Red Robin Gourmet Burgers, Inc. Reports Results for the Fiscal First Quarter Ended April 19, 2026
Rhea-AI Summary
Red Robin (NASDAQ:RRGB) reported fiscal Q1 2026 results for the 16 weeks ended April 19, 2026. Total revenues were $378.3 million and restaurant revenues were $371.1 million. Comparable restaurant revenue declined 0.6%, with a 1.6% traffic decrease and 1.0% higher average guest check.
Income from operations was $5.5 million (1.5% margin) and net loss was $2.2 million, or $(0.12) per diluted share. Restaurant level operating profit was $54.8 million with a 14.8% margin. Adjusted EBITDA was $27.3 million. The company ended the quarter with $175.7 million of credit facility borrowings and about $40.8 million in liquidity.
Red Robin reaffirmed its fiscal 2026 outlook, including comparable restaurant revenue growth of 0.5%–1.5%, restaurant level operating profit of about 13.0%, adjusted EBITDA of $70–$73 million, and capital expenditures of $25–$30 million.
Positive
- Restaurant level operating profit margin improved to 14.8%, up 50 basis points year-over-year
- Average guest check increased 1.0%, partially offsetting lower traffic
- Fiscal 2026 comparable restaurant revenue growth guidance reaffirmed at 0.5%–1.5%
- Fiscal 2026 adjusted EBITDA guidance reaffirmed at $70–$73 million
- Quarter-end liquidity of approximately $40.8 million, including cash and credit availability
Negative
- Total revenues declined to $378.3 million from $392.4 million year-over-year
- Comparable restaurant revenue decreased 0.6%, driven by a 1.6% drop in guest traffic
- Net result shifted to a $2.2 million loss versus $1.2 million income in prior year
- Adjusted EBITDA fell to $27.3 million from $27.9 million year-over-year
- Higher marketing costs contributed to the adjusted EBITDA decline
- Outstanding credit facility borrowings stood at $175.7 million at quarter end
News Market Reaction – RRGB
In the May 20 session, RRGB gained 18.18%, reflecting a significant positive market reaction. Argus tracked a peak move of +39.1% during that session. Our momentum scanner triggered 28 alerts that day, indicating elevated trading interest and price volatility. Trading volume was exceptionally heavy at 7.1x the daily average, suggesting very strong buying interest.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 13 | Beverage lineup launch | Positive | +3.3% | Introduced new summer cocktails and beverages timed with World Cocktail Day. |
| May 05 | Earnings date notice | Neutral | +4.5% | Announced timing and access details for upcoming Q1 2026 earnings call. |
| Apr 29 | CFO appointment | Positive | -2.2% | Named experienced Bloomin’ Brands executive Mark Graff as new CFO. |
| Apr 13 | New burger launch | Positive | -2.9% | Launched limited-time towering double cheeseburger sliders with promotional offer. |
| Feb 25 | FY 2025 results | Positive | -2.4% | Reported higher adjusted EBITDA, narrower net loss, and issued 2026 guidance. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Recent operational and product news often saw negative or muted reactions, even when fundamentals or new offerings appeared positive.
Over the last six months, Red Robin has mixed news flow. Product and marketing launches on Apr 13 and May 13 focused on menu and beverage innovation, with only the beverage launch seeing a positive move. Leadership changes, including a new CFO announced on Apr 29, drew a negative reaction. Fiscal 2025 results on Feb 25 showed higher adjusted EBITDA and narrowed net loss but still saw shares trade lower, hinting at cautious sentiment into today’s Q1 update.
Key Terms
comparable restaurant revenue financial
restaurant level operating profit margin financial
adjusted ebitda financial
capital expenditures financial
non-gaap financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Chief Executive Officer Comments
"During the first quarter of 2026, we delivered continued progress in traffic trends and restaurant-level profitability at levels we haven't achieved in several years, reflecting the growing momentum behind our First Choice strategic plan," said Dave Pace, Red Robin's President and Chief Executive Officer.
"This performance was driven by the successful launch of our new menu, which reflects a sharper focus on innovation, craveability, and value, along with targeted marketing investments that amplified awareness of our Big Yummm value platform and strengthened guest engagement through more personalized outreach. At the same time, we continued to improve restaurant operations by driving labor efficiencies, simplifying execution, and empowering our Managing Partners to deliver a better overall guest experience."
First Quarter 2026 Financial Summary:
The following table presents financial results for the fiscal first quarter 2026, compared to results from the same period in 2025 ($ in millions except per share data):
Sixteen Weeks Ended | ||||
April 19, 2026 | April 20, 2025 | |||
Total revenues | $ 378.3 | $ 392.4 | ||
Restaurant revenues | $ 371.1 | $ 385.8 | ||
Comparable restaurant revenue(1) | (0.6) % | 3.2 % | ||
Income (loss) from operations | $ 5.5 | $ 9.1 | ||
Income (loss) from operations as a percent of total revenues | 1.5 % | 2.3 % | ||
Restaurant Level Operating Profit(2) | $ 54.8 | $ 55.0 | ||
Restaurant Level Operating Profit Margin(2) | 14.8 % | 14.3 % | ||
Net income (loss) | $ (2.2) | $ 1.2 | ||
Adjusted EBITDA(2) | $ 27.3 | $ 27.9 | ||
Net income (loss) per share - diluted | $ (0.12) | $ 0.07 | ||
Adjusted net income (loss) per share - diluted(2) | $ 0.13 | $ 0.19 | ||
(1) | Comparable restaurant revenue represents revenue from Company-owned restaurants that have operated for at least 18 months as of the beginning of the period presented, excluding the impact of deferred loyalty revenue. |
(2) | See "Reconciliation of Non-GAAP Results to GAAP Results" for more details. |
First Quarter 2026 Commentary
- Comparable restaurant revenue decreased
0.6% . This included a1.6% decrease in guest traffic, and a1.0% increase in average guest check. - Restaurant level operating profit margin of
14.8% , a 50 basis point improvement from the first quarter of 2025. This improvement was primarily driven by higher average guest check and the benefits of efficiency initiatives offsetting the impact of inflation and lower guest traffic. - Adjusted EBITDA of
$27.3 million 2.1% decrease from the first quarter of 2025. This decrease was driven by increased marketing costs, partially offset by general and administrative efficiencies.
Balance Sheet and Liquidity
As of April 19, 2026, the Company had outstanding borrowings under its credit facility of
Outlook for Fiscal 2026 and Guidance Policy
The Company is reaffirming its previously issued fiscal 2026 guidance, presented below. The projections are as of this date and the Company assumes no obligation to update or supplement this information.
- Comparable Restaurant Revenue growth, excluding deferred loyalty revenue, of
0.5% to1.5% ; - Restaurant level operating profit of approximately
13.0% ; - Adjusted EBITDA of
$70 million $73 million - Capital expenditures of
$25 million $30 million
Providing income (loss) from operations and net income (loss) guidance is potentially misleading and not practical given the difficulty of projecting event-driven transactional and other non-core operating items. As such, we do not present a reconciliation of forecasted non-GAAP measures to the corresponding GAAP measures.
Investor Conference Call and Webcast
Red Robin will host an investor conference call to discuss its first quarter of 2026 results, and outlook for fiscal 2026 today at 4:30 p.m. ET. The conference call can be accessed live over the phone by dialing 201-689-8560, which will be answered by an operator or by clicking Call Me. The conference call should be accessed at least 10 minutes prior to its scheduled start.
A replay will be available from approximately two hours after the end of the call and can be accessed by dialing 412-317-6671; the conference ID is 13759219. The replay will be available through Tuesday, May 26, 2026.
The call will be webcast live and later archived from the Company's Investor Relations website.
Red Robin Gourmet Burgers, Inc. (NASDAQ: RRGB)
Red Robin Gourmet Burgers, Inc. (www.redrobin.com), is a casual dining restaurant chain founded in 1969 that operates through its wholly-owned subsidiary, Red Robin International, Inc., and under the trade name, Red Robin Gourmet Burgers and Brews. We believe nothing brings people together like burgers and fun around our table, and no one makes moments of connection over craveable food more memorable than Red Robin. We serve a variety of burgers and mainstream favorites to guests of all ages in a casual, playful atmosphere. In addition to our many burger offerings, Red Robin serves a wide array of salads, appetizers, entrees, desserts, signature beverages and Donatos® pizza at select locations. It's easy to enjoy Red Robin anywhere with online ordering available for to-go, delivery and catering. Sign up for the royal treatment by joining Red Robin Royalty® today and enjoy Bottomless perks and delicious rewards across nearly 500 Red Robin locations in
Forward-Looking Statements
Forward-looking statements in this press release and in today's conference call regarding the Company's future performance; our "First Choice" plan, growing momentum, and the anticipated impacts thereof; our expectations about pricing and average check size; anticipated capital deployment initiatives; our targeted marketing strategy and ability to drive sales and traffic; our capital structure initiatives including refinancing and refranchising; our ability to gain and sustain efficiency in our G&A, labor, and operations to deliver growth in profitability; changes to our restaurant portfolio; our restaurant refresh program and technology investments; and statements under the heading "Outlook for Fiscal 2026 and Guidance Policy," including with respect to comparable restaurant revenue growth, restaurant level operating profit, capital expenditures and Adjusted EBITDA; and all other statements that are not historical facts are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on assumptions believed by the Company to be reasonable and speak only as of the date on which such statements are made. Without limiting the generality of the foregoing, words such as "expect," "believe," "anticipate," "intend," "plan," "project," "could," "should," "will," "outlook" or "estimate," or the negative or other variations thereof or comparable terminology are intended to identify forward-looking statements. Except as required by law, the Company undertakes no obligation to update such statements to reflect events or circumstances arising after such date and cautions investors not to place undue reliance on any such forward-looking statements. Forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from those described in the statements, including but not limited to the following: the effectiveness of the Company's strategic initiatives, including our "First Choice" plan, labor and service models, and operational improvement initiatives and our ability to execute on such strategic initiatives; the global and domestic economic and geopolitical environment; our ability to effectively compete in the industry and attract and retain guests; our ability to extend or refinance our maturing indebtedness; the adequacy of cash flows and the cost and availability of capital or credit facility borrowings; our ability to service our debt and comply with the covenants in our credit facility; a privacy or security breach or a failure of our information technology systems; the effectiveness and timing of the Company's marketing and branding strategies and impact on reputation, including the loyalty program and social media platforms; changes in consumer preferences; costs associated with our lease obligations, including those incurred through closures and sale-leaseback transactions, as well as potential contingent lease liability; changes in cost and availability of commodities and the uncertain impact of tariffs or other potential disruptions in the supply chain; interruptions in the delivery of food and other products from third parties; pricing increases and labor costs; changes in consumer behavior or preference; aging technology infrastructure; our ability to successfully complete tactical refranchising initiatives and on favorable terms; maintaining and improving our existing restaurants; potential acquisitions, dispositions, or refranchising of our restaurants; our geographic concentration in the
Comparable Restaurant Revenue
The following table presents the percentage change in comparable restaurant revenue in the first quarter of fiscal 2026:
Increase (Decrease) Versus Prior Year | ||
Sixteen Weeks Ended | Sixteen Weeks Ended | |
April 19, 2026 | April 20, 2025 | |
Guest traffic | (1.6) % | (3.5) % |
Average guest check | 1.0 % | 6.7 % |
Total change in comparable restaurant revenue | (0.6) % | 3.2 % |
RED ROBIN GOURMET BURGERS, INC. | ||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | ||||
(In thousands, except per share data) | ||||
(Unaudited) | ||||
Sixteen Weeks Ended | ||||
April 19, 2026 | April 20, 2025 | |||
Revenues: | ||||
Restaurant revenue | $ 371,101 | $ 385,809 | ||
Franchise revenue | 4,932 | 4,489 | ||
Other revenue | 2,228 | 2,053 | ||
Total revenues | $ 378,261 | $ 392,351 | ||
Costs and expenses: | ||||
Restaurant operating costs (excluding depreciation and amortization shown separately | ||||
Cost of sales | $ 86,600 | $ 88,028 | ||
Labor | 132,393 | 143,058 | ||
Other operating | 65,704 | 67,532 | ||
Occupancy | 31,645 | 32,197 | ||
Depreciation and amortization | 15,263 | 15,434 | ||
General and administrative | 23,092 | 26,989 | ||
Selling | 13,247 | 9,376 | ||
Other (gains) charges, net | 4,830 | 676 | ||
Total costs and expenses | $ 372,774 | $ 383,290 | ||
Income (loss) from operations | $ 5,487 | $ 9,061 | ||
Other (income) expense: | ||||
Interest expense | $ 7,772 | $ 8,066 | ||
Interest (income) and other, net | (136) | (251) | ||
Total other expenses, net | $ 7,636 | $ 7,815 | ||
Income (loss) before income taxes | $ (2,149) | $ 1,246 | ||
Income tax (benefit) expense | $ 29 | $ (3) | ||
Net income (loss) | $ (2,178) | $ 1,249 | ||
Income (loss) per share: | ||||
Basic | $ (0.12) | $ 0.07 | ||
Diluted | $ (0.12) | $ 0.07 | ||
Weighted average shares outstanding: | ||||
Basic | 18,120 | 17,546 | ||
Diluted | 18,120 | 18,302 | ||
RED ROBIN GOURMET BURGERS, INC. | ||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||
(In thousands, except per share amounts) | ||||
(Unaudited) | ||||
April 19, 2026 | December 28, 2025 | |||
Assets: | ||||
Current assets: | ||||
Cash and cash equivalents | $ 24,275 | $ 19,924 | ||
Accounts receivable, net | 13,401 | 19,441 | ||
Inventories | 24,945 | 25,729 | ||
Prepaid expenses and other current assets | 13,813 | 14,234 | ||
Restricted cash | 9,647 | 9,615 | ||
Total current assets | $ 86,081 | $ 88,943 | ||
Property and equipment, net | 150,145 | 158,105 | ||
Operating lease assets, net | 288,279 | 295,996 | ||
Intangible assets, net | 8,650 | 9,155 | ||
Assets held for sale | 2,263 | 2,263 | ||
Other assets, net | 8,427 | 9,065 | ||
Total assets | $ 543,845 | $ 563,527 | ||
Liabilities and stockholders' equity (deficit): | ||||
Current liabilities: | ||||
Accounts payable | $ 30,860 | $ 31,391 | ||
Accrued payroll and payroll-related liabilities | 39,076 | 44,039 | ||
Unearned revenue | 16,838 | 27,287 | ||
Current portion of operating lease liabilities | 49,949 | 49,111 | ||
Accrued liabilities and other | 47,964 | 46,801 | ||
Total current liabilities | $ 184,687 | $ 198,629 | ||
Long-term debt | 171,149 | 164,741 | ||
Long-term portion of operating lease liabilities | 288,160 | 300,055 | ||
Other non-current liabilities | 6,504 | 6,450 | ||
Total liabilities | $ 650,500 | $ 669,875 | ||
Stockholders' equity (deficit): | ||||
Common stock; | $ 22 | $ 22 | ||
Preferred stock, | — | — | ||
Treasury stock 3,798 and 4,041 shares, at cost, as of April 19, 2026 and December 28, 2025 | (134,573) | (143,247) | ||
Paid-in capital | 206,377 | 213,180 | ||
Accumulated other comprehensive income (loss), net of tax | (60) | (60) | ||
Retained earnings (accumulated deficit) | (178,421) | (176,243) | ||
Total stockholders' equity (deficit) | $ (106,655) | $ (106,348) | ||
Total liabilities and stockholders' equity (deficit) | $ 543,845 | $ 563,527 | ||
Reconciliation of Non-GAAP Results to GAAP Results
In addition to the results provided in accordance with accounting principles generally accepted in
We believe that our use of non-GAAP financial measures permits investors to assess the operating performance of our business relative to our performance based on GAAP results and relative to other companies within the restaurant industry by isolating the effects of certain items that may vary from period to period without correlation to core operating performance or that vary widely among similar companies. Management believes this supplemental information will assist with comparisons of past and future financial results against the present financial results presented herein.
Restaurant Level Operating Profit
The Company believes restaurant level operating profit is an important measure for management and investors because it is widely regarded in the restaurant industry as a useful metric by which to evaluate restaurant level operating efficiency and performance. The Company defines restaurant level operating profit to be income from operations less franchise revenue and other revenue, plus other (gains) charges, net, selling, general and administrative, and depreciation and amortization. The measure includes restaurant level occupancy costs that include fixed rents, percentage rents, common area maintenance charges, real estate and personal property taxes, general liability insurance, and other property costs, but excludes depreciation and amortization expense, substantially all of which is related to restaurant level assets, because such expenses represent historical sunk costs which do not reflect current cash outlay for the restaurants. The measure also excludes costs associated with selling, general and administrative functions, as well as other (gains) charges, net because these costs are non-operating and therefore not related to the ongoing operations of its restaurants. Restaurant level operating profit is not a measurement determined in accordance with GAAP and should not be considered in isolation, or as an alternative, to income (loss) from operations as an indicator of financial performance. Restaurant level operating profit as presented may not be comparable to other similarly titled measures of other companies in the Company's industry.
The following table reconciles income (loss) from operations to restaurant level operating profit in thousands and in percent of total revenue for the period presented:
Sixteen Weeks Ended | |||||||
April 19, 2026 | April 20, 2025 | ||||||
Income (loss) from operations | $ 5,487 | 1.5 % | $ 9,061 | 2.3 % | |||
Less: | |||||||
Franchise revenue and other revenue | $ 7,160 | 1.9 % | $ 6,542 | 1.6 % | |||
Add: | |||||||
Other (gains) charges, net | $ 4,830 | 1.3 % | $ 676 | 0.2 % | |||
General and administrative | 23,092 | 6.1 | 26,989 | 6.9 | |||
Selling | 13,247 | 3.5 | 9,376 | 2.4 | |||
Depreciation and amortization | 15,263 | 4.0 | 15,434 | 3.9 | |||
Restaurant level operating profit | $ 54,759 | 14.8 % | 14.3 % | ||||
Income (loss) from operations as a percentage of total revenues | 1.5 % | 2.3 % | |||||
Restaurant level operating profit margin (as a percentage of restaurant revenue) | 14.8 % | 14.3 % | |||||
EBITDA and Adjusted EBITDA
We define EBITDA as net income (loss) before interest expense, income taxes, and depreciation and amortization. Adjusted EBITDA is EBITDA, further adjusted to exclude the impact of non-operating items including changes in estimates, asset impairments, litigation contingencies, gains (losses) on debt extinguishment, restaurant and office closure costs, gains (losses) on restaurant sales, severance and executive transition costs, stock-based compensation expense and other non-cash or discrete items. EBITDA and adjusted EBITDA are supplemental measures of our performance that we believe gives the reader additional insight into the ongoing operational results of the Company.
The following table reconciles net income (loss) to adjusted EBITDA in thousands for the period presented:
Sixteen Weeks Ended | |||
April 19, 2026 | April 20, 2025 | ||
Net income (loss) as reported | $ (2,178) | $ 1,249 | |
Interest expense, net(1) | 7,704 | 7,964 | |
Income tax (benefit) expense | 29 | (3) | |
Depreciation and amortization | 15,263 | 15,434 | |
EBITDA | $ 20,818 | $ 24,644 | |
Stock-based compensation expense(2) | $ 1,664 | $ 2,589 | |
Other (gains) charges, net: | |||
Asset impairment and restaurant closure costs, net | $ 1,753 | $ 210 | |
Gain on sale of restaurant property | — | (1,137) | |
Severance and executive transition | 70 | 880 | |
Litigation contingencies | 87 | 12 | |
Asset disposal and other, net | 2,920 | 711 | |
Adjusted EBITDA | $ 27,312 | $ 27,909 | |
(1) | Interest expense, net was comprised of interest expense and interest income, the latter of which was included in interest (income) and other, net on the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss). |
(2) | Consisted of compensation expense associated with stock-based awards including phantom awards that may be settled in stock or cash at the Company's option and stock appreciation rights, which are settled in cash. |
Adjusted Net Income (loss) Per Diluted Share
We define adjusted net income (loss) per diluted share as net income (loss) excluding the impact of non-operating items including changes in estimates, asset impairments, litigation contingencies, gains (losses) on debt extinguishment, restaurant and office closure costs, gains (losses) on restaurant sales, severance and executive transition costs, stock-based compensation expense and other non-cash or discrete items; net of income tax impacts. Adjusted net income (loss) per share - diluted is a supplemental measure of our performance that we believe gives the reader additional insight into the ongoing operational results of the Company.
The following table reconciles net income (loss) to adjusted net income (loss) and adjusted net income (loss) per share - diluted for the period presented:
Sixteen Weeks Ended | ||||
(Dollars and shares in thousands, except per share amounts) | April 19, 2026 | April 20, 2025 | ||
Net income (loss) as reported | $ (2,178) | $ 1,249 | ||
Stock-based compensation expense(1) | 1,664 | 2,589 | ||
Other (gains) charges, net: | ||||
Asset impairment and restaurant closure costs, net | 1,753 | 210 | ||
Gain on sale of restaurant property | — | (1,137) | ||
Severance and executive transition | 70 | 880 | ||
Litigation contingencies | 87 | 12 | ||
Asset disposal and other, net | 2,920 | 711 | ||
Income tax effect(2) | (1,688) | (849) | ||
Adjusted net income (loss) | $ 2,628 | $ 3,665 | ||
Adjusted net income (loss) per diluted share: | ||||
Net income (loss) as reported | $ (0.12) | $ 0.07 | ||
Stock-based compensation expense(1) | 0.08 | 0.14 | ||
Other (gains) charges, net: | ||||
Asset impairment and restaurant closure costs, net | 0.09 | 0.01 | ||
Gain on sale of restaurant property | — | (0.06) | ||
Severance and executive transition | — | 0.05 | ||
Litigation contingencies | — | — | ||
Asset disposal and other, net | 0.16 | 0.03 | ||
Income tax effect(2) | (0.08) | (0.05) | ||
Adjusted net income (loss) per share - diluted | $ 0.13 | $ 0.19 | ||
Weighted average shares outstanding: | ||||
Basic | 18,120 | 17,546 | ||
Diluted(3) | 20,478 | 18,302 | ||
(1) | Consists of compensation expense associated with stock-based awards including phantom awards that may be settled in stock or cash at the Company's option and stock appreciation rights, which are settled in cash. |
(2) | Assumed a |
(3) | Dilutive securities were included in the computation of adjusted net income (loss) per share - diluted for the sixteen weeks ended April 19, 2026, because the Company reported an adjusted net income for the period. This differs from the GAAP net income (loss) per share - diluted calculation seen on the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) as the Company reported a net loss for the sixteen weeks ended April 19, 2026. |
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SOURCE Red Robin Gourmet Burgers, Inc.