8-K
Dine Brands Global, Inc. (DIN)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported): August 6, 2025
Dine Brands Global, Inc.
(Exact Name of Registrant as Specified in Charter)
| Delaware | 001-15283 | 95-3038279 |
|---|---|---|
| (State or other jurisdiction<br>of incorporation or organization) | (Commission<br>File No.) | (I.R.S. Employer<br>Identification No.) |
| 10 West Walnut Street, 5th Floor,<br>Pasadena, California | 91103 | |
| (Address of principal executive offices) | (Zip Code) |
(818) 240-6055
(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading<br>symbol(s) | Name of each exchange<br>on which registered |
|---|---|---|
| Common Stock, $.01 Par Value | DIN | New York Stock Exchange |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the Registrant under any of the following provisions (see General Instruction A.2. below):
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| --- | --- |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| --- | --- |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
| --- | --- |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
| Item 2.02 | Results of Operations and Financial Condition |
|---|
On August 6, 2025, Dine Brands Global, Inc., a Delaware corporation (the “Corporation”), issued a press release announcing its second quarter 2025 financial results. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
The information contained in this Item 2.02, including the related information set forth in the press release attached hereto as Exhibit 99.1 and incorporated by reference herein, is being “furnished” and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise. The information in this Item 2.02 shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended, or into any filing or other document pursuant to the Exchange Act, except as otherwise expressly stated in any such filing.
| Item 9.01. | Financial Statements and Exhibits. |
|---|
(d) Exhibits.
| Exhibit<br> <br>Number | Description |
|---|---|
| 99.1 | Press Release issued by the Corporation on August 6, 2025. |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
| Date: August 6, 2025 | DINE BRANDS GLOBAL, INC. | |
|---|---|---|
| By: | /s/ Vance Y. Chang | |
| Vance Y. Chang<br> <br>Chief Financial Officer |
EX-99.1
Exhibit 99.1
Dine Brands Global, Inc. and Subsidiaries
Consolidated Statements of Comprehensive Income
(In thousands, except per share amounts)
(Unaudited)
News Release
Investor Contact
Matt Lee
Sr. Vice President, Finance and Investor Relations
Dine Brands Global, Inc.
IR@dinebrands.com
Media Contact
Susan Nelson
Sr. Vice President, Global Communications
Dine Brands Global, Inc.
Mediainquiries@dinebrands.com
Dine Brands Global, Inc. Reports Second Quarter 2025 Results
PASADENA, Calif., August 6, 2025 – Dine Brands Global, Inc. (NYSE: DIN) (the “Company” or “Dine Brands”), the parent company of Applebee’s Neighborhood Grill + Bar^®^, IHOP^®^ and Fuzzy’s Taco Shop^®^ restaurants, today announced financial results for the second quarter of fiscal year 2025.
“In the second quarter, we continued to build positive momentum across both Applebee’s and IHOP, with notable improvements in sales and traffic. Applebee’s benefited from strong consumer response to our value-driven promotions and continued innovation in menu and marketing, while IHOP saw growth fueled by its refreshed brand positioning and value strategy. At the same time, our Dual Brands initiative is building traction with our franchisees as our second domestic unit also opened with strong economics. We remain confident that our ongoing investments will generate sustainable value for our shareholders and franchisees based on these results.” said John Peyton, Chief Executive Officer of Dine Brands.
Vance Chang, Chief Financial Officer, Dine Brands added, “In this quarter, we successfully completed a refinancing transaction that strengthens our capital structure and enhances financial flexibility, positioning us well for future growth. We remain committed to delivering shareholder value through sustained financial performance and strategic investment.”
Domestic Restaurant Sales for the Second Quarter of 2025
| • | Applebee’s year-over-year domestic comparable same-restaurant sales increased 4.9% for the second quarter of<br>2025. Off-premise sales accounted for 22.0% of sales mix in the second quarter of 2025 representing per restaurant average weekly sales of approximately $12,800. |
|---|
Dine Brands Global, Inc. and Subsidiaries
Consolidated Statements of Comprehensive Income
(In thousands, except per share amounts)
(Unaudited)
| • | IHOP’s year-over-year domestic comparable same-restaurant sales declined 2.3% for the second quarter of<br>2025. Off-premise sales accounted for 20.0% of sales mix in the second quarter of 2025, representing per restaurant average weekly sales of approximately $7,600. |
|---|
Second Quarter of 2025 Summary
| • | Total revenues for the second quarter of 2025 were $230.8 million compared to $206.3 million for the<br>second quarter of 2024. The increase was primarily due to an increase in company restaurant sales attributable mainly to the acquisition of Applebee’s and IHOP restaurants prior to the second quarter of 2025 offset by a decrease in franchise<br>revenues and a decrease in rental income. |
|---|---|
| • | General and Administrative (“G&A”) expenses for the second quarter of 2025 were $50.8 million<br>compared to $46.9 million for the second quarter of 2024. The variance was primarily attributable to an increase in compensation-related expenses and an increase in professional service fees, both due in part to the G&A expenses related to<br>company restaurant operations as well as dual brand and remodel initiatives. |
| --- | --- |
| • | GAAP net income available to common stockholders was $13.2 million, or earnings per diluted share of $0.89,<br>for the second quarter of 2025 compared to net income available to common stockholders of $22.5 million, or earnings per diluted share of $1.50 for the second quarter of 2024. The decrease was primarily due to a decrease in segment profit and<br>an increase in G&A expenses. |
| --- | --- |
| • | Adjusted net income available to common stockholders was $17.4 million, or adjusted earnings per diluted<br>share of $1.17, for the second quarter of 2025, compared to adjusted net income available to common stockholders of $25.6 million, or adjusted earnings per diluted share of $1.71, for the second quarter of 2024. The decline was primarily due to<br>a decrease in segment profit and an increase in G&A expenses. (See “Non-GAAP Financial Measures” for reconciliation of GAAP net income available to common stockholders to adjusted net income<br>available to common stockholders.) |
| --- | --- |
| • | Consolidated adjusted EBITDA for the second quarter of 2025 was $56.2 million compared to $67.0 million<br>for the second quarter of 2024. (See “Non-GAAP Financial Measures” for reconciliation of GAAP net income to consolidated adjusted EBITDA.) |
| --- | --- |
| • | Development activity by Applebee’s and IHOP franchisees for the second quarter of 2025 resulted in seven new<br>restaurant openings and 46 restaurant closures. |
| --- | --- |
First Six Months of 2025 Summary
| • | Total revenues for the first six months of 2025 were $445.6 million compared to $412.5 million for the<br>first six months of 2024. The increase was primarily due to an increase in company restaurant sales attributable mainly to the acquisition of 59 Applebee’s and 10 IHOP restaurants partially offset by a decrease in franchise revenues and a<br>decrease in rental income. |
|---|
Dine Brands Global, Inc. and Subsidiaries
Consolidated Statements of Comprehensive Income
(In thousands, except per share amounts)
(Unaudited)
| • | G&A expenses for the first six months of 2025 were $102.1 million compared to $99.0 million for the<br>first six months of 2024. The variance was primarily due to an increase in professional service and legal fees and costs related to company restaurant operations as well as dual brand and remodel initiatives, partially offset by a decrease in<br>stock-based compensation and a decrease in software maintenance costs. |
|---|---|
| • | GAAP net income available to common stockholders was $21.1 million, or earnings per diluted share of $1.41,<br>for the first six months of 2025 compared to net income available to common stockholders of $39.4 million, or earnings per diluted share of $2.64 for the first six months of 2024. The decline was primarily due to a decrease in segment profit,<br>an increase in closure and impairment charges and an increase in G&A expenses. |
| --- | --- |
| • | Adjusted net income available to common stockholders was $32.8 million, or adjusted earnings per diluted<br>share of $2.20, for the first six months of 2025 compared to adjusted net income available to common stockholders of $45.5 million, or adjusted earnings per diluted share of $3.04, for the first six months of 2024. The decline was primarily due<br>to a decrease in segment profit and an increase in G&A expenses. (See “Non-GAAP Financial Measures” for reconciliation of GAAP net income available to common stockholders to adjusted net income<br>available to common stockholders.) |
| --- | --- |
| • | Consolidated adjusted EBITDA for the first six months of 2025 was $110.9 million compared to<br>$127.8 million for the first six months of 2024. (See “Non-GAAP Financial Measures” for reconciliation of GAAP net income to consolidated adjusted EBITDA.) |
| --- | --- |
| • | Cash flows provided by operating activities for the first six months of 2025 were $53.1 million. This<br>compares to cash flows provided by operating activities of $52.2 million for the first six months of 2024. The increase was primarily due to a favorable change in working capital primarily due to the timing of income tax payments postponed due<br>to wildfire relief, offset by a decrease in segment profit and higher G&A expenses. |
| --- | --- |
| • | Adjusted free cash flow was $48.7 million for the first six months of 2025. This compares to adjusted free<br>cash flow of $52.9 million for the first six months of 2024. (See “Non-GAAP Financial Measures” for reconciliation of the Company’s cash flows provided by operating activities to adjusted<br>free cash flow.) |
| --- | --- |
| • | Development activity by Applebee’s and IHOP franchisees for the first six months of 2025 resulted in 16 new<br>restaurant openings and 85 restaurant closures. |
| --- | --- |
Key Balance Sheet Metrics (as of June 30, 2025)
| • | Total cash, cash equivalents and restricted cash of approximately $263.2 million, of which approximately<br>$194.2 million was unrestricted cash. |
|---|---|
| • | Available borrowing capacity under the 2025 Variable Funding Senior Notes,<br>Class A-1 is over $224 million. |
| --- | --- |
Dine Brands Global, Inc. and Subsidiaries
Consolidated Statements of Comprehensive Income
(In thousands, except per share amounts)
(Unaudited)
GAAP Effective Tax Rate
The Company’s effective tax rate was 30.6% for the six months ended June 30, 2025, as compared to 26.4% for the six months ended June 30, 2024. The effective tax rate for the six months ended June 30, 2025 was higher than the rate of the prior comparable period primarily due to a lower tax deduction related to stock-based compensation, resulting from the changes in our stock price.
Capital Returns to Debt and Equity Holders
As previously disclosed, on June 17, 2025, the Company completed the refinancing of its Series 2019-1 4.723% Fixed Rate Senior Secured Notes, Class A-2-II and issued the Series 2025-1 6.720% Fixed Rate Senior Secured Notes, Class A-2 with an initial aggregate principal amount of $600 million, which bear interest at a fixed coupon rate of 6.720% per annum, payable quarterly, and have an expected term of five years.
On the same date, the Company also terminated its 2022-1 Variable Funding Senior Notes, Class A-1 and entered into a purchase agreement for the issuance of up to $325 million of Series 2025-1, Class A-1 Variable Funding Senior Notes, which will allow the Company to borrow amounts periodically on a revolving basis and issue letters of credit. The applicable interest rate will depend on the type of borrowing.
During the second quarter of 2025, the Company repurchased approximately $6.0 million of its common stock and paid quarterly cash dividends totaling approximately $8.0 million.
Financial PerformanceGuidance for 2025
As a result of our sales, traffic and dual brand pipeline to date, we are further investing in the business to accelerate development opportunity as well as strengthen our company owned portfolio. As such, the Company‘s fiscal year 2025 guidance items have been updated as follows:
| • | Updated: Applebee’s domestic system-wide comparable same-restaurant sales performance is expected to<br>range between positive 1% and positive 3% (versus between negative 2% and positive 1% previously). |
|---|---|
| • | Updated: IHOP’s domestic system-wide comparable same-restaurant sales performance is expected to<br>range between negative 1% and positive 1% (versus between negative 1% and positive 2% previously). |
| --- | --- |
| • | Reiterated: Domestic development activity by Applebee’s franchisees is expected to be between 20 and<br>35 net fewer restaurants. |
| --- | --- |
| • | Reiterated: Domestic development activity by IHOP franchisees and area licensees is expected to be between<br>10 net fewer restaurants and 10 net new openings. |
| --- | --- |
| • | Updated: Consolidated adjusted EBITDA is expected to range between approximately $220 million and<br>$230 million (versus between $235 million and $245 million previously). |
| --- | --- |
Dine Brands Global, Inc. and Subsidiaries
Consolidated Statements of Comprehensive Income
(In thousands, except per share amounts)
(Unaudited)
| • | Updated: G&A expenses are expected to range between approximately $205 million and<br>$210 million (versus between $200 million and $205 million previously). This total includes non-cash stock-based compensation expense and depreciation of approximately $35 million.<br> |
|---|---|
| • | Updated: Capital expenditures are expected to range between approximately $30 million and<br>$40 million (versus between $20 million and $30 million previously). |
| --- | --- |
Dine Brands does not provide forward-looking guidance for GAAP net income because it is unable to predict certain items contained in the GAAP measure without unreasonable efforts. These items may include closure and impairment charges, loss on extinguishment of debt, gain or loss on disposition of assets, other non-income-based taxes and other items deemed not reflective of current operations.
Second Quarter of 2025 Earnings Conference Call Details
Dine Brands will host a conference call to discuss its results on August 6, 2025, at 9:00 a.m. Eastern time. A live webcast of the call, along with a replay will be available for a limited time at https://investors.dinebrands.com. Participants should allow approximately ten minutes prior to the call’s start time to visit the site and download any streaming media software needed to listen to the webcast. An online archive of the webcast will also be available on Events & Presentations under the Investors section of the Company’s website.
About Dine Brands Global, Inc.
Based in Pasadena, California, Dine Brands Global, Inc. (NYSE: DIN), through its subsidiaries and franchisees, supports and operates restaurants under the Applebee’s Neighborhood Grill + Bar^®^, IHOP^®^, and Fuzzy’s Taco Shop^®^ brands. As of June 30, 2025, these three brands consisted of close to 3,500 restaurants across 19 international markets. Dine Brands is one of the largest full-service restaurant companies in the world and in 2022 expanded into the Fast Casual segment. For more information on Dine Brands, visit the Company’s website located at www.dinebrands.com.
Forward-Looking Statements
Statements contained in this press release may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. You can identify these forward-looking statements by words such as “may,” “will,” “would,” “should,” “could,” “expect,” “anticipate,” “believe,” “estimate,” “intend,” “plan,” “goal” and other similar expressions. These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results to be materially different from those expressed or implied in such statements. These factors include, but are not limited to: general economic conditions, including the impact of inflation, particularly as it may impact our franchisees directly; our level of indebtedness; compliance with the terms of our securitized debt; our ability to refinance our current indebtedness or obtain additional financing; our dependence on information technology; potential cyber incidents; the implementation of corporate strategies, including restaurant development plans; our dependence on our franchisees; the concentration of our Applebee’s franchised restaurants in a limited number of franchisees; the financial health of our franchisees, including any insolvency or bankruptcy; credit risks
Dine Brands Global, Inc. and Subsidiaries
Consolidated Statements of Comprehensive Income
(In thousands, except per share amounts)
(Unaudited)
from our IHOP franchisees operating under our previous IHOP business model in which we built and equipped IHOP restaurants and then franchised them to franchisees; insufficient insurance coverage to cover potential risks associated with the ownership and operation of restaurants; our franchisees’ and other licensees’ compliance with our quality standards and trademark usage; general risks associated with the restaurant industry; potential harm to our brands’ reputation; risks of food-borne illness or food tampering; possible future impairment charges; trading volatility and fluctuations in the price of our stock; our ability to achieve the financial guidance we provide to investors; successful implementation of our business strategy; the availability of suitable locations for new restaurants; shortages or interruptions in the supply or delivery of products from third parties or availability of utilities; the management and forecasting of appropriate inventory levels; development and implementation of innovative marketing and use of social media; changing health or dietary preference of consumers; changes in U.S. government regulations and trade policies, including the imposition of tariffs and other trade barriers; risks associated with doing business in international markets; the results of litigation and other legal proceedings; third-party claims with respect to intellectual property assets; delivery initiatives and use of third-party delivery vendors; our allocation of human capital and our ability to attract and retain management and other key employees; compliance with federal, state and local governmental regulations; risks associated with our self-insurance; risks of major natural disasters, including earthquake, wildfire, tornado, flood or a man-made disaster, including terrorism, civil unrest or a cyber incident; risks of volatile or adverse weather conditions as a result of climate change; pandemics, epidemics, or other serious incidents; our success with development initiatives outside of our core business; the adequacy of our internal controls over financial reporting and future changes in accounting standards; changes in tax laws; failure to meet investor and stakeholder expectations regarding business responsibility matters; and other factors discussed from time to time in the Company’s Annual and Quarterly Reports on Forms 10-K and 10-Q and in the Company’s other filings with the Securities and Exchange Commission. The forward-looking statements contained in this press release are made as of the date hereof and the Company does not intend to, nor does it assume any obligation to, update or supplement any forward-looking statements after the date hereof to reflect actual results or future events or circumstances.
Non-GAAP Financial Measures
This press release includes references to the Company’s non-GAAP financial measures “adjusted net income available to common stockholders”, “adjusted earnings per diluted share (Adjusted EPS)”, “Adjusted EBITDA” and “Adjusted free cash flow.” Adjusted EPS is computed for a given period by deducting from net income or loss available to common stockholders for such period the effect of any closure and impairment charges, any intangible asset amortization, any non-cash interest expense, any gain or loss related to the disposition of assets, any gain or loss related to debt extinguishment, and other items deemed not reflective of current operations. This is presented on an aggregate basis and a per share (diluted) basis. Adjusted EBITDA is computed for a given period by deducting from net income or loss for such period the effect of any interest expense, any income tax provision or benefit, any depreciation and amortization, any non-cash stock-based compensation, any closure and impairment charges, any gain or loss related to debt extinguishment, any gain or loss related to the disposition of assets, and other items deemed not reflective of current operations. “Adjusted free cash flow” for a given period is defined as cash provided by operating activities, plus receipts from notes and equipment contracts receivable, less capital expenditures. Management may use certain of these non-GAAP financial measures along with the corresponding U.S. GAAP measures to evaluate the performance of the business and to make certain business decisions. Management uses adjusted free cash flow in its periodic assessments of, among other things, the amount of cash dividends per share of common stock
Dine Brands Global, Inc. and Subsidiaries
Consolidated Statements of Comprehensive Income
(In thousands, except per share amounts)
(Unaudited)
and repurchases of common stock, and we believe it is important for investors to have the same measure used by management for that purpose. Adjusted free cash flow does not represent residual cash flow available for discretionary purposes. Management believes that these non-GAAP financial measures provide additional meaningful information that should be considered when assessing the business and the Company’s performance compared to prior periods and the marketplace. Adjusted EPS and adjusted free cash flow are supplemental non-GAAP financial measures and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with U.S. GAAP.
Dine Brands Global, Inc. and Subsidiaries
Consolidated Statements of Comprehensive Income
(In thousands, except per share amounts)
(Unaudited)
| Three Months Ended | Six Months Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| June 30, | June 30, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Revenues: | ||||||||||||
| Franchise revenues: | ||||||||||||
| Royalties, franchise fees and other | $ | 101,210 | $ | 101,980 | $ | 196,934 | $ | 202,596 | ||||
| Advertising revenues | 73,509 | 74,518 | 143,999 | 149,779 | ||||||||
| Total franchise revenues | 174,719 | 176,498 | 340,933 | 352,375 | ||||||||
| Company restaurant sales | 28,243 | 299 | 49,816 | 573 | ||||||||
| Rental revenues | 27,525 | 29,006 | 54,180 | 58,555 | ||||||||
| Financing revenues | 297 | 464 | 635 | 999 | ||||||||
| Total revenues | 230,784 | 206,267 | 445,564 | 412,502 | ||||||||
| Cost of revenues: | ||||||||||||
| Franchise expenses: | ||||||||||||
| Advertising expenses | 73,509 | 74,518 | 143,999 | 149,779 | ||||||||
| Bad debt (credit) expense | 1,537 | (729 | ) | 3,197 | (546 | ) | ||||||
| Other franchise expenses | 11,398 | 11,164 | 20,441 | 22,193 | ||||||||
| Total franchise expenses | 86,444 | 84,953 | 167,637 | 171,426 | ||||||||
| Company restaurant expenses | 30,908 | 312 | 52,914 | 611 | ||||||||
| Rental expenses: | ||||||||||||
| Interest expense from finance leases | 715 | 739 | 1,404 | 1,479 | ||||||||
| Other rental expenses | 20,431 | 20,911 | 40,952 | 42,126 | ||||||||
| Total rental expenses | 21,146 | 21,650 | 42,356 | 43,605 | ||||||||
| Financing expenses | 57 | 81 | 118 | 165 | ||||||||
| Total cost of revenues | 138,555 | 106,996 | 263,025 | 215,807 | ||||||||
| Gross profit | 92,229 | 99,271 | 182,539 | 196,695 | ||||||||
| General and administrative expenses | 50,769 | 46,858 | 102,106 | 99,045 | ||||||||
| Interest expense, net | 17,799 | 17,850 | 35,526 | 35,922 | ||||||||
| Closure and impairment charges | 1,155 | 442 | 7,001 | 1,076 | ||||||||
| Amortization of intangible assets | 2,694 | 2,723 | 5,410 | 5,445 | ||||||||
| Loss on extinguishment of debt | 850 | — | 850 | — | ||||||||
| Loss (gain) on disposition of assets | 31 | 174 | (80 | ) | (63 | ) | ||||||
| Income before income taxes | 18,931 | 31,224 | 31,726 | 55,270 | ||||||||
| Income tax provision | (5,117 | ) | (8,042 | ) | (9,715 | ) | (14,615 | ) | ||||
| Net income | 13,814 | 23,182 | 22,011 | 40,655 | ||||||||
| Other comprehensive income (loss) net of tax: | ||||||||||||
| Foreign currency translation adjustment | 2 | (3 | ) | 3 | (5 | ) | ||||||
| Total comprehensive income | $ | 13,816 | $ | 23,179 | $ | 22,014 | $ | 40,650 | ||||
| Net income available to common stockholders: | ||||||||||||
| Net income | $ | 13,814 | $ | 23,182 | $ | 22,011 | $ | 40,655 | ||||
| Less: Net income allocated to unvested participating restricted stock | (601 | ) | (703 | ) | (919 | ) | (1,206 | ) | ||||
| Net income available to common stockholders | $ | 13,213 | $ | 22,479 | $ | 21,092 | $ | 39,449 | ||||
| Net income available to common stockholders per share: | ||||||||||||
| Basic | $ | 0.89 | $ | 1.50 | $ | 1.41 | $ | 2.64 | ||||
| Diluted | $ | 0.89 | $ | 1.50 | $ | 1.41 | $ | 2.64 | ||||
| Weighted average shares outstanding: | ||||||||||||
| Basic | 14,879 | 14,943 | 14,907 | 14,962 | ||||||||
| Diluted | 14,879 | 14,943 | 14,907 | 14,962 |
Dine Brands Global, Inc. and Subsidiaries
Consolidated Balance Sheets
(In thousands, except share and per share amounts)
| June 30, 2025 | December 31, 2024 | |||||
|---|---|---|---|---|---|---|
| (Unaudited) | ||||||
| Assets | ||||||
| Current assets: | ||||||
| Cash and cash equivalents | $ | 194,201 | $ | 186,650 | ||
| Receivables, net of allowance | 91,223 | 115,218 | ||||
| Restricted cash | 47,003 | 42,448 | ||||
| Prepaid gift card costs | 19,982 | 28,552 | ||||
| Prepaid income taxes | — | 1,446 | ||||
| Other current assets | 18,340 | 11,685 | ||||
| Total current assets | 370,749 | 385,999 | ||||
| Non-current restricted cash | 22,000 | 19,500 | ||||
| Property and equipment, net | 154,271 | 156,134 | ||||
| Operating lease<br>right-of-use assets | 341,526 | 323,468 | ||||
| Deferred rent receivable | 22,034 | 24,804 | ||||
| Long-term receivables, net of allowance | 33,545 | 35,873 | ||||
| Goodwill | 250,260 | 248,622 | ||||
| Other intangible assets, net | 568,710 | 575,654 | ||||
| Other non-current assets, net | 26,852 | 20,530 | ||||
| Total assets | $ | 1,789,947 | $ | 1,790,584 | ||
| Liabilities and Stockholders’ Deficit | ||||||
| Current liabilities: | ||||||
| Current maturities of long-term debt | $ | 100,000 | $ | 100,000 | ||
| Accounts payable | 30,517 | 37,718 | ||||
| Gift card liability | 148,237 | 177,584 | ||||
| Current maturities of operating lease obligations | 64,689 | 65,336 | ||||
| Current maturities of finance lease and financing obligations | 6,514 | 6,387 | ||||
| Accrued employee compensation and benefits | 16,418 | 16,674 | ||||
| Accrued advertising expenses | 12,485 | 4,735 | ||||
| Dividends payable | 7,844 | 7,790 | ||||
| Other accrued expenses | 44,543 | 29,081 | ||||
| Total current liabilities | 431,247 | 445,305 | ||||
| Long-term debt, net, less current maturities | 1,086,992 | 1,086,551 | ||||
| Operating lease obligations, less current maturities | 325,487 | 310,476 | ||||
| Finance lease obligations, less current maturities | 35,341 | 34,286 | ||||
| Financing obligations, less current maturities | 21,365 | 23,251 | ||||
| Deferred income taxes, net | 50,441 | 54,572 | ||||
| Deferred franchise revenue, long-term | 34,294 | 36,700 | ||||
| Other non-current liabilities | 17,325 | 15,462 | ||||
| Total liabilities | 2,002,492 | 2,006,603 | ||||
| Commitments and contingencies | ||||||
| Stockholders’ deficit: | ||||||
| Common stock | 247 | 248 | ||||
| Additional<br>paid-in-capital | 236,117 | 254,814 | ||||
| Retained earnings | 189,849 | 183,614 | ||||
| Accumulated other comprehensive loss | (73 | ) | (76 | ) | ||
| Treasury stock, at cost | (638,685 | ) | (654,619 | ) | ||
| Total stockholders’ deficit | (212,545 | ) | (216,019 | ) | ||
| Total liabilities and stockholders’ deficit | $ | 1,789,947 | $ | 1,790,584 |
Dine Brands Global, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
(In thousands) (Unaudited)
| Six Months Ended | ||||||
|---|---|---|---|---|---|---|
| June 30, | ||||||
| 2025 | 2024 | |||||
| Cash flows from operating activities: | ||||||
| Net income | $ | 22,011 | $ | 40,655 | ||
| Adjustments to reconcile net income to cash flows provided by operating activities: | ||||||
| Depreciation and amortization | 20,820 | 19,395 | ||||
| Non-cash closure and impairment charges | 7,001 | 1,076 | ||||
| Non-cash stock-based compensation expense | 6,616 | 8,757 | ||||
| Non-cash interest expense | 1,787 | 1,619 | ||||
| Loss on extinguishment of debt | 850 | — | ||||
| Deferred income taxes | (4,199 | ) | (1,931 | ) | ||
| Deferred revenue | (5,784 | ) | (3,387 | ) | ||
| Provision for doubtful accounts | 3,197 | (546 | ) | |||
| Gain on disposition of assets | (80 | ) | (63 | ) | ||
| Other | (2,046 | ) | (940 | ) | ||
| Changes in operating assets and liabilities: | ||||||
| Receivables, net | (5,973 | ) | 6,631 | |||
| Deferred rent receivable | 2,770 | 4,438 | ||||
| Current income tax receivable and payable | 10,650 | 487 | ||||
| Gift card receivable and payable | 809 | (6,228 | ) | |||
| Other current assets | (5,742 | ) | 4,472 | |||
| Accounts payable | (1,167 | ) | (2,260 | ) | ||
| Operating lease assets and liabilities | (7,098 | ) | (6,569 | ) | ||
| Accrued employee compensation and benefits | (527 | ) | (8,948 | ) | ||
| Accrued advertising | 12,201 | (1,941 | ) | |||
| Accrued interest payable | (1,379 | ) | (30 | ) | ||
| Other accrued expenses | (1,612 | ) | (2,508 | ) | ||
| Cash flows provided by operating activities | 53,105 | 52,179 | ||||
| Cash flows from investing activities: | ||||||
| Principal receipts from notes, equipment contracts and other long-term receivables | 4,826 | 7,542 | ||||
| Additions to property and equipment | (9,263 | ) | (6,779 | ) | ||
| Proceeds from sale of property and equipment | 1,049 | 81 | ||||
| Additions to long-term receivables | (1,769 | ) | (1,790 | ) | ||
| Acquisition, net of cash acquired | 673 | — | ||||
| Additions to intangible assets | (701 | ) | (126 | ) | ||
| Cash flows used in investing activities | (5,185 | ) | (1,072 | ) | ||
| Cash flows from financing activities: | ||||||
| Proceeds from issuance of long-term debt | 600,000 | — | ||||
| Repayment of long-term debt | (594,000 | ) | — | |||
| Payment of debt issuance costs | (11,581 | ) | — | |||
| Dividends paid on common stock | (15,764 | ) | (15,707 | ) | ||
| Repurchase of common stock | (7,599 | ) | (12,000 | ) | ||
| Principal payments on finance lease and financing obligations | (2,530 | ) | (3,080 | ) | ||
| Repurchase of restricted stock for tax payments upon vesting | (1,820 | ) | (2,486 | ) | ||
| Tax payments for share settlement of restricted stock units | (20 | ) | (30 | ) | ||
| Other | — | (5 | ) | |||
| Cash flows used in financing activities | (33,314 | ) | (33,308 | ) | ||
| Net change in cash, cash equivalents and restricted cash | 14,606 | 17,799 | ||||
| Cash, cash equivalents and restricted cash at beginning of period | 248,598 | 200,592 | ||||
| Cash, cash equivalents and restricted cash at end of period | $ | 263,204 | $ | 218,391 |
Dine Brands Global, Inc. and Subsidiaries
Non-GAAP Financial Measures
(In thousands, except per share amounts)
(Unaudited)
Reconciliation of net income available to common stockholders to net income available to common stockholders, as adjusted for the following items: Closure and impairment charges; amortization of intangible assets; non-cash interest expenses; gain or loss on disposition of assets; loss on extinguishment of debt; other EBITDA adjustments; and the combined tax effect of the preceding adjustments, as well as related per share data:
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Net income available to common stockholders | $ | 13,213 | $ | 22,479 | $ | 21,092 | $ | 39,449 | ||||
| Closure and impairment charges | 1,155 | 442 | 7,001 | 1,076 | ||||||||
| Amortization of intangible assets | 2,694 | 2,723 | 5,410 | 5,445 | ||||||||
| Non-cash interest expense | 931 | 816 | 1,787 | 1,619 | ||||||||
| Loss (gain) on disposition of assets | 31 | 174 | (80 | ) | (63 | ) | ||||||
| Loss on extinguishment of debt | 850 | — | 850 | — | ||||||||
| Other EBITDA adjustments | 216 | 165 | 1,477 | 365 | ||||||||
| Net income tax provision for above adjustments | (1,528 | ) | (1,123 | ) | (4,276 | ) | (2,195 | ) | ||||
| Net income allocated to unvested participating restricted stock | (195 | ) | (101 | ) | (473 | ) | (185 | ) | ||||
| Net income available to common stockholders, as adjusted | $ | 17,367 | **** | $ | 25,575 | **** | $ | 32,788 | **** | $ | 45,511 | **** |
| Diluted net income available to common stockholders per share (a): | ||||||||||||
| Net income available to common stockholders | $ | 0.89 | $ | 1.50 | $ | 1.41 | $ | 2.64 | ||||
| Closure and impairment charges | 0.06 | 0.02 | 0.35 | 0.05 | ||||||||
| Amortization of intangible assets | 0.13 | 0.13 | 0.27 | 0.27 | ||||||||
| Non-cash interest expense | 0.05 | 0.04 | 0.09 | 0.08 | ||||||||
| Loss (gain) on disposition of assets | 0.00 | 0.01 | 0.00 | 0.00 | ||||||||
| Loss on extinguishment of debt | 0.04 | — | 0.04 | — | ||||||||
| Other EBITDA adjustments | 0.01 | 0.01 | 0.07 | 0.02 | ||||||||
| Net income allocated to unvested participating restricted stock | (0.01 | ) | (0.01 | ) | (0.03 | ) | (0.01 | ) | ||||
| Rounding | — | 0.01 | — | (0.01 | ) | |||||||
| Diluted net income available to common stockholders per share, as adjusted | $ | 1.17 | **** | $ | 1.71 | **** | $ | 2.20 | **** | $ | 3.04 | **** |
| Numerator for basic EPS - net income available to common stockholders, as adjusted | $ | 17,367 | $ | 25,575 | $ | 32,788 | $ | 45,511 | ||||
| Effect of unvested participating restricted stock using the<br>two-class method | 0 | 1 | — | — | ||||||||
| Numerator for diluted EPS - net income available to common stockholders, asadjusted | $ | 17,367 | **** | $ | 25,576 | **** | $ | 32,788 | **** | $ | 45,511 | **** |
| Denominator for basic EPS - weighted-average shares | 14,879 | 14,943 | 14,907 | 14,962 | ||||||||
| Dilutive effect of stock options | — | — | — | — | ||||||||
| Denominator for diluted EPS - weighted-average shares | 14,879 | 14,943 | 14,907 | 14,962 | ||||||||
| (a) | Diluted net income available to common stockholders per share for the three and six months ended June 30,<br>2025 and 2024 presented on an after-tax basis. | |||||||||||
| --- | --- |
Dine Brands Global, Inc. and Subsidiaries
Non-GAAP Financial Measures
(Unaudited)
Reconciliation of the Company’s cash flows provided by operating activities to “adjusted free cash flow” (cash flows provided by operating activities, plus receipts from notes and equipment contracts receivable, less additions to property and equipment). Management uses this liquidity measure in its periodic assessments of, among other things, the amount of cash dividends per share of common stock and repurchases of common stock. We believe it is important for investors to have the same measure used by management for that purpose. Adjusted free cash flow does not represent residual cash flow available for discretionary purposes.
| Six Months Ended June 30, | ||||
|---|---|---|---|---|
| 2025 | 2024 | |||
| (In thousands) | ||||
| Cash flows provided by operating activities | ||||
| Principal receipts from notes and equipment contracts | ||||
| Additions to property and equipment | ) | ) | ||
| Adjusted free cash flow | **** | **** | ||
| Repayment of long-term debt, net | ||||
| Dividends paid on common stock | ) | ) | ||
| Repurchase of common stock | ) | ) | ||
| 31,305 | 25,235 |
All values are in US Dollars.
Dine Brands Global, Inc. and Subsidiaries
Non-GAAP Financial Measures
(in thousands)
(Unaudited)
Reconciliation of the Company’s net income to “adjusted EBITDA.” The Company defines adjusted EBITDA as net income or loss, adjusted for the effect of interest expense, income tax provision or benefit, depreciation and amortization, non-cash stock-based compensation, closure and impairment charges, loss on extinguishment of debt, gain or loss on disposition of assets, executive separation pay, and other items deemed not reflective of current operations. Management may use certain non-GAAP measures along with the corresponding U.S. GAAP measures to evaluate the performance of the Company and to make certain business decisions.
| Three Months Ended June 30, | Six Months Ended June 30, 2025 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | |||||||
| Net income, as reported | $ | 13,814 | $ | 23,182 | $ | 22,011 | $ | 40,655 | ||
| Interest charges on finance leases | 715 | 739 | 1,404 | 1,479 | ||||||
| All other interest charges | 20,585 | 20,749 | 41,109 | 41,512 | ||||||
| Income tax provision | 5,117 | 8,042 | 9,715 | 14,615 | ||||||
| Depreciation and amortization | 10,458 | 9,654 | 20,820 | 19,395 | ||||||
| Non-cash stock-based compensation | 3,251 | 3,833 | 6,616 | 8,756 | ||||||
| Closure and impairment charges | 1,155 | 442 | 7,001 | 1,076 | ||||||
| Loss on extinguishment of debt | 850 | — | 850 | — | ||||||
| Loss (gain) on disposition of assets | 31 | 174 | (80 | ) | (63 | ) | ||||
| Executive separation pay | — | — | 1,140 | — | ||||||
| Other | 216 | 165 | 337 | 365 | ||||||
| Adjusted EBITDA | $ | 56,192 | $ | 66,980 | $ | 110,923 | $ | 127,790 |
Dine Brands Global, Inc. and Subsidiaries
Restaurant Data
(Unaudited)
The following table sets forth, for the three and six months ended June 30, 2025 and 2024, the number of “Effective Restaurants” in the Applebee’s, IHOP and Fuzzy’s systems and information regarding the percentage change in sales at those restaurants compared to the same periods in the prior year and, as such, the percentage change in sales at Effective Restaurants is based on non-GAAP sales data. Sales at restaurants that are owned by franchisees and area licensees are not attributable to the Company. However, we believe that presentation of this information is useful in analyzing our revenues because franchisees and area licensees pay us royalties and advertising fees that are generally based on a percentage of their sales, and, where applicable, rental payments under leases that are based on a percentage of their sales. Management also uses this information to make decisions about future plans for the development of additional restaurants as well as evaluation of current operations.
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Applebee’s Restaurant Data | ||||||||||||
| Global EffectiveRestaurants^(a)^ | ||||||||||||
| Franchise | 1,525 | 1,627 | 1,537 | 1,631 | ||||||||
| Company | 52 | — | 50 | — | ||||||||
| Total | **** | 1,577 | **** | **** | 1,627 | **** | **** | 1,587 | **** | **** | 1,631 | **** |
| System-wide^(b)^ | ||||||||||||
| Domestic sales percentage change^(c)^ | 2.8 | % | (3.0 | )% | (0.5 | )% | (4.5 | )% | ||||
| Domestic same-restaurant sales percentage<br>change^(d)^ | 4.9 | % | (1.8 | )% | 1.3 | % | (3.2 | )% | ||||
| Franchise^(b)^ | ||||||||||||
| Domestic sales percentage<br>change^(c)(e)^ | 0.6 | % | (3.0 | )% | (2.6 | )% | (4.5 | )% | ||||
| Domestic same-restaurant sales percentage<br>change^(d)^ | 5.0 | % | (1.8 | )% | 1.5 | % | (3.2 | )% | ||||
| Average weekly domestic unit sales (in thousands) | $ | 58.0 | $ | 53.9 | $ | 56.3 | $ | 54.3 | ||||
| IHOP Restaurant Data | ||||||||||||
| Global EffectiveRestaurants^(a)^ | ||||||||||||
| Franchise | 1,627 | 1,647 | 1,635 | 1,645 | ||||||||
| Area license | 154 | 155 | 154 | 156 | ||||||||
| Company | 10 | **** | — | **** | 6 | **** | — | **** | ||||
| Total | **** | 1,791 | **** | **** | 1,802 | **** | **** | 1,795 | **** | **** | 1,801 | **** |
| System-wide^(b)^ | ||||||||||||
| Sales percentage change^(c)^ | (2.3 | )% | (0.2 | )% | (2.6 | )% | 0.0 | % | ||||
| Domestic same-restaurant sales percentage change, including area license restaurants^(d)^ | (2.3 | )% | (1.4 | )% | (2.5 | )% | (1.5 | )% | ||||
| Franchise^(b)^ | ||||||||||||
| Sales percentage change^(c)(e)^ | (2.7 | )% | (0.1 | )% | (2.8 | )% | 0.1 | % | ||||
| Domestic same-restaurant sales percentage<br>change^(d)^ | (2.2 | )% | (1.2 | )% | (2.4 | )% | (1.6 | )% | ||||
| Average weekly unit sales (in thousands) | $ | 37.8 | $ | 38.4 | $ | 37.2 | $ | 38.0 | ||||
| Area License^(b)^ | ||||||||||||
| Sales percentage change^(c)^ | (3.5 | )% | (1.2 | )% | (4.3 | )% | (0.6 | )% | ||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 2025 | 2024 | 2025 | 2024 | |||||||||
| (Unaudited) | ||||||||||||
| Fuzzy’s Restaurant Data | ||||||||||||
| Global EffectiveRestaurants^(a)^ | ||||||||||||
| Franchise | 110 | 124 | 112 | 126 | ||||||||
| Company | 1 | 1 | 1 | 1 | ||||||||
| Total | **** | 111 | **** | **** | 125 | **** | **** | 113 | **** | **** | 127 | **** |
| System-wide^(b)^ | ||||||||||||
| Domestic sales percentage change^(c)^ | (17.0 | )% | (12.4 | )% | (16.9 | )% | (12.7 | )% | ||||
| Domestic same-restaurant sales percentage<br>change^(d)^ | (11.8 | )% | (7.5 | )% | (12.0 | )% | (8.6 | )% | ||||
| Franchise^(b)^ | ||||||||||||
| Domestic sales percentage change^(c)^ | (16.9 | )% | (12.2 | )% | (16.9 | )% | (12.0 | )% | ||||
| Domestic same-restaurant sales percentage<br>change^(d)^ | (11.8 | )% | (7.6 | )% | (12.0 | )% | (8.6 | )% | ||||
| Average weekly domestic unit sales (in thousands) | $ | 30.2 | $ | 32.2 | $ | 28.3 | $ | 30.4 | ||||
| (a) | “Effective Restaurants” are the weighted average number of restaurants open in each fiscal period,<br>adjusted to account for restaurants open for only a portion of the period. Information is presented for all Effective Restaurants in the Applebee’s, IHOP and Fuzzy’s systems, which consist of restaurants owned by franchisees and area<br>licensees as well as those owned by the Company. Effective Restaurants do not include units operated as ghost kitchens (small kitchens with no store-front presence, used to fill off-premise orders).<br> | |||||||||||
| --- | --- | |||||||||||
| (b) | “System-wide sales” are retail sales at Applebee’s and Fuzzy’s restaurants operated by<br>franchisees and IHOP restaurants operated by franchisees and area licensees, as reported to the Company, in addition to retail sales at company-owned Applebee’s, IHOP and Fuzzy’s restaurants. System-wide sales do not include retail sales<br>of ghost kitchens. Sales at restaurants that are owned by franchisees and area licensees are not attributable to the Company. An increase in franchisees’ reported sales will result in a corresponding increase in our royalty revenue, while<br>a decrease in franchisees’ reported sales will result in a corresponding decrease in our royalty revenue. Unaudited reported sales for Applebee’s, IHOP and Fuzzy’s franchise restaurants, IHOP area license restaurants, and<br>Applebee’s, IHOP and Fuzzy’s company-owned restaurants were as follows: | |||||||||||
| --- | --- | |||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | ||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Reported sales (in millions) | ||||||||||||
| Applebee’s franchise restaurant sales | $ | 1,105.0 | $ | 1,102.0 | $ | 2,160.1 | $ | 2,222.9 | ||||
| Applebee’s company-owned restaurants | 24.0 | — | 44.1 | — | ||||||||
| IHOP franchise restaurant sales | 799.9 | 822.0 | 1,580.2 | 1,625.9 | ||||||||
| IHOP area license restaurant sales | 72.5 | 75.1 | 146.3 | 152.9 | ||||||||
| IHOP company-owned restaurants | 4.0 | — | 5.3 | — | ||||||||
| Fuzzy’s franchise restaurant sales | 43.1 | 51.9 | 82.4 | 99.1 | ||||||||
| Fuzzy’s company-owned restaurants | 0.2 | 0.3 | 0.4 | 0.6 | ||||||||
| Total | $ | 2,048.7 | $ | 2,051.3 | $ | 4,018.8 | $ | 4,101.4 | ||||
| (c) | “Sales percentage change” reflects, for each category of restaurants, the percentage change in sales<br>in any given fiscal period compared to the prior period for all restaurants in that category. | |||||||||||
| --- | --- | |||||||||||
| (d) | “Domestic same-restaurant sales percentage change” reflects the percentage change in sales in any<br>given fiscal period, compared to the same weeks in the prior period, for domestic restaurants that have been operated during both periods that are being compared and have been open for at least 18 months. Because of new restaurant openings and<br>restaurant closures, the domestic restaurants open throughout both fiscal periods being compared may be different from period to period. | |||||||||||
| --- | --- | |||||||||||
| (e) | The franchise sales percentage change for 2025 was impacted by the acquisition of 47 Applebee’s<br>restaurants in November 2024, 10 IHOP restaurants in March 2025, and 12 Applebee’s restaurants in May 2025 now reported as company-owned. | |||||||||||
| --- | --- |
Dine Brands Global, Inc. and Subsidiaries
Restaurant Data
(Unaudited)
Restaurant Development Activity
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Applebee’s | ||||||||||||
| Summary - beginning of period: | ||||||||||||
| Franchise | 1,547 | 1,636 | 1,567 | 1,642 | ||||||||
| Company | 47 | — | 47 | — | ||||||||
| Total Applebee’s restaurants, beginning of period | **** | 1,594 | **** | **** | 1,636 | **** | **** | 1,614 | **** | **** | 1,642 | **** |
| Franchise restaurants opened: | ||||||||||||
| Domestic | — | — | 1 | — | ||||||||
| International | — | 3 | — | 5 | ||||||||
| Total franchise restaurants opened | — | 3 | 1 | 5 | ||||||||
| Franchise restaurants permanently closed: | ||||||||||||
| Domestic | (21 | ) | (11 | ) | (34 | ) | (16 | ) | ||||
| International | — | (3 | ) | (8 | ) | (6 | ) | |||||
| Total franchise restaurants permanently closed | (21 | ) | (14 | ) | (42 | ) | (22 | ) | ||||
| Net franchise restaurant reduction | **** | (21 | ) | **** | (11 | ) | **** | (41 | ) | **** | (17 | ) |
| Franchise restaurants acquired by the Company | (12 | ) | — | (12 | ) | — | ||||||
| Net decrease in franchise restaurants | **** | (33 | ) | **** | (11 | ) | **** | (53 | ) | **** | (17 | ) |
| Summary - end of period: | ||||||||||||
| Franchise | 1,514 | 1,625 | 1,514 | 1,625 | ||||||||
| Company | 59 | — | 59 | — | ||||||||
| Total Applebee’s restaurants, end of period | **** | 1,573 | **** | **** | 1,625 | **** | **** | 1,573 | **** | **** | 1,625 | **** |
| Domestic | 1,468 | 1,520 | 1,468 | 1,520 | ||||||||
| International | 105 | 105 | 105 | 105 |
Dine Brands Global, Inc. and Subsidiaries
Restaurant Data
(Unaudited)
Restaurant Development Activity (continued)
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | |||||||||
| IHOP | ||||||||||||
| Summary - beginning of period: | ||||||||||||
| Franchise | 1,649 | 1,653 | 1,670 | 1,657 | ||||||||
| Area license | 155 | 156 | 154 | 157 | ||||||||
| Company | 10 | — | — | — | ||||||||
| Total IHOP restaurants, beginning of period | **** | 1,814 | **** | **** | 1,809 | **** | **** | 1,824 | **** | **** | 1,814 | **** |
| Franchise/area license restaurants opened: | ||||||||||||
| Domestic franchise | 5 | 5 | 9 | 10 | ||||||||
| Domestic area license | 1 | 1 | 1 | 1 | ||||||||
| International franchise | 1 | 7 | 4 | 9 | ||||||||
| International area license | — | — | 1 | — | ||||||||
| Total franchise/area license restaurants opened | 7 | 13 | 15 | 20 | ||||||||
| Franchise/area license restaurants permanently closed: | ||||||||||||
| Domestic franchise | (19 | ) | (9 | ) | (35 | ) | (17 | ) | ||||
| Domestic area license | (2 | ) | (2 | ) | (2 | ) | (3 | ) | ||||
| International franchise | (4 | ) | — | (6 | ) | (3 | ) | |||||
| International area license | — | — | — | — | ||||||||
| Total franchise/area license restaurants permanently closed | (25 | ) | (11 | ) | (43 | ) | (23 | ) | ||||
| Net franchise/area license restaurant (reduction) addition | **** | (18 | ) | **** | 2 | **** | **** | (28 | ) | **** | (3 | ) |
| Franchise restaurants acquired by the Company | — | — | (10 | ) | — | |||||||
| Net (decrease) increase in franchise/area license restaurants | **** | (18 | ) | **** | 2 | **** | **** | (38 | ) | **** | (3 | ) |
| Summary - end of period: | ||||||||||||
| Franchise | 1,632 | 1,656 | 1,632 | 1,656 | ||||||||
| Area license | 154 | 155 | 154 | 155 | ||||||||
| Company | 10 | — | 10 | — | ||||||||
| Total IHOP restaurants, end of period | **** | 1,796 | **** | **** | 1,811 | **** | **** | 1,796 | **** | **** | 1,811 | **** |
| Domestic | 1,667 | 1,687 | 1,667 | 1,687 | ||||||||
| International | 129 | 124 | 129 | 124 | ||||||||
| Fuzzy’s | ||||||||||||
| Summary - beginning of period: | ||||||||||||
| Franchise | 113 | 127 | 116 | 131 | ||||||||
| Company | 1 | 1 | 1 | 1 | ||||||||
| Total Fuzzy’s restaurants, beginning of period | **** | 114 | **** | **** | 128 | **** | **** | 117 | **** | **** | 132 | **** |
| Franchise restaurants opened: | ||||||||||||
| Domestic | 2 | — | 3 | — | ||||||||
| Franchise restaurants permanently closed: | ||||||||||||
| Domestic | (3 | ) | (3 | ) | (7 | ) | (7 | ) | ||||
| Net franchise restaurant reduction | **** | (1 | ) | **** | (3 | ) | **** | (4 | ) | **** | (7 | ) |
| Refranchised from Company restaurants | — | — | — | — | ||||||||
| Net decrease in franchise restaurants | **** | (1 | ) | **** | (3 | ) | **** | (4 | ) | **** | (7 | ) |
| Summary - end of period: | ||||||||||||
| Franchise | 112 | 124 | 112 | 124 | ||||||||
| Company | 1 | 1 | 1 | 1 | ||||||||
| Total Fuzzy’s restaurants, end of period | **** | 113 | **** | **** | 125 | **** | **** | 113 | **** | **** | 125 | **** |
| Domestic | 113 | 125 | 113 | 125 | ||||||||
| International | — | — | — | — |
Dine Brands Global, Inc. and Subsidiaries
Restaurant Data
(Unaudited)
The restaurant counts and activity presented above include 20 dual-branded international and one dual-branded domestic Applebee’s and IHOP restaurants at June 30, 2025, and 10 dual-branded international Applebee’s and IHOP restaurants at June 30, 2024, which are separately counted in each of our brands’ restaurant counts and activity. Dual-branded restaurants are defined as restaurants that reside in one location and operate two of our restaurant concepts under two separate franchise agreements. In addition, the restaurant counts and activity presented above do not include ghost kitchens (small kitchens with no store-front presence, used to fill off-premise orders).