Dine Brands Global expanded its portfolio of combined IHOP-Applebee’s restaurants to 81 locations by the end of Q2 2026, nearly quadrupling the 21 dual-branded restaurants operating a year earlier as the company makes the format an increasingly important component of its long-term growth strategy.
The dual-brand portfolio consisted of 44 domestic locations and 37 international locations as of June 28. That compares with only one domestic and 20 international dual-brand restaurants one year earlier.
Dine Brands defines dual-branded restaurants as locations operating both the IHOP and Applebee’s concepts under separate franchise agreements within the same restaurant site. Because each restaurant operates both brands, it is counted in both brands’ individual restaurant totals before being adjusted in consolidated location disclosures.
The rapid domestic expansion is particularly significant. Dine Brands had 44 domestic dual-branded locations at quarter-end, including both franchise and company-operated restaurants, compared with just one domestic location in the prior-year period.
The company has been investing directly in the strategy as part of a broader shift in its restaurant portfolio. Applebee’s company-owned locations reached 118 at quarter-end compared with 59 a year earlier, reflecting acquisitions of restaurants from franchisees, including 48 locations acquired in June 2026.
Dine Brands generated Q2 revenue of $240.9 million compared with $230.8 million in Q2 2025. The increase was primarily attributable to higher company-owned restaurant sales following acquisitions from franchisees.
Operating trends differed between its two largest brands. IHOP comparable domestic same-restaurant sales increased 1.5%, while Applebee’s comparable domestic same-restaurant sales declined 1.8%. Management said IHOP delivered its third consecutive quarter of industry outperformance across both sales and traffic.
Dine Brands reported Q2 net income available to common stockholders of $4.2 million, or $0.35 per diluted share, compared with $13.2 million, or $0.89 per share, a year earlier. Adjusted net income available to common stockholders was $14 million.
General and administrative expenses increased to $55.6 million from $50.8 million as Dine Brands invested in its company-owned and dual-brand restaurant initiatives and incurred reorganization and transaction costs.
The jump from 21 to 81 dual-branded locations indicates that the IHOP-Applebee’s combination is moving beyond a limited test into a more meaningful part of Dine Brands’ development strategy.
KEY QUOTES:
“In the second quarter, our brands made meaningful progress in an environment in which consumers remain focused on affordability and value, highlighted by IHOP’s third consecutive quarter of industry outperformance on both sales and traffic.”
“Across all our brands, our everyday value platform, barbell marketing strategy, and continued investment in the guest experience are working, and we are entering the second half of the year with confidence in our long-term growth initiatives, including the continued expansion of our dual brand program.”
John Peyton, CEO of Dine Brands Global
