Barbeque-Nation Hospitality Limited (NSE:BARBEQUE) Just Released Its Third-Quarter Earnings: Here's What Analysts Think

Barbeque-Nation Hospitality Limited (NSE:BARBEQUE) last week reported its latest quarterly results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. It was a credible result overall, with revenues of ₹3.3b and statutory earnings per share of ₹4.32 both in line with analyst estimates, showing that Barbeque-Nation Hospitality is executing in line with expectations. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

View our latest analysis for Barbeque-Nation Hospitality

Taking into account the latest results, the current consensus from Barbeque-Nation Hospitality's three analysts is for revenues of ₹14.4b in 2025. This would reflect a decent 16% increase on its revenue over the past 12 months. Earnings are expected to improve, with Barbeque-Nation Hospitality forecast to report a statutory profit of ₹6.47 per share. Yet prior to the latest earnings, the analysts had been anticipated revenues of ₹14.9b and earnings per share (EPS) of ₹10.40 in 2025. From this we can that sentiment has definitely become more bearish after the latest results, leading to lower revenue forecasts and a large cut to earnings per share estimates.

Despite the cuts to forecast earnings, there was no real change to the ₹771 price target, showing that the analysts don't think the changes have a meaningful impact on its intrinsic value. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Barbeque-Nation Hospitality, with the most bullish analyst valuing it at ₹913 and the most bearish at ₹675 per share. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. We would highlight that Barbeque-Nation Hospitality's revenue growth is expected to slow, with the forecast 13% annualised growth rate until the end of 2025 being well below the historical 20% p.a. growth over the last five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 17% annually. Factoring in the forecast slowdown in growth, it seems obvious that Barbeque-Nation Hospitality is also expected to grow slower than other industry participants.

The Bottom Line

The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Barbeque-Nation Hospitality. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. The consensus price target held steady at ₹771, with the latest estimates not enough to have an impact on their price targets.

With that in mind, we wouldn't be too quick to come to a conclusion on Barbeque-Nation Hospitality. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Barbeque-Nation Hospitality going out to 2026, and you can see them free on our platform here..

You can also see whether Barbeque-Nation Hospitality is carrying too much debt, and whether its balance sheet is healthy, for free on our platform here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.