Steakhouse Partners, Inc

Restaurants | Financial Main Page | IGHRM Main Page
Disclaimer:

International Guild of Hospitality & Restaurant Managers

Business Summary
Nasdaq: SIZL

Financial Summary

Steakhouse Partners, Inc. owns and operates 65 full-service steakhouse restaurants, operating under the names Mountain Jack's, Hungry Hunter, Hunter Steakhouse and Carvers. For the 12 weeks ended 3/20/01, revenues fell 23% to $28.6 million. Net income decreased 90% to $47 thousand. Results reflect the elimination of eight underperforming restaurants, severe winter weather in the Midwest, blackouts at the California restaurants and reduced operating margins.

Extended Business Summary

Steakhouse Partners, Inc. operates 65 full-service steakhouse restaurants located in 11 states. The Company's restaurants specialize in complete steak and prime rib meals, and offer fresh fish and other lunch and dinner dishes. The Company's average dinner check is approximately $23.00, including alcoholic beverages. Serving over 6.8 million meals annually, the Company operates principally under the brand names of Hungry Hunter's, Hunter's Steakhouse, Mountain Jack's and Carvers.

All of the Company's restaurants are designed as destination restaurants that attract loyal clientele. Restaurants feature only USDA Choice, Midwestern corn-fed beef. Unlike competitors, the Company does not serve plastic-wrapped, vacuum-sealed steaks, but, rather, hand-cut its steaks in-house, from whole loins of beefe. Prime rib is another of the Company's signature products. The Company's prime rib, which is served in an herb crust, is slow roasted for seven hours to enhance its flavor and tenderness. Portions are deliberately generous, and full liquor and bar service is available. Alcoholic beverage service accounts for approximately 19% of net sales.

Most of the Company's restaurants are open daily from 4:30 p.m. to 9:30 p.m. on weekdays, and from 4:00 p.m. to 10:00 p.m. on weekends. Some restaurants are open for lunch, beginning at 11:00 a.m. on weekdays, but most of these restaurants are closed for lunch on weekends.

Hungry Hunter's, Hunter's Steakhouse and Mountain Jack's

The Company has 49 steakhouses operating under the brand names, Hungry Hunter's, Hunter's Steakhouse and Mountain Jack's, many of which have been in business for over 25 years. Menus feature fresh fish and chicken, in addition to steaks. The menu also includes appetizers and desserts. A complete meal includes salad and a choice of side dishes, including baked potato, French fries and steamed vegetables. The average dinner check is in the under-$25.00-per-guest range.

The Company's Hungry Hunter's, Hunter's Steakhouse and Mountain Jack's restaurants are typically freestanding buildings, with dinner seating capacities ranging from 150 to 475 seats, and an average seating capacity of approximately 220 seats. Restaurants typically have one or more banquet rooms to accommodate private parties and corporate events. The bar in each restaurant is generally located adjacent to the dining room, primarily to accommodate customers waiting for dining tables and up to approximately 30 additional diners at between six and nine tables.

The Company is developing the next generation of its classic steakhouse concept under the names J. Dempsey's and H. Hunter Steakhouse. Each will continue the Company's design to be positioned as a step above Outback and Lone Star Steakhouses.

Carvers

The Company has 11 steakhouses operating in the upscale-steakhouse dining segment under the Carvers brand name, with an average check per guest of slightly less than $35.00. Carvers is an upper-tier, mid-priced restaurant, specializing in complete steak, chop, prime rib and seafood meals. Most Carvers are divided into distinctive dining areas to provide greater intimacy. Prices at the Carvers restaurants are higher than those of the Company's other restaurants, but are designed to be substantially lower than high-end steakhouses, such as Morton's and Ruth's Chris.

The Company's Carvers restaurants are also typically housed in freestanding buildings, with dinner seating capacities ranging from 180 to 240 seats, and an average seating capacity of approximately 220 seats. The Carvers restaurants also have one or more banquet rooms to accommodate private parties and corporate events.

Pacific Basin Foods

The Company's Pacific Basin Foods subsidiary is a wholesale food distributor serving the restaurant industry. Pacific Basin Foods' principal clients are Paragon and several small regional chains. Pacific Basin Foods has warehouses located in Rantoule, Illinois, and in San Diego, California, from which it services its customers. In addition to the sale and distribution of food supplies to restaurants, Pacific Basin Foods provides furniture, fixtures and equipment to restaurants.

Disclaimer:
The data included within the Financial section is solely for information and does not construe a recommendation and/or endorsement by IGHRM or its members to invest funds with any of the companies listed. You are strongly advised to obtain professional advice with qualified individuals or corporations for any investments of funds.

IGHRM Main Page