Shares of Cracker Barrel Old Country Store, Inc. (NASDAQ: CBRL) surged over 8% in pre-market trading on Thursday after the restaurant chain reported better-than-expected fiscal second quarter 2025 results and raised its full-year guidance.

For the quarter ended January 31, 2025, Cracker Barrel posted adjusted earnings per share of $1.38, easily surpassing analysts' consensus estimate of $1.00. While total revenue increased 1.5% year-over-year to $949.4 million, beating expectations of $943.6 million, net income declined 16.3% to $22.2 million due to higher costs.

Despite the earnings beat, investors were particularly encouraged by Cracker Barrel's raised fiscal 2025 outlook. The company now expects:

• Total revenue between $3.45 billion to $3.5 billion, up from the previous range of $3.4 billion to $3.5 billion.
• Adjusted EBITDA between $210 million to $220 million, compared to the prior guidance of $200 million to $215 million.

"Outstanding execution by our teams, coupled with our actions to improve the profitability of our off-premise channels during the high-volume holiday season, delivered strong second quarter results that exceeded our expectations," said Cracker Barrel President and CEO Julie Masino. "These results, together with the continued improvements in key guest and operational metrics and the initiatives we have planned for our important fourth quarter, make us confident in raising our financial outlook for the remainder of the year."