The Trader Harbor
  • Business
  • Politics
  • World News
  • Stocks
  • Business
  • Politics
  • World News
  • Stocks

The Trader Harbor

Business

Hooters to close ‘underperforming’ restaurants amid broader industry woes

by admin June 27, 2024
June 27, 2024
Hooters to close ‘underperforming’ restaurants amid broader industry woes

Hooters said Monday that it’s closing ‘a select’ number of underperforming restaurants, the latest casual dining chain to announce shutdowns amid broader industry woes.

Hooters said that it was ‘under pressure from current market conditions,’ but added that new restaurants continued to open domestically and internationally. It did not respond to an inquiry about the exact number of locations affected.

‘The brand of 41 years remains highly resilient and relevant,’ it said in a statement.

The closings were first reported by National Restaurant News, which said about one-third of all brand-name restaurant chains ended 2023 with fewer locations than they started with.

Eating out in the U.S. faces some crosscurrents. On the one hand, complaints about higher costs at fast-food chains have hurt the fortunes of stalwarts like McDonald’s (whose share pice is down 13% year to date), Burger King and Popeye’s parent Restaurant Brands International (down 9%).

On a recent earnings call, the CEO of Olive Garden parent Darden Restaurants said he’s seen some evidence that fast-food diners are switching to casual dining as a result.

Yet this is belied by a wave of closures at casual dining giants like Applebees, which in May said it would shutter at least 35 locations this year; Red Lobster, which is facing bankruptcy; Cracker Barrel, whose stock is down 43% this year; and Outback Steakhouse and its sister chains Carrabba’s Italian Grill and Bonefish Grill, which have seen 41 closings this year.

Overall, restaurant spending has fallen in four of the past six months for the first time since the pandemic began, Census retail sales data shows.

Restaurant cost increases are barely slowing, in contrast with grocery prices. According to the Bureau of Labor Statistics, the cost of ‘food away from home’ has surged more than 25% since the Covid-19 pandemic began and climbed another 4% in May compared with just 1% growth for groceries.

A recent survey by consultant group KPMG found that 41% of consumers said they plan to spend less on restaurants this summer compared to last summer — with only 21% saying they would spend more. On average, consumers said they would reduce their monthly spend on restaurants by 9% — more than any other category.

“Consumers are tightening their belts another notch as they hunt for discounts, and even some essentials are being impacted,’ Duleep Rodridgo, KPMG’s U.S. consumer and retail sector leader, said in the study. ‘We have already seen a few retailers lower prices, as they look to maintain the balance between their margins and demand.’

This post appeared first on NBC NEWS

0
FacebookTwitterGoogle +Pinterest
previous post
Maker of Hershey’s, Jeni’s, and Friendly’s ice cream products issues recall over Listeria
next post
Sixteen Nobel Prize-winning economists warn a second Trump term would ‘reignite’ inflation

Related Posts

Costco cracks down on membership card sharing

August 9, 2024

CrowdStrike says it isn’t to blame for Delta’s...

August 6, 2024

Tesla shares rise on better-than-expected Q2 deliveries report

July 4, 2024

Caroline Ellison seeks to duck prison sentence for...

September 13, 2024

United Airlines CEO responds to string of safety...

March 20, 2024

Chipotle downplays looming Trump tariffs, says only half...

February 7, 2025

Macy’s turnaround hinges on revamping some stores and...

March 7, 2025

Dave & Buster’s to let players bet against...

May 3, 2024

U.S. foreign tax bill sends jitters across Wall...

May 31, 2025

Johnson & Johnson to pay $6.5 billion to...

May 6, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • Bed Bath & Beyond relaunches with first store in Nashville, plans dozens more

      August 10, 2025
    • The Real Drivers of This Market: AI, Semis & Robotics

      August 10, 2025
    • S&P 500 Breaking Out Again: What This Means for Your Portfolio

      August 10, 2025
    • Sydney Sweeney jeans controversy making advertising great again

      August 10, 2025
    • Nagasaki mayor issues chilling warning on 80th anniversary of atomic bombing

      August 10, 2025
    • Kash Patel celebrates major FBI achievements and record seizures during Trump’s first 200 days in office

      August 10, 2025

    Categories

    • Business (1,330)
    • Politics (4,206)
    • Stocks (1,577)
    • Uncategorized (45)
    • World News (1,323)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: TheTraderHarbor, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 thetraderharbor.com | All Rights Reserved