BLMN Stock Surges 8.71% on Earnings Beat, Turnaround Plan Boosts Investor Confidence

The share price rose to its highest level so far this month today, with an intraday gain of 7.34%.

Bloomin' Brands (BLMN) reported mixed Q3 2025 results, including a 10.6% year-on-year revenue decline to $928.8 million but a 2.7% beat on earnings estimates. Adjusted EPS of -$0.03 outperformed expectations by 76%, while same-store sales grew 1.2% year-on-year, reversing a prior-year decline. The company raised full-year adjusted EPS guidance to $1.13 at the midpoint, signaling confidence in operational improvements. A $75 million turnaround plan for Outback Steakhouse includes menu simplification, enhanced service ratios, and expanded digital marketing, aiming to refresh nearly all locations by 2028.

Investor optimism followed the earnings report, with pre-market trading seeing an 8.71% surge. The strategy’s focus on operational efficiency and steakhouse core values aligns with CEO Mike Spanos’s emphasis on guest satisfaction. However, challenges persist, including cost pressures (COGS inflation at 4.9%) and a flat restaurant count. The company’s debt-reduction efforts, including Brazil refranchising proceeds, and disciplined capital allocation for asset refreshes rather than new openings, underscore its long-term recovery plan. While risks like competitive dynamics and macroeconomic uncertainties remain, the stock’s rally reflects confidence in executing the turnaround amid a cautious outlook for the casual dining sector.