Ruby Tuesday announced changes in its C-suite after generating a loss of $3.1 million on a 5.1 percent decline in revenues, to $271.5 million, for the quarter ended March 1.
Same-store sales for the quarter declined year over year by 3.1 percent, compared with a 0.3 percent decline for the matching period of the prior fiscal year, the company said. It blamed the slide on discounting, heightened competition and bad weather that forced a number of stores to close temporarily.
Ruby lost $769,000 during the same period of the prior fiscal year.
Revenues were hammered down this year by having 20 fewer company-run restaurants in operation. Ruby Tuesday has been shutting and selling off some restaurants.
Restaurant-level operating margins ebbed to an average of 17.1 percent, management said.
Almost simultaneously with disclosing the third-quarter results, Ruby announced that CFO Jill Golder would step down as of Monday to take a position at an unidentified company, and that Tom Williams, formerly of the Jo-Ann fabrics retailer, had been hired as chief people officer.
“Tom not only has significant human resources experience, but also a background in leading store operations and supply chain which has provided him with a deep understanding of HR opportunities at a multi-unit operation,” Ruby CEO JJ Buettgen said in announcing the appointment.
Golder has worked in Ruby’s finance department since April 2013. The company said it would start a search for her replacement immediately.
“Our third quarter was a volatile period affected by weather, softness in the casual dining industry and increased promotional activity by our peers,” Buettgen said in a prepared statement on the financial results released today. “Despite this challenging environment, we continue to believe that our key brand initiatives will drive an improvement in guest counts.”