Dine Brands Global reported a fourth-quarter loss as a sizable impairment charge outweighed gains in revenue from company-operated locations.
The parent company of Applebee’s and Ihop reported revenue rose to $217.6 million for the quarter ended December 28, from $204.8 million a year earlier, largely driven by sales from restaurants reacquired from franchisees.
The company posted a net loss of $12.3 million, or 93 cents per share, compared with net income in the prior-year quarter. Results were impacted by a $29 million noncash impairment charge tied to intangible assets.
Comparable sales were mixed during the period. Applebee’s recorded a decline in same-restaurant sales, while Ihop posted a modest increase.
Full-year results
For the full fiscal year, revenue climbed to $879.3 million from $812.3 million in 2024. Net income dropped to $16 million from $63 million the previous year, as impairment charges and higher expenses pressured results.
“In 2025, our brands’ performance improved as we made meaningful progress against our strategic priorities by strengthening the fundamentals of the business and positioning our brands for long-term growth,” said John Peyton, CEO of Dine Brands.
He added that the company remains focused on enhancing the guest experience, delivering everyday value and driving menu innovation to boost sales and traffic. Peyton also pointed to momentum in the company’s dual-brand strategy and strong franchisee engagement heading into 2026.
In fiscal 2025, franchisees opened 73 new restaurants and closed 110 locations, including 28 domestic and 18 international dual-branded units.
Looking ahead, Dine Brands said it will continue supporting franchisees and working to improve guest traffic amid a competitive dining landscape.
“Our 2026 guidance reflects continued targeted investments in growth initiatives that are supported by improving trends across both our franchise business and our company-owned portfolio, and we will continue to focus on efficiently deploying capital towards projects with high return on investment,” said Vance Chang, CFOr of Dine Brands.
For 2026, Applebee’s domestic footprint is projected to range between five and 15 net closures. Ihop’s domestic development is expected to range from 10 net closures to 10 net new openings. Plans include at least 50 domestic dual-branded openings, primarily led by franchisees.
