Portillo's Inc. (NASDAQ:PTLO) Q3 2023 Earnings Conference Call November 2, 2023 10:00 AM ET

Company Participants

Michael Osanloo - President and Chief Executive Officer

Michelle Hook - Chief Financial Officer

Barbara Noverini - Director of Investor Relations

Conference Call Participants

Sharon Zackfia - William Blair

Andy Barish - Jefferies

David Tarantino - Robert W. Baird

Chris O'Cull - Stifel Nicolaus

Dennis Geiger - UBS Securities

Sara Senatore - BofA Securities

Gregory Francfort - Guggenheim Securities

Brian Harbour - Morgan Stanley

Operator

Greetings and welcome to the Portillo's Third Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

It is now my pleasure to introduce your host, Barbara Noverini, Portillo's Director of Investor Relations. Please go ahead.

Barbara Noverini

Thank you, operator. Good morning, everyone, and welcome to our fiscal third quarter 2023 earnings call. Our 10-Q earnings press release and supplemental presentation are posted at investors.portillos.com. With me on the call today is Michael Osanloo, President and Chief Executive Officer; and Michelle Hook, Chief Financial Officer. 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 and our quarterly 10-Qs identify 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 open the lines for your questions.

Now, let me turn the call over to Michael Osanloo, President and Chief Executive Officer.

Michael Osanloo

Thank you, Barb. Good morning, everyone. Thank you for joining our third quarter 2023 earnings call. We demonstrated excellent operating leverage this quarter as total sales growth of 10.4% translated into restaurant level EBITDA growth of 22.9%.

These results highlight the benefit of our throughput, operational efficiency, and labor utilization even as we continue to expand our restaurant base. Our ability to sustain profitable growth is a key differentiator for Portillo's. The strength of our brand, the consistency of our operations, and the ongoing execution of a disciplined development strategy all support our fantastic business model.