Shares of Portillo’s, the Chicago-based fast-casual restaurant chain, climbed 8% in early trading on Friday after the company reported stronger-than-expected quarterly earnings and raised its full-year guidance.
The company posted adjusted earnings per share of 38 cents, beating the 32-cent estimate from Refinitiv. Revenue rose 12% year-over-year to $125 million, also exceeding forecasts. Same-store sales, a key metric for restaurant operators, increased 6.7%, outpacing the 4.1% growth expected by analysts.
Portillo’s attributed the performance to higher customer traffic and successful menu innovations, including its new chicken sandwich lineup. The company also raised its full-year revenue guidance to a range of $520 million to $530 million, up from its prior estimate of $500 million to $510 million. Adjusted earnings per share guidance was increased to $1.50-$1.60 from $1.35-$1.45 previously.
Analysts at William Blair maintained their outperform rating on the stock, citing the company’s consistent execution and growth trajectory. The stock has gained roughly 15% over the past three months, outperforming the broader restaurant sector.
Portillo’s operates over 70 locations primarily in the Midwest, specializing in Italian beef sandwiches and hot dogs. The company went public in May 2024 at $21 per share, closing its first trading day at $23.50.
