Restaurant operators report continued improvement for same-store sales and traffic levels.
The National Restaurant Association's Restaurant Performance Index hit 101.7 in April, a .3 percent increase from March. A reading in excess of 100 indicates expansion among the index of key industry indicators.
The Current Situation Index, which measures current trends in four industry indicators (same-store sales, traffic, labor and capital expenditures), stood at 101.3 in April — up 0.5 percent from a level of 100.8 in March. Key data points from the Current Situation Index include:
- Fifty-one percent of restaurant operators reported a same-store sales gain between April 2013 and April 2014, while 26 percent reported a sales decline.
- Forty-four percent of restaurant operators reported an increase in customer traffic levels between April 2013 and April 2014, while 30 percent reported a decline.
- Fifty-six percent of operators said they made a capital expenditure for equipment, expansion or remodeling during the last three months, up from 49 percent who reported similarly last month.
The Expectations Index, which measures restaurant operators' six-month outlook for four industry indicators (same-store sales, employees, capital expenditures and business conditions), stood at 102.2 in April — up 0.2 percent from March and the strongest level in two years. Key data points from the Expectations Index include:
- Forty-six percent of restaurant operators expect to have higher sales in six months (compared to the same period in the previous year).
- Thirty percent of restaurant operators said they expect economic conditions to improve in six months, while 15 percent expect the economy to worsen.
- Sixty percent of restaurant operators plan to make a capital expenditure for equipment, expansion or remodeling in the next six months, up slightly from 58 percent who reported similarly last month.