Foodservice Equipment Reports

NRA’s Performance Index Slips In May But Stays Positive For 27th Month

The National Restaurant Association’s Restaurant Performance Index was off slightly in May, with five of the index’s eight components softening. Current same-store sales and traffic fell 0.9 and 0.8 point respectively in May. While the overall index was down 0.4 point, the reading of 102.3 marks the 27th consecutive month the index has been above the 100 level that separates expansion from contraction. All eight index components remained in expansion territory for the seventh consecutive month.

The current capital spending indicator, which tracks operator spending for equipment and facilities in the past three months, rose 0.9 point to 102, with 60% of those surveyed reporting they made a purchase, up from 56% in April. The indicator marking operators’ plans for cap-ex spending in the next six month fell 0.9 point to 100.8, with 54% indicating such plans, down from 59% in the April survey.

“The outlook for the restaurant industry remains positive, as the RPI stood above the 102 level for the 8th consecutive month,” said Hudson Riehle, Senior V.P. of the NRA's Research and Knowledge Group. “A majority of restaurant operators reported higher same-store sales in May, and operators are generally optimistic about an improving business environment in the months ahead.

The entire NRA RPI can be viewed at restaurant.org/News-Research/Research/RPI.