Loading...
•
Sep 29, 2020
BJ's Q3 2020 Earnings Report
Reported improved third quarter performance driven by team commitment and creativity, exceeding expectations.
Key Takeaways
BJ's Restaurants reported significantly improved third quarter performance compared to the prior quarter, driven by the team's commitment and creativity. The company saw weekly sequential sales increases and returned to generating positive cash flow. October weekly sales per restaurant are averaging in the low $80,000 range.
Weekly sales average improved from the mid-$60,000 range per restaurant in July to approximately $80,000 per restaurant in the last weeks of September.
Returned to generating positive cash flow for the quarter.
October weekly sales per restaurant are currently averaging in the low $80,000 range.
Opened its second and last new restaurant for fiscal 2020 earlier this week in Orange Village, Ohio.
BJ's
BJ's
Forward Guidance
BJ's expects to announce a modest increase in the number of planned new restaurant openings for next year, while remaining committed to its long term national expansion plan to operate at least 425 BJ’s restaurants.
Positive Outlook
- BJ’s continues to be a preferred tenant for developers.
- Development pipeline is in excellent shape reflecting the opportunities to expand the BJ’s concept.
- Consumers still consider dining at or ordering take-out and delivery from BJ’s an important part of their social lives and overall lifestyle
- Presently have 87% of dining rooms open, albeit in limited capacities
- Continuing to install glass dividers in restaurants to enable more guests to enjoy dining at BJ’s in a safe and socially distanced manner.
Challenges Ahead
- Operating with less than 70% of restaurant dining rooms open early in the third quarter.
- Subject to indoor seating capacity limitations.
- One restaurant remains temporarily closed due to the COVID-19 pandemic.
- Dine-in service is currently limited or not available in remaining restaurants, and hours are limited.
- The effect of the COVID-19 pandemic on restaurant sales and operations, labor and staffing, customer traffic, our supply chain and the ability of our suppliers to continue to timely deliver food and other supplies necessary for the operation of our restaurants, the ability to manage costs and reduce expenditures and the availability of additional financing