F

Brinker International, Inc. — Earnings Quality Grade F

EAT · Consumer Cyclical

Major red flags

Revenue
$5.4B
2025
Net Income
$383M
2025
Gross Margin
18.2%
Free Cash Flow
$414M
01

Screening Summary

15
Passed
0
Watch
2
Failed
-2.88
M-Score

Management Signals

No recent CEO, CFO, board, or accounting leadership signals found in SEC 8-K filings.
02

Financial Trends

Revenue & Net Income ($B)

Margins (%)

03

18-Point Screening

01

Revenue Quality

A1DSO Change

DSO 5 days, change -0 days YoY

A2AR vs Revenue Growth

AR growth 21.1% vs revenue growth 21.9%

A3Revenue vs CFFO

Revenue 21.9%, CFFO 60.9%. Cash follows revenue

02

Expense Quality

B1Inventory vs COGS

Inventory 2.0% vs COGS 16.2%. Normal

B2CapEx vs Revenue

CapEx growth 33.4% vs revenue 21.9%. Normal

B3SG&A Ratio

SG&A/Gross Profit = 22.6%, excellent (<30%)

B4Gross Margin

Gross margin 18.2%, change +4.0pp. Stable

03

Cash Flow Quality

C1CFFO vs Net Income

CFFO/NI = 1.77. Profits backed by cash

C2Free Cash Flow

FCF $0.4B, FCF/NI = 1.08

C3Accruals Ratio

Accruals ratio = -11.0%. Low accruals

C4Cash vs Debt

Cash $0.0B covers only 1% of debt $1.7B

04

Balance Sheet Health

D1Goodwill + Intangibles

Goodwill+Intangibles $0.2B = 57% of equity. Over 50%

D2Leverage

Debt/EBITDA = 2.4x. Healthy

D3Soft Asset Growth

Other assets 1.4% vs revenue 21.9%. Normal

D4Asset Impairment

No write-off data

05

Acquisition Risk

E1Serial Acquirer FCF

FCF after acquisitions positive

E2Goodwill Surge

Goodwill+Intangibles change -1% YoY. Normal

06

Manipulation Score

F1Beneish M-Score

M-Score = -2.88 (< -2.22). Unlikely manipulator

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04

Beneish M-Score

Manipulation Probability-2.88
-4.0 Clean-2.22 Grey-1.78 Danger0
0.993
DSRI
AR growing faster than revenue?
0.779
GMI
Gross margin declining?
0.932
AQI
Asset quality deteriorating?
1.219
SGI
Revenue growth rate
0.889
DEPI
Depreciation slowing?
0.991
SGAI
SG&A ratio changing?
-0.1105
TATA
Accruals level
0.751
LVGI
Leverage increasing?
05

Altman Z-Score

0.54
Distress Zone
0 Distress1.102.605.0+ Safe
-0.1749
Liquidity
0.0696
Cumulative profit
0.1916
Operating efficiency
0.1607
Leverage

Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25