American restaurant chain BJ’s Restaurants (NASDAQ:BJRI) met Wall Street’s revenue expectations in Q1 CY2025, with sales up 3.2% year on year to $348 million. Its non-GAAP profit of $0.59 per share was 53.4% above analysts’ consensus estimates.
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Revenue: $348 million vs analyst estimates of $348 million (3.2% year-on-year growth, in line)
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Adjusted EPS: $0.59 vs analyst estimates of $0.38 (53.4% beat)
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Adjusted EBITDA: $35.35 million vs analyst estimates of $32.1 million (10.2% margin, 10.1% beat)
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EBITDA guidance for the full year is $135.5 million at the midpoint, above analyst estimates of $130.5 million
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Operating Margin: 4.3%, up from 2.4% in the same quarter last year
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Locations: 219 at quarter end, up from 217 in the same quarter last year
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Same-Store Sales rose 1.7% year on year (-1.7% in the same quarter last year)
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Market Capitalization: $742.9 million
“We are growing increasingly confident in our strategic growth plans and the effectiveness of our near-term initiatives that are focused on driving sales and profitability,” commented Brad Richmond, Interim Chief Executive Officer.
Founded in 1978 in California, BJ’s Restaurants (NASDAQ:BJRI) is a chain of restaurants whose menu features classic American dishes, often with a twist.
A company’s long-term performance is an indicator of its overall quality. Any business can have short-term success, but a top-tier one grows for years.
With $1.37 billion in revenue over the past 12 months, BJ’s is a mid-sized restaurant chain, which sometimes brings disadvantages compared to larger competitors benefiting from better brand awareness and economies of scale.
As you can see below, BJ’s 3.3% annualized revenue growth over the last six years (we compare to 2019 to normalize for COVID-19 impacts) was sluggish as its restaurant footprint remained unchanged and it barely increased sales at existing, established dining locations.
This quarter, BJ’s grew its revenue by 3.2% year on year, and its $348 million of revenue was in line with Wall Street’s estimates.
Looking ahead, sell-side analysts expect revenue to grow 3.3% over the next 12 months, similar to its six-year rate. This projection is underwhelming and suggests its newer menu offerings will not accelerate its top-line performance yet.
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