Dutch Bros Beats Q3 Revenue at $549.8M, but Lowers FY26 EBITDA Guide to $380M
Revenue grew 30% and adjusted EPS of $0.25 matched estimates, but the full-year adjusted EBITDA outlook of $380 million sits below the prior $385 million to $390 million range and capital spending guidance rose.
Dutch Bros (BROS) reported third-quarter 2026 revenue of $549.8 million, up 30% from a year earlier and above the $547.4 million estimate, while adjusted EPS of $0.25 matched the estimate. The company set full-year adjusted EBITDA guidance of $380 million, below its prior range of $385 million to $390 million.
Shares fell about 17% in after-hours trading, to $36.40 from a $43.99 close that was up 1.0% on the day.
Q3 scorecard
| Parameters | Expected | Actual | Beat/Miss |
|---|---|---|---|
| Adjusted EPS | $0.25 | $0.25 | In line |
| Revenue | $547.4M | $549.8M | Beat by 0.4% |
| FY26 adjusted EBITDA guide (prior midpoint) | $387.5M | $380M | Miss by 1.9% |
| Change | YoY | QoQ |
|---|---|---|
| Adjusted EPS | ▲ 31.6% | ▼ 24.2% |
| Revenue | ▲ 29.8% | ▼ 0.2% |
Revenue beat the estimate by about $2.4 million. Third-quarter 2025 revenue was $423.6 million and adjusted EPS was $0.19. Second-quarter 2026 revenue was $550.9 million and adjusted EPS was $0.33.
Profit
- Gross profit. Gross profit was $109.5 million.
- Operating income. Income from operations was $52.8 million, up 27.3% from $41.5 million a year earlier and down 25.0% from $70.4 million in the second quarter. That is a 9.6% operating margin, against 9.8% a year earlier and 12.8% in the second quarter.
- Pretax and net income. Pretax profit was $46.0 million and net income was $37.2 million, up 36.4% from $27.3 million a year earlier and down 27.9% from $51.6 million in the second quarter.
FY26 outlook
| Metric | New | Prior (August) | Change |
|---|---|---|---|
| Adjusted EBITDA | $380M | $385M-$390M | Lowered |
| Capital expenditures | $370M-$390M | $350M-$370M | Raised |
The new adjusted EBITDA figure is 1.9% below the $387.5 million midpoint of the prior range. The capital spending midpoint rises to $380 million from $360 million.
What to watch
- Profit margin. Whether the operating margin recovers toward the second-quarter level of 12.8% after falling to 9.6%.
- Capital spending. How the higher $370 million to $390 million capex range affects cash flow.
- Revenue outlook. Whether the August full-year revenue range of $2.10 billion to $2.13 billion is updated.
- Related coverage. See our reports on CAVA and McDonald's.
Sources: Results are from Dutch Bros' third-quarter 2026 report. Estimates are consensus figures. Prior guidance, second-quarter 2026 and third-quarter 2025 comparison figures are from the company's earlier releases. This article is informational only and is not investment advice.
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