See what you click on FoxBusiness.com. Cracker Barrel is updating three of its most popular dining offerings while separately using proceeds from a real estate transaction involving 26 company-owned restaurants to reduce debt and support future growth. The Lebanon, Tennessee-based chain said Wednesday that it plans to improve the quality of its chicken, burger and steak dinners, calling the dinner its “biggest opportunity” as it works to improve guest satisfaction. “We’re making investments to improve food quality,” President and CEO Dave Deno said during the company’s fourth-quarter earnings conference call. “Dinner is our biggest opportunity and we plan to improve our chicken, burger and steak offerings.” Deno said Cracker Barrel wants to make sure its food consistently meets guests’ expectations for “flavor, temperature and quality with every visit.” NEW CEO INHERITS CRACKER BARREL STILL RECOVERING FROM REBRANDING REJECTION The Lebanon, Tennessee-based chain announced it plans to improve the quality of its chicken, burger and steak dinners. (Luke Sharrett/Bloomberg via Getty Images) The CEO said his priorities are focused on food, guest experience and employees as Cracker Barrel works to improve traffic and profitability. “A big part of my management philosophy is to do fewer things better and focus on the opportunities that could have the biggest impact,” Deno said. “For restaurants, the formula is pretty simple. You have to offer great food, provide a great guest experience, and hire and retain great employees who do both.” “These are the priorities we will focus on: food, experience and people,” he added. In addition to the menu enhancements, Cracker Barrel said it completed a sale and leaseback transaction involving 26 company-owned restaurants that generated approximately $77 million in net revenue. “The sale and leaseback transaction generated $77 million in net proceeds, which were used to repay debt and partially offset the $150 million debt related to the 0.625% convertible senior notes that matured and were repaid in June,” said Chief Financial Officer Craig Pommells. “The quarter ended with total debt of $337.2 million, down $147.4 million from the prior year.” CRACKER BARREL CEO JULIE MASINO TO RESIGN Deno said Cracker Barrel continues to see pressure among low-income consumers, although customer trends have improved. (Richard Beetham for Fox News Digital) Deno said Cracker Barrel continues to see pressure among low-income consumers, although customer trends have improved. “When it comes to us specifically, yes, we see some pressure with our low-income guests, but our trends, like I said, have improved,” Deno said. Still, Chief Financial Officer Craig Pommells said the chain’s value remains an advantage, noting that the average guest check is about $16. “If you’re feeling pressured by a discretionary income perspective, there are many ways you can still have a great experience at Cracker Barrel,” Pommells said. The company also said that higher freight costs, including fuel surcharges, are already factored into its fiscal outlook for 2027. “We are seeing fuel and other freight-related surcharges, both from a retail perspective, but to a lesser extent from a restaurant perspective. All of that is built into our projection with the best information we have today,” Pommells. he said.CRACKER BARREL RESPONDS TO REPORTS ABOUT EMPLOYEE DINING REQUIREMENTS DURING WORK TRAVEL Deno took over as CEO in August following the departure of Julie Masino, whose tenure included a rebranding that drew criticism from some longtime customers. (Jeenah Moon/Reuters)GET UP WITH FOX BUSINESS BY CLICKING HEREeno took over as CEO in August following the departure of Julie Masino, whose tenure included a rebranding that drew criticism from some longtime customers. The overhaul, part of a roughly $700 million investment in Cracker Barrel restaurants, included updates to store interiors, menu changes and the temporary removal of the chain’s iconic “Old Timer” logo before it was later restored. FOX Business’ Eric Revell contributed to this report.
