![]() ![]() ![]() The firm’s flagship Cheesecake Factory’s same-store sales increased 1.3%, but its Grand Lux Café sales dropped 3.2%. ![]() Weaker traffic, which fell 1% in the period, is a company (and industry-wide) issue, so the sales expansion in the quarter came from higher checks. The company struggled to drive growth during the period, with aggregate same-store sales expanding only 0.9% year-over-year (though the firm said Hurricane Sandy eliminated 60 basis points of growth). Earnings per share took a hit, but they came in better than expected, dropping 6% year-over-year to $0.51 per share (after excluding impairments taken related to discontinued operations at some Grand Lux Café locations). Let’s dig in.Ĭheesecake Factory’s revenues dropped 3% year-over-year to $465 million, slightly better than consensus estimates. The results from the Cheesecake Factory and BJ’s Restaurants, however, were not as positive. We aren’t fans of the space in particular, but if we see results accelerate (or slow) materially, it could be a sign of broader strength (or weakness).Įarlier this week we examined the solid results and guidance from casual diners Texas Roadhouse and Red Robin. This is by no means incredibly bullish for the US economy, but we are happy to see firms looking for growth (even though the broader signals point to mediocre expansion). We at Valuentum have received fairly consistent guidance from the casual dining space recently, with chains generally anticipating 1.5% to 3% same-store sales growth, countered with higher input costs. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |