SCOTTSDALE Ariz. P.F. Chang’s China Bistro Inc. reported negative same-store sales at both of its main concepts, P.F. Chang’s China Bistro and Pei Wei Asian Diner, for the fourth quarter ended Dec. 30. The company also said that despite a 16-percent increase in fourth-quarter revenues, continued increases in operating costs were expected to have “a greater impact” on fourth-quarter earnings than earlier forecast. P.F. Chang’s plans to release full fourth-quarter results on Feb. 13.
Despite quarterly same-store sales drops of 1 percent at the Bistro chain and 0.5 percent at Pei Wei, analysts were pleasantly surprised with the results, as most had expected much larger year-to-year decreases. At the Bistro chain, the 1-percent drop was actually the best quarterly same-store sales result in the past 12 months, according to analyst Destin Tompkins at Morgan Keegan & Co. Inc. The result was aided by a 5-percent jump in average check totals because of price increases and menu changes from the chain’s introduction of a grill menu, the company said. Traffic was down about 6 percent.
Total fourth-quarter revenues totaled $292.6 million, compared with $252 million for the year-earlier fourth quarter. Sales at corporate restaurants of the full-service Bistro chain totaled $225.9 million, and sales at the fast-casual Pei Wei Asian Diner chain tallied $65.9 million. Sales at the company’s one Taneko Japanese Tavern were $700,000.
During the fourth quarter, the company opened 10 Bistro restaurants and seven Pei Wei restaurants, bringing the chain’s unit totals to 172 and 144, respectively.
