Portillo’s Shares Surge

Portillo’s saw a significant surge in shares following the release of their fourth-quarter earnings report, surpassing analyst expectations thanks to increased menu prices driving sales.

Stock Performance

In premarket trading, Portillo’s shares rose by 16% to $16. This increase comes after a 14% decline year-to-date up to the previous market close.

Financial Highlights

• Profit Growth: The company’s profit soared to $7.8 million in the fourth quarter, up from about $4 million the previous year.
• Earnings Per Share: At 13 cents per share, earnings exceeded analyst forecasts of 5 cents per share, as reported by FactSet.
• Revenue Increase: Revenue spiked by nearly 25% to $187.9 million, surpassing analyst projections of $184.2 million, according to FactSet.

Business Expansion

During the quarter, Portillo’s opened six new restaurants and experienced a notable growth in comparable sales, up by 4.4%. This growth was attributed to an increase in average check size, driven by a 6% rise in prices that offset a weaker product mix.

Positive Outlook

Portillo’s Chief Executive, Michael Osanloo, expressed satisfaction with the company’s performance, noting positive traffic trends and achieving “multi-year highs in guest satisfaction.”

For more information about Portillo’s, visit their website at officialwebsite.com.