Cracker Barrel (NASDAQ:CBRL) reported Q3 EPS of $1.29, $0.08 worse than the analyst estimate of $1.37. Revenue for the quarter came in at $790.2 million versus the consensus estimate of $798.39 million.
GUIDANCE:
Fiscal 2022 Fourth Quarter Outlook
The Company anticipates the near-term consumer environment will remain challenged due to high inflation and lower consumer confidence especially for the age sixty-five-plus consumer group. Additionally, the Company expects operating margins in the fourth quarter to be adversely impacted by commodity, wage, and other operating expenses inflation. Taking these and other factors into account, the Company anticipates fourth quarter 2022 revenue to be approximately 8.0% above the prior year fourth quarter, and fourth quarter 2022 adjusted1 operating income margin to be in the range of 4.0% to 4.5% of total revenue.
Additionally for the fourth quarter of fiscal 2022, the Company expects:
- Commodity inflation of 16% to 18% and wage inflation of 8% to 10%;
- Capital expenditures of approximately $30 million;
- An effective tax rate of approximately 8%; and
- The opening of six new Maple Street Biscuit Company units, bringing the total new store count for fiscal 2022 to 10 Maple Street Biscuit Company locations.