Delivery initiative contributes to Casey's increased pizza sales

March 11, 2014

Casey's General Stores reported positive third quarter sales throughout all of its categories, despite challenging weathers, according to CEO Robert Myers.

For the quarter, same-store sales were up 10.7 percent for the prepared food and fountain category, with an average margin of 60.8 percent, according to a news release.

"In addition to the operating initiatives such as 24-hour expansion, pizza delivery, and major remodels contributing to sales, we also experienced strong prepared food sales in our unchanged group of stores," Myers said. "Our margin benefited from a favorable product mix shift, as pizza sales increased as a percentage of the total category. This offset higher input costs of meat, cheese and supplies when compared to prior year's third quarter."

Total sales for the category were up 16.4 percent year to date, and gross profit increased 15.1 percent to $305.1 million.

Topics: Delivery , Franchising & Growth , Operations Management

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