Can Bahama Breeze stir up a tropical storm?
Jeremy: In the call, CEO Clarence Otis emphasized the importance of being a “multibrand” company to withstand today’s competitive environment. Darden’s strategy is to “realize the potential” of its current brands while simultaneously seeking to acquire additional concepts. One of its current brands, Bahama Breeze, posted quarterly comps that were neither disastrous nor Earth-shatteringly impressive. You’d expect a younger, smaller concept like this one to do a little better than low single-digits in comps. Bodhi, what’s your read on the situation? Bodhi: Not every concept will go gangbusters like Chipotle (NYSE: CMG). That said, I like what I’m hearing from management as it continues to tweak Bahama Breeze. In the past, the concept’s menu offerings were perhaps too distinctive to attract the masses, which may have hurt its sales. In the past year, the company set out to make the menu “more approachable” to potential customers. Management believes the recent comps performance, while far
