Chicken wings prices have fallen since their rise last year, wing stop CEO Michael Skipworth told Jim Kramer on CNBC on Wednesday.
“Other brands have…have to look at pricing in order to manage their margins, and Wingstop is in a very different situation where we have seen a meaningful contraction in our business. The price of wings last year..is $3.22). , and fast forward to today, it’s $1.63 a pound,”mad money. “
“We’ve seen this in years before where a lot of companies are jumping into wings [and] lead to increased demand. But as we sit here today, their business wasn’t built to manage this volatility in commodities, so we’ve been able to beat that like we’ve done in the past, and they’ve walked away.”
The skyrocketing prices of ingredients and supplies have put pressure on restaurant operations during the pandemic, forcing many to raise menu prices to offset the higher costs.
Skipworth, who became Wingstop CEO in March, also attributed the high demand for chicken breasts to helping bring down wing costs.
“There is a huge demand for breast meat, and breast meat is where poultry companies make their money, so they are growing as many birds as possible right now, which means there are a lot of wings available there,” she said.
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