September Sales Rise at CKE Restaurants

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CKE Restaurants Inc. on Wednesday said that combined same-store sales at Carl’s Jr. and Hardee’s restaurants rose a modest 1.2 percent as business was hampered by deep discounting by rivals.

Carl’s Jr. sales at restaurants opened at least a year rose 1.6 percent in the four weeks ended Oct. 6, while Hardee’s posted a 0.8 percent increase, said the Carpinteria fast-food chain.

“Deep discounting is a tactic we choose not to employ because it negatively impacts consumer perceptions of food quality as well as profitability for both company-owned restaurants and franchisees,” Chief Executive Andrew Puzder said in a statement.

Even so, to attract value-conscious consumers, Hardee’s has introduced new menu items, such as the $1.99 quarter-pound Little Thickburger, to better compete with such promotions as McDonald’s Dollar Menu items.

Also affecting sales at Hardee’s locations were gasoline shortages in the southeastern United States in the aftermath of Hurricane Ike, the company said.

CKE shares were down 37 cents, or 4 percent, to $8.14 in morning trading on the New York Stock Exchange.

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