Karishma Vanjani

Brinker International stock was soaring after the owner of Chili's Grill & Bar reported better-than-expected second-quarter earnings and lifted its outlook for full-year earnings and sales for the second time in a row.

Dallas-based Brinker said for the 13 weeks ended Dec. 25 earnings were $2.80 per share on sales of $1.358 billion, topping estimates for $1.86 and $1.25 billion, according to FactSet.

The stock jumped 12% in premarket trading on Wednesday, continuing the strong performance that saw it gain 206% in 2024.

Chili's, a casual dining chain that makes up about 90% of Brinker's overall revenue, was the star of the show. It saw solid sales momentum on the back of Triple Dipper, an under $20 mix-and-match tray of three appetizers and three dipping sauces, that has taken social media by storm.

Chili's continued to drive performance, with comparable sales up 31% year-over-year in the latest quarter. It was "driven both by new guests trying Chili's and return guests coming more frequently despite a more competitive promotional environment," CEO Kevin Hochman wrote in the press release.

Brinker lifted its adjusted earnings outlook for fiscal 2025 ending in June to a range of $7.50 to $8.00, beating the guidance of $5.20 to $5.50 shared in October and $4.35 to $4.75 shared in August.

Revenue is now estimated to be $5.15 billion to $5.25 billion in the fiscal year, also higher than the prior estimates shared in October and August.

Write to Karishma Vanjani at karishma.vanjani@dowjones.com.

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January 29, 2025 08:19 ET (13:19 GMT)

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