VAUGHAN, Ont. — Cara Operations Limited has released results for the second quarter ending June 25, 2017, recording total system sales growth of 46.7 per cent and an operating EBITDA increase of 26.8 per cent.
“We continue to deliver on our 2020 to 2022 strategy with strong growth in the second quarter and year-to-date,” says Cara CEO Bill Gregson. “The St-Hubert and Original Joe’s acquisitions, coupled with net new restaurant openings, drove total-system-sales growth over 2016 of $210.5 million in the quarter and an increase of $419.4 million year-to-date.
While same-restaurant sales for the quarter decreased 0.3 per cent, Gregson says the company is encouraged by positive same-restaurant sales in June and July. “We are pleased with the improved SRS trend, however, lots of work continues toward our goal of long-term sustainable SRS growth, including our renovations strategy, focus on menu innovation, renewed commitment to improved guest experiences and investments in digital and e-commerce, which are gaining momentum for all Cara brands.”
In Q1 and Q2, the company completed the renovation of 29 corporate and franchised restaurants and expects to complete 43 renovations in the second half of the year.
Cara has also completed improvements to its websites and mobile applications to simplify and enhance order functionality and improve online sales. In Q3 and Q4, the company will be launching new online applications for East Side Mario’s, Swiss Chalet and Montana’s that will provide new and improved options for customers for take-out and delivery sales.
In Q1 and Q2, Cara expanded its on-line aggregator relationships (including UberEats) to more than 350 restaurants. The company will continue to roll out this initiative across its corporate and franchised restaurants and expects to be active in at least 470 restaurants by August 2017 and 600 by the end of Q4.
