Restaurant Performance Index stays above 100 in July
As a result of softer sales and traffic levels and restaurant operators’ dampened outlook for the economy, the National Restaurant Association’s Restaurant Performance Index (RPI) declined for the second consecutive month. The RPI – a monthly composite index that tracks the health of and outlook for the U.S. restaurant industry – stood at 100.7 in July, down 0.6 percent from June’s level of 101.3. Despite the decline, the RPI remained above 100 for the fifth consecutive month, which signifies expansion in the index of key industry indicators.
“The RPI’s July decline was the result of pullbacks in both the current situation and expectations indicators,” said Hudson Riehle, senior vice president of the Research and Knowledge Group for the Association. “Most notably, restaurant operators’ outlook for the economy fell to a five-month low, with only 23 percent of operators expecting business conditions to improve in the next six months.”