Restaurant and bar revenue hits record high in September
Revenues were up by 14.2% year-to-date with about half of that due to higher restaurant prices
By Siddhartha Bhattacharya, ATB Economics 27 November 2023 1 min read
According to new data from Statistics Canada, restaurant and bar sales grew for the fourth consecutive month.
Receipts at Alberta’s food services and drinking places gained momentum as they rose by 0.9% to a new high of $1.0 billion in September.*
Canadian restaurant and bar sales rose by a similar amount, but remained 1.1% below the high reached in February.
Revenues continue to far exceed last year’s levels. Over the first nine months of 2022, Alberta’s restaurant and bar sales were up by 14.2% year-to-date (YTD) and it was a similar story nationally.
Higher prices at restaurants and bars account for about half of these increases.
Adjusting for inflation, real sales have levelled off over the last few months.** They were, however, still up by 7.6% YTD in Alberta and 7.4% YTD in Canada through September.
With borrowing costs elevated and inflation still a concern, signs of consumers tightening their belts are evident in the inflation-adjusted numbers. From the peak in January 2023, real sales were down by 2.9% in Alberta and 4.5% in Canada.
*All data in today’s Owl have been adjusted for seasonal variation.
**Estimated by deflating sales by “food purchased at restaurants” prices in the Consumer Price Index for Alberta and Canada.
Answer to the previous trivia question: “Gray Thursday” is sometimes used to refer to the shopping that takes place right after dinner on U.S. Thanksgiving.
Today’s trivia question: What was the fermented fish sauce as a condiment by the ancient Romans called?