The National Restaurant Association’s Restaurant Performance Index (RPI) registered a moderate decline in September, reflecting the continuation of challenging business conditions for the restaurant industry. The RPI – a monthly composite index that tracks the health of the U.S. restaurant industry – stood at 99.4 in September, down 0.4% from August and the lowest reading since March.
September’s decline in the RPI was largely due to dampened current situation indicators. Although restaurant operators posted a modest net increase in same-store sales in September, they reported negative customer traffic for the 8th consecutive month. Restaurant operators’ outlook for business conditions remains mixed, with just 34% expecting higher sales in six months.
The Current Situation Index, which measures current trends in four industry indicators, stood at 99.2 in September – down 0.7% from a level of 99.8 in August. September represented the third straight month in contraction territory and the lowest reading since March.
The Expectations Index, which measures restaurant operators’ six-month outlook for four industry indicators, stood at 99.7, which represented the third consecutive month below 100. Restaurant operators are cautiously optimistic about sales in the months ahead but remain generally pessimistic about the direction of the economy.
