Restaurant sales sluggish in June


Same-store sales at restaurant chains fell 0.1% in June on a 1.7% decline in traffic, according to Black Box Intelligence.

The sub-par performance knocks down the argument that weakness in Q1 and for the early part of Q2 was largely due to weather factors.

Restaurant Finance Monitor notes that the increase in quality of to-go meals by grocery store chains and pharmacies could be having an impact.

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Comments (4)
  • SivBum
    , contributor
    Comments (2737) | Send Message
     
    They keep adding more sugar, artificial sweetener at that, and more salt ... they are hard to eat even with 1/2 price beer.
    14 Jul 2014, 01:42 PM Reply Like
  • Philip Marlowe
    , contributor
    Comments (1582) | Send Message
     
    I think the problem is not grocery stores but individually owned restaurants and/or small chains that are not part of that survey. There is a lot of innovation in the restaurant space, and most of it is coming from small businesses and not large chains. A lot of people prefer to patronize non-chain restaurants as well.
    14 Jul 2014, 02:41 PM Reply Like
  • Just Some Guy
    , contributor
    Comments (2441) | Send Message
     
    I have been concerned that CAKE is not going to make their numbers and the stock may take a hit. I remain long and bullish, and on a large dip may add. Actually, perhaps I should sell now, hmm, ...

     

    An article posted elsewhere discussed trends and suggested that "casual dining" was taking a hit not from grocery stores but from "quality" fast food like Chipotle and Panera. Whether or not CAKE is "casual dining" is a matter of opinion.
    14 Jul 2014, 06:40 PM Reply Like
  • jumpnjoey77
    , contributor
    Comments (1205) | Send Message
     
    Going out to eat is a zoo in Tucson, Phoenix, El Paso and Santa Fe.
    14 Jul 2014, 08:46 PM Reply Like
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