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Steak n Shake posts profit, rise in customer traffic

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Steak n Shake Co. late yesterday reported strong profit and big increases in customer traffic and same-store sales for its fiscal third quarter, which ended July 1.

The Indianapolis-based burger chain reported a profit of $3.8 million, or 13 cents per share, in the quarter, compared with a loss of $9.8 million, or 35 cents per share, during the same time frame a year ago.

Analysts had expected the company to post a profit of 6 cents per share.

Revenue in the quarter increased 1.4 percent, to $146.3 million.

Steak n Shake's customer traffic rose 13.4 percent and same-store sales jumped 5 percent in the quarter compared with the same period of 2008, the company said.

The rise in same-store sales doubled Steak n Shake's increase from the previous quarter, when same-store sales grew 2.4 percent, snapping a 14-quarter streak of declining same-store sales.

Steak n Shake classifies same-store sales as results from stores open at least 18 months.

Two consecutive quarters of positive numbers may reflect a turnaround for the struggling chain. It had reported same-store sales drops for three-and-a-half years.

The encouraging signs also may be the result of heavy discounting. The chain has rolled out several lower-priced menu items this year, including $2.89 Steakburger snack meals.

Sardar Biglari, chairman and CEO of Steak n Shake, disclosed in a prepared statement that the company may pursue investments in the form of acquisitions, joint ventures or partnerships that may or may not be related to its current operations.

Company shares were up 5.8 percent yesterday prior to the release of the company's quarterly earnings report, closing at $10.55 each.
 

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  1. If what you stated is true, then this article is entirely inaccurate. "State sells bonds" is same as "State borrows money". Supposedly the company will "pay for them". But since we are paying the company, we are still paying for this road with borrowed money, even though the state has $2 billion in the bank.

  2. Andrew hit the nail on the head. AMTRAK provides terrible service and that is why the state has found a contractor to improve the service. More trips, on-time performance, better times, cleanliness and adequate or better restrooms. WI-FI and food service will also be provided. Transit from outlying areas will also be provided. I wouldn't take it the way it is but with the above services and marketing of the service,ridership will improve and more folks will explore Indy and may even want to move here.

  3. They could take the property using eminent domain and save money by not paying the church or building a soccer field and a new driveway. Ctrwd has monthly meetings open to all customers of the district. The meetings are listed and if the customers really cared that much they would show. Ctrwd works hard in every way they can to make sure the customer is put first. Overflows damage the surrounding environment and cost a lot of money every year. There have been many upgrades done through the years to help not send flow to Carmel. Even with the upgrades ctrwd cannot always keep up. I understand how a storage tank could be an eye sore, but has anyone thought to look at other lift stations or storage tanks. Most lift stations are right in the middle of neighborhoods. Some close to schools and soccer fields, and some right in back yards, or at least next to a back yard. We all have to work together to come up with a proper solution. The proposed solution by ctrwd is the best one offered so far.

  4. Fox has comments from several people that seem to have some inside information. I would refer to their website. Changed my whole opionion of this story.

  5. This place is great! I'm piggy backing and saying the Cobb salad is great. But the ribs are awesome. $6.49 for ribs and 2 sides?! They're delicious. If you work downtown, head over there.

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