Bloomin' Brands (NASDAQ:BLMN) Issues Quarterly Earnings Results

Key Points

• Q2 results exceeded expectations: Adjusted EPS was $0.39 versus the $0.29 consensus, while revenue reached $1.02 billion, up 1.3% year over year. U.S. comparable restaurant sales rose 2.3% and operating margins improved.
• Full-year outlook was raised: Bloomin’ Brands increased FY 2026 adjusted EPS guidance to $0.90–$1.00 from $0.75–$0.90, supported by improved sales mix, cost controls and progress in the Outback turnaround.
• Near-term risks remain: Q3 adjusted EPS is expected to be a loss of $0.27–$0.22, with commodity inflation projected at 4.5%–5.5% for the year. Traffic remains negative across key brands, while the company continues to face thin margins and elevated leverage.

Bloomin' Brands (NASDAQ:BLMN - Get Free Report) announced its earnings results on Wednesday. The restaurant operator reported $0.39 earnings per share for the quarter, topping analysts' consensus estimates of $0.29 by $0.10, FiscalAI reports. Bloomin' Brands had a net margin of 0.55% and a return on equity of 28.00%. The company had revenue of $1.02 billion during the quarter, compared to the consensus estimate of $1 billion. During the same period in the previous year, the firm posted $0.32 earnings per share. The company's revenue was up 1.3% on a year-over-year basis. Bloomin' Brands updated its FY 2026 guidance to 0.900-1.000 EPS and its Q3 2026 guidance to -0.270--0.220 EPS.

Here are the key takeaways from Bloomin' Brands' conference call:

• Second-quarter results exceeded the prior year: U.S. comparable restaurant sales rose 2.3%, adjusted EPS increased to $0.39 from $0.32, and adjusted operating margin expanded to 4.0% from 3.5%.
• Management raised full-year 2026 adjusted EPS guidance to $0.90–$1.00 from $0.75–$0.90, citing year-to-date performance, improved sales mix, and stronger cost controls; full-year comparable sales guidance remains 1%–2%.
• The Outback turnaround is showing progress, with guest scores improving for a fourth consecutive quarter and benefits from the upgraded steak lineup, a four-table-per-server peak-hour model, affordable three-course offers, and increased premium-item trading.
• Traffic remained negative at Outback, Carrabba’s, and Fleming’s despite positive comparable sales, partly because the company did not repeat prior-year profit-dilutive delivery promotions; management emphasized that sustainable traffic recovery may take time.
• Commodity inflation was 5.7% in the quarter and is expected to remain approximately 4.5%–5.5% for the year, while third-quarter adjusted EPS is projected at -$0.27 to -$0.22, including about $5 million of tax expense and a roughly $2 million Brazil investment loss.

Bloomin' Brands Trading Up 32.8%

Shares of Bloomin' Brands stock traded up $2.93 during trading hours on Wednesday, hitting $11.85. The company's stock had a trading volume of 10,728,403 shares, compared to its average volume of 2,579,155. The company has a market capitalization of $1.01 billion, a PE ratio of 47.40, a price-to-earnings-growth ratio of 7.21 and a beta of 1.22. The company has a debt-to-equity ratio of 1.89, a current ratio of 0.26 and a quick ratio of 0.19. The stock has a 50 day moving average of $8.26 and a 200 day moving average of $7.14. Bloomin' Brands has a 12 month low of $5.19 and a 12 month high of $12.63.

Key Stories Impacting Bloomin' Brands

Here are the key news stories impacting Bloomin' Brands this week:

• Positive Sentiment: Q2 earnings and revenue topped estimates. Adjusted EPS was $0.39, above the roughly $0.28–$0.29 analyst consensus and up from $0.32 a year earlier. Revenue reached $1.02 billion, slightly exceeding expectations of $1.00 billion and increasing 1.3% year over year. Bloomin' Brands Announces 2026 Q2 Financial Results
• Positive Sentiment: Bloomin’ Brands raised its FY 2026 earnings guidance to $0.90–$1.00 per share from its prior outlook, above the $0.88 consensus estimate. Management cited continued progress in the Outback turnaround and improved execution. Bloomin' Brands Q2 results and outlook
• Positive Sentiment: Higher average customer checks supported margins. Outback diners reportedly purchased more expensive steaks, helping lift average check sizes and quarterly profit. The company’s larger margins and stronger sales reinforced the turnaround narrative. Bloomin' Brands raises earnings view
• Neutral Sentiment: The company’s net margin remained thin at 0.55%, while leverage and liquidity metrics remain areas for investor monitoring. The improved quarter was driven more by pricing and mix than by robust sales growth.
• Negative Sentiment: Q3 EPS guidance was weaker than analysts expected. Bloomin’ Brands forecast a loss of $0.22–$0.27 per share, compared with consensus for a $0.19 loss, indicating near-term seasonal or operating pressure. Bloomin' Brands earnings report

Hedge Funds Weigh In On Bloomin' Brands

Institutional investors and hedge funds have recently modified their holdings of the business. Headlands Technologies LLC boosted its holdings in shares of Bloomin' Brands by 146.0% in the second quarter. Headlands Technologies LLC now owns 21,426 shares of the restaurant operator's stock valued at $184,000 after buying an additional 12,717 shares during the period. Caxton Associates LLP acquired a new position in Bloomin' Brands during the 1st quarter worth approximately $170,000. First Trust Advisors LP bought a new position in shares of Bloomin' Brands during the 3rd quarter worth approximately $128,000. Amundi bought a new position in shares of Bloomin' Brands during the 2nd quarter worth approximately $116,000. Finally, Tidal Investments LLC acquired a new stake in shares of Bloomin' Brands in the second quarter valued at approximately $99,000.

Analysts Set New Price Targets

A number of analysts recently weighed in on the stock. The Goldman Sachs Group raised their price target on shares of Bloomin' Brands from $6.00 to $8.50 and gave the company a "neutral" rating in a report on Thursday, May 7th. Wall Street Zen lowered Bloomin' Brands from a "buy" rating to a "hold" rating in a research report on Saturday, June 6th. JPMorgan Chase & Co. downgraded Bloomin' Brands from a "neutral" rating to an "underweight" rating and set a $6.00 target price for the company. in a research report on Friday, April 24th. Sanford C. Bernstein set a $9.00 price target on Bloomin' Brands in a research note on Thursday, May 7th. Finally, Barclays lifted their price objective on Bloomin' Brands from $7.00 to $9.00 and gave the stock an "equal weight" rating in a research report on Thursday, May 7th. Six research analysts have rated the stock with a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Reduce" and a consensus target price of $8.53.

About Bloomin' Brands

Bloomin' Brands, Inc engages in the ownership, operation and franchising of casual dining restaurants worldwide. The company's portfolio includes five full-service restaurant chains: Outback Steakhouse, known for its Australian-inspired steakhouse concept; Carrabba's Italian Grill, offering Italian-American cuisine; Bonefish Grill, specializing in handcrafted seafood dishes; Fleming's Prime Steakhouse & Wine Bar, focusing on premium steak and wine experiences; and Aussie Grill by Outback, featuring a streamlined menu of signature items.

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