FINANCE
PHOTO COURTESY OF EGGS UP G
THE FAMILY-DINING SEGMENT IS DIVIDED BY DINNER Family-dining chains that serve only breakfast and lunch are soaring, while those covering all three dayparts have stumbled, according to Technomic Top 500 data. W ant to know whether a family-dining chain is doing well these days? Check if it serves dinner. family-dining chains
compared to $2.07 million for brands that serve breakfast, lunch and dinner. The fastest-growing of these daytime- dining players last year was 105-unit Eggs Up Grill, where sales surged by 32.3% on unit growth of 20.7% in 2025. The Spartanburg, South Carolina-based franchise focuses on down-the-middle breakfast staples like omelets, Benedicts and pancakes in a friendly environment. It’s nothing fancy, and customers seem to love it: Eggs Up has recorded 21 straight quarters of same-store sales growth. CEO Ricky Richardson said the brand’s approachability, convenience and affordability are resonating with customers. Diners can be in and out of Eggs Up in under 40 minutes and will spend just $12 to $14 on average. Some are replacing fast-food breakfasts with what they view as a better all-around experience. “When you have a positive, upbeat, energetic ambiance like that, a team that really believes in the brand, and then the breadth of consumer appeal, all those things are working well for us,” Richardson said. For other daytime-dining concepts, there’s a focus on culinary invention. At First Watch, for instance, customers will find global takes on breakfast classics, such as a chimichurri steak and eggs hash, and unique flavors, like sweet-spicy Million Dollar Bacon. Everything is made fresh in the restaurant, including the juice. First Watch sales rose 16.1% last year.
Among on Technomic’s Top 500 ranking that offer breakfast, lunch and dinner, average sales declined by 0.3% in 2025. Those that serve only breakfast and lunch, meanwhile, saw average sales growth of 11.6% in 2025. For reference, Technomic defines family dining (also known as midscale) as sit-down concepts with accessible prices, sitting somewhere above quick-service and fast casual but below casual dining. It includes brands like IHOP, Cracker Barrel, Denny’s, Waffle House and First Watch. Overall sales in this segment grew by just 0.3% in 2025, the smallest increase in five years, per Technomic data. And a clear divide has emerged between the old-guard concepts that cover all three dayparts, like IHOP and Cracker Barrel, and a burgeoning crop of so- called daytime-dining chains that open early and close by midafternoon. Almost all of the fastest-growing chains in the segment are in that latter group. Led by 648-unit First Watch, other players include Another Broken Egg, Snooze, Eggs Up Grill and Denny’s-owned Keke’s Breakfast Cafe. They are also generating more sales per location, despite their limited operating hours. Average unit volumes at Top 500 breakfast- and-lunch chains were $2.09 million in 2025,
JOE GUSZKOWSKI
JOSEPH.GUSZKOWSKI@INFORMA.COM
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RESTAURANT BUSINESS JULY 2026
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