How Does Your Restaurant Compare? FY 2015 Benchmarking Update

Each quarter, we take a look at publicly traded restaurant companies’ operating results to provide insightful benchmarking information. In this issue, we look at overall FY 2015 results.

Restaurant sales were solid throughout 2015, largely due to improvement in overall economic fundamentals like decreased unemployment and increased discretionary income, which boosted consumer confidence and spending. The pizza and fast causal segments saw the strongest growth in FY 2015, experiencing a 6.4 percent and 4.9 percent increase, respectively.

In another positive sign for the industry, cost of sales decreased across all segments in FY 2015. Declining commodity prices contributed to these results. After spiking in 2014, pork and cheese prices fell significantly in 2015 – by 23.4 and 13.5 percent, respectively. And even beef prices decreased substantially in the second half of the year.  

Wondering how to benchmark a private company against the report? We've found that on average, when compared to public companies, medium-sized private companies’ prime costs were one to two percent higher. However, the best performing private company participants—those in the highest quartile—had prime costs three percent lower than the average public company.

For more insights and to see the full report, click here. And be sure to follow @BDORestaurant to stay up-to-date with the Restaurant Practice’s latest insights. 

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