NASDAQ$PTLO

Portillo's Inc. · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Reported financial results for the third quarter ended September 29, 2024.

Portillo's Inc. reported a 6.9% increase in total revenue, reaching $178.3 million, while same-restaurant sales decreased by 0.9%. The company maintained profitability and focused on strategic pillars for long-term growth.

  • Total revenue increased by 6.9% to $178.3 million.
  • Same-restaurant sales decreased by 0.9%.
  • Operating income increased to $16.0 million.
  • Net income increased to $8.8 million.

Headline financials

Total Revenue

$178M

Previous: $167M+6.9%
EPS

$0.11

Previous: $0.07+57.1%
Same-restaurant sales change

-0.9%

Previous: 3.9%-123.1%
Total restaurants

88

Previous: 78+12.8%
Capital Expenditures

-$56.5M

Previous: -$57.7M+2.0%
Free Cash Flow

-$49.3M

Previous: -$53.3M+7.5%
Net Income

$7.22M

Previous: $4.36M+65.6%
Operating Income

$16M

Previous: $15.1M+5.9%
Gross Profit

-$106M

Previous: -$98.1M-8.1%
Total Assets

$1.47B

Previous: $1.36B+8.4%
Stock-Based Comp

$3.51M

Previous: $4.32M-18.9%

Revenue & EPS history

Portillo's · Revenue · Quarterly

$178M

Q3 2024+6.9%vs Q3 2023
Beat estimate in 3 of 15 quarters(20%)
ActualEstimate

Forward guidance

Portillo's provided updated financial targets for 2024, anticipating 10 new units, approximately (1.0%) same-restaurant sales, mid-single digits commodity inflation, approximately 3.0% labor inflation, 23% - 24% restaurant-level adjusted EBITDA margin, $78 - $80 million in general and administrative expenses, $10.0 - $10.5 million in pre-opening expenses, and $85 - $88 million in capital expenditures.

Tailwinds

  • Unit growth target maintained at 10 new units.
  • Restaurant-level adjusted EBITDA margin target remains at 23% - 24%.
  • General and administrative expenses are projected to be $78 - $80 million.
  • Pre-opening expenses are projected to be $10.0 - $10.5 million.
  • Capital expenditures are projected to be $85 - $88 million.

Headwinds

  • Same-restaurant sales are expected to be approximately (1.0%).
  • Commodity inflation is expected to be in the mid-single digits.
  • Labor inflation is expected to be approximately 3.0%.
  • Unable to reconcile long-term outlook for restaurant-level adjusted EBITDA margin to operating income/loss margin.
  • Unable to reconcile the long-term outlook for adjusted EBITDA growth to net income/loss.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

-2.6%

Avg return

Earnings day

-6.0%

Avg return

5 days after

-11.4%

Avg return

30 days after

43%

10 / 23 earnings

Positive

+11.8%

Q4 2023

Best reaction

-17.5%

Q3 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-16.5%-25.0%-33.7%
Q4 2025-7.1%-7.8%-7.1%
Q3 2025-7.4%-5.7%-5.5%
Q1 2025+1.0%+8.1%+8.1%
Q4 2024+9.8%+2.9%-8.3%
Q3 2024-3.7%-8.3%-23.4%
Q2 2024+11.5%+20.6%+34.6%
Q1 2024-14.7%-16.6%-16.9%
Q4 2023+11.8%+3.7%+3.1%
Q3 2023+9.0%+2.5%+5.2%
Q2 2023-13.1%-14.5%-18.3%
Q1 2023-11.4%-10.8%-10.9%
Q4 2022-0.5%-2.1%-4.4%
Q3 2022+5.0%+7.9%-4.0%
Q2 2022+10.0%+2.5%-9.6%
Q2 2021+10.0%+2.5%-9.6%
Q1 2021+7.7%-4.0%-8.0%
Q1 2022+7.7%-4.0%-8.0%
Q4 2021-7.8%-5.2%-10.4%
Q4 2019-7.8%-5.2%-10.4%
Q3 2020-17.5%-26.4%-41.5%
Q4 2020-17.5%-26.4%-41.5%
Q3 2021-17.5%-26.4%-41.5%
Q2 2020
Q1 2020

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