Brinker 10-Q: Q1 Net Income $113.3M, EPS $2.64, $17.6M Debt Extinguishment Charge
EAT has more than doubled off its 52-week low of $100.3 on elevated volume (2.7× avg).
Summary
Brinker's fiscal Q1 10-Q backs up the morning's beat with $1.48 billion in revenue, $113.3 million net income and $2.64 diluted EPS, while detailing a $378.9 million debt refinancing, a $27.1 million franchisee acquisition and $165.2 million of buybacks that cut cash to $30.7 million.
Key Events · Earnings and Guidance · EAT
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Q1 Revenue and Profit Jump
Total revenues rose to $1,475.6 million from $1,349.2 million, operating income climbed to $151.0 million from $117.9 million, and net income reached $113.3 million, or $2.64 per diluted share versus $2.17 a year ago.
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$350M Notes Refinanced at a Cost
Brinker redeemed all $350.0 million of its 8.25% notes on July 15, 2026 at 104.125%, a $378.9 million cash outflow funded by the revolver, and booked a $17.6 million loss on extinguishment inside interest expense.
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Cash Falls on Buybacks and Deal
Cash and equivalents dropped to $30.7 million from $110.0 million after $165.2 million of treasury purchases and the $27.1 million acquisition of 12 Chili's restaurants; $593.4 million remains available on the $1.0 billion revolver.
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Buyback Firepower Still Large
The board added $718.0 million to the repurchase authorization on August 10, 2026, bringing the total to $750.0 million; $700.0 million remains, and an additional 0.3 million shares were bought for $65.0 million after quarter-end.
Analysis · EAT · Trade & Services
This morning's 8-K already carried the headline beat, but the 10-Q supplies the full numbers behind it: revenue of $1,475.6 million (up from $1,349.2 million), operating income of $151.0 million versus $117.9 million, and net income of $113.3 million, or $2.64 per diluted share. Two items matter for the cash story. On July 15, 2026, Brinker retired all $350.0 million of its 8.25% notes at 104.125%, a $378.9 million cash outflow that produced a $17.6 million non-cash-style extinguishment loss in interest expense and shifted the balance onto the revolver at 5.15%. That refinancing, plus $165.2 million of buybacks and $27.1 million for 12 acquired Chili's restaurants, pulled cash down to $30.7 million from $110.0 million, leaving $593.4 million available on the $1.0 billion facility. The buyback is the other live item: $700.0 million of authorization remains after the August 10 increase, and management has already spent another $65.0 million since quarter-end.
How filings like this one have moved
In the 30 days to Oct 28, 2026, 30.7% of the 1698 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was 0.00%. These are measured outcomes after filings of this importance, not a forecast for this one.
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At the time of this filing, EAT was trading at $225.00 on NYSE in the Trade & Services sector, with a market capitalization of approximately $9.2B. The 52-week trading range was $100.30 to $254.99. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.