legal boundaries but obviously sparks attention,' Garduno says, adding that any legal risks are worth the attention the QP generates. 'The buzz alone gives Chili's a win in the awareness game,' she says. Garduno adds that the goal for Chili's isn't necessarily to poach McDonald's core customer, but to reignite interest among a broader audience. 'From a marketing lens, it's smart, timely, and engineered for headlines—because in today's crowded market, relevance is currency,' Garduno says. For the latest news, Facebook, Twitter and Instagram.
Yahoo
15-04-2025
- Business
- Yahoo
Chili's Starts Beef With McDonald's In The Form Of A Brand New Burger
Quarter Pounder, step aside, because there's a new version in town -- sort of. Chili's is firing shots at McDonald's by releasing its own Quarter Pounder-ish burger called the Big QP, which is being added to the Chili's 3 For Me menu. If you don't recall, the 3 For Me menu (which has done wonders for Chili's bottom line) is a three course lunch deal that starts you off with bottomless chips and salsa, gets you a main entree, and is served with fries and a drink, all sold at prices that are similar to that of fast food restaurants. The Big QP name is sort of a misnomer, however, because the burger patty Chili's uses is 85% larger than a quarter pound. This means it's 7.5 ounces before cooking it, as opposed to McDonald's four-ounce patty. So in reality, you're getting something that's more akin to a half-pound burger in a meal deal that also includes chips and salsa. The price for the Big QP 3 For Me meal is $10.99. To put this all into perspective, my nearest McDonald's location here in Chicago sells a Quarter Pounder meal for $10.19. The burger comes similarly dressed to McDonald's Quarter Pounder with two slices of American cheese, ketchup, mustard, diced red onions (a slight deviation from McDonald's), and pickles. With ever-rising fast food prices, it's clear Chili's is reaching down to meet potential customers while they're hunting for the best bang for their buck. (And not terribly long after one of McDonald's worst food contamination issues in recent history.) Read more: We Tried 9 Chain Restaurant Burgers And Ranked Them Worst To Best If you think this burger is some kind of miraculous coincidence with McDonald's, things start to get a little harder to refute when you realize Chili's has had a Big Mac-ish burger on its menu since last April called the Big Smasher, which was also released as part of its 3 For Me menu. It has that same large burger patty, American cheese, Thousand Island dressing, shredded lettuce, pickles, and diced red onions. Its original press release even touted the fact that the Big Smasher has twice the beef of a Big Mac (it called the burger out by name), and it's still part of the meal deal at the $10.99 price point. Another notable fact is that these meals are available to-go, which means you don't need to sit down at a Chili's location to eat them, so long as you order them beforehand for pickup. So there is that slight concession, considering Chili's isn't a drive-thru restaurant. But with the Big QP and the Big Smasher now on Chili's deal menu, along with its chicken tenders (which McDonald's will be releasing a version of this year), the brand is continuing to go toe-to-toe with the Golden Arches. For more food and drink goodness, join The Takeout's newsletter. Get taste tests, food & drink news, deals from your favorite chains, recipes, cooking tips, and more! Read the original article on The Takeout.
