Dutch Bros Inc. (NYSE:BROS) shares declined more than 13% in premarket trading on Thursday after the US coffee chain reported slower comparable-store sales growth and lowered its full-year adjusted EBITDA forecast, despite exceeding analysts’ third-quarter earnings and revenue estimates.
The company reported adjusted earnings of $0.25 per share, above the consensus estimate of $0.24. Revenue increased 29.8% year over year to $549.8 million, compared with $423.6 million in the corresponding period last year, and slightly exceeded analysts’ expectations of $548.6 million.
However, company-operated same-shop sales increased 5.4%, while systemwide same-shop sales rose 4.4%, representing a slowdown from previous quarters.
The company also revised its annual profitability outlook and increased its planned capital expenditure as it prepares to accelerate new store openings in 2027.
Dutch Bros generated third-quarter revenue of $549.8 million, representing an increase of 29.8% from the previous year.
The result exceeded the analyst consensus of $548.6 million.
Adjusted earnings per share reached $0.25, compared with expectations of $0.24.
Net income increased to $37.2 million from $27.3 million in the corresponding quarter of 2025.
The revenue increase came alongside continued expansion of the company’s store network, although comparable-store sales growth moderated during the period.
Company-operated same-shop sales rose 5.4%, while sales across the entire system of company-operated and franchised locations increased 4.4% on a comparable basis.
The figures indicated slower sales growth at existing locations compared with previous quarters, contributing to investor attention on customer traffic and transaction trends.
Dutch Bros reduced its full-year adjusted EBITDA forecast to approximately $380 million.
The previous guidance had called for adjusted EBITDA between $385 million and $390 million.
The company also increased its capital expenditure forecast to a range of $370 million to $390 million, reflecting its planned investment requirements.
Full-year revenue is now expected to reach at least $2.1 billion, compared with the analyst consensus estimate of $2.131 billion.
The revised forecasts accompanied the slowdown in comparable-store sales growth, despite quarterly earnings and revenue exceeding market expectations.
Dutch Bros maintained its outlook for at least 5% same-shop sales growth during 2026.
Dutch Bros continued expanding its store network during the third quarter, opening 48 new locations.
The additions brought the company’s total shop count to 1,273.
On July 27, 2026, Dutch Bros also completed the reacquisition of 32 franchised locations in the East Valley area of Phoenix, Arizona.
The transaction brought those stores back under company ownership.
Dutch Bros maintained its 2026 target of at least 185 total system shop openings.
The company’s expansion programme remains an important component of its revenue growth strategy, alongside efforts to increase sales at existing locations.
For 2027, Dutch Bros announced plans to accelerate its store development programme.
The company is targeting approximately 250 new shop openings during the year, representing an increase from its previous expansion pace.
The planned acceleration follows continued growth in the company’s national store network.
Additional locations are expected to contribute to future revenue, although new store development also requires investment in construction, equipment and operations.
The company’s higher capital expenditure guidance reflects increased spending requirements as it pursues its expansion plans.
Investors will be monitoring the relationship between new store growth, comparable-store sales and profitability as the company increases its pace of development.
Dutch Bros Chief Executive Officer and President Christine Barone commented on the company’s performance in the beverage market.
“Dutch Bros continues to gain share in the high-growth beverage category,” Barone said.
“In the third quarter, we achieved our fourteenth consecutive quarter of positive same shop sales and ninth consecutive quarter of same shop customer visit growth.”
The company has therefore recorded positive comparable-store sales for 14 consecutive quarters and growth in comparable-store customer visits for nine consecutive quarters.
However, the latest results also showed a moderation in the pace of same-shop sales growth.
The distinction between continued positive growth and the rate of that growth has become a focus for analysts assessing the company’s near-term performance.
Analysts at Baird maintained a positive assessment of Dutch Bros’ longer-term expansion opportunities, citing the economics of its stores and the potential to increase its number of locations.
However, they expressed reservations about the recent slowdown in transaction growth.
According to the analysts, management’s satisfaction with the company’s latest performance “seems disconnected from investor expectations.”
Baird said the absence of clear near-term indications of a recovery in customer traffic had “tempered our conviction.”
The firm also lowered Dutch Bros’ position among its preferred investment ideas.
Analysts said “evidence of sustained traffic acceleration” would be necessary to restore investor confidence and support a higher valuation.
Their assessment reflected attention to the company’s ability to maintain customer traffic growth alongside its store expansion programme.
Citi analysts also commented on the company’s revised outlook and its decision to accelerate new store openings.
The firm said the “competition debate is set to flare up again as BROS tempered its outlook for ’26 SSS/EBITDA while ramping unit growth plans for ’27.”
The comments referred to the company’s updated 2026 same-shop sales and adjusted EBITDA outlook, alongside its plans for approximately 250 new locations in 2027.
Citi also noted that Dutch Bros had continued growing comparable-store sales and adjusted EBITDA despite increasing competition.
“To date, BROS has grown comps/EBITDA as competition has ramped (legacy and newcomers) and we see ’26/the years ahead continuing this trend,” the analysts added.
The firm’s assessment highlighted the competitive environment facing Dutch Bros as both established beverage chains and newer market participants expand their operations.
Dutch Bros reported a 29.8% increase in third-quarter revenue and higher net income, with adjusted earnings per share exceeding analyst expectations.
However, slower comparable-store sales growth and a reduction in full-year adjusted EBITDA guidance contributed to the decline in its shares before the market opened.
The company continues to expand its store network, with at least 185 openings planned for 2026 and approximately 250 targeted for 2027.
Management maintained its expectation for at least 5% same-shop sales growth in 2026, while increasing capital expenditure guidance to support development.
Investors and analysts will continue to monitor customer traffic, comparable-store sales trends, competition and the financial implications of the company’s accelerated expansion plans.
Dutch Bros stock price
| 18 min | |
| 3 hours | |
| 3 hours | |
| 3 hours | |
| 4 hours | |
| 5 hours | |
| Nov-04 | |
| Nov-04 | |
| Nov-04 | |
| Nov-04 | |
| Nov-02 | |
| Nov-01 | |
| Oct-30 | |
| Oct-27 | |
| Oct-16 |
Join thousands of traders who make more informed decisions with our premium features. Real-time quotes, advanced visualizations, alerts, and much more.
Learn more about Finviz Elite