Bloomin' Brands Reports Q4 Loss, Lowers FY26 EPS Outlook Amid Goodwill Impairment & Restaurant Closures

summarizeSummary

Bloomin' Brands reported a Q4 2025 GAAP loss, a $28.188 million goodwill impairment, and significant restaurant closures, while also lowering its full-year 2026 adjusted EPS guidance compared to the prior year.

check_boxKey Events

• Q4 2025 GAAP Loss Reported

  The company reported a diluted GAAP loss per share of $(0.14) for Q4 2025, a decline from earnings of $0.12 in Q4 2024. Adjusted diluted EPS increased slightly to $0.26 from $0.22.

• Significant Goodwill Impairment

  Bloomin' Brands recognized a $28.188 million goodwill impairment charge in Q4 2025, primarily related to the Bonefish Grill reporting unit.

• Strategic Restaurant Closures

  The company closed 21 U.S. company-owned restaurants and decided not to renew the leases for 22 additional restaurants, impacting brands like Outback Steakhouse, Carrabba's, and Bonefish Grill.

• Lowered FY2026 Earnings Outlook

  Management provided fiscal year 2026 adjusted diluted EPS guidance of $0.75 to $0.90, which is lower than the $1.14 adjusted diluted EPS reported for fiscal year 2025.

auto_awesomeAnalysis

Bloomin' Brands reported a GAAP loss for Q4 2025 and a significant goodwill impairment charge of $28.188 million related to its Bonefish Grill segment, indicating challenges within that brand. The company also announced the closure of 21 U.S. company-owned restaurants and the non-renewal of 22 leases as part of its ongoing turnaround strategy. While Outback Steakhouse achieved its first quarter of positive traffic since Q4 2021, the overall financial outlook for fiscal year 2026 is notably weaker, with adjusted diluted EPS guidance of $0.75 to $0.90, a reduction from the $1.14 reported for fiscal year 2025. This suggests continued operational pressures and a challenging path to sustained profitability, despite strategic investments.