Restaurant operators continued to report positive capital spending levels in January, according to the National Restaurant Association.
With 57% of operators reporting they made a capital expenditure for commercial appliances/foodservice equipment, expansion, or remodeling during the previous three months. It was the ninth consecutive month with a majority of operators reporting making expenditures.
Along with a positive six-month sales outlook, most restaurant operators—64%—are planning for capital expenditure for commercial appliances/foodservice equipment, expansion, or remodeling in the coming six months. That 64% share is up from 61% in the previous month's report.
Restaurant operators had a more optimistic outlook for future business conditions. The RPI, the monthly composite index that tracks the health of and outlook for the U.S. restaurant industry, was at 100.7 in January 2014, up 0.2% from December’s 100.5.
It was the 11th month that the RPI remained above 100, signifying expansion.
“Restaurant operators are more optimistic about business conditions in the months ahead, which is also reflected in ramped up plans for capital spending,” said Hudson Riehle, senior vice president of the Research and Knowledge Group for the Association. “However, current situation indicators such as customer traffic were dampened in January, due in large part to adverse weather conditions.”
to Daily News