Before the pandemic, office workers, theater spectators and tourists in Times Square in New York City were greeted. But the restrictions of the pandemic forced Broadway to go darker and the dining room remained closed. New York City has banned indoor dining since March and plans to allow up to 25% of indoor dining at the end of the month.
Times Square Olive Garden is located on West 47th Street between Broadway and Seventh Avenue, which has had disastrous consequences for these changes. Opened in 1994, this restaurant has three floors, two kitchens, and can accommodate 500 guests. In the past few years, it has sold New Year’s Eve packages for hundreds of dollars per person.
The company said on Thursday’s analyst conference call to discuss the company’s quarterly results that before the pandemic, the restaurant used to generate an average of more than $1
5 million in annual sales, or about $300,000 per week. Now, the restaurant’s weekly income is about $17,500.
“This is the best restaurant in the Olive Garden system,” Eugene Lee, CEO of Darden Restaurants, which owns Olive Garden, said by phone. He added that the weekly shortage “may be incredible.”
During the pandemic, casual restaurants that have long been promoted as personal visits have been suffering. Sizzler USA, one of the country’s earliest casual restaurant chains, filed for bankruptcy this week. Chuck E. Cheese’s parent company, CEC Entertainment, filed for bankruptcy in June, which will be blamed on the financial pressure caused by Covid-19 and the long-term closure of its entertainment center due to closed orders at home.
Darden (Direct reduced iron)Companies that also own brands such as Longhorn Steakhouse and Cheddar’s Scratch Kitchen are also struggling.
The company said on Thursday that in the three months ending August 30, the sales of Olive Garden restaurants that had been open for at least one year had fallen by about 28% compared to the same period last year. Total sales for the quarter fell by approximately 28% to 1.53 billion US dollars.
The company hopes that relaxing restrictions on indoor dining will help it rebound, not just in Times Square.
“The capacity limit continues to limit [Olive Garden’s] For top-line sales, especially in major high-volume markets such as California and New Jersey, dining rooms were closed for most of the quarter.
He added: “Bringing California back will be huge.” “For us, California is a big market.” In California, some counties restrict indoor dining, while others restrict indoor dining.