Breakfast restaurant chain First Watch Restaurant Group (NASDAQ:FWRG) will be reporting earnings this Tuesday before market open. Here’s what investors should know.
First Watch met analysts’ revenue expectations last quarter, reporting revenues of $282.2 million, up 16.4% year on year. It was a softer quarter for the company, with full-year EBITDA guidance missing analysts’ expectations significantly and a significant miss of analysts’ EBITDA estimates.
Is First Watch a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting First Watch’s revenue to grow 18.6% year on year to $306.6 million, in line with the 19.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.06 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. First Watch has missed Wall Street’s revenue estimates five times over the last two years.
Looking at First Watch’s peers in the sit-down dining segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Kura Sushi delivered year-on-year revenue growth of 17.3%, beating analysts’ expectations by 2.5%, and The Cheesecake Factory reported revenues up 5.7%, topping estimates by 0.8%. Kura Sushi traded down 11.8% following the results while The Cheesecake Factory was up 5.2%.
Read our full analysis of Kura Sushi’s results here and The Cheesecake Factory’s results here.
Questions about potential tariffs and corporate tax changes have caused much volatility in 2025. While some of the sit-down dining stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 7.6% on average over the last month. First Watch is down 1.8% during the same time and is heading into earnings with an average analyst price target of $21.45 (compared to the current share price of $17.11).
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