Dutch Bros Inc. (NYSE:BROS) delivered better-than-expected second-quarter earnings and revenue while raising its full-year guidance, but investors responded negatively, sending the coffee chain’s shares down about 9% in premarket trading on Thursday as the updated outlook was viewed as overly cautious.
Adjusted earnings came in at $0.33 per share, exceeding analysts’ consensus estimate of $0.29. Revenue rose 32% year over year to $550.9 million, comfortably ahead of market expectations of $524.8 million and up from $415.8 million in the same quarter last year.
Company-operated same-shop sales increased 8.3%, while systemwide same-shop sales advanced 5.8%. Adjusted EBITDA climbed 27.8% to $113.7 million from $89.0 million a year earlier.
Full-year guidance lifted across key metrics
Following the strong quarterly performance, Dutch Bros raised several elements of its outlook for 2026.
The company now expects annual revenue of between $2.10 billion and $2.13 billion, with the midpoint of $2.115 billion exceeding analysts’ consensus forecast of $2.08 billion.
Management also increased its forecast for same-shop sales growth to a range of 5% to 6% and now expects adjusted EBITDA of between $385 million and $390 million, compared with its previous guidance of $370 million to $380 million.
Despite the higher targets, Jefferies analysts described the results as a “solid beat,” but argued that the revised outlook “appears conservative.”
The brokerage added, “Near- and long-term competitive/macro fears still overdone, in our view, as we reiterate Buy and PT $83.”
Expansion strategy remains on track
Dutch Bros continued to expand its footprint during the quarter, opening 48 new stores, including 44 company-operated locations. The company reiterated its goal of opening at least 185 systemwide shops during 2026.
Net income increased to $51.6 million, compared with $38.4 million in the same period last year.
Chief Executive Officer and President Christine Barone said, “Our second quarter performance reflects the strength of the Dutch Bros brand, powered by our differentiated people-led culture and our compelling value proposition that continues to resonate with customers.”
The company also announced an agreement to acquire the real estate and site assets of up to 65 Salad and Go locations across Arizona, Nevada, Oklahoma and Texas. Dutch Bros plans to convert the sites into new stores beginning in 2027.
Dutch Bros stock price
