New Restaurants Boost Granite City’s Sales
Granite City Food & Brewery, Ltd., reported Monday an increase in quarterly revenue and a narrowed loss, due in part to the addition of three locations and an extra week in this year’s first quarter.
For the quarter that ended April 2, the St. Louis Park-based casual dining restaurant reported a net loss of $0.4 million, or $.08 per share, compared to a net loss of $1.2 million, or $0.30 per share, during the same period in 2012.
Revenue, meanwhile, totaled $35 million, up 22.4 percent from $28.6 million in last year’s first quarter.
“Not only is our current base of stores performing well throughout the system, we are also seeing tremendous sales figures at our two new prototype stores in Troy, Michigan, and Franklin, Tennessee,” CEO Rob Doran said in a statement. “Both restaurants are surpassing our expectations and proving to be the strongest performing restaurants in the Granite City chain.”
Granite City offers American cuisine and features onsite breweries that serve handcrafted beer.
In addition to the Granite City franchise, the company also operates casual-dining Cadillac Ranch All American Bar & Grill restaurants. Granite City purchased its first Cadillac Ranch in November 2011 and now owns and operates five additional franchise locations.
Granite City on Monday also reaffirmed its fiscal 2013 projections, expecting net sales between $130 and $140 million, which would represent an increase from $120 million in 2012 and $93 million in 2011.
Same-store sales for the company, which include restaurants that have been in operation for over 18 months, increased by 2.7 percent from the first quarter of 2012.
“We are excited to remain one of the industry leaders in same-store sales and guest traffic during the quarter,” Doran said. “The first quarter got us off to a great start for 2013 and we look to maintain positive momentum throughout the year with our upcoming openings in Indianapolis and Cleveland.”
Last month, Granite City was delisted from the Nasdaq Exchange after the cost of its expansion made the listing requirements too difficult to meet. Its shares are now traded on the OTCQB marketplace. Shares of Granite City’s stock were trading down 4.98 percent at $2.10 mid-day Tuesday.
Granite City, which opened its first location in 1999, now has 28 of its own restaurants across 13 states, along with six Cadillac Ranch restaurants in five different states.