Cracker Barrel sells Maple Street Biscuit Company, closes 16 locations - Fox Business

What the report says

Fox Business reported that Cracker Barrel is exiting its Maple Street Biscuit Company business and selling some restaurant real estate as part of a broader effort to reduce debt and improve profitability. The company said Monday it sold the Maple Street brand and assets connected to 35 locations to Biscuit Belly LLC, while the remaining 16 Maple Street restaurants will be closed.

Separately, Cracker Barrel completed a sale-leaseback transaction involving 26 company-owned restaurants, producing about $77 million in net proceeds. Under that arrangement, the company sells the properties but continues operating the restaurants by leasing them from the new owner. Cracker Barrel said the proceeds will be used to pay down debt, and CEO Julie Masino framed the moves as part of a focus on the company’s balance sheet, core brand and long-term profitability.

Biscuit Belly, which Fox Business said currently operates 15 locations, plans to convert the acquired Maple Street restaurants into Biscuit Belly sites over the next 18 to 24 months. The first conversions are expected in the greater Cincinnati area and Richmond, Virginia. The deal is expected to more than triple Biscuit Belly’s footprint, with the company aiming to exceed 60 locations by the end of 2028.

Fox Business reported that Maple Street made up less than 2% of Cracker Barrel’s annual revenue. Cracker Barrel expects the divestiture to improve adjusted EBITDA beginning in fiscal 2027, while recording $37 million to $39 million in non-cash charges and $6 million to $8 million in additional cash costs tied to the exit. The moves come as Cracker Barrel, with roughly 660 company-owned stores in 43 states, continues a turnaround after customer backlash over proposed branding and interior changes.