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Mar 30, 2021
BJ's Q1 2021 Earnings Report
Reported solid first quarter results driven by resilient team members and the broad appeal of the BJ's concept.
Key Takeaways
BJ's Restaurants, Inc. reported solid first quarter results, exceeding expectations due to the efforts of their team members and the appeal of their concept. Improved sales trends were driven by the easing of dining room capacity restrictions and the return of guests.
Weekly sales averages improved from $66,400 in January 2021 to $97,300 in March 2021, the highest since the start of the pandemic.
Comparable restaurant sales declined approximately 17% in March compared to March 2019.
Weekly sales in the first three weeks of April averaged approximately $102,500, with comparable restaurant sales down just 7% compared to April 2019.
Adjusted EBITDA for the quarter was $12.7 million.
BJ's
BJ's
Forward Guidance
BJ's Restaurants plans to open new restaurants and re-open a closed location, with a long-term growth opportunity to reach at least 425 restaurants domestically.
Positive Outlook
- Plan to open restaurants in Merrillville, Indiana and Lansing, Michigan in 2021.
- Intend to re-open the Richmond, Virginia restaurant in the second half of 2021.
- Real estate development team is assembling a robust new restaurant pipeline for 2022 and beyond.
- Confident that the BJ’s concept can grow to at least 425 restaurants domestically.
- Combination of sales momentum, higher cash flows, and strong balance sheet can readily support an acceleration in the restaurant expansion program.
Challenges Ahead
- Most California restaurants remain limited to 50% capacity.
- Late night business remains challenged.
- The effect of the COVID-19 pandemic on restaurant sales and operations.
- Potential labor shortages and increases in minimum wage.
- Fluctuating commodity costs and availability of food.