Business
Red Robin Gourmet Burgers, Inc. Provides Business Update
Reiterates Progress Made Towards Strategic Objectives Company to Present at the 23rd Annual ICR Conference Today GREENWOOD VILLAGE, Colo.--(BUSINESS WIRE)--
About this update from Red Robin Gourmet Burgers, Inc.
[{"type":"text","content":"\nReiterates Progress Made Towards Strategic Objectives\n\nCompany to Present at the 23rd Annual ICR Conference Today\n\n GREENWOOD VILLAGE, Colo.--(BUSINESS WIRE)--\nRed Robin Gourmet Burgers, Inc. (NASDAQ: RRGB) (\"Red Robin\" or the \"Company\"), a full-service restaurant chain serving an innovative selection of high-quality gourmet burgers in a family-friendly atmosphere, today provided a business update, including preliminary, unaudited comparable restaurant revenue results for the fourth quarter ended December 27, 2020.\n\nPaul J.B. Murphy III, Red Robin's President and Chief Executive Officer, said, \"During an unprecedented year due to the pandemic, we achieved a great deal, strengthening Red Robin's operational execution, business model and liquidity. Our accomplishments are now enabling us to focus on creating long-term value for all shareholders as we enter 2021.\"\n\nMurphy concluded, \"We began the fourth quarter with sequential improvement in comparable restaurant revenue compared to the third quarter, however, momentum stalled due to heightened dine-in and other restrictions in 43% of Company-owned restaurants including restaurants in our key states of California, Colorado, Oregon, and Washington. While the near-term is likely to remain volatile because of COVID-19, we are encouraged by recent state re-openings, and we expect indoor dining to be re-opened at 39 restaurants as of January 11th. We firmly believe Red Robin is well-positioned from both a sales and profitability standpoint when conditions normalize.\"\n\nFiscal Year 2020 Accomplishments\n\nDespite the COVID-19 pandemic, we made significant progress on our strategic plan during fiscal year 2020 to solidify our financial longevity and develop a more robust business model. Our accomplishments this past year include the following:\n\n\nSignificantly grew off-premise sales, which more than doubled over the prior year;\n\n\nContinued Donatos® roll-out, now in 79 restaurants, a proven growth catalyst driving approximately $45 thousand per restaurant in incremental gross margin by the second year;\n\n\nStructurally improved restaurant and enterprise level margin for the long-term compared to 2019;\n\n\nReduced our menu by over 1/3, improving operational execution and resulting in over $2 million in annual savings;\n\n\nImplementing new management labor structu...