Shares of BJ’s Restaurants Inc. (Nasdaq: BJRI) dropped 12% to $32.80 during after-hours trading following the company’s fiscal third quarter results on Thursday.
Total revenues for the period ended Oct. 1 only grew 2.2% to $325 million compared to a year ago, meeting the general analysts’ consensus for the quarter.
“Our third quarter results mark progress with our sales building initiatives, which drove positive comparable restaurant sales and guest traffic that accelerated through the quarter,” Interim Chief Executive Brad Richmond said in a statement.
BJ’s reported net loss of $2.9 million, or diluted net loss per share of 13 cents, missing analysts’ average estimate of $0.02.
Board Director Richmond stepped into the lead role when former CEO Greg Levin swiftly exited in August. The Huntington Beach-based restaurant chain currently has a market cap of $859 million.
“Restoring higher restaurant level margins is a top priority, which we will accomplish through a disciplined financial approach. As a result, we expect to demonstrate favorable profit momentum in the fourth quarter,” he said.
BJ’s owns and operates over 200 casual dining restaurants in 31 states.
