Applebee's January same-store sales drop 5.8% systemwide

Nation's Restaurant News, Feb 12, 2007

OVERLAND PARK, KAN. -- Applebee's International Inc. said domestic systemwide same-store sales dropped 5.8 percent for the four weeks ended Jan. 28, versus the same period a year earlier. Severe winter weather negatively affected its systemwide results by as much as 1.5 percent, the company reported.

January same-store sales for corporate units declined 6.6 percent, which reflected an 8-percent drop in traffic and a menu price increase of about 1.4 percent taken during the second week of the month. Winter weather negatively affected corporate stores by as much as 3 percent. The corporate same-store sales results and declines in guest traffic were the worst monthly numbers dating back to 2001, according to research from analyst John Ivankoe at J.P. Morgan Securities Inc. Same-store sales for domestic franchised restaurants decreased 5.5 percent. Applebee's operates and franchises 1,936 namesake dinnerhouses.