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Introduction. Panera Bread Co. is a leader in the ever popular and expanding quick-casual restaurant business.
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Introduction • Panera Bread Co. is a leader in the ever popular and expanding quick-casual restaurant business. • Boasting 1550 bakery-cafes in 40 states and Canada, Panera Bread Co. is known for offering handcrafted artisan breads and using fresh ingredients to create high quality soups and pastries daily. • Panera Bread Co. top competitors include Starbucks, Chipotle Mexican Grill and Einstein Noah Restaurant Group (operates under three business segments, most notably Manhattan Bagel). • Panera, along with the rest of the quick-casual industry are facing the challenge of delivering high-end, quick healthy food at a competitive price while dealing with rising food cost.
ConclusionManagement Discussion and Analysis • Key Risk Factors • Changes in food and supply costs could adversely affect Panera Bread Co. consolidated results of operations. • Panera Bread Co. may not be able to continue to convince their customers of the benefits of paying our prices for higher-quality food. • Future Outlook • Reinvest their excess capital in high return investments. • Increase profits by continuing to invest in the quality of customers’ experience. • Continue their expansion across the United States and Canada.
Outstanding Financial Facts • Ended 2011 with $223 million of cash on their balance sheet and no debt. • More than $400 million of excess capital since 2010. • Increased the number of bakery-cafes by 8% in 2011, opening 112 new cafes. • Opened the 1,500th bakery-cafe in early 2012.
References • Hoover's. (2012). Panera Bread Co. Custom Competitive Landscape. Retrieved November 8, 2012 from Hoover’s database. • Mergent Online Mergent. (2012). Chipotle Mexican Grill Inc. Company Financials. Retrieved December 3, 2012 from Mergent Online database. • Mergent Online Mergent. (2012). Einstein Noah Restaurant Group. Company Financials. Retrieved December 3, 2012 from Mergent Online database. • Mergent Online Mergent. (2012). Panera Bread Co. Company Financials. Retrieved December 3, 2012 from Mergent Online database. • Mergent Online Mergent. (2012). Starbucks Corp. Company Financials. Retrieved December 3, 2012 from Mergent Online database. • Panera Bread Co. (2012). Panera Bread Company 2011 Annual Report to Stockholders. Retrieved November 8, 2012 from http://www.panerabread.com/pdf/ar-2011.pdf