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Red Robin Gourmet Burgers, Inc. RRGB reported preliminary results for the fourth quarter of fiscal 2024. The company expects to report its final fourth-quarter fiscal 2024 results in February 2025.
Red Robin's president and CEO, G.J. Hart, expressed confidence that the company’s fourth-quarter comparable restaurant revenue growth would surpass its prior expectations. He attributed this success to initiatives such as the relaunched loyalty program and "Appointment Dining" offers, which target specific day-of-the-week promotions to engage guests actively seeking value. These efforts have been instrumental in attracting new and returning customers to experience the improved food quality and hospitality at Red Robin.
Hart also highlighted the strong growth trend carried into the first two weeks of January and extended gratitude to the company’s more than 20,000 team members, emphasizing their vital role in sustaining its long-term success through exceptional guest experiences.
RRGB’s Q4 Preliminary Results
In fourth-quarter fiscal 2024, total revenues are expected to be nearly $285.2 million, a decline of $23.8 million.
Red Robin anticipates restaurant revenues to reach approximately $280.6 million, with franchise royalties, fees and other revenues expected to total around $4.6 million. Comparable restaurant revenues are anticipated to rise 3.4% when excluding the effects of a change in deferred loyalty revenues. When factoring in this impact, the increase in comparable restaurant revenues is estimated to be 1.8%.
RRGB Stock Price Performance
Shares of the company have lost 7.6% in the past six months against the industry’s growth of 10.4%. The company’s performance is being impacted by the pressures from the uncertain macroeconomic environment alongside high expenses and debt levels.
Image Source: Zacks Investment Research
RRGB currently has a Zacks Rank #4 (Sell).
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