Brinker International reported higher earnings for Q3, which ended in March, despite weather-related disruptions in the period.

“Chili’s delivered its 20th consecutive quarter of same-store sales growth, up 4 per cent, lapping a 31 per cent increase a year ago,” said Kevin Hochman, president and CEO, Brinker International.

“Guest demand remained strong in the quarter, recovering quickly after significant weather headwinds in January.”

Company sales rose to $1.46 billion in the quarter, up from $1.41 billion a year prior. Total revenues increased to $1.47 billion, while comparable restaurant sales jumped 3.3 per cent, including a 4 per cent gain at Chili’s.

However, January growth was limited to 0.6 per cent, affected by Winter Storm Fern and one fewer operating day due to a holiday shift.

Chili’s performance strengthened as the quarter progressed, with its comparable sales increasing 5.9 per cent in both February and March, supported by higher foot traffic.

Operating income rose to $166.6 million, representing 11.3 per cent of total revenues, compared with $156.9 million, or 11.0 per cent, in the prior year. 

At the same time, net income increased to $127.9 million, while adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) reached $223.7 million.

Looking ahead, Brinker expects total revenues of $5.78 billion to $5.82 billion for the fiscal year, with capital expenditure guidance lowered to a range of $240 million to $250 million.

• Further reading: Brinker posts strong Q2 as Chili’s extends streak.