Dine Brands Global, Inc.

Total revenues increased 4.4% to $240.9 million from $230.8 million in Q2 last year, driven by the timing and number of restaurants acquired from franchisees. Adjusted EBITDA was $54.2 million versus $56.2 million in the prior-year quarter, and adjusted diluted EPS was $1.16 compared with $1.17. Applebee’s domestic same-restaurant sales declined 1.8%, while IHOP domestic same-restaurant sales increased 1.5%; Fuzzy’s posted positive comp sales for a second consecutive quarter. For the first six months of 2026, adjusted free cash flow was $3.7 million versus $48.7 million last year, and Q2 capex was $23.2 million versus $9.3 million. Management maintained full-year financial guidance, with CFO saying they are tracking toward the lower end of the range but still within it.

John Peyton framed the quarter as evidence that the brands are holding up in a tougher consumer environment, with guests still spending but making more deliberate choices. He emphasized the company’s “barbell” strategy: consistent everyday value on one end and premium, culturally relevant menu innovation on the other, which he said is showing up in traffic, engagement, and off-premise growth. He also highlighted operational improvements such as higher Google ratings, better table turns, and stronger remodel momentum as the foundation for long-term growth.

Vance Chang walked through the quarter’s financial pressure points: revenue rose to $240.9 million, but adjusted EBITDA slipped to $54.2 million and adjusted diluted EPS was essentially flat at $1.16. G&A was $55.6 million versus $50.8 million last year, reflecting employee costs tied to company-owned and dual-brand expansion, severance, and acquisition-related expenses. He also noted adjusted free cash flow of $3.7 million in the first half, higher capex of $23.2 million in Q2, cash of $97.5 million at quarter-end, and $9 million returned to shareholders in the quarter, including $7 million of buybacks and $2 million of dividends; year-to-date repurchases totaled $29 million, or about 7% of shares outstanding at the start of the year.

Analysts focused on whether recent category acceleration was showing up in Dine’s business and asked for more color on Q3 trends; management said it likes what it is seeing, pointed to the Cheeseburger Wonton Taco, DOLLARITA, and Dubai Chocolate Pancakes, but said it could not quantify Q3-to-date results. Questions also centered on dual-brand economics and the company-owned portfolio; John Peyton said dual-brand conversions are generating about 2x the incremental revenue of single-brand setups and conversion cost is about $1 million, while Vance said the company-owned portfolio is on track to the three-year plan and they are seeing inbound interest in refranchising. Management also clarified that Applebee’s and IHOP menu pricing increases were 3.4% and 3.5%, respectively, and that traffic was slightly down at IHOP and down at Applebee’s.