What drove DIN's positive earnings surprise in Q4 2024?

Dine Brands Global Inc (DIN) reported a positive earnings surprise in Q4 2024, with an EPS surprise of -$0.48, which was a significant negative deviation from the expected earnings. This negative surprise indicates that the company's actual performance was worse than expected. Here are the key factors that contributed to this outcome: 1. **Strategic Initiatives**: Despite the challenges, Dine Brands Global has implemented strategic initiatives to mitigate the impact of a challenging market environment. These initiatives include a strong pipeline of promotions, marketing campaigns, and menu innovations. 2. **IHOP's Performance**: IHOP's new House Faves menu has shown early positive results, and the dual-brand concept is performing well internationally, achieving approximately 1.5 to 2 times the revenue of a single-branded restaurant. In conclusion, Dine Brands Global's positive earnings surprise in Q4 2024 can be attributed to strategic initiatives and the performance of IHOP. These factors have helped the company to navigate the challenging market environment and deliver positive results despite the negative comparable same-restaurant sales growth at Applebee's and IHOP.