Brinker International Q1 FY25 Results Filed

TL;DR

Brinker Intl (EAT) filed 10-Q for Q1 FY25. Revenue & equity details out.

AI Summary

Brinker International, Inc. filed its 10-Q for the period ending September 25, 2024. The company reported its financial results, including company sales and franchise revenues for the first quarter of fiscal year 2025, comparing them to the same period in fiscal year 2024. The filing also details changes in equity accounts such as common stock and retained earnings as of June 26, 2024.

Why It Matters

This filing provides investors with the latest financial performance data for Brinker International, including key revenue figures and equity changes, crucial for assessing the company's current financial health and future prospects.

Risk Assessment

Risk Level: low — This is a routine quarterly financial filing (10-Q) that provides standard financial disclosures.

Key Numbers

• 2024-09-25 — End of Reporting Period (Fiscal Q1 2025)
• 2023-09-27 — Prior Year End of Period (Fiscal Q1 2024 comparison)

Key Players & Entities

• BRINKER INTERNATIONAL, INC (company) — Filer of the 10-Q
• 20240925 (date) — End of the reporting period
• 20241030 (date) — Filing date
• DALLAS (location) — Company headquarters city

FAQ

Key Financial Figures

• $0.10 — nge on which registered Common Stock, $0.10 par value EAT NYSE Indicate by chec
• $350.0 million — first quarter, on October 1, 2024, our $350.0 million 5.000% notes matured and the payoff was
• $900.0 million — ance with our covenants pursuant to the $900.0 million revolving credit facility and under the

Filing Documents

• eat-20240925.htm (10-Q) — 915KB
• fy25q1ex-31a10xq.htm (EX-31.A) — 11KB
• fy25q1ex-31b10xq.htm (EX-31.B) — 11KB
• fy25q1ex-32a10xq.htm (EX-32.A) — 5KB
• fy25q1ex-32b10xq.htm (EX-32.B) — 4KB
• eat-20240925_g1.jpg (GRAPHIC) — 107KB
• 0000703351-24-000040.txt ( ) — 5087KB
• eat-20240925.xsd (EX-101.SCH) — 35KB
• eat-20240925_cal.xml (EX-101.CAL) — 68KB
• eat-20240925_def.xml (EX-101.DEF) — 215KB
• eat-20240925_lab.xml (EX-101.LAB) — 460KB
• eat-20240925_pre.xml (EX-101.PRE) — 311KB
• eat-20240925_htm.xml (XML) — 564KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION 3

Financial Statements

Item 1. Financial Statements 3 Consolidated Statements of Comprehensive Income (Unaudited) - Thirteen Week Period Ended September 25, 2024 and September 27, 2023 3 Consolidated Balance Sheets - September 25, 2024 (Unaudited) and June 26, 2024 4 Consolidated Statements of Cash Flows (Unaudited) - Thirteen Week Period Ended September 25, 2024 and September 27, 2023 5 Consolidated Statements of Shareholders' Equity (Deficit) (Unaudited) - Thirteen Week Period Ended September 25, 2024 and September 27, 2023 6

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited) 7

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 18

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 27

Controls and Procedures

Item 4. Controls and Procedures 28

OTHER INFORMATION

PART II. OTHER INFORMATION 29

Legal Proceedings

Item 1. Legal Proceedings 29

Risk Factors

Item 1A. Risk Factors 29

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 29

Other Information

Item 5. Other Information 29

Exhibits

Item 6. Exhibits 30

SIGNATURES

SIGNATURES 30 2 Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS BRINKER INTERNATIONAL, INC. Consolidated Statements of Comprehensive Income (Unaudited) (In millions, except per share amounts) Thirteen Week Periods Ended September 25, 2024 September 27, 2023 Revenues Company sales $ 1,127.3 $ 1,002.0 Franchise revenues 11.7 10.5 Total revenues 1,139.0 1,012.5 Operating costs and expenses Food and beverage costs 284.3 258.8 Restaurant labor 377.4 348.1 Restaurant expenses 313.9 290.8 Depreciation and amortization 46.3 41.9 General and administrative 51.8 42.4 Other (gains) and charges 8.9 6.3 Total operating costs and expenses 1,082.6 988.3 Operating income 56.4 24.2 Interest expenses 14.3 17.0 Other income, net ( 0.2 ) — Income before income taxes 42.3 7.2 Provision for income taxes 3.8 — Net income $ 38.5 $ 7.2 Basic net income per share $ 0.86 $ 0.16 Diluted net income per share $ 0.84 $ 0.16 Basic weighted average shares outstanding 44.9 44.6 Diluted weighted average shares outstanding 45.9 45.4 Other comprehensive income (loss) Foreign currency translation adjustment $ 0.1 $ ( 0.2 ) Comprehensive income $ 38.6 $ 7.0 See accompanying Notes to Consolidated Financial Statements (Unaudited) 3 Table of Contents BRINKER INTERNATIONAL, INC. Consolidated Balance Sheets (In millions, except per share amounts) Unaudited September 25, 2024 June 26, 2024 ASSETS Current assets Cash and cash equivalents $ 16.2 $ 64.6 Accounts receivable, net 54.1 60.6 Inventories 31.2 34.5 Restaurant supplies 54.2 53.8 Prepaid expenses 27.9 20.6 Total current assets 183.6 234.1 Property and equipment, at cost Land 41.7 41.6 Buildings and leasehold improvements 1,694.2 1,670.2 Furniture and equipment 835.3 830.6 Construction-in-progress 27.9 41.0 2,599.1 2,583.4 Less accumulated depreciation and amortization ( 1,717.0 ) ( 1,703.7 ) Net property and equipment 882.1 879.7 Other assets Operating lease assets 1,084.8 1,095.2 Goodwill 194.9 194.8 Deferred income t

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited) Footnote Index Note # Description Page Note 1 Basis of Presentation 8 Note 2 Revenue Recognition 9 Note 3 Fair Value Measurements 10 Note 4 Accrued Liabilities 11 Note 5 Leases 11 Note 6 Debt 12 Note 7 Commitments and Contingencies 13 Note 8 Income Taxes 14 Note 9 Shareholders' Equity 14 Note 10 Net Income Per Share 14 Note 11 Other Gains and Charges 15 Note 12 Segment Information 15 7 Table of Contents Footnote Index 1. BASIS OF PRESENTATION References to "Brinker," the "Company," "we," "us," and "our" in this Form 10-Q refer to Brinker International, Inc. and its subsidiaries and any predecessor companies of Brinker International, Inc. Our Consolidated Financial Statements (Unaudited) as of September 25, 2024 and June 26, 2024, and for the thirteen week periods ended September 25, 2024 and September 27, 2023, have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). We own, develop, operate, and franchise the Chili's Grill & Bar ("Chili's") and Maggiano's Little Italy ("Maggiano's") restaurant brands. As of September 25, 2024 we owned, operated or franchised 1,625 restaurants, consisting of 1,170 Company-owned restaurants and 455 franchised restaurants, located in the United States, 28 other countries and two United States territories. Use of Estimates The preparation of the Consolidated Financial Statements (Unaudited) is in conformity with generally accepted accounting principles in the United States ("GAAP") and requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the Consolidated Financial Statements (Unaudited), and the reported amounts of revenues and costs and expenses in the reporting periods. Actual results could differ from those estimates. The information furnished he

Legal Proceedings

Legal Proceedings Evaluating contingencies related to litigation is a process involving judgment on the potential outcome of future events, and the ultimate resolution of litigated claims may differ from our current analysis. Accordingly, we review the adequacy of accruals and disclosures pertaining to litigated matters each quarter in consultation with legal counsel and we assess the probability and range of possible losses associated with contingencies for potential accrual in the Consolidated Financial Statements (Unaudited). We are engaged in various legal proceedings and have certain unresolved claims pending. Liabilities have been established based on our best estimates of our potential liability in certain of these matters. Based upon consultation with legal counsel, management is of the opinion that there are no matters pending or threatened which are expected to have a material adverse effect, individually or in the aggregate, on the consolidated financial condition or results of operations. 13 Table of Contents Footnote Index 8. INCOME TAXES Thirteen Week Perio