Shares of Brinker International (EAT) surged 7.48% in pre-market trading on Wednesday, fueled by the company’s fiscal fourth-quarter earnings release and an optimistic outlook for the coming year.

The casual dining operator reported a 5% increase in comparable restaurant sales, driven by a 5.6% gain at its Chili’s brand, which benefited from higher menu pricing and positive guest traffic. While adjusted earnings per share of $3.07 narrowly missed analyst estimates of $3.09, revenue of $1.54 billion slightly exceeded expectations. More importantly, Brinker issued fiscal 2027 guidance that surpassed Wall Street forecasts, projecting adjusted earnings of $12.60 to $13.40 per share—above the consensus estimate of $12.57—and total revenue of $6.15 billion to $6.27 billion.

“Our strong brand relevance, industry-leading value proposition, streamlined operations, and significant restaurant investments have created a competitive moat that positions Chili’s to deliver sustainable, profitable growth,” said CEO Kevin Hochman. The company also announced a new $750 million share repurchase authorization, further boosting investor confidence.