Bloomin' Brands Reports $1.05 Billion Revenue with Net Income Turnaround in Q1 2025

Bloomin' Brands, Inc. reported a total revenue of $1.05 billion for the thirteen weeks ended March 30, 2025, a decrease of 1.8% compared to $1.07 billion in the same period last year. The company's restaurant sales were $1.03 billion, down from $1.05 billion in the prior year. Despite the decline in revenue, Bloomin' Brands achieved a net income of $43.6 million, a significant turnaround from a net loss of $82.3 million in the first quarter of 2024. This resulted in diluted earnings per share of $0.50, compared to a loss of $1.00 per share in the previous year.

The financial performance reflects several operational changes, including a strategic shift following the sale of 67% of its Brazilian operations, which transitioned to a franchised model. This sale, completed on December 30, 2024, generated cash proceeds of approximately $103.9 million, which were applied to the company's revolving credit facility. The company recorded a pretax gain of $2.9 million from this transaction, which contributed to the improved financial results. Additionally, Bloomin' Brands reported a decrease in total costs and expenses, which fell to $992.4 million from $998.2 million year-over-year.

Operationally, Bloomin' Brands managed 980 restaurants and franchised 486 as of March 30, 2025. The company experienced a decline in customer traffic, with comparable restaurant sales down 0.5% across its U.S. locations. Notably, Outback Steakhouse saw a 1.3% decrease in comparable sales, while Carrabba’s Italian Grill reported a 1.4% increase. The average check per person increased by 3.4%, indicating that while fewer customers visited, those who did spent more.

The company’s balance sheet showed total assets of $3.31 billion, down from $3.38 billion at the end of 2024. Current liabilities decreased significantly to $778.5 million from $952.3 million, primarily due to the application of proceeds from the Brazil sale. Bloomin' Brands also reported a working capital deficit of $459.6 million, which is typical for the restaurant industry, as cash from sales is often received before liabilities are due.

Looking ahead, Bloomin' Brands anticipates capital expenditures of approximately $190 million to $210 million in 2025, focusing on new restaurant development and remodeling existing locations. The company remains committed to maintaining compliance with its debt covenants and expects to leverage its operational cash flows to support ongoing financial obligations.