Nearly Two-Thirds of Operators Planning Capital Expenditures

Despite operators remaining uncertain about business conditions, nearly two-thirds are planning to make capital expenditures for equipment, expansion or remodeling during the next six months.

According to the National Restaurant Association’s September Restaurant Performance Index (RPI), that figure—63%—represents the 20th consecutive month in which at least 55% of operators say they plan for such expenditures and is up from 60% in August. Still, restaurant operators remain pessimistic about the overall direction of the economy. For the second straight month, less than one in 10 operators expect economic conditions to improve over the next six months.

The latest RPI shows an increase in operators reporting a net increase in same-store sales, though customer traffic remains challenging. Overall, the RPI rose to 101 in September, up slightly from 100.9 in August.

Here’s a look at the figures:

51%: The percentage of restaurant operators who said their same-store sales rose between September 2021 and September 2022—up from 47% in August.

29%: The percentage of restaurant operators reporting their customer traffic rose between September 2021 and September 2022—up from 27% in August.

68%: The percentage of restaurant operators who made a capital expenditure for equipment, expansion or remodeling during the last three months—up from 66% in August.

38%: The percentage of restaurant operators who expect their sales volume in six months to be higher than during the same period in the previous year—down from 47% in August.

8%: The percentage of restaurant operators who think economic conditions will improve in six months—the same as in August.

63%: The percentage of restaurant operators planning to make a capital expenditure for equipment, expansion or remodeling during the next six months—up from 60% in August.