
DIN (Post-Call): Q4 Sales Trends Start Out Mixed, But Company Reiterates 2026 Targets
Earlier today (Wednesday, November 4th), Dine Brands reported third-quarter adjusted EPS of $0.82. This was well short of our $1.10 forecast and sell-side consensus (according to Consensus Metrix) at $1.02. We attribute the earnings miss largely to lower-than-expected margins at company-owned restaurants. Over time, we expect most/all of these restaurants to be refranchised — although that takes time. But, in the short run, they can be a drag on a quarter’s results, as they were in Q3. Applebee’s company-owned restaurant count as of the end of Q3 2026 was 118, up from 59 as of quarter-end Q3 2025. Back to Q3 2026: adjusted EBITDA reached $49.0 million in Q3. Consensus was at $54.1 million.



