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Carrols Restaurant Group saw a same-store sales increase 11.7% at Burger King restaurants and 9.5% at Popeyes restaurants in the first quarter ended April 2. New CEO Deborah Derby thanked the brands’ parent company, Restaurant Brand International, which launched a two-year, $400 million “Reclaim the Flame” effort last fall.
Chipotle reported same-store sales growth of 10.9% for the first quarter, along with 4% traffic increases despite the fact that prices are about 10% higher than a year ago. Company executives attributed its success to operations improvements implemented last summer, as well as menu innovation such as the fajita quesadilla and chicken al pastor.
Dave & Buster’s reported same-store sales increases of 19% (both Dave & Buster’s and Main Event combined) for the fourth quarter ended January 29. Executives said that the special-events business, with a higher food & beverage component, is continuing to recover after initially lagging walk-in business.
Dine Brands reported same-store sales increases of 6.1% at Applebee’s and 8.7% at IHOP for the first quarter, exceeding analysts’ expectations as consumers favored the brands’ value offerings and promotions. Additionally, franchisee revenues for the chains offset labor cost increases for the first time since 2019.
Domino’s is relying on carryout more and more as delivery struggles continue. The company’s strategy is evolving to include a redesigned loyalty program and innovation across all segments. The company saw same-store sales growth of 3.6% in the first quarter ended March 26.
First Watch saw traffic jump 5.1% in the first quarter even as off-premises sales “softened.” CEO Chris Tomasso said the company is continuing to focus on growing traffic share, and added that much of the transaction growth has come from the company’s dine-in business. The family-dining chain saw same-store sales increase 12.9% in the quarter.
Krispy Kreme has been focused on evolving from a doughnut bakery to a “doughnut logistics company,” and is seeing success with that, as revenue grew 12.5% in the first quarter ended April 2. The company is closing some underperforming stores and turning others into hubs to fulfill grocery and convenience store orders.
McDonald’s reported same-store sales growth of 12.6% in the first quarter ended March 31. The company saw traffic rise for the third consecutive quarter despite inflationary pressures and still-increasing menu prices.
Noodles & Company reported a same-store sales increase of 6.4% for the first quarter ended April 4. Customers have begun to push back on menu prices, which have been climbing over the past year, and executives said the company would move toward lower prices for the remainder of the year.
Darden Restaurants reported a same-store sales increase systemwide of 11.7% for the third quarter ended February 26, including increases of 12.3% at Olive Garden and 10.8% at Longhorn Steakhouse. CEO Rick Cardenas said that dining out is an “affordable luxury” for consumers; the company set weekly sales records over the holidays and then again on Valentine’s Day.
Outback Steakhouse parent company Bloomin’ Brands is playing a lead role in the casual-dining comeback, reporting 5.1% same-store sales growth in the first quarter despite traffic struggles. CEO David Deno said the company is addressing traffic challenges by improving in-store technology, including the use of new kitchen equipment, and tablets to make servers’ jobs easier and a renewed focus on a brand equity-focused marketing strategy.
Papa Johns’ growth is at a standstill, but company executives see a long runway ahead with a robust development pipeline, future menu innovation and AI data integration. The year-ago quarter saw record-breaking sales growth, and CEO Rob Lynch said the company’s sales should grow 2-4% moving forward.
Portillo’s executives said the company is planning to expand the fast-casual chain’s no-dine-in, pickup-only model, with a second location opening in Rosemont, Ill. CEO Michael Osanloo said this provides lower cost builds for infill locations. In the first quarter ended March 26, the brand saw a same-store sales increase of 9.1%.
Potbelly executives in its most recent earnings call noted the benefit of rolling out its “digital kitchen,” saying they expected to have the platform in 100 restaurants by year’s end. The investment has smoothed operations, executives said, especially for orders that are placed digitally — 39% of the total. Same-store sales at the brand increased 22.2% in the first quarter ended March 26.
Shake Shack has identified growing potential in licensed restaurants, of which it currently has 193 — 43% of its total unit count. Executives want to grow that count at airports and roadside travel centers, as well as overseas. The company saw a same-store sales increase of 10.3% in the first quarter ended March 29, largely due to customers returning to in-restaurant dining.
Starbucks is seeing booming performance, with 11% same-store sales growth in the second quarter ended April 2, but also disappointing employee sentiment. The company continues to face clashes with union leaders both inside and outside the courtroom.
Sweetgreen inched closer to profitability in its first quarter ended March 26, a timeframe during which it saw same-store sales increase by 5%. The company was preparing to open its first Infinite Kitchen, a unit with an automated makeline, on May 10 in Naperville, Ill.
Texas Roadhouse continues to report strong traffic numbers, with a 7.6% jump in the first quarter, continuing the chain’s 10 straight years of positive traffic patterns. The company credits tailwinds from an improved labor environment, as well as technology deployments, such as Roadhouse Pay, which allows guests to pay at the table whenever they want.
Burger King’s parent company Restaurant Brands International expects to close some low-volume units. For the first quarter ended March 31, the company reported consolidated same-store sales increases of 10.3%: 10.8% at Burger King, 13.8% at Tim Hortons, 5.6% at Popeyes and 6.1% at Firehouse Subs.
Wingstop saw performance spike in the first quarter ended April 1, with same-store sales growing 20.1%. Executives said the momentum was driven largely by traffic growth, with CEO Michael Skipworth saying there has been double-digit growth across multiple channels as a result of focusing on strategic growth drives including brand awareness, menu innovation, expanding delivery channels, digital transformation, and data-driven marketing.
