Pratik [for Jeff Bernstein]'s questions to Bloomin' Brands Inc (BLMN) leadership • Q1 2025
Question
Pratik, on behalf of Jeff Bernstein, inquired about the outlook for the remainder of the year, seeking any recent learnings that provide confidence in the turnaround plan for Outback, including menu and operational simplification. He also asked about the current value mix at Outback compared to the past and the profitability of value offers amid high beef prices.
Answer
CEO Mike Spanos acknowledged losing market share but expressed confidence in the progress of operational priorities like simplification and value. He stated the yearly outlook assumes a continued choppy consumer environment and that improving Outback's value proposition is a key part of the long-term strategy. Spanos noted Outback is currently priced higher than competitors, an issue they plan to address surgically to drive profitable traffic without specifying the impact of beef costs on value offer profitability.