High crab prices, a later start for an "endless shrimp" deal and the Gulf oil spill all contributed to weaker sales for Red Lobster this past quarter, company executives said Wednesday.
The seafood chain, part of Orlando-based Darden Restaurants, had the weakest performance of all six Darden brands, which also include Olive Garden, LongHorn Steakhouse and Seasons 52.
Red Lobster's first-quarter sales of $600 million decreased 0.8 percent from the previous year. Sales at its established restaurants went down 1.7 percent. That trailed the industry, which had flat sales the past quarter.
Overall, Darden reported a 19 percent increase in profit, at $113.3 million, or 80 cents a share, and $1.81 billion in sales, a 4.2 percent increase.
For Red Lobster, it was a "disappointing start to the new fiscal year at this brand," Darden president and chief operating officer Drew Madsen said in a Wednesday conference call with analysts.
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