Portillo's (PTLO) investor relations material

Executive summary

• Revenue increased 3.5% year-over-year to $182.6 million, driven by new restaurant openings, while same-restaurant sales declined 0.1% and operating income fell to $4.5 million, resulting in a net loss of $0.5 million versus net income last year.

• Adjusted EBITDA decreased 13% to $18.5 million, and Restaurant-Level Adjusted EBITDA dropped 4.9% to $34.8 million, with margins pressured by higher commodity and labor costs.

• Leadership changes included a new CEO, Board Chair, Chief Development Officer, and the announced departure of CFO Michelle Hook effective May 2026.

• Strategic focus is on operational excellence, integrated marketing, and disciplined development for long-term growth.

• The company is prioritizing sustainable, profitable sales growth over short-term tactics.

Financial highlights

• Q1 revenue was $182.6 million, up $6.2 million or 3.5% year-over-year, with new restaurants contributing $7.7 million to growth.

• Same-restaurant sales declined 0.1%, with a 0.9% decrease in average check offset by a 0.8% increase in transactions.

• Restaurant-Level Adjusted EBITDA was $34.8 million (19.1% margin), and Adjusted EBITDA was $18.5 million (10.1% margin), both down year-over-year.

• Operating income fell to $4.5 million from $10.4 million, and net loss was $0.5 million compared to net income of $4.0 million last year.

• Cash from operating activities rose 85.8% year-over-year to $17.6 million; quarter-end cash was $24 million.

Outlook and guidance

• Fiscal year guidance reiterated, with expectations subject to change as strategic work and finance leadership transition progress.

• Plans to open 8 new units in 2026, including the first airport and second in-line location, with three additional openings planned for the remainder of the year.

• Restaurant-Level Adjusted EBITDA margin targeted at 20.5–21%; Adjusted EBITDA expected to be flat versus 2025 at $55–$60 million.

• Capital expenditures projected at $80–$82 million.

• Continued headwinds expected in Q2 due to lapping prior year promotions and ongoing inflationary pressures.