Red Robin Gourmet Burgers, Inc. Reports Results for the Fiscal Fourth Quarter and Fiscal Year Ended December 28, 2025

Rhea-AI Summary

Red Robin (NASDAQ: RRGB) reported fiscal 2025 results with total revenues of $1.21B and adjusted EBITDA of $69.7M, a 53% increase year-over-year. Full-year net loss narrowed to $23.3M from $77.5M, and restaurant level operating profit rose to $151.5M.

The company ended the year with $170.2M outstanding borrowings and approximately $56.9M liquidity, and provided fiscal 2026 guidance including adjusted EBITDA of $70M–$73M and capex of $25M–$30M.

Positive

• Adjusted EBITDA +53% to $69.7M
• Restaurant level operating profit +14% to $151.5M
• Net loss narrowed to $23.3M from $77.5M
• Fiscal 2026 adjusted EBITDA guidance of $70M–$73M
• Capital expenditure guidance of $25M–$30M

Negative

• Comparable restaurant revenue excluding deferred loyalty revenue decreased 0.3%
• Guest traffic declined 3.8% in fiscal 2025
• Outstanding borrowings of $170.2M with liquidity ~$56.9M

News Market Reaction – RRGB

-2.42% 15.1x vol

64 alerts

-2.42% News Effect

+31.0% Peak in 21 hr 7 min

-$2M Valuation Impact

$92M Market Cap

15.1x Rel. Volume

On the day this news was published, RRGB declined 2.42%, reflecting a moderate negative market reaction. Argus tracked a peak move of +31.0% during that session. Our momentum scanner triggered 64 alerts that day, indicating high trading interest and price volatility. This price movement removed approximately $2M from the company's valuation, bringing the market cap to $92M at that time. Trading volume was exceptionally heavy at 15.1x the daily average, suggesting significant selling pressure.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Q4 2025 total revenues: $269.0M FY 2025 total revenues: $1,210.2M FY 2025 comp revenue ex-loyalty: -0.3% +5 more

8 metrics

Q4 2025 total revenues $269.0M Twelve weeks ended Dec 28, 2025 vs $285.2M in Q4 2024

FY 2025 total revenues $1,210.2M Fifty-two weeks ended Dec 28, 2025 vs $1,248.6M in 2024

FY 2025 comp revenue ex-loyalty -0.3% Comparable restaurant revenue change excluding deferred loyalty revenue

FY 2025 restaurant margin 12.7% Restaurant level operating profit margin vs 10.8% in 2024

FY 2025 Adjusted EBITDA $69.7M Full-year Adjusted EBITDA vs $45.6M in 2024 (53% increase)

FY 2025 net loss $(23.3)M Full-year net loss vs $(77.5)M in 2024

Debt and liquidity $170.2M debt; $56.9M liquidity Borrowings under credit facility and total liquidity at Dec 28, 2025

FY 2026 EBITDA guidance $70M–$73M Company outlook for Adjusted EBITDA in fiscal 2026

Market Reality Check

Price: $4.45 Vol: Volume 115,420 is below t...

low vol

$4.45 Last Close

Volume Volume 115,420 is below the 20-day average of 168,696 (relative volume 0.68x). low

Technical Shares at $3.72 are trading below the 200-day MA of $5.16 and 52.8% under the 52-week high.

Peers on Argus

Peers were mixed: GENK +5.52%, STKS +1.51%, THCH +2.70%, TWNP -25.16%, DENN 0.00...

1 Up

Peers were mixed: GENK +5.52%, STKS +1.51%, THCH +2.70%, TWNP -25.16%, DENN 0.00%. With RRGB up 1.36% pre-release and only one peer in the momentum scanner, the move appeared stock-specific rather than a broad restaurant-sector rotation.

Historical Context

5 past events · Latest: Feb 11 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 11	Earnings date notice	Neutral	-3.2%	Announced timing of FY25 Q4 and full-year earnings release and call.
Jan 21	Value menu launch	Positive	+1.3%	Introduced nationwide Big YUMMM® Deals value menu starting at $9.99.
Nov 10	ATM equity program	Negative	+0.2%	Announced up to $40M at-the-market offering for working capital and debt.
Nov 10	Q3 2025 earnings	Positive	+0.2%	Reported lower revenue but significantly higher Adjusted EBITDA and improved net loss.
Nov 5	Leadership changes	Negative	-1.1%	CFO resignation, COO promotion, and preview of declining Q3 comps and EBITDA.

Pattern Detected

Recent news flow mixes operating updates, a value menu launch, an ATM program, and governance/management changes, with generally modest price reactions to most items.

Recent Company History

Over the last few months, RRGB has alternated between operational updates and capital structure moves. On Nov 5, 2025, it announced leadership transitions and a preliminary Q3 outlook. Full Q3 results on Nov 10, 2025 showed declining revenue but stronger Adjusted EBITDA. That same day, the company added a $40M at-the-market equity program, indicating willingness to raise capital. In Jan 2026, RRGB launched its Big YUMMM® value menu to support traffic. The current FY25 earnings release and FY26 guidance extend this narrative of margin and EBITDA improvement despite pressured sales.

Market Pulse Summary

This announcement highlights a year of margin and EBITDA improvement against a backdrop of modestly ...

Analysis

This announcement highlights a year of margin and EBITDA improvement against a backdrop of modestly declining sales. FY 2025 revenue was $1,210.2M, while restaurant-level margin expanded to 12.7% and Adjusted EBITDA increased to $69.7M. FY 2026 guidance of $70–73M in Adjusted EBITDA and 0.5–1.5% comparable revenue growth underscores a focus on incremental progress. Investors may watch traffic trends, pricing discipline, and leverage, with borrowings at $170.2M and liquidity of $56.9M.

Key Terms

adjusted ebitda, comparable restaurant revenue, restaurant level operating profit, credit facility, +1 more

5 terms

adjusted ebitda financial

"helped drive a significant increase in Adjusted EBITDA year-over-year."

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

comparable restaurant revenue financial

"Comparable restaurant revenue, excluding the impact of deferred loyalty revenue, decreased (0.3)%."

Revenue from restaurants that were open for a comparable period in both the current and prior reporting periods, excluding sales from newly opened or recently closed locations so performance is measured on an apples‑to‑apples basis. Investors use this metric like checking the thermometer for the existing business: it shows whether individual restaurants are attracting more customers or spending per visit, separate from growth from opening new outlets, and helps judge underlying demand and operational health.

restaurant level operating profit financial

"Restaurant level operating profit margin of 12.7%, a 190 basis point improvement..."

Restaurant level operating profit measures how much money a single restaurant or group of restaurants makes from their day-to-day sales after paying direct costs like food, labor and utilities but before corporate overhead, rent, interest, taxes or one-time charges. Think of it as the profit from running the kitchen and dining room alone, like checking whether a corner shop’s till covers its bills. Investors use it to judge the core unit economics and whether growth is likely to translate into real company profits.

credit facility financial

"outstanding borrowings under its credit facility of $170.2 million and liquidity..."

A credit facility is a flexible loan arrangement that allows a borrower to access funds up to a set limit whenever needed, similar to a company having an overdraft option on a bank account. It matters to investors because it indicates how easily a business can secure cash when required, affecting its ability to manage expenses, invest, or respond to financial challenges.

capital expenditures financial

"Capital expenditures of $25 million to $30 million."

Capital expenditures are the money a company spends to buy or improve big assets like buildings, equipment, or machines that will last a long time. These investments matter because they help the company grow and operate more efficiently, similar to how upgrading a home’s appliances or adding a new room can make it better and more valuable.

AI-generated analysis. Not financial advice.

ENGLEWOOD, Colo., Feb. 25, 2026 /PRNewswire/ -- Red Robin Gourmet Burgers, Inc. (NASDAQ: RRGB) ("Red Robin" or the "Company"), a full-service restaurant chain serving an innovative selection of high-quality gourmet burgers in a family-friendly atmosphere, today reported financial results for the fiscal fourth quarter and year ended December 28, 2025.

Chief Executive Officer Comments

Dave Pace, Red Robin's President and Chief Executive Officer said, "In mid-2025, we launched our First Choice strategic plan and saw steady improvement in our business performance throughout the balance of the year. The actions we took to improve our price-value equation, drive labor efficiency, and empower our Managing Partners helped drive a significant increase in Adjusted EBITDA year-over-year.

Importantly, we leaned into our micro-targeted marketing and our Big Yummm value platform, driving a clear inflection in traffic performance. After steadily closing our traffic gap to the casual dining industry throughout the back half of 2025, in December we outperformed the industry for the first time since the third quarter of 2024. This reinforces our belief that when we align compelling value, operational excellence, and precision marketing, we can win market share in a competitive environment."

Pace concluded, "The strategic decisions we made in 2025 under our First Choice plan positioned us to enter 2026 with greater focus and financial flexibility. We are building a more disciplined, guest-driven company with improving profitability, a strengthening balance sheet, and a clear roadmap for sustainable performance. While there is much more work ahead, we are encouraged by the trajectory of the business and expect to make further meaningful progress in 2026."

Fourth Quarter and Full Year 2025 Financial Summary:

The following table presents financial results for the fiscal fourth quarter and full year of 2025, compared to results from the same periods in 2024 ($ in millions except per share data):

		Twelve Weeks Ended		Twelve Weeks Ended		Fifty-Two Weeks Ended		Fifty-Two Weeks Ended
		December 28, 2025		December 29, 2024		December 28, 2025		December 29, 2024
Total revenues		$                         269.0		$                      285.2		$               1,210.2		$               1,248.6
Restaurant revenues		263.8		280.6		1,189.8		1,224.3
Comparable restaurant revenue, including deferred loyalty revenue(1)		(3.1) %		1.8 %		(0.7) %		(1.2) %
Comparable restaurant revenue, excluding deferred loyalty revenue(1)		(3.3) %		3.4 %		(0.3) %		(1.3) %
Income (loss) from operations		(4.0)		(33.5)		2.8		(53.1)
Income (loss) from operations as a percent of total revenues		(1.5) %		(11.8) %		0.2 %		(4.3) %
Restaurant Level Operating Profit(2)		$                           30.2		$                        32.2		$                  151.5		$                  132.6
Restaurant Level Operating Profit Margin(2)		11.4 %		11.5 %		12.7 %		10.8 %
Net income (loss)		(10.1)		(39.7)		(23.3)		(77.5)
Adjusted EBITDA(2)		$                           11.8		$                        14.4		$                    69.7		$                    45.6
Net income (loss) per share - diluted		$                         (0.56)		$                       (2.48)		$                   (1.31)		$                   (4.93)
Adjusted net income (loss) per share - diluted(2)		$                         (0.41)		$                       (0.86)		$                   (0.64)		$                   (3.01)

(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.
(2)	See "Reconciliation of Non-GAAP Results to GAAP Results" for more details.

Full Year 2025 Commentary

• Comparable restaurant revenue, excluding the impact of deferred loyalty revenue, decreased (0.3)%. This included a (3.8)% decrease in guest traffic, a (0.7)% decrease in menu mix and a 4.2% benefit from net menu pricing. The benefit from net menu pricing decreased steadily throughout fiscal 2025, as we intentionally took limited pricing actions during the year to improve value for our guests.
• Restaurant level operating profit margin of 12.7%, a 190 basis point improvement from fiscal year 2024. 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 $69.7 million, a 53% increase from fiscal year 2024. This improvement was driven by increases in restaurant level operating profit, effective cost control of corporate expenses and reduced selling expense.

Balance Sheet and Liquidity

As of December 28, 2025, the Company had outstanding borrowings under its credit facility of $170.2 million and liquidity of approximately $56.9 million, including cash and cash equivalents and available borrowing capacity under its credit facility.

Outlook for Fiscal 2026 and Guidance Policy

The Company provides guidance on select information related to the Company's financial and operating performance, and such measures may differ from year to year. The projections are as of this date and the Company assumes no obligation to update or supplement this information.

The Company's fiscal 2026 guidance metrics are as follows:

• Comparable Restaurant Revenue growth, excluding deferred loyalty revenue, of 0.5% to 1.5%;
• Restaurant level operating profit of approximately 13.0%;
• Adjusted EBITDA of $70 million to $73 million;
• Capital expenditures of $25 million to $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 fourth quarter and full year 2025 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 13758272. The replay will be available through Wednesday, March 11, 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 the United States and Canada, including those operating under franchise agreements. Red Robin… YUMMM®!

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 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 ability to build upon investments and transformational changes; our capital structure initiatives including refinancing and refranchising; our ability to gain efficiency in our labor and operations to deliver growth in profitability; changes to our restaurant portfolio; 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: that our performance for the remainder of 2026 will not be consistent with the Company's results during the first eight weeks of 2026; 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; leasing space including the location of such leases in areas of declining traffic; 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 Western United States; the retention of our management team; our compensation strategy including availability of equity-based compensation for our management team; our ability to recruit, staff, train, and retain our workforce; operating conditions, including adverse weather conditions, natural disasters, pandemics, and other events affecting the regions where our restaurants are operated; actions taken by our franchisees that could harm our business or reputation; negative publicity regarding food safety or health concerns; protection of our intellectual property rights; changes in laws and regulations affecting the operation of our restaurants; volatility in our stock price; and an increase in litigation or legal claims by team members, franchisees, customers, vendors, and stockholders. These factors should not be construed as exhaustive and should be read in conjunction with other cautionary statements and risk factors described from time to time in the Company's Form 10-K, Form 10-Q, and Form 8-K reports (including all amendments to those reports) filed with the U.S. Securities and Exchange Commission.

Comparable Restaurant Revenue

The following table presents the percentage change in comparable restaurant revenue in each quarter and the full year of fiscal 2025:

	Increase (Decrease) Versus Prior Year
	Sixteen Weeks Ended April 20, 2025	Twelve Weeks Ended July 13, 2025	Twelve Weeks Ended October 5, 2025	Twelve Weeks Ended December 28, 2025	Fifty-Two Weeks Ended December 28, 2025
Guest traffic	(3.5) %	(5.5) %	(3.0) %	(3.6) %	(3.8) %
Menu price (net)	6.8 %	4.4 %	2.8 %	1.6 %	4.2 %
Menu mix	(0.1) %	(0.2) %	(1.1) %	(1.3) %	(0.7) %
Deferred loyalty revenue	(0.1) %	(1.9) %	0.1 %	0.2 %	(0.4) %
Total change in comparable restaurant revenue	3.1 %	(3.2) %	(1.2) %	(3.1) %	(0.7) %

 

RED ROBIN GOURMET BURGERS, INC. CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (In thousands, except per share data) (Unaudited)
		Twelve Weeks Ended		Twelve Weeks Ended		Fifty-Two Weeks Ended		Fifty-Two Weeks Ended
		December 28, 2025		December 29, 2024		December 28, 2025		December 29, 2024
Revenues:
Restaurant revenue		$                 263,756		$                 280,624		$              1,189,780		$              1,224,254
Franchise revenue and other revenue		5,287		4,603		20,445		24,306
Total revenues		269,043		285,227		1,210,225		1,248,560
Costs and expenses:
Restaurant operating costs (excluding depreciation and amortization shown separately below):
Cost of sales		65,539		67,633		283,883		292,392
Labor		97,237		109,073		437,242		479,631
Other operating		46,894		48,229		213,187		216,242
Occupancy		23,902		23,510		103,958		103,359
Depreciation and amortization		12,088		12,843		51,120		57,729
General and administrative		14,936		18,443		76,254		81,721
Selling		8,803		5,665		31,328		36,719
Other (gains) charges, net		3,617		33,360		10,463		33,848
Total costs and expenses		273,016		318,756		1,207,435		1,301,641
Income (loss) from operations		(3,973)		(33,529)		2,790		(53,081)
Other (income) expense:
Interest expense, net and other		6,049		6,321		25,816		24,550
Income (loss) before income taxes		(10,022)		(39,850)		(23,026)		(77,631)
Income tax (benefit) expense		85		(134)		258		(90)
Net income (loss)		$                 (10,107)		$                 (39,716)		$                 (23,284)		$                 (77,541)
Income (loss) per share:
Basic		$                     (0.56)		$                     (2.48)		$                     (1.31)		$                     (4.93)
Diluted		$                     (0.56)		$                     (2.48)		$                     (1.31)		$                     (4.93)
Weighted average shares outstanding:
Basic		17,977		16,014		17,789		15,736
Diluted		17,977		16,014		17,789		15,736

 

RED ROBIN GOURMET BURGERS, INC. CONSOLIDATED BALANCE SHEETS (In thousands, except per share amounts) (Unaudited)
		December 28, 2025		December 29, 2024
Assets:
Current assets:
Cash and cash equivalents		$                   19,924		$                   30,651
Accounts receivable, net		19,441		19,688
Inventories		25,729		26,737
Prepaid expenses and other current assets		14,234		13,608
Restricted cash		9,615		8,750
Total current assets		88,943		99,434
Property and equipment, net		158,105		181,224
Operating lease assets, net		295,996		331,617
Intangible assets, net		9,155		11,064
Assets held for sale		2,263		4,313
Other assets, net		9,065		13,662
Total assets		$                 563,527		$                 641,314
Liabilities and stockholders' equity (deficit):
Current liabilities:
Accounts payable		$                   31,391		$                   29,783
Accrued payroll and payroll-related liabilities		44,039		39,672
Unearned revenue		27,287		27,083
Current portion of operating lease obligations		49,111		50,083
Accrued liabilities and other		46,801		42,931
Total current liabilities		198,629		189,552
Long-term debt		164,741		181,641
Long-term portion of operating lease obligations		300,055		345,635
Other non-current liabilities		6,450		8,755
Total liabilities		669,875		725,583
Stockholders' equity (deficit):
Common stock; $0.001 par value: 45,000 shares authorized; 22,050 shares issued; 18,009 and 17,403 shares outstanding as of December 28, 2025 and December 29, 2024		22		22
Preferred stock, $0.001 par value: 3,000 shares authorized; no shares issued and outstanding as of December 28, 2025 and December 29, 2024		—		—
Treasury stock 4,041 and 4,647 shares, at cost as of December 28, 2025 and December 29, 2024		(143,247)		(164,937)
Paid-in capital		213,180		233,667
Accumulated other comprehensive income (loss), net of tax		(60)		(62)
Retained earnings (accumulated deficit)		(176,243)		(152,959)
Total stockholders' equity (deficit)		(106,348)		(84,269)
Total liabilities and stockholders' equity (deficit)		$                 563,527		$                 641,314

Reconciliation of Non-GAAP Results to GAAP Results

In addition to the results provided in accordance with accounting principles generally accepted in the United States of America ("GAAP") throughout this press release, the Company has provided certain non-GAAP measures, which present operating results on an adjusted basis. These are supplemental measures of performance that are not required by or presented in accordance with GAAP and include the following: (i) Restaurant level operating profit, (ii) net income (loss) before interest expense, income taxes, and depreciation and amortization ("EBITDA"), (iii) adjusted EBITDA, and (iv) adjusted net income (loss) and adjusted net income per share - diluted.

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:

	Twelve Weeks Ended				Twelve Weeks Ended				Fifty-Two Weeks Ended				Fifty-Two Weeks Ended
	December 28, 2025				December 29, 2024				December 28, 2025				December 29, 2024
Income (loss) from operations	$    (3,973)		(1.5) %		$    (33,529)		(11.8) %		$      2,790		0.2 %		$   (53,081)		(4.3) %
Less:
Franchise revenue and other revenue	$     5,287		2.0 %		$       4,603		1.6 %		$    20,445		1.7 %		$      24,306		2.0 %
Add:
Other (gains) charges, net	$     3,617		1.3 %		$     33,360		11.7 %		$    10,463		0.9 %		$    33,848		2.7 %
General and administrative	14,936		5.6		18,443		6.5		76,254		6.4		81,721		6.6
Selling	8,803		3.3		5,665		2.0		31,328		2.6		36,719		2.9
Depreciation and amortization	12,088		4.5		12,843		4.5		51,120		4.3		57,729		4.6
Restaurant level operating profit	$   30,184		11.4 %		$    32,179		11.5 %		$  151,510		12.7 %		$  132,630		10.8 %
Income (loss) from operations as a percentage of total revenues	(1.5) %				(11.8) %				0.2 %				(4.3) %
Restaurant level operating profit margin (as a percentage of restaurant revenue)	11.4 %				11.5 %				12.7 %				10.8 %

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:

	Twelve Weeks Ended		Twelve Weeks Ended		Fifty-Two Weeks Ended		Fifty-Two Weeks Ended
	December 28, 2025		December 29, 2024		December 28, 2025		December 29, 2024
Net income (loss) as reported	$                 (10,107)		$                  (39,716)		$                 (23,284)		$                 (77,541)
Interest expense, net (1)	6,013		6,301		25,607		24,805
Income tax (benefit) provision	85		(134)		258		(90)
Depreciation and amortization	12,088		12,843		51,120		57,729
EBITDA	$                     8,079		$                  (20,706)		$                   53,701		$                     4,903
Stock-based compensation expense (2)	$                          90		$                     1,760		$                     5,573		$                     6,889
Other (gains) charges, net:
Asset impairment and restaurant closure costs, net	$                     3,279		$                   32,351		$                     2,785		$                   34,080
Gain on sale of restaurant property	10		—		(1,127)		(7,425)
Severance and executive transition	303		77		2,181		1,181
Litigation contingencies	(980)		(10)		2,198		1,037
Asset disposal and other, net	1,005		942		4,426		4,975
Adjusted EBITDA	$                   11,786		$                   14,414		$                   69,737		$                   45,640

(1)	Interest expense, net is comprised of interest expense and interest income, the latter of which is included in interest (income) and other, net on the Consolidated Statements of Operations
(2)	Consisted of compensation expense associated with stock-based awards including phantom performance awards that may be settled in stock or cash at the Company's option

The following table reconciles net income (loss) to adjusted EBITDA in each quarter and the full year of fiscal 2025:

	Sixteen Weeks Ended		Twelve Weeks Ended		Twelve Weeks Ended		Twelve Weeks Ended		Fifty-Two Weeks Ended
(Dollars in thousands)	April 20, 2025		July 13, 2025		October 5, 2025		December 28, 2025		December 28, 2025
Net (income) loss as reported	$              1,249		$             3,993		$         (18,419)		$               (10,107)		$               (23,284)
Interest expense, net (1)	7,964		5,721		5,909		6,013		25,607
Income tax (benefit) provision	(3)		(97)		273		85		258
Depreciation and amortization	15,434		11,579		12,019		12,088		51,120
EBITDA	$            24,644		$           21,196		$              (218)		$                   8,079		$                 53,701
Stock-based compensation expense (2)	$              2,589		$             1,489		$             1,405		$                        90		$                   5,573
Other (gains) charges, net:
Asset impairment and restaurant closure costs, net	$                 210		$            (1,615)		$                911		$                   3,279		$                   2,785
Gain on sale of restaurant property	(1,137)		—		—		10		(1,127)
Severance and executive transition	880		459		539		303		2,181
Litigation contingencies	12		11		3,155		(980)		2,198
Asset disposal and other, net	711		889		1,821		1,005		4,426
Adjusted EBITDA	$            27,909		$           22,429		$             7,613		$                 11,786		$                 69,737

(1)	Interest expense, net is comprised of interest expense and interest income, the latter of which is included in interest (income) and other, net on the Consolidated Statements of Operations
(2)	Consisted of compensation expense associated with stock-based awards including phantom performance awards that may be settled in stock or cash at the Company's option

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:

		Twelve Weeks Ended		Twelve Weeks Ended		Fifty-Two Weeks Ended		Fifty-Two Weeks Ended
(Dollars and shares in thousands, except per share data)		December 28, 2025		December 29, 2024		December 28, 2025		December 29, 2024
Net income (loss) as reported		$                   (10,107)		$                 (39,716)		$                   (23,284)		$                   (77,541)
Stock-based compensation expense (1)		90		1,760		5,573		6,889
Other (gains) charges, net:
Asset impairment and restaurant closures costs, net		3,279		32,351		2,785		34,080
Gain on sale of restaurant property		10		—		(1,127)		(7,425)
Severance and executive transition		303		77		2,181		1,181
Litigation contingencies		(980)		(10)		2,198		1,037
Asset disposal and other, net		1,005		942		4,426		4,975
Income tax effect (2)		(964)		(9,131)		(4,169)		(10,592)
Adjusted net income (loss)		$                     (7,364)		$                 (13,727)		$                   (11,417)		$                   (47,396)
Adjusted net income (loss) per diluted share:
Net income (loss) as reported		$                       (0.56)		$                     (2.48)		$                       (1.31)		$                       (4.93)
Stock-based compensation expense (1)		0.01		0.11		0.31		0.44
Other (gains) charges, net:
Asset impairment and restaurant closure costs, net		0.18		2.02		0.16		2.17
Gain on sale of restaurant property		—		—		(0.06)		(0.47)
Severance and executive transition		0.02		—		0.12		0.08
Litigation contingencies		(0.05)		—		0.12		0.07
Asset disposal and other, net		0.06		0.06		0.25		0.32
Income tax effect (2)		(0.07)		(0.57)		(0.23)		(0.69)
Adjusted net income (loss) per share - diluted		$                       (0.41)		$                     (0.86)		$                       (0.64)		$                       (3.01)
Weighted average shares outstanding:
Basic		17,977		16,014		17,789		15,736
Diluted (3)		17,977		16,014		17,789		15,736

(1)	Consisted of compensation expense associated with stock-based awards including phantom performance awards that may be settled in stock or cash at the Company's option.
(2)	Assumed a 26% income tax rate, representing a blended average of federal and state statutory rates.
(3)	Antidilutive securities have been excluded from the computation of diluted earnings per share because the Company reported a net loss for the period.

 

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SOURCE Red Robin Gourmet Burgers, Inc.

FAQ

What were Red Robin's (RRGB) fiscal 2025 adjusted EBITDA and revenue results?

Red Robin reported adjusted EBITDA of $69.7M and total revenues of $1.21B. According to the company, adjusted EBITDA rose 53% year-over-year, driven by higher restaurant level profit and cost controls.

How did Red Robin's (RRGB) net income and restaurant profit change in fiscal 2025?

Net loss narrowed to $23.3M from $77.5M, improving significantly year-over-year. According to the company, restaurant level operating profit increased to $151.5M, reflecting efficiency gains and higher average guest checks.

What guidance did Red Robin (RRGB) give for fiscal 2026 adjusted EBITDA and capex?

Red Robin provided guidance of $70M–$73M for adjusted EBITDA and $25M–$30M for capital expenditures. According to the company, these projections reflect expected operational momentum and targeted investments.

What was Red Robin's (RRGB) comparable restaurant performance in fiscal 2025?

Comparable restaurant revenue excluding deferred loyalty decreased 0.3%, with guest traffic down 3.8% for the year. According to the company, pricing and mix partially offset lower traffic trends.

How strong is Red Robin's (RRGB) liquidity and debt position at year-end 2025?

At December 28, 2025, Red Robin had $170.2M of borrowings and approximately $56.9M liquidity. According to the company, liquidity includes cash and available borrowing capacity under its credit facility.

Will Red Robin (RRGB) discuss results with investors and when is the call?

Red Robin will host an investor call on Feb 25, 2026 at 4:30 p.m. ET to discuss results and outlook. According to the company, the call will be webcast live and archived on the investor relations website.