HOUSTON Landry's Restaurants Inc., the restaurant, gaming and entertainment-venue operator, reported deeper third quarter losses as a result of declining same-store sales and expenses related to the summer’s hurricanes.
For the quarter ended Sept. 30, Landry’s reported a net loss of $17.1 million, or $1.12 per share, compared with a loss of $4.3 million, or 25 cents a share, in the same period a year ago.
The company said it recorded $12 million in impairment charges, or 79 cents per share, primarily for damages related to Hurricane Ike, which hit the Texas coast in September. Landry's said 31 of its Houston-area restaurants were shuttered by widespread power outages in the wake of the storm, which also damaged several restaurants in Galveston, Texas, and the company's Kemah Boardwalk property. Seven restaurants in Galveston and Kemah remain closed, Landry's said.
Landry's third quarter revenue declined 2.1 percent, to $289.7 million. That included revenues from Landry’s two Golden Nugget properties, which slipped to $60.6 million from $62.7 million in the same quarter of 2007.
Excluding the effects of the hurricanes, Landry's said third quarter same-store sales fell 2 percent.
Landry's is in the process of being acquired by its founder and CEO Tilman J. Fertitta, who last month reached an amended agreement with the company to take it private. Fertitta, who already owns 39 percent of the company, has agreed to pay $13.50 for each share he doesn't own.
Landry’s operates 179 casual-dining restaurants under such brands as Landry's Seafood House, Chart House, Rainforest Cafe and Saltgrass Steak House. It also has fine-dining restaurants in the Signature Group division as well as other businesses that include hotels, marinas, amusements, retail and two Golden Nugget Hotels and Casinos in Nevada.
