Ruby Tuesday Inc. reported a net loss of $22.2 million during its first fiscal quarter, driven by same-store sales declines of 11.4 percent at company-owned restaurants and an 8.4 percent at domestic franchised restaurants.
President and chief executive James J. “JJ” Buettgen said that although the chain benefited in the last three weeks of the Sept. 3-ended quarter from positive reception of the pretzel burgers, flatbread appetizers and green bean tempura introduced in August, the ongoing brand repositioning would be slow to show results.
Buettgen predicted same-store sales declines in the high-single digits in the second quarter with improvements in the third quarter and positive same-store sales in the fourth quarter.
Ruby Tuesday opened three company-owned and two franchised restaurants under the Lime Fresh Brand and closed three company owned and two international franchised Ruby Tuesday locations. The company currently operates 703 Ruby Tuesday units and franchises 75. It owns and operates 21 Lime Fresh locations and franchises eight additional ones.