Brinker International, Inc. ( EAT ) shares are trading higher in the premarket session on Wednesday.

The company reported fourth-quarter adjusted earnings per share of $2.49, beating the analyst consensus estimate of $2.45.

Quarterly sales of $1.462 billion (+21% year over year) outpaced the Street view of $1.437 billion.

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“We now have delivered a Q4 2 year sales growth of +39% and 3-year of +45%. With that sustained momentum along with a strong pipeline of initiatives, we are confident in our ability to grow sales and traffic throughout Fiscal 2026,” said Kevin Hochman, President & CEO of Brinker International ( EAT ).

Company comparable restaurant sales increased 21.3%, including 23.7% for Chili’s. Chili’s sales growth this quarter was driven primarily by continued increases in traffic, supported by menu innovation.

“Chili’s is officially back, baby back,” the CEO added.

Franchise revenues in the quarter under review increased to $13 million from $11.7 million a year ago.

Operating income in the fourth quarter almost doubled to $142.7 million, compared with $73.1 million in the year-ago period. Operating margin in the quarter under review expanded to 9.8% from 6.1% in the year-ago period.

Meanwhile, restaurant operating margin increased to 17.8% from 15.2%.

Adjusted EBITDA jumped to $212.4 million in the fourth quarter from $141.8 million a year ago.

The company exited the quarter with cash and equivalents worth $18.9 million, lower than $64.6 million in the year-ago period.

Brinker ( EAT ) owns, operates or franchises more than 1,600 restaurants in the United States, 27 other countries and two U.S. territories. 

Outlook

Brinker International ( EAT ) projects fiscal year 2026 adjusted EPS of $9.90 to $10.50, above the $8.84 consensus estimate.

The company expects sales of $5.6 billion to $5.7 billion, topping the $5.36 billion forecast.

Price Action: EAT shares are trading higher by 9.44% to $170.00 premarket at last check Wednesday.

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