MEMPHIS Tenn. Perkins & Marie Callender’s Inc. narrowed its loss in fiscal 2009 but continued to battle reduced traffic and sales at its two family-dining brands.
For the year ended Dec. 27, the company posted a net loss of $36.2 million, compared with a loss $53.0 million in fiscal year 2008, when it booked $20.2 million in impairment charges.
Fiscal 2009 revenue declined 7.9 percent to $536.1 million from $582.0 million a year ago. Same-store sales fell 6.6 percent at Perkins and 6.4 percent at Marie Callender's on reduced customer traffic, which the company blamed on the economic downturn.
"Although 2009 was a challenging year, we were successful in holding margins, continuing to improve store-level execution, and managing corporate level costs without adversely affecting our guests," said J. Trungale, the company's president and chief executive.
Perkins and Marie Callender's said its restaurants benefited from lower food costs related to drops in prices for red meat, produce, dairy products and eggs. The company also said it saw improvement at Foxtail, its baked-goods manufacturing arm, as a result of higher sales prices, lower commodity costs and improved manufacturing efficiencies.
Perkins & Marie Callender's Inc. owns and operates 163 Perkins restaurants, 77 Marie Callender's units, two Callender's Grill stores and an East Side Mario's restaurant. It franchises 314 Perkins restaurants, 38 Marie Callender's restaurants and one Marie Callender's Grill.
Contact Elissa Elan at [email protected].
