Overview

• Restaurant operator's Q4 revenue missed analyst expectations

• Adjusted EPS for Q4 beat analyst expectations

• Company reported net loss due to non-cash impairment charge

Outlook

• Dine Brands expects 2026 adjusted EBITDA between $220 mln and $230 mln

• Company forecasts Applebee's same-restaurant sales growth between 0% and 2% in 2026

• IHOP's same-restaurant sales expected to grow between 0% and 2% in 2026

Result Drivers

• REVENUE INCREASE - Driven by higher sales from company-owned restaurants due to acquisitions, offset by decreased franchise revenues

• MENU INNOVATION AND VALUE - Focus on guest experience, everyday value, and menu innovation to drive sales and traffic improvements

• DUAL-BRAND STRATEGY - Development initiatives anchored by dual-brand strategy continue to build momentum, with strong franchisee engagement

Company press release: ID:nBwtXZsra

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q4 Revenue	Miss	$217.60 mln	$228.07 mln (7 Analysts)
Q4 Adjusted EPS	Beat	$1.46	$1.06 (8 Analysts)
Q4 EPS		-$0.93
Q4 Adjusted EBITDA		$59.80 mln

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 7 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the restaurants & bars peer group is "buy."

• Wall Street's median 12-month price target for Dine Brands Global Inc is $34.00, about 11% above its February 24 closing price of $30.64

• The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 5 three months ago

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