NASDAQ$FWRG
First Watch Restaurant Group Inc · Q2 2025 earnings
Q2 2025 earnings · · Before market open · Investor relations
Briefing
First Watch Restaurant Group Inc reported Q2 2025 results with total revenues of $307.9 million and net income of $2.1 million.
The company achieved 19.1% revenue growth driven by new restaurant openings and same-restaurant sales growth of 3.5%. Net income declined to $2.1 million from $8.9 million in the prior year due to higher operating costs including commodity inflation. Restaurant level operating profit margin decreased to 18.6% while Adjusted EBITDA was $30.4 million.
- Total revenues increased 19.1% to $307.9 million with 55 net new system-wide restaurants opened year-over-year.
- Same-restaurant sales grew 3.5% and same-restaurant traffic grew 2.0%, marking the first positive traffic quarter since Q1 2023.
- Income from operations margin fell to 2.4% from 6.4% year-over-year due to 8.1% commodity inflation and higher labor and occupancy costs.
- Acquired 19 franchise restaurants and ended the quarter with 600 system-wide restaurants across 31 states.
Headline financials
Revenue & EPS history
First Watch · Revenue · Quarterly
$308M
Revenue by segment
First Watch · $308M total across 2 segments · Q2 2025
- Restaurant sales$305M—99.1%
- Franchise revenues$2.9M—0.9%
Forward guidance
Management expects positive traffic trends to continue through the second half of the year and full-year commodity inflation of 5% to 7%.
Tailwinds
- First positive same-restaurant traffic growth since Q1 2023
- Continued new restaurant development momentum
Headwinds
- Elevated egg costs expected to moderate but still impacting margins
- Wage inflation projected at 3% to 4% for the full year
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports
-0.9%
Avg return
Earnings day
-0.6%
Avg return
5 days after
-0.9%
Avg return
30 days after
39%
9 / 23 earnings
Positive
+15.5%
Q3 2024
Best reaction
-17.6%
Q1 2025
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q2 2025 | — | — | — | |
| Q1 2026 | -0.1% | -0.7% | -16.0% | |
| Q4 2025 | -10.7% | -19.6% | -29.6% | |
| Q3 2025 | -3.9% | -3.0% | -1.3% | |
| Q1 2025 | -17.6% | -15.3% | -19.8% | |
| Q4 2024 | -7.0% | -8.9% | -3.6% | |
| Q3 2024 | +15.5% | +7.1% | +5.9% | |
| Q2 2024 | +10.8% | +13.7% | +11.0% | |
| Q1 2024 | -13.1% | -16.7% | -24.9% | |
| Q4 2023 | -3.8% | -1.8% | -10.0% | |
| Q3 2023 | -0.3% | +1.2% | +12.1% | |
| Q2 2023 | +2.8% | +3.3% | +2.6% | |
| Q1 2023 | +2.3% | +1.3% | +6.8% | |
| Q4 2022 | -3.3% | -5.2% | -6.0% | |
| Q3 2022 | -11.4% | -3.9% | -12.4% | |
| Q2 2022 | -0.2% | +1.9% | +2.7% | |
| Q2 2021 | -0.2% | +1.9% | +2.7% | |
| Q1 2021 | +8.9% | +19.6% | +32.5% | |
| Q1 2022 | +8.9% | +19.6% | +32.5% | |
| Q4 2021 | -1.7% | -3.3% | -6.0% | |
| Q4 2019 | -1.7% | -3.3% | -6.0% | |
| Q4 2020 | +1.8% | -0.3% | +2.0% | |
| Q3 2021 | +1.8% | -0.3% | +2.0% | |
| Q3 2020 | +1.8% | -0.3% | +2.0% | |
| Q2 2020 | — | — | — | |
| Q1 2020 | — | — | — |
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