Red Robin shares tumble as sales fall short
Shares of Red Robin Gourmet Burgers Inc. slumped 6% in premarket trade Tuesday, after the company's first-quarter revenue fell short of estimates. The company said it had net income of $14.2 million, or $1.03 a share, in the quarter, down from $16.6 million, or $1.16 a share, in the year-earlier period. Adjusted per share earnings came to $1.27, ahead of the FactSet consensus of $1.11. But revenue rose 1.8% to $402.1 million, missing the FactSet consensus of $415 million. Same-restaurant sales fell 2.6%, also weaker than the FactSet consensus for a decline of 0.5%. "We were disappointed, particularly with our guest counts," Chief Executive Steve Carley said in a statement. "We have a solid strategy for long-term success, including a number of operations and marketing initiatives." Shares are up 0.4% in the year so far, while the S&P 500 is up about 1%.
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