Red Robin — Third Quarter 2026 Earnings Summary

Financial Performance:

• Comparable restaurant revenue increased 3.9% for the twelve weeks ended October 4, 2026, compared to the prior year.
• Guest traffic decreased 1.7% for the twelve weeks ended October 4, 2026, while average guest check increased 5.6%.
• For the sixteen weeks ended April 19, 2026, comparable restaurant revenue decreased 0.6% (guest traffic -2.0%, average check +1.4%).
• For the twelve weeks ended July 12, 2026, comparable restaurant revenue increased 1.3% (guest traffic -0.4%, average check +1.7%).
• For the forty weeks ended October 4, 2026, comparable restaurant revenue increased 1.5% (guest traffic -1.1%, average check +2.6%).
• The Company completed refranchising transactions generating approximately $89.4 million in aggregate cash proceeds.
• Proceeds were utilized to reduce outstanding debt and support the refinancing of the secured credit facility.
• The Company filed a Notification of Late Filing (Form NT 10-Q) to extend the filing deadline for the Form 10-Q for the quarter ended October 4, 2026.

Guidance and Future Outlook:

• The Company will provide updated guidance outlook under a more franchised ownership model during the rescheduled earnings call.
• Management expressed confidence in the "First Choice" strategy and the company's long-term strategic priorities.
• The rescheduled earnings release and conference call are set for November 18, 2026, to allow for comprehensive financial statements and disclosures.

Business Segments and Product Lines:

• The Company refranchised 108 company-owned restaurants through three transactions with experienced franchise operators.
• Transactions included the sale of 30 restaurants to Evergreen Dining LLC, 61 to Op Burgers, LLC, and 17 to Kuber Oregon, LLC and Kuber Washington, LLC.
• The "Big Yummm" value platform, launched in July 2025, contributed to the same-store sales outperformance in the third quarter.
• The Company operates nearly 500 locations in the United States and Canada, including franchise agreements.

Market and Competitive Landscape:

• Same-store sales outperformed the industry during the third quarter.
• The Company maintains a geographic concentration in the Western United States.

Risks and Challenges:

• The delay in the earnings release was due to the complexity of accounting and valuation analyses associated with refranchising and refinancing transactions, not significant changes in financial condition.
• Risks include the possibility of not fully realizing projected benefits from refranchising and refinancing, business disruption during or following transactions, and impacts on relationships with employees, franchisees, suppliers, and landlords.
• Potential risks involve the adequacy of cash flows, cost and availability of capital, ability to service debt and comply with credit facility covenants, and costs associated with lease obligations.
• Risks also include changes in consumer behavior, geographic concentration, and actions by franchisees that could harm the business or reputation.

Management Commentary and Tone:

• CEO Dave Pace stated the Company remains focused on strengthening operating performance and financial position since launching the "First Choice Plan" in July 2025.
• Management noted that the completed transactions represent an important milestone providing greater financial stability.
• CEO Pace expressed encouragement regarding continued momentum, citing the success of the value platform in driving frequency and engagement.
• Management believes Red Robin is well-positioned to execute on long-term priorities with a stronger financial foundation and improving operating trends.

Other Key Points:

• The Company refinanced its secured credit facility on October 2, 2026, establishing a five-year $115 million credit agreement.
• The new credit facility includes a $25 million revolving line of credit and a $90 million term loan.
• Interest rates on the new facility are based on SOFR plus 275 to 350 basis points, with an initial rate of SOFR plus 325 basis points and no SOFR floor.
• An investor conference call and webcast will be held on November 18, 2026, at 4:30 p.m. ET to discuss third-quarter results and fiscal 2026 outlook.
• The Company serves Donatos® pizza at select locations and offers online ordering for to-go, delivery, and catering.