Brinker International Inc. reported first‑quarter 2026 financial results with total revenues of $1.349 billion, up 18.5% year‑over‑year, and net income of $99.5 million, or $2.17 per diluted share. Operating income rose to $117.9 million, giving an operating margin of 8.7% versus 5.0% in the prior year.
Chili’s drove the growth, with comparable restaurant sales up 21.4% and company sales of $1.236 billion. Maggiano’s experienced a 6.4% decline in comparable sales, attributed to traffic choppiness and a menu simplification strategy. Management highlighted Chili’s investment in food quality, service, and menu innovation—such as the upgraded ribs platform and frozen Patrón Margaritas—as key drivers of its performance, while noting that Maggiano’s “Back to Maggiano’s” initiative focuses on classic recipes, service improvements, and management engagement to revive the brand.
In the prior quarter (Q1 FY2025), Brinker posted net income of $38.5 million and diluted EPS of $0.84. The company’s operating margin in that period was 5.0%, and comparable restaurant sales were $1.127 billion. The current quarter’s results more than double year‑over‑year earnings and reflect a significant improvement in sales leverage and cost control, despite commodity inflation and higher labor costs.
Brinker reiterated its fiscal 2026 guidance, projecting revenue of $5.60‑$5.70 billion and diluted EPS of $9.90‑$10.50. Capital expenditures are expected to be $270‑$290 million. Management expressed confidence in Chili’s continued momentum while acknowledging margin pressure from commodity inflation and the need to sustain investment in technology and menu innovation.
The company repurchased $92 million of common stock during the quarter, underscoring its commitment to shareholder value.
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