Cracker Barrel shares dropped on Thursday after the restaurant chain posted weaker-than-expected fourth-quarter earnings and addressed its widely criticized logo redesign.
On an earnings call, President and CEO Julie Masino admitted the company had misjudged the deep emotional attachment customers have to Cracker Barrel’s traditional branding. “We want longtime fans and new guests to experience the full story of the people, places, and food that make Cracker Barrel so special,” she told investors.
Masino confirmed the company has already reversed course, scrapping its modernized logo and halting remodels that had swapped Americana décor for sleek, minimalist interiors. Only four of the brand’s 660 restaurants had undergone the redesign, and all are being converted back. “The feedback we received… has shown us just how deeply people care about Cracker Barrel,” Masino said, thanking customers for voicing their concerns.
The logo change, introduced in August, removed the image of the old-timer leaning against a wooden barrel — a hallmark of the brand’s Southern identity for more than 50 years. The rollout quickly went viral and sparked backlash, with critics accusing the chain of abandoning tradition. The controversy wiped out more than $140 million in market value at its peak.
Despite the setback, Masino pointed to positive developments, including the return of “Uncle Herschel’s Breakfast,” the introduction of a new service model called “The Herschel Way,” and steady growth in the loyalty program, which gained 300,000 members in the past month.
She also acknowledged broader challenges, noting that the company has struggled to keep pace with shifting consumer habits around dining, travel, and technology. “We deeply value the strong emotional connection our guests have… but we recognize there are other areas where we must continue improving, especially in our food and overall guest experience,” she said.
Masino closed on a hopeful note, saying leadership is focused on stabilizing the business while leaning harder into nostalgia, tradition, and customer loyalty. “There is a lot to be optimistic about, and our teams are focused on getting back to a positive trajectory.”