First Watch’s (NASDAQ:FWRG) Q3 2026 earnings results: revenue in line with expectations, stock soars
First Watch reported Q3 2026 revenue of $349.9 million, matching estimates and growing 10.7% year-on-year. EPS and adjusted EBITDA beat expectations, with EPS at $0.08 vs. $0.04 and EBITDA at $39.75 million vs. $33.82 million. Full-year EBITDA guidance was raised to $136 million, above consensus. The company operates 681 locations, up from 620 last year, with same-store sales increasing 1% year-on-year.
How this was made
The 30-second read
Why it matters
EPS and adjusted EBITDA beats, combined with full-year EBITDA guidance above consensus, are the core catalysts for repricing; store growth and modest same-store sales provide supporting but less decisive context.
Market read
Traders can update models immediately using the provided beat metrics and the $136M full-year EBITDA guidance midpoint versus consensus.
What to watch
Store count increased to 681 from 620, but the article does not break out unit economics or cost inflation drivers that could affect sustainability of EBITDA margins.
Background
The piece is a first report of First Watch’s Q3 2026 results versus S&P analysts’ consensus, including full-year EBITDA guidance.
Ticker impact
First Watch reported Q3 2026 revenue of $349.9M in line, but GAAP EPS $0.08 and adjusted EBITDA $39.75M beat consensus, plus full-year EBITDA guidance $136M midpoint.
Likely upward pressure as the market prices in stronger profitability and higher full-year EBITDA than consensus.
The article provides multiple beat metrics (EPS, adjusted EBITDA) and a guidance midpoint above consensus, which are direct drivers of earnings multiple expansion and near-term sentiment.
Market effects
Reinforces demand and margin resilience signals for casual dining/restaurant operators, potentially supporting sector sentiment.
No specific regional read-through provided beyond company-level store growth.
Primarily US-focused restaurant earnings, limited direct global spillover.
Counterpoint
Revenue was only in line and same-store sales rose just 1% year over year, so the rally may be driven more by margins than top-line durability.
Key entities
- companyFirst Watch Restaurants, Inc.
Reported Q3 2026 revenue, GAAP EPS, adjusted EBITDA, and full-year EBITDA guidance; shares reportedly surged after the print.
