Portillo's Inc. (PTLO) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Hello, and thank you for standing by. Welcome to the Portillo's fourth quarter 2025 conference call and webcast. I would now like to turn the call over to Chris Brandon, Vice President of Investor Relations at Portillo's to begin. Thanks, Operator, and good morning, everyone. Welcome to the Portillo's fourth quarter and full year 2025 earnings call. With me today are Mike Miles, Chairman of the Board and Principal Executive Officer, and Michelle Hook, Chief Financial Officer. You can find our 10K earnings press release and supplemental presentation on investors.portillos.com. Any commentary made here about our future results and business conditions are forward-looking statements, which are based on management's current expectations and are not guarantees of future performance. We do not update these forward-looking statements unless required by law. Our 10-K identifies risk factors that may cause our actual results to vary materially from these forward-looking statements. Today's earnings call will make reference to non-GAAP financial measures, which are not an alternative to GAAP measures. Reconciliations of these non-GAAP measures to their most comparable GAAP counterparts are included in this morning's posted materials. Finally, after we deliver our prepared remarks, we will be happy to take questions from our covering sell-side analysts. And with that, I will turn the call over to Mike. Thanks, Chris, and good morning. The fourth quarter reflected the strengths and challenges facing Portillo's in 2025. While our core markets continued to have outstanding AUVs and profitability, our Texas market expansion continued to be a headwind for our business. As we announced last fall, we have reset our development strategy, slowing new store openings and focusing on health...