Cracker Barrel Leans into Strategic Plan Amid Inflationary Headwinds

TL;DR

**Cracker Barrel is betting on a strategic overhaul and alcohol sales to reignite growth, but inflation and competition are major hurdles.**

AI Summary

Cracker Barrel Old Country Store, Inc. (CBRL) reported its fiscal year ended August 1, 2025, with restaurants generating approximately 81% of total revenue. The company operates 657 Cracker Barrel stores across 43 states and 68 Maple Street Biscuit Company stores in 10 states as of September 12, 2025. CBRL announced a multi-year strategic plan in 2024 focused on driving relevancy, enhancing guest experience, and growing profitability, which includes modifying capital allocation for increased organic growth investment. Key initiatives include offering dine-in, pick-up, and delivery services, with approximately 93% of restaurants now serving beer and wine. The company faces significant risks from purchase price volatility and inflationary conditions, which may adversely affect its business and financial condition. Its aggregate market value of voting stock held by non-affiliates was $1,441,040,212 as of January 31, 2025, with 22,268,694 shares of common stock outstanding as of September 12, 2025.

Why It Matters

Cracker Barrel's strategic pivot, including increased investment in organic growth and expanded beverage offerings, is crucial for its long-term competitiveness against fast-casual and casual dining rivals. For investors, the success of this multi-year plan will dictate future profitability and stock performance, especially given the $1.44 billion market value of non-affiliate voting stock. Employees and customers will experience changes in store operations and menu offerings, impacting job roles and dining experiences. The broader market will watch how a traditional brand like Cracker Barrel adapts to evolving consumer preferences and inflationary pressures, setting a precedent for similar restaurant and retail concepts.

Risk Assessment

Risk Level: high — The filing explicitly states 'Purchase price volatility and inflationary conditions may have an adverse effect on our business, results of operations and financial condition, and measures we take to offset or mitigate such conditions may not be effective.' Additionally, the company faces 'intense competition' and risks related to its 'indebtedness' including 0.625% Convertible Senior Notes due 2026 and 1.75% Convertible Senior Notes due 2030, which could limit financial flexibility.

Analyst Insight

Investors should closely monitor the execution and financial impact of Cracker Barrel's multi-year strategic plan, particularly its ability to mitigate inflationary pressures and drive comparable store sales. Evaluate quarterly reports for progress on organic growth initiatives and the effectiveness of new offerings like beer and wine in boosting revenue and profitability.

Revenue Breakdown

Key Numbers

• $1.44B — Aggregate market value of voting stock held by non-affiliates (as of January 31, 2025, indicating significant public float)
• 22.27M — Shares of common stock outstanding (as of September 12, 2025)
• 657 — Cracker Barrel stores operated (as of September 12, 2025, across 43 states)
• 68 — Maple Street Biscuit Company stores operated (as of September 12, 2025, across 10 states)
• 81% — Percentage of total revenue from restaurants (in fiscal year 2025, highlighting core business segment)
• 93% — Percentage of restaurants serving beer and wine (indicating a significant expansion of beverage offerings)
• 2025 — Fiscal year end (August 1, 2025)

Key Players & Entities

• Cracker Barrel Old Country Store, Inc. (company) — registrant
• SEC (regulator) — filing oversight
• Nasdaq Stock Market LLC (company) — exchange for CBRL common stock
• Maple Street Biscuit Company (company) — subsidiary operation
• Private Securities Litigation Reform Act of 1995 (regulator) — safe harbor for forward-looking statements
• Tennessee (regulator) — state of incorporation
• Lebanon, Tennessee (person) — headquarters location
• 0.625% Convertible Senior Notes due 2026 (dollar_amount) — company indebtedness
• 1.75% Convertible Senior Notes due 2030 (dollar_amount) — company indebtedness

FAQ

Risk Factors

• Inflationary Conditions [high — market]: The company faces significant risks from inflationary conditions impacting the price of commodities, ingredients, transportation, distribution, and labor. These factors may adversely affect its business and financial condition by increasing operating costs.
• Economic and Market Conditions [medium — market]: Changes in international, national, regional, and local economic and market conditions, including the imposition of trade barriers or changes in trade policy, can negatively impact the company's business. These broader economic shifts can affect consumer spending and demand for the company's offerings.
• Supply Chain Disruptions [medium — operational]: Disruptions to the restaurant or retail supply chain pose a risk to the company's operations. Such disruptions can lead to stockouts, increased costs, and negatively impact the ability to serve customers effectively.
• Competition [medium — operational]: Increased competition at the company's locations can affect sales and create challenges in labor recruiting, cost, and retention. This competitive pressure requires continuous adaptation of strategies to maintain market share and operational efficiency.
• Consumer Behavior [medium — operational]: Shifts in consumer behavior, including preferences and spending habits, can materially impact the company's results. The company must adapt to evolving consumer demands to remain relevant and successful.
• Purchase Price Volatility [high — financial]: Volatility in purchase prices for key inputs can adversely affect the company's financial condition. This risk is particularly relevant given the reliance on commodities for its restaurant operations.

Industry Context

Cracker Barrel operates within the casual dining restaurant sector, which is characterized by intense competition and sensitivity to economic conditions. Key trends include the increasing demand for convenience (dine-in, pick-up, delivery), evolving consumer preferences for food and experience, and the impact of inflation on costs. The company's strategy aims to address these by driving relevancy and enhancing guest experience.

Regulatory Implications

The company must comply with various regulations related to food safety, labor, and environmental standards. Changes in trade policy or economic regulations could also impact its supply chain and operational costs. Cybersecurity is also a noted area of focus, requiring adherence to data protection standards.

What Investors Should Do

1. Monitor impact of inflationary pressures
2. Evaluate success of strategic plan initiatives
3. Assess competitive landscape and market share
4. Observe expansion of beverage offerings

Key Dates

• 2024-01-01: Announcement of multi-year strategic plan — This plan focuses on driving relevancy, enhancing guest experience, and growing profitability, including increased investment in organic growth.
• 2025-01-31: Aggregate market value of voting stock held by non-affiliates reported — $1,441,040,212, indicating a substantial public float and investor interest.
• 2025-08-01: Fiscal year end — Marks the end of the reporting period for the 10-K filing.
• 2025-09-12: Store count reported — 657 Cracker Barrel stores and 68 Maple Street Biscuit Company stores, providing a snapshot of the company's physical footprint.

Glossary

Exchange Act

The Securities Exchange Act of 1934, a U.S. federal law regulating the secondary trading of securities. (The company's periodic reports, including this 10-K, are filed with the SEC under this Act.)

Forward-looking statements

Statements about future events or performance that are based on current expectations and assumptions, and are subject to risks and uncertainties. (These statements are common in 10-K filings and are accompanied by disclaimers about potential material differences from actual results.)

Organic growth

Growth achieved through increasing sales of existing products and services, or by introducing new products and services, rather than through acquisitions. (The company's strategic plan includes modifying capital allocation to support increased investment in organic growth.)

Year-Over-Year Comparison

The provided text does not contain comparative data from the previous fiscal year's 10-K. Therefore, a direct comparison of key metrics such as revenue growth, margin changes, or the emergence of new risks cannot be made based on this excerpt. The current filing highlights a strategic plan initiated in 2024 and ongoing operational adjustments, suggesting a focus on adapting to current market conditions.

Key Financial Figures

• $0.01 — ch registered Common Stock (Par Value $0.01) Rights to Purchase Series A Junior
• $15 — average check per guest during 2025 was $15.23, which represents a 6.8% increase ov
• $489 — of retail selling space (approximately $489 per square foot in 2025) as compared to

Filing Documents

• cbrl-20250801x10k.htm (10-K) — 2366KB
• cbrl-20250801xex10daa.htm (EX-10.AA) — 17KB
• cbrl-20250801xex21.htm (EX-21) — 17KB
• cbrl-20250801xex23.htm (EX-23) — 3KB
• cbrl-20250801xex31d1.htm (EX-31.1) — 16KB
• cbrl-20250801xex31d2.htm (EX-31.2) — 16KB
• cbrl-20250801xex32d1.htm (EX-32.1) — 7KB
• cbrl-20250801xex32d2.htm (EX-32.2) — 9KB
• 0001104659-25-093663.txt ( ) — 10121KB
• cbrl-20250801.xsd (EX-101.SCH) — 74KB
• cbrl-20250801_cal.xml (EX-101.CAL) — 87KB
• cbrl-20250801_def.xml (EX-101.DEF) — 224KB
• cbrl-20250801_lab.xml (EX-101.LAB) — 677KB
• cbrl-20250801_pre.xml (EX-101.PRE) — 479KB
• cbrl-20250801x10k_htm.xml (XML) — 1666KB

BUSINESS

BUSINESS 7 ITEM 1A.

RISK FACTORS

RISK FACTORS 15 ITEM 1B. UNRESOLVED STAFF COMMENTS 32 ITEM 1C. CYBERSECURITY 32 ITEM 2.

PROPERTIES

PROPERTIES 34 ITEM 3.

LEGAL PROCEEDINGS

LEGAL PROCEEDINGS 35 ITEM 4. MINE SAFETY DISCLOSURES 35 INFORMATION ABOUT OUR EXECUTIVE OFFICERS 36 PART II ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES 38 ITEM 6. RESERVED 38 ITEM 7.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 38 ITEM 7A.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK. 55 ITEM 8.

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA 56 ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE 86 ITEM 9A.

CONTROLS AND PROCEDURES

CONTROLS AND PROCEDURES 86 ITEM 9B. OTHER INFORMATION 89 ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS 89 PART III ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE 89 ITEM 11.

EXECUTIVE COMPENSATION

EXECUTIVE COMPENSATION 89 ITEM 12.

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS 90 ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE 90 ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES 90 PART IV ITEM 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES 90 INDEX TO EXHIBITS 90

SIGNATURES

SIGNATURES 94 2 Table of Contents INTRODUCTION General Unless the context otherwise requires, references to "Company," "we," "us," and "our" refer to Cracker Barrel Old Country Store, Inc. and its direct and indirect wholly owned subsidiaries. This report contains references to years that are the Company's 52-week or 53-week fiscal year, which ends on the Friday nearest July 31 st in the calendar year. The periods presented in our financial statements are the fiscal years ended August 01, 2025 ("2025"), August 02, 2024 ("2024") and July 28, 2023 ("2023"), respectively. Each of these periods has 52 weeks except for 2024, which consisted of 53 weeks. All of the discussion in this report should be read with, and is qualified in its entirety by, the Consolidated Financial Statements and the notes thereto. All amounts other than share and certain statistical information (e.g., number of units) are in thousands unless the context clearly indicates otherwise. Similarly, references to a year or quarter are to our fiscal year or quarter unless expressly noted or the context clearly indicates otherwise. 3 Table of Contents

Forward-Looking Statements/Risk Factors

Forward-Looking Statements/Risk Factors Except for specific historical information, many of the matters discussed in this Annual Report on Form 10-K, as well as other documents incorporated herein by reference, may express or imply projections of items such as revenues or expenditures, estimated capital expenditures, compliance with debt covenants, plans and objectives for future operations, store economics, inventory shrinkage, growth or initiatives, expected future economic performance or the expected outcome or impact of pending or threatened litigation. These and similar statements regarding events or results that the Company expects will or may occur in the future are forward-looking statements concerning matters that involve risks, uncertainties and other factors which may cause our actual results and performance to differ materially from those expressed or implied by such forward-looking statements. All forward-looking information is provided pursuant to the safe harbor established under the Private Securities Litigation Reform Act of 1995 and should be evaluated in the context of these risks, uncertainties and other factors. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "trends," "assumptions," "target," "guidance," "outlook," "opportunity," "future," "plans," "goals," "objectives," "expectations," "near-term," "long-term," "projection," "may," "will," "would," "could," "expect," "intend," "estimate," "anticipate," "believe," "potential," "regular," "should," "projects," "forecasts" or "continue" (or the negative or other derivatives of each of these terms) or similar terminology. We believe the assumptions underlying any forward-looking statements are reasonable; however, any of the assumptions could be inaccurate, and therefore, actual results may differ materially from those projected in or implied by the forward-looking statements. In addition to the risks of ordinary business operations, and th

BUSINESS

ITEM 1. BUSINESS OVERVIEW Cracker Barrel Old Country Store, Inc. is principally engaged in the operation and development of the Cracker Barrel Old Country Store concept ("Cracker Barrel"). Originally founded in 1969, we are headquartered in Lebanon, Tennessee and are organized under the laws of the State of Tennessee. We maintain a website at crackerbarrel.com. We make available free of charge through our website our periodic and other reports filed with or furnished to the SEC pursuant to the Securities Exchange Act of 1934, as amended (the "Exchange Act"), as soon as reasonably practicable after we file such material with, or furnish it to, the SEC. Information on our website is not deemed to be incorporated by reference into this Annual Report on Form 10-K or any other filings that we make from time to time with the SEC. As of September 12, 2025, we operated 657 Cracker Barrel stores in 43 states and 68 Maple Street Biscuit Company stores in 10 states. The following description of our business should be read in conjunction with the information in Part II of this report under the caption "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Item 8. Financial Statements and Supplementary Data." Cracker Barrel Old Country Store Concept Our Cracker Barrel stores are intended to appeal to both the traveler and the local customer, and we believe they have consistently been a consumer favorite. We pride ourselves on our consistent quality, value and friendly service. As of September 12, 2025, no Cracker Barrel stores were franchised. In 2024, we announced our multi-year strategic plan. The multi-year strategic plan is anchored on three overarching business imperatives: driving relevancy, delivering food and an experience guests love, and growing profitability. We have undertaken certain initiatives as part of these imperatives, including modifying capital allocation to support increased investment in the business to

View Full Filing

View this 10-K filing on SEC EDGAR