Red Robin Gourmet Burgers Announces 'First Choice' Plan to Boost Shareholder Value

Red Robin Gourmet Burgers has announced a "First Choice" plan to drive long-term shareholder value. The plan aims to make Red Robin the top choice for guests, team members, and investors. The company also updated its financial outlook for the second quarter, with a focus on driving long-term value.

Englewood, Colo. — Red Robin Gourmet Burgers, Inc. (NASDAQ: RRGB) has announced its "First Choice" plan to drive long-term shareholder value. The plan aims to make Red Robin the top choice for guests, team members, and investors. The company also updated its financial outlook for the second quarter, with a focus on driving long-term value.

Dave Pace, Red Robin's President and Chief Executive Officer, stated, "The opportunity for Red Robin is significant, and we've put in motion an integrated plan to make us the 'First Choice' for guests, team members, and investors. Our First Choice plan includes coordinated initiatives to preserve the progress made under the Company's previous North Star Plan and build further in critical areas that we need to excel at in order to compete and win."

The "First Choice" plan consists of four key areas: Hold Serve, Drive Traffic, Find Money, and Fix Restaurants. These initiatives aim to improve operational efficiencies, enhance guest experience, manage expenses, and invest in restaurant facilities and technology. Additionally, the plan focuses on creating a high-performance environment that attracts and retains the best industry talent.

Red Robin expects second quarter comparable restaurant sales to decrease by approximately 4%, which is slightly below previously communicated expectations. The company also expects Adjusted EBITDA to exceed the prior expectation of $13 million to $16 million. The company plans to report second quarter results in mid-August.

Todd Wilson, Red Robin's Chief Financial Officer, commented, "Our commitments to operational excellence and cost efficiency have delivered meaningful profitability improvements, with the Adjusted EBITDA we expect to report in the first half of 2025 already surpassing our full-year 2024 results. While we continue to address our opportunity to deliver traffic growth, these profitability gains reflect the dedication of our restaurant teams who have embraced an ownership mindset. Combined with the benefit of recent corporate efficiency initiatives, our improved financial foundation provides us with the resources needed to accelerate investments in traffic-driving initiatives."

Red Robin will host an investor conference call on July 15th at 8:30 a.m. ET to discuss the "First Choice" plan and updated financial expectations for the second quarter and full year fiscal 2025. The conference call can be accessed live over the phone by dialing 201-689-8560 or by clicking Call Me™. A replay will be available from approximately two hours after the end of the conference call and can be accessed by dialing 412-317-6671; the conference ID is 13754725. The replay will be available through Tuesday, July 22, 2025. The call will be webcast live and later archived on the Company's Investor Relations website.

Red Robin Gourmet Burgers, Inc. is a casual dining restaurant chain founded in 1969 that operates through its wholly owned subsidiary, Red Robin International, Inc., and under the trade name, Red Robin Gourmet Burgers and Brews. The company serves a variety of burgers and mainstream favorites to guests of all ages in a casual, playful atmosphere. In addition to its many burger offerings, Red Robin serves a wide array of salads, appetizers, entrees, desserts, signature beverages, and Donatos® pizza at select locations. It's easy to enjoy Red Robin anywhere with online ordering available for to-go, delivery, and catering. Sign up for the royal treatment by joining Red Robin Royalty® today and enjoy Bottomless perks and delicious rewards across nearly 500 Red Robin locations in the United States and Canada, including those operating under franchise agreements.

References:
[1] https://www.prnewswire.com/news-releases/red-robin-gourmet-burgers-inc-announces-first-choice-plan-to-drive-long-term-shareholder-value-302504520.html