BJ's Restaurants (BJRI) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue grew 3.2% year-over-year to $348 million, driven by a 2.7% increase in guest traffic and a 1.7% rise in comparable restaurant sales, with new locations contributing.

• Net income rose to $13.5 million, with diluted EPS up to $0.58 from $0.32, and adjusted diluted EPS at $0.59.

• Restaurant-level operating margins reached 16% and adjusted EBITDA margin was 10.2%, both improving year-over-year.

• Guest satisfaction and value scores hit multi-year highs, supported by operational improvements and marketing initiatives.

• Management raised full-year earnings outlook and expanded share repurchase expectations, confident in margin expansion despite macroeconomic headwinds.

Financial highlights

• Q1 sales reached $348 million, up 3.2% year-over-year; comparable restaurant sales increased 1.7%.

• Restaurant-level operating profit rose 10% to $55.6 million, with a margin of 16% (up 100 bps year-over-year).

• Adjusted EBITDA was $35.4 million (10.2% of sales), up $6 million year-over-year.

• Net income was $13.5 million (3.9% of revenue), with diluted EPS of $0.58, up 80% from $0.32 last year.

• Cost of sales was 25% of revenue, 20 bps favorable year-over-year; labor and benefits were 36.1% of sales, 100 bps favorable.

Outlook and guidance

• Raised 2025 profit guidance: restaurant-level operating profit expected at $210–$219 million and adjusted EBITDA at $131–$140 million.

• Full-year comparable sales growth expected in the 2–3% range; capital expenditures forecasted at $65–$75 million.

• Share repurchase range increased to $45–$55 million.

• Plans to accelerate restaurant openings in 2026, with up to 30 remodels in 2025.

• Modest incremental food inflation expected in the second half due to tariffs, with a potential 30 bps margin headwind.