JACKSONVILLE, Florida, July 22, 2026, 7:03 p.m. EDT
- Maple Street contributed under 2% of revenue. The exit is expected to boost adjusted EBITDA for fiscal 2027.
- Initial cash and non-cash charges range from $43 million to $47 million. The sale price was not revealed.
- An additional property transaction generated $77 million and contributed $5.7 million in starting yearly rent.
Cracker Barrel Old Country Store Inc. NASDAQ:CBRL plans to record charges as high as $47 million as it exits Maple Street Biscuit Company. The brand accounted for under 2% of yearly revenue. Management projects the move will improve adjusted EBITDA in fiscal 2027.
This is the trade investors are making. Based on the $3.30 billion sales goal, implied calculations keep Maple Street revenue under about $66 million. The expected accretion signals that the unit reduced adjusted EBITDA.
The real estate transaction is more complicated. Cracker Barrel generated approximately $77 million through the sale of 26 company-owned locations. The chain is now responsible for $5.7 million in initial yearly rent, or 7.4% of net proceeds, prior to scheduled annual increases.
| Measure | Current figure | Comparison |
|---|---|---|
| Maple Street revenue | Under 2%; suggested maximum just under $66 million | Expected Maple Street exit to help increase fiscal 2027 adjusted EBITDA |
| Exit charges | Estimated $43 million-$47 million | With $37 million-$39 million recognized as non-cash |
| Store outcome | 35 locations sold; 16 set to close | Around 69% to be transferred, 31% shuttered |
| Property deal | $77 million cash raised; $5.7 million starting rent | Initial rent represents 7.4% of the proceeds |
Biscuit Belly, a private company, acquired Maple Street’s trademark and assets associated with 35 restaurants. The remaining 16 locations will be shut down. The terms of the deal were not made public.
Chief Executive Julie Masino stated, “Divesting Maple Street sharpens our focus on the core Cracker Barrel brand and is expected to improve profitability.” PR Newswire
Proceeds from the property will be used to pay down revolver debt. This amount represents roughly 51% of a $149.9 million note balance that management had intended to refinance with that facility.
This pullback ends six years of growth. Cracker Barrel acquired 33 Maple Street restaurants in 2019 for $36 million. The chain grew to 70 locations by early 2025, then shuttered 19 prior to this agreement.
The initial exit bill is 19% to 31% higher than the amount paid for the purchase. The comparison is not exact, as it factors in subsequent spending on stores, severance, lease terminations and additional expenses.
Biscuit Belly operated 15 outlets prior to the purchase. The company intends to rebrand the acquired sites within 18 to 24 months, with the first locations set to be converted in January 2027. The buyer aims for over 60 locations by the close of 2028.
CEO Chad Coulter said, “When reviewing Maple Street’s location coverage, presence, and existing teams, it clicked for us.” PR Newswire
Biscuit Belly has taken over locations including San Marco, Fleming Island, and Point Meadows in Jacksonville, where Maple Street began. The Katy, Texas, location is no longer operating. Meanwhile, a Houston Heights Biscuit Belly is still marked as opening soon.
Cracker Barrel continues to see weak results at its main business. Restaurant comparable sales declined roughly 2.5% over the first 11 weeks of the fiscal quarter, while retail comparable sales edged up by 0.5%. The company maintains its forecast for fiscal revenue of at least $3.30 billion and adjusted EBITDA exceeding $125 million.
Nasdaq regular trading had ended. In after-hours trading Wednesday, the stock last traded at $53.17, down roughly 1.4%. This followed a 9% gain to $58.20 after hours on Monday, which later receded. Shares remained 3.0% higher than their July 15 close.
Looking ahead, focus will shift to Cracker Barrel as it approaches its July 31 fiscal year-end. Market participants will be monitoring its last guidance and any fourth-quarter exit charges.
Risks persist. The charge range is an initial estimate. Under triple-net leases, Cracker Barrel must cover taxes, insurance, and maintenance costs. Fixed rent hikes could extend beyond the short-term debt relief. Core restaurant sales continue to decline.
The agreement addresses the earnings mix but does not boost demand. It does not resolve declining restaurant sales. That challenge comes next.
