Buffalo Wild Wings, Inc. (NASDAQ: BWLD) fell over 5 percent initially as the company reported earnings that missed analyst estimates. The company announced earnings per share of 87 cents on revenue of $494.2 million. Wall Street analysts expected numbers on the line of $1.27 earnings per share on $514.3 million in revenue. “The challenging restaurant environment continued in the fourth quarter and culminated with a difficulty December,” CEO of Buffalo Wild Wings, Sally Smith said in a statement.
Same-store sales fell 4 percent in the fourth quarter at company-owned restaurants and 3.9 percent at franchised chains. Analyst expected same-store sales to be down 1.7 percent for both franchised chains and company restaurants according to FactSet.
The chicken wing chain had already anticipated slow traffic in December as costs for wings and labor rose. Traditional wings cost an average of $1.81 per pound last year and was $1.99 per pound in the fourth quarter. Labor costs for the quarter had jumped 31.8 percent of restaurant sales.