ST. LOUIS-Panera Bread cafes had a strong third quarter, prompting executives at the fast-casual chain to up its guidance for the rest of the year. “We are more excited than ever about our brand and its growth,” said Ron Shaich, the company’s chairman and CEO during a conference call.

For the quarter, which ended Oct. 4, year-over-year same-store sales rose 8.2%. Net income increase 36%, to about $11.7 million and revenues jumped 31%, to $148.6 million.

These results have led executives to predict same-store sales growth of between 5.25% and 5.75% for the fourth quarter, up from the prior projection of 2.5% to 4%. If it reaches that goal, earnings per share are estimated at between $1.62 and $1.63, an increase of 30% from last year’s performance.

It does look as though the 825-café Panera will fall slightly short of its projected 150 new store openings this year, with executives predicting 140 units debuting. They attributed the slowdown to “longer than expected development cycles” and bad weather. Next year, the company is slated to open 150 to 160 cafes, of which slightly more than half will be franchised.

Executives are forecasting a 2.5% to 4% same-store sales increase year-over-year for 2006. The boost may seem conservative, they say, because the company will face tough comparisons to the strong showing it has had this year.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


© 2023 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Dig Deeper


GlobeSt Net Lease Spring 2024Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join now!

  • Free unlimited access to's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including and

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2023 ALM Global, LLC. All Rights Reserved.