As a restaurant supplier, one of the the key indicators we look at for the health of our business is the National Restaurant Association's Restaurant Performance Index. It's a measure of the health of the industry. Numbers above 100 mean that the industry is expanding. Below 100 and it is contracting. In May, the RPI stands at 102.3. It's down 0.4 percent from April's level, but this marks the 27th consecutive month that the RPI has been above 100, and the 8th straight month it has been above 102!
The RPI is a composite of two other components. The Current Situation Index measures the health of same-store sales, traffic, labor, and capital expenditures. Last month, 60% of the operators surveyed for the index said they made an equipment purchase, expansion, or upgrade. That's great news for our business!
The Expectations Index measures what restaurant operators believe will be the six-month outlook for the same performance indicators. For the 21st consecutive month, a majority of restaurant operators say they are planning for capital expenditures in the month's ahead. Everybody wants to upgrade!
For more information about the RPI and how it is trending, go to https://restaurant.org/rpi. We look forward to the release of the number at the end of every month because it gives us an indication of how much business we're going to have. We are glad that the current expansion phase in restaurant purchases is continuing. If you are looking for excellent supplies for your own restaurant, please consider browsing our catalog.
