Cracker Barrel backtracked on a remodel and logo change. Did that help the company?

By Claudia Assis Cracker Barrel posts a loss and cuts outlook for the year Cracker Barrel posted a drop in quarterly sales and a quarterly loss. Cracker Barrel Old Country Store Inc. leaned back on Americana nostalgia at its stores and even returned to its "Old Timer" logo after a backlash against changes earlier this year, but the backpedaling does not yet have much to show for itself. Cracker Barrel (CBRL) late Tuesday reported steep drops for its fiscal first-quarter sales and same-restaurant sales, as well as a loss for the quarter. The restaurant and gift-shop chain also trimmed its outlook for the year, sending the stock more than 10% lower in the extended session Tuesday. The results "were below our expectations amid unique and ongoing headwinds," Chief Executive Julie Masino said. "We have adjusted our operational initiatives, menu and marketing to ensure we are consistently delivering delicious food and exceptional experiences," as well as cutting costs to bolster the company's financial performance, she said. The recovery "will take time," Masino said. Cracker Barrel was engulfed in controversy in August after an attempt at rebranding, which included a streamlined logo and having fewer knick-knacks at its stores, devolved into a social-media firestorm that may have been fed by bots. Read also: Shake Shack's Big Shack burger is more than an internet sensation. Here's what it says about the restaurant business. President Donald Trump demanded the return of the old logo in a Truth Social post, and soon the 56-year old Tennessee company was joining the likes of Target Corp. (TGT) and Bud Light maker Anheuser-Busch Inbev SA (BUD) in the hot seat of the culture wars. Cracker Barrel reported that its quarterly revenue fell nearly 6% to $797.2 million. Comparable-store restaurant sales dropped about 5%, and comparable-store retail sales declined 8.5%, the company said. It reported an adjusted loss of 74 cents a share for the quarter, slightly narrower than Wall Street's expectations of a loss of 79 cents a share, according to FactSet. For fiscal 2026, Cracker Barrel called for total sales between $3.2 billion and $3.3 billion, compared with a previous outlook of sales between $3.35 billion and $3.45 billion. It guided for an adjusted Ebitda of $70 million to $110 million, whereas a previous forecast called for $150 million to $190 million. It also trimmed its expectations for capital expenditures to between $110 million and $125 million, versus a previous outlook of $135 million to $150 million. Shares of Cracker Barrel have lost nearly 50% so far this year, contrasting with gains of about 16% for the S&P 500 index SPX. -Claudia Assis This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal. (END) Dow Jones Newswires 12-09-25 1756ET