Cracker Barrel Old Ctry Store Stock Price, News & Analysis

Biglari Capital has responded critically to Cracker Barrel's Q1 2025 preliminary earnings. The company's adjusted EBITDA margin was 5.4%, down 70 bps from Q1 2023 and similar to Q1 2024, which was part of Cracker Barrel's historically worst year. Despite plans to open new stores and invest $160-180 million in capital expenditures, management maintained its FY 2025 guidance, projecting revenue and adjusted EBITDA to be similar to or lower than FY 2024. Biglari Capital expressed concerns about the effectiveness of Cracker Barrel's $700 million transformation plan and urged shareholders to vote for board changes.

Cracker Barrel reported preliminary Q1 fiscal 2025 results with total revenue of $845.1 million, up 2.6% year-over-year. Comparable store restaurant sales increased 2.9%, outperforming the industry by 290 basis points, while retail sales decreased 1.6%. The company expects GAAP earnings per share of $0.22 and adjusted EPS of $0.45. Adjusted EBITDA reached $45.8 million, up 4.3% from prior year. For fiscal 2025, Cracker Barrel reaffirmed its outlook, projecting revenue of $3.4-3.5 billion, with plans to open two new stores and 3-4 new Maple Street Biscuit Company units.

Biglari Capital Corp has issued a letter to Cracker Barrel (NASDAQ: CBRL) shareholders, highlighting the company's significant stock value decline from $100 to approximately $30 over the past five years. The letter criticizes the current board's performance and opposes their $700 million store renovation plan. Sardar Biglari and Milena Alberti-Perez are seeking board positions, emphasizing their restaurant turnaround experience. Biglari warns of potential further 50% losses if they aren't elected and criticizes recent management appointments, including a chief strategy officer from a cannabis company.

Proxy advisory firms ISS and Glass Lewis have endorsed the need for change at Cracker Barrel (CBRL), with Glass Lewis recommending votes for two of Biglari Capital's nominees and ISS supporting one. The firms cited poor performance and shareholder value destruction under incumbent directors Carl Berquist and Meg Crofton. Both advisory firms expressed concerns over the company's $700 million transformation plan, with analysts doubting its financial objectives.

Biglari Capital urges shareholders to vote for all three of its nominees: Sardar Biglari, Milena Alberti-Perez, and Michael Goodwin. Glass Lewis particularly praised Alberti-Perez's financial expertise and her track record of improving shareholder value at Pitney Bowes. The advisory firms highlighted Cracker Barrel's negative total shareholder return over three and five-year periods, describing the performance as 'unacceptable'.

Cracker Barrel (Nasdaq: CBRL) announced that Institutional Shareholder Services (ISS) recommends shareholders vote on the Company's WHITE proxy card and withhold support for Milena Alberti-Perez and Sardar Biglari at the 2024 Annual Meeting on November 21. ISS and Glass Lewis cited Alberti-Perez's lack of relevant experience and Biglari's poor governance track record. Cracker Barrel urges shareholders to support its 10 recommended director nominees. ISS noted the Board's recent efforts to refresh itself with relevant skills and low average director tenure. The Board emphasized the importance of electing Carl Berquist and Meg Crofton, who have played key roles in the strategic transformation plan and recruitment of qualified directors. They contribute extensive hospitality industry experience. The Board believes its nominees are essential for Cracker Barrel's growth and value delivery. Shareholders are encouraged to vote using the WHITE proxy card.

Cracker Barrel Old Country Store (NASDAQ: CBRL) has issued an open letter to shareholders regarding the upcoming Annual Meeting on November 21, 2024. The Board urges shareholders to vote the WHITE card 'FOR ONLY' their 10 recommended nominees, opposing Sardar Biglari's seventh proxy contest in 13 years. The company emphasizes its strategic transformation plan under new CEO Julie Masino, focusing on brand refinement, menu optimization, and improved guest experience. The Board warns against Biglari's approach, citing his track record at Steak 'n Shake and Western Sizzlin' where his cost-cutting and cash extraction strategies led to significant business decline.

Cracker Barrel (NASDAQ: CBRL) has released an investor presentation highlighting its strategic transformation plan ahead of its November 21, 2024 Annual Meeting. The company emphasizes the appointment of new CEO Julie Masino and implementation of a transformation plan showing early success. The presentation addresses the proxy contest initiated by Sardar Biglari, marking his seventh attempt in 13 years. The Board recommends voting for their 10 nominees on the WHITE proxy card, including Biglari's nominee Michael Goodwin, while warning against electing Biglari and Milena Alberti-Perez. The transformation plan includes menu updates, pricing optimization, and a new loyalty program, targeting specific financial goals for FY 2027.

Cracker Barrel Old Country Store® has unveiled its holiday season offerings, featuring new menu items, returning favorites, and festive gifts. The lineup includes:

1. New menu items: Cinnamon Swirl French Toast Breakfast, DIY Hot Chocolate Bar, and Sparkling Plum Mimosa.

2. Returning favorites: Country Fried Turkey, Broccoli Cheese Casserole, Sugar Plum Tea, and Homestyle Holiday Pies.

3. Heat n' Serve options for Thanksgiving and December holidays, including Family Dinners and Feasts.

4. A transformed retail store offering festive home decor, toys, gourmet food items, and country-inspired clothing.

Cracker Barrel aims to provide a complete holiday experience for guests, whether dining in, hosting at home, or shopping for gifts.

KB Home (NYSE: KBH) has announced the election of Cheryl J. Henry to its Board of Directors on October 10, 2024. Henry, the former President, CEO, and Chairwoman of Ruth's Hospitality Group, Inc., will also serve on the Board's Nominating and Corporate Governance Committee. Her initial term will conclude at KB Home's 2025 Annual Meeting of Stockholders, where she will be up for shareholder vote.

Henry brings extensive operational and marketing experience from her various senior roles at Ruth's Chris Steak House, including Chief Operating Officer before becoming CEO. She previously served as Chief of Staff for the Mayor of Orlando and currently sits on the board of directors of Cracker Barrel Old Country Store, Inc. (NASDAQ: CBRL).

Jeffrey Mezger, Chairman and CEO of KB Home, expressed enthusiasm about Henry's addition to the board, citing her executive-level experience in the consumer sector and her strong network in Florida, particularly in Orlando, which is an important market for the company.