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XYZ's Square Adds Etra & Cafe Telegrama as Restaurant Momentum Builds

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Key Takeaways

  • Square adds Etra and Cafe Telegrama, using one platform for QSR and full-service operations.
  • Shared kitchen printers and Square hardware provide consistency across daytime and evening service.
  • Etra uses Square's Resy integration to sync course status and improve front-of-house table visibility.

Block’s (XYZ - Free Report) Square is expanding its restaurant presence with Etra and Cafe Telegrama, two sister restaurants in Los Angeles’ Melrose Hill neighborhood. The businesses have adopted Square’s unified commerce platform while operating from one shared kitchen. Cafe Telegrama operates as a daytime quick-service restaurant (QSR), while Etra serves as a full-service Italian restaurant in the evening.

The setup creates an operating challenge because the same kitchen supports two different service models. The restaurants use Square Register, Square Stand and Square Handheld for any order entry and payments, with orders sent directly from the point of sale to shared kitchen printers. This provides the kitchen with a consistent system for both Cafe Telegrama’s daytime menu and Etra’s dinner service.

Etra is also using Square’s integration with Resy. Course status entered in the POS, including appetizers, entrees and desserts, automatically syncs with the reservation system. That gives the front-of-house team visibility into each table’s status without having to check in person.

For Square, the deal shows how its restaurant tools can work across quick-service and full-service formats. The restaurants also cited the need for reliable reporting across both businesses, while savings on processing and software costs helped support the move to Square.

Recent Merchant Wins Highlight Square’s Restaurant Momentum

Other recent deals point to broader traction. Ideal Nutrition, which operates 17 Florida stores and produces about 150,000 meals weekly, renewed and expanded its Square partnership as it targets 20 locations by year-end 2026. Whit’s Frozen Custard also moved 100 locations across 11 states to Square, with estimated savings of about $2,000 annually per location.

Parsons Bakery adopted Square across 48 shops in England and Wales, using Square for Restaurants Plus, Loyalty, Marketing and Online. This comes as Square’s second-quarter 2026 Gross Payment Volume (GPV) rose 13% to $72.8 billion, while food-and-beverage GPV increased 20%. Square gross profit also climbed 13% to $1.16 billion.

Conclusion

The Etra and Cafe Telegrama deal adds another proof point for Square’s restaurant push. Its ability to support different service models, centralize workflows and connect restaurant tools could help Square deepen adoption as food-and-beverage businesses scale.

Over the past three months, shares of this Zacks Rank #3 (Hold) company have declined 6.3% against the industry's growth of 22.4%.

 

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Stocks to Consider

Some better-ranked stocks from the internet-software sector are BILL Holdings, Inc. (BILL - Free Report) and Arista Networks (ANET - Free Report) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.

The Zacks Consensus Estimate for BILL’s fiscal 2027 earnings per share (EPS) has moved northward by 52 cents to $3.73 over the past two months.

The consensus estimate for ANET’s 2026 EPS has moved up 44 cents to $4.08 over the past two months.

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