The sale of Maple Street Biscuit and a $77 million sale-leaseback deal aim to cut debt and refocus on core operations.
Cracker Barrel completed the sale of its Maple Street Biscuit Company to Biscuit Belly, LLC, transferring 35 locations while closing 16 others. The divestiture, contributing under 2% of annual revenue, is expected to enhance adjusted EBITDA starting in fiscal 2027.
The company anticipates non-cash charges of $37 million to $39 million and cash charges of $6 million to $8 million in its fiscal fourth quarter. A separate sale-leaseback of 26 properties generated $77 million in net proceeds, earmarked for debt reduction.
Cracker Barrel also raised its fiscal 2026 outlook, citing improved profitability and reduced leverage from the transactions.