El Pollo Loco(US:LOCO)2025-05-01 20:09Financial Performance - Total revenue for Q1 2025 was $119.2 million, an increase of 2.6% from $116.2 million in Q1 2024[6] - Net income for Q1 2025 was $5.5 million, or $0.19 per diluted share, compared to $5.9 million, or $0.19 per diluted share in Q1 2024[11] - Adjusted EBITDA for Q1 2025 was $13.9 million, down from $15.7 million in Q1 2024[6] - Total revenue increased to $119,177,000 for the thirteen weeks ended March 26, 2025, up from $116,153,000 in the prior year, reflecting a growth of 2.6%[35] - Net income for the period was $5,481,000, or $0.19 per diluted share, compared to $5,912,000 and $0.19 per diluted share in the same period last year, indicating a decrease of 7.3%[35] - Adjusted EBITDA for the thirteen weeks ended March 26, 2025, was $13,925,000, down from $15,699,000 in the same period of 2024, indicating a decrease of 11.3%[39] - Adjusted net income decreased to $5,521,000 for the thirteen weeks ended March 26, 2025, compared to $6,805,000 in the prior year, a decline of 18.9%[42] - The company incurred special legal and professional fees of $615,000 during the thirteen weeks ended March 26, 2025, which were not present in the same period of 2024[42] Revenue Breakdown - Company-operated restaurant revenue increased to $98.4 million, up 1.2% from $97.2 million in Q1 2024, driven by a 0.6% increase in comparable restaurant revenue[5] - Franchise revenue increased by 16.2% to $13.2 million, primarily due to the rollout of a new Point of Sale (POS) system[8] - Company-operated restaurant revenue for the thirteen weeks ended March 26, 2025, was $98,365,000, compared to $97,153,000 for the same period in 2024, representing a 1.2% increase[38] - Franchise revenue increased to $13,183,000 for the thirteen weeks ended March 26, 2025, from $11,348,000 in the same period of 2024, marking a growth of 16.2%[38] Operational Metrics - System-wide comparable restaurant sales decreased by 0.6%[6] - Comparable restaurant sales growth was 0.6% for the thirteen weeks ended March 26, 2025, down from 3.8% in the prior year[36] - Restaurant contribution was $15.8 million, or 16.0% of company-operated restaurant revenue, compared to $17.1 million, or 17.6% in Q1 2024[9] - The company reported a restaurant contribution margin of 16.0% for the period, compared to 17.5% in the prior year, indicating a decline in operational efficiency[35] - Restaurant contribution margin decreased to 16.0% for the thirteen weeks ended March 26, 2025, down from 17.6% in the same period of 2024[43] Debt and Assets - As of March 26, 2025, the company's outstanding debt was $73.0 million, with $4.3 million in cash and cash equivalents[12] - Total assets as of March 26, 2025, were $590,452,000, a slight decrease from $592,014,000 at the end of the previous year[36] - Total debt increased to $73,000,000 from $71,000,000, reflecting a rise in financial leverage[36] Future Plans - The company plans to open 10 to 11 new restaurants in 2025, including 9 to 10 franchised locations[13] - Capital spending is expected to be between $30.0 million and $34.0 million for 2025[13] - The company aims to continue expanding its digital business and delivery services as part of its growth strategy[29] - Forward-looking statements indicate expectations for continued growth and potential challenges related to market conditions and competition[28] Restaurant Operations - The company operated 174 restaurants at the end of the period, an increase from 172 restaurants a year earlier, while franchised restaurants remained stable at 325[36] - System-wide sales reached $269,453,000 for the thirteen weeks ended March 26, 2025, compared to $267,890,000 in the prior year, a slight increase of 0.6%[38]