Key Highlights

  • First Watch Restaurant Group (NASDAQ:FWRG) reported third-quarter 2026 Revenue of USD 349.9 million on November 3, 2026, up 10.7% from USD 316.0 million, with Net Income of USD 4.8 million.
  • Diluted EPS was USD 0.08 against USD 0.05 a year earlier, and adjusted EBITDA rose to USD 39.7 million from USD 34.1 million, an 11.4% margin.
  • Same-restaurant sales rose only 1.0% while same-restaurant traffic fell 1.9%, so most growth came from new units: 16 restaurants opened in the quarter, taking the system to 681.
  • Full-year 2026 guidance calls for revenue growth of about 13.5%, adjusted EBITDA of about USD 136.0 million, 60 net new restaurants and Capital Expenditure of about USD 145.0 million.

Revenue Climbs 10.7% on Openings, Not Traffic

First Watch Restaurant Group (NASDAQ:FWRG) reported results for the quarter ended September 27, 2026 on November 3, 2026. Total revenue was USD 349.9 million, including restaurant sales of USD 346.7 million, and net income rose to USD 4.8 million from USD 3.0 million. The daytime dining chain operates 601 company-owned and 80 franchised restaurants in 33 states. Same-restaurant sales growth of 1.0% came alongside a 1.9% drop in traffic, which suggests higher spend per visit offset fewer visits, an inference from the two figures. Interest expense was USD 4.9 million. The chain added 16 restaurants across 11 states in the quarter, which supports revenue but adds pre-opening costs and a ramp period before new units mature.

A Small Earnings Base Behind the Fast-Growth Screen

Published market data lists a 1 year EPS change of 376.94% and a price of about USD 13.19, down 3.26%, from an undated screen. Neither could be matched: the release shows diluted EPS of USD 0.08 against USD 0.05, about 60% growth by simple arithmetic, and no adjusted EPS. A rate from a few cents of earnings can look extreme, and the 376.94% figure may reflect a different period or basis, GAAP or adjusted, that is unknown. Market Capitalization was not verified. Adjusted EBITDA of USD 39.7 million is a steadier gauge of operating progress than per-share earnings this small. Net income of USD 4.8 million on USD 349.9 million of revenue is a net Margin of about 1.4%, simple arithmetic.

Guidance, Openings and the Traffic Question

Updated 2026 guidance points to same-restaurant sales growth of about 2.0%, revenue growth of about 13.5% including roughly 1% from completed acquisitions, and adjusted EBITDA of about USD 136.0 million. The company plans 60 net new system-wide restaurants, including 2 company-owned closures, and capital spending of about USD 145.0 million. Debt and cash were not disclosed in the release. Risks for First Watch Restaurant Group (NASDAQ:FWRG) include weak traffic, food and labor costs, and new units that open below expectations. Interest expense of USD 4.9 million shows some leverage, though the balance was not disclosed.

Where Things Stand

Growth came from new restaurants while traffic fell and costs absorbed much of it. First Watch Restaurant Group (NASDAQ:FWRG) grew revenue 10.7% and EPS from USD 0.05 to USD 0.08, yet same-restaurant sales rose just 1.0% and traffic fell 1.9%. The balance of evidence is expansion-led growth with an 11.4% adjusted EBITDA margin, funded by heavy capital spending. Watch traffic trends, the pace of the 60 planned net openings and the fourth-quarter report, whose date was not verified. Guidance is an estimate and can change.