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Labor News | NRCP in the News
Quarterly Earnings
Labor’s Biggest Losers 2018
SALES: 2018 was a banner year for the restaurant industry. According to the Census Bureau, restaurant sales rose 6% with a menu price (CPI) indexed increase of 2.6%. Even better, for the first time in years,the sales mix between Limited Service and Full...
3Q18 Labor Redux – Quarterly Results Improve, but still Negative
Future looks worse with House turning Blue Demographics Forcing Wages Higher Regardless Year-to-Date Losses Exceed ALL of 2017 Well, the election is over. Democrats are eager to push a $15 minimum wage bill within the first 100 hours. Higher labor costs are not going...
Labor Redux – 2Q18 IT’S GETTING SCARY OUT THERE!
The following chart indicates that Labor costs continue to be an issue in the industry. The two segments of our industry have eachlost approximately $230 Million since the beginning of 2017. Interestingly, QSR has generated those losses with accelerating costs in...
2018 Labor Redux, Labor Costs Keep Steamrolling EBITDA
The public companies 1Q18 reports are in. The industry experienced approximately $120 Million in lower EBITDA due to higher labor costs. For the last 3 quarters, QSR has experienced the majority of the labor cost issues. This is primarily due to the Casual Dining...
2017: End of a Rough Year: Industry Loses ~$300 Million in Higher Labor Costs
NRCP continues to compile quarterly results for labor comparisons for the publicly traded restaurant companies and posting them with commentary. 2017 ended with a nearly $300 million increase in labor costs; costs that should be managed better. We will continue to...
First Blush at 4QFY17 Results
The following charts indicate that Labor costs continue to be an issue in the industry. After losing $100M in each segment (Casual Dining & QSR/FC) through the 3QYTD, the industry (of those that have reported to date 2/28/18) has lost $33M cumulatively. We could...
LABOR’S BIGGEST LOSERS IN THE 3Q17
The restaurant industry continues to struggle with labor costs. Included below is NRCP’s 3Q17 preliminary report on the direction of Labor costs among the publicly-traded restaurant companies. In the Casual Dining Segment, the large operators continue to struggle...
LABOR’s BIGGEST LOSERS: YTD Review in Advance of 4Q17 Results
The following tables list the YTD impact that changes in Labor Costs have had on the public restaurant companies, both individually and collectively. In summary, the 3Q17 was worse for the industry and its segments. Collectively, the industry experienced a reduction...
2Q17 Labor’s Biggest Losers – Some Get Better; Others Worse
This blog post is a continuing effort to focus managers, investors and operators on the impact that rising labor costs is having on their profitability. Well, the early results are in. In the 2Q17 as of this afternoon’s (August 5, 2017) reporting 22 companies have...
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