Research
September 16, 2025
Total restaurant industry sales
Restaurant sales trended higher in recent months
Consumers continued to flex their spending muscles in August, even in the midst of a labor market that is showing signs of weakness. Restaurants were among the beneficiaries, with sales registering a solid rebound from a modest downtick in July.
Eating and drinking places registered total sales of $99.5 billion on a seasonally adjusted basis in August, according to preliminary data from the U.S. Census Bureau. That was up 0.7% from July’s upward-revised sales volume of $98.8 billion.
August represented the fourth solid sales gain in the last six months, with only modest dips in May (-0.2%) and July (-0.1%) interrupting the positive trendline. As a result, eating and drinking place sales stood 6.5% above their year-ago levels in August – the sixth consecutive month with 12-month gains above 6%.
The recent positive sales trajectory is somewhat at odds with the latest employment readings, which indicated restaurant staffing levels plateaued in recent months. If these trends hold, it would suggest that the restaurant industry’s employment slowdown was more likely caused by a reduction in the supply of labor rather than a drop in restaurant operators’ demand for employees.
Consumer resilience was also evident at other retailers in recent months. Spending in non-restaurant retail sectors increased 0.6% in August, which followed healthy gains in both June (+1.0%) and July (+0.7%). It’s clear that consumers are not yet ready to relinquish their role as the primary drivers of the current economic expansion.
Although restaurant sales gains were supported by rising menu prices during the last several months, the industry also saw growth in inflation-adjusted terms.
After adjusting for menu price inflation, eating and drinking place sales were up 2.5% between August 2024 and August 2025. That marked the sixth consecutive month with real sales growth above 2%.
*Eating and drinking places are the primary component of the U.S. restaurant and foodservice industry and represent approximately 72% of total restaurant and foodservice sales.
Eating and drinking places registered total sales of $99.5 billion on a seasonally adjusted basis in August, according to preliminary data from the U.S. Census Bureau. That was up 0.7% from July’s upward-revised sales volume of $98.8 billion.
August represented the fourth solid sales gain in the last six months, with only modest dips in May (-0.2%) and July (-0.1%) interrupting the positive trendline. As a result, eating and drinking place sales stood 6.5% above their year-ago levels in August – the sixth consecutive month with 12-month gains above 6%.
The recent positive sales trajectory is somewhat at odds with the latest employment readings, which indicated restaurant staffing levels plateaued in recent months. If these trends hold, it would suggest that the restaurant industry’s employment slowdown was more likely caused by a reduction in the supply of labor rather than a drop in restaurant operators’ demand for employees.
Consumer resilience was also evident at other retailers in recent months. Spending in non-restaurant retail sectors increased 0.6% in August, which followed healthy gains in both June (+1.0%) and July (+0.7%). It’s clear that consumers are not yet ready to relinquish their role as the primary drivers of the current economic expansion.
Although restaurant sales gains were supported by rising menu prices during the last several months, the industry also saw growth in inflation-adjusted terms.
After adjusting for menu price inflation, eating and drinking place sales were up 2.5% between August 2024 and August 2025. That marked the sixth consecutive month with real sales growth above 2%.
*Eating and drinking places are the primary component of the U.S. restaurant and foodservice industry and represent approximately 72% of total restaurant and foodservice sales.