Portillos slightly misses Q1 revenue estimates; CFO to depart

Portillos

05/05/2026 13:13

Overview

U.S. restaurant chain's Q1 revenue rose 3.5% but slightly missed analyst expectations

Same-restaurant sales fell 0.1% as lower average check offset higher transactions

Company posted $0.5 mln net loss as expenses rose; CFO to depart

Outlook

Company targets 8 new unit openings in fiscal 2026

Company expects commodity inflation in mid single digits and labor inflation of 3% to 3.5%

Portillo's sees 2026 restaurant-level adjusted EBITDA margin of 20.5% to 21%

Company expects 2026 adjusted EBITDA to be flat versus 2025

Result Drivers

NEW RESTAURANT OPENINGS - Revenue growth was primarily driven by the opening of eight restaurants in fiscal 2025 and four more in Q1 2026, partially offset by a decrease in same-restaurant sales

LOWER AVERAGE CHECK - Same-restaurant sales declined 0.1% as a 0.9% decrease in average check, driven by lower product mix and increased promotional offers, offset a rise in transactions

HIGHER OPERATING COSTS - Operating expenses rose due to commodity inflation, labor investments, and costs tied to new restaurant openings

Company press release: ID:nGNXbzXylQ

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Slight Miss*
$182.60 mln
$183.32 mln (11 Analysts)
Q1 Net Income
-$509,000
Q1 Rest. Level Adj. EBITDA
$34.80 mln
Q1 Operating Expenses
$147.80 mln
Q1 Operating Income
$4.50 mln
Q1 Same-restaurant sales Growth
-0.10%


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 9 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the restaurants & bars peer group is "buy."

Wall Street's median 12-month price target for Portillos Inc is $6.50, about 13.6% above its May 4 closing price of $5.72

The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 27 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)