Year-over-year revenue growth decelerated from 7.5% in 2024Q2 to 0.6% in 2025Q4 before recovering to 5.6% in 2026Q2, while operating margin slipped to 6.9% from 10.0% and diluted EPS stood at $0.09 despite a quarterly revenue base of $199.0M, a pattern that may indicate pricing and overhead gains are losing momentum.
Portillo's Inc. (PTLO) annual income statement — 7-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 |
|---|
| Sales/Revenue | 761.4M | 732.07M | 710.55M | 679.9M | 587.1M | 534.95M | 455.47M | 479.42M |
| Revenue Growth % | 4.17% | 3.03% | 4.51% | 15.81% | 9.75% | 17.45% | -4.99% | - |
| Cost of Goods Sold | 569.93M | 443.4M | 422.77M | 404.74M | 358.63M | 305.55M | 258.44M | 283.27M |
| COGS % of Revenue | - | 60.57% | 59.5% | 59.53% | 61.08% | 57.12% | 56.74% | 59.09% |
| Gross Profit | 191.47M | 288.67M | 287.78M | 275.17M | 228.47M | 229.4M | 197.03M | 196.15M |
| Gross Margin % | 25.15% | 39.43% | 40.5% | 40.47% | 38.92% | 42.88% | 43.26% | 40.91% |
| Gross Profit Growth % | - | 0.31% | 4.58% | 20.44% | -0.4% | 16.43% | 0.45% | - |
| Operating Expenses | 148.43M | 237.47M | 229.75M | 219.73M | 187.2M | 199.39M | 139.74M | 147.23M |
| OpEx % of Revenue | - | 32.44% | 32.33% | 32.32% | 31.88% | 37.27% | 30.68% | 30.71% |
| Selling, General & Admin | 87.81M | 117.77M | 111.72M | 112.19M | 97.55M | 115.15M | 64.77M | 67.66M |
| SG&A % of Revenue | - | 16.09% | 15.72% | 16.5% | 16.62% | 21.53% | 14.22% | 14.11% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 4M | 119.69M | 118.03M | 107.53M | 89.65M | 84.24M | 74.97M | 79.57M |
| Operating Income | 43.04M | 51.2M | 58.03M | 55.44M | 41.28M | 30.01M | 57.29M | 48.92M |
| Operating Margin % | 5.65% | 6.99% | 8.17% | 8.15% | 7.03% | 5.61% | 12.58% | 10.2% |
| Operating Income Growth % | - | -11.77% | 4.68% | 34.31% | 37.54% | -47.62% | 17.11% | - |
| EBITDA | 75.19M | 80.32M | 85.33M | 79.75M | 62.19M | 53.32M | 81.88M | 73.29M |
| EBITDA Margin % | 9.88% | 10.97% | 12.01% | 11.73% | 10.59% | 9.97% | 17.98% | 15.29% |
| EBITDA Growth % | -5.01% | -5.88% | 6.99% | 28.25% | 16.62% | -34.87% | 11.72% | - |
| D&A (Non-Cash Add-back) | 32.15M | 29.11M | 27.3M | 24.31M | 20.91M | 23.31M | 24.58M | 24.36M |
| EBIT | 41.19M | 46.9M | 67.49M | 55.54M | 46.62M | 22.75M | 57.29M | 48.92M |
| Net Interest Income | -22.29M | -22.53M | -25.31M | -27.26M | -27.64M | -39.69M | -45.03M | -43.37M |
| Interest Income | 194K | 275K | 309K | 212K | 0 | 0 | 0 | 0 |
| Interest Expense | 22.48M | 22.81M | 25.62M | 27.47M | 27.64M | 39.69M | 45.03M | 43.37M |
| Other Income/Expense | -22.75M | -27.11M | -16.16M | -27.37M | -22.3M | -46.96M | -45.03M | -43.37M |
| Pretax Income | 20.29M | 24.09M | 41.88M | 28.07M | 18.98M | -16.95M | 12.26M | 5.55M |
| Pretax Margin % | 2.66% | 3.29% | 5.89% | 4.13% | 3.23% | -3.17% | 2.69% | 1.16% |
| Income Tax | 2.61M | 3M | 6.8M | 3.25M | 1.82M | -3.53M | 0 | 0 |
| Effective Tax Rate % | 12.85% | 12.44% | 16.24% | 11.57% | 9.6% | 20.84% | 0% | 0% |
| Net Income | 17.16M | 19.34M | 29.52M | 18.42M | 10.85M | 5.99M | 12.26M | 5.55M |
| Net Margin % | 2.25% | 2.64% | 4.15% | 2.71% | 1.85% | 1.12% | 2.69% | 1.16% |
| Net Income Growth % | -29.94% | -34.46% | 60.21% | 69.79% | 81.09% | -51.14% | 120.76% | - |
| Net Income (Continuing) | 17.68M | 21.09M | 35.08M | 24.82M | 17.16M | -13.42M | 12.26M | 5.55M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 30.47M | 29.48M | 89.04M | 137.73M | 176.56M | 252.14M | 0 | 0 |
| EPS (Diluted) | 0.23 | 0.27 | 0.46 | 0.32 | 0.25 | -0.42 | -0.25 | -0.38 |
| EPS Growth % | -35.35% | -41.3% | 43.75% | 28% | 159.52% | -68% | 34.21% | - |
| EPS (Basic) | - | 0.28 | 0.48 | 0.34 | 0.28 | -0.42 | -0.25 | -0.38 |
| Diluted Shares Outstanding | 73.43M | 71.09M | 63.98M | 57.31M | 42.72M | 35.81M | 33.57M | 33.57M |
| Basic Shares Outstanding | 72.54M | 68.82M | 61.05M | 53.81M | 38.9M | 35.81M | 33.57M | 33.57M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying PTLO stock.
For fiscal year 2025, Portillo's Inc. (PTLO) reported total revenue of $732.1M. This represents a 52.7% increase compared to $479.4M in 2019.
Portillo's Inc. (PTLO) is profitable, generating $19.3M in net income for the fiscal year ending 2025 with a net profit margin of 2.6%.
Portillo's Inc. (PTLO) reported an operating income of $51.2M, resulting in an operating profit margin of 7.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Portillo's Inc. (PTLO) generated $288.7M in gross profit for the year, representing a gross profit margin of 39.4%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Volatile gross margin and falling EPS
Metrics are mathematically derived from official filings.
Growth Slips Toward Flatline
Portillo's year-over-year revenue growth has slowed from 7.5% in 2024Q2 to 0.6% in 2025Q4 before recovering to 5.6% in 2026Q2, according to the company's reported income statements, a deceleration that suggests menu pricing and unit expansion may be losing momentum.
The trend line shows single-quarter growth clustering between 0.6% and 1.8% through the back half of 2025, a material step-down from the 6.3%-7.5% range recorded in early-to-mid 2024, which implies the top line is increasingly dependent on incremental units rather than same-store gains. The 2026Q2 rebound to 5.6% off a $199.0M base is encouraging but rests on a single quarter, so investors should treat durability as unproven until a second period confirms it.
Gross Margin Swing Obscures Run Rate
Reported gross margin ranged from 41.3% in 2024Q4 to 16.2% in 2025Q3 and back to 39.5% in 2025Q4, as disclosed in Portillo's quarterly filings, a near 25-point spread that appears far too wide to reflect genuine food and labor cost cyclicality.
COGS moved between $106.1M and $155.7M on revenue that never strayed beyond $165.8M-$199.0M, which suggests expense classification or period-cost recognition is shifting between quarters rather than underlying input costs behaving this violently. Because operating margin still tracked a much narrower 2.5%-10.0% band, the reported gross margin series should probably not be used for peer benchmarking against CAVA's 18.4% or Shake Shack's 18.0% without normalization.
Overhead Cuts Offset Sluggish Top Line
Portillo's operating margin narrowed from 10.0% in 2024Q2 to 6.9% in 2026Q2 even as quarterly revenue rose to $199.0M, per reported quarterly statements, indicating limited operating leverage as overhead reduction has not kept pace with gross profit compression.
SG&A fell from $29.2M in 2024Q4 to $19.6M in 2026Q2, which appears to be the main reason operating income held at $13.8M despite gross profit dropping from $76.3M to $43.2M over the same span. Operating income of $13.8M also sits well below the $23.6M implied by gross profit less SG&A, implying material other operating charges below the disclosed lines that warrant closer inspection.
Equity Compensation Erodes Per-Share Results
Stock-based compensation climbed to $5.8M in 2026Q2 from $2.8M in 2024Q1, while diluted EPS slipped to $0.09 from $0.10 on 5.6% revenue growth, based on Portillo's income statement disclosures, suggesting reported earnings are increasingly diluted by equity compensation.
EPS growth was negative in seven of the ten quarters shown, including -111.2% in 2026Q1 when net income was -$402.0K, so the earnings stream looks more volatile than the revenue line would imply. Net margin of 3.5% against a 6.9% operating margin in 2026Q2 also indicates a meaningful non-operating or tax drag that investors should confirm against the full statements.
What Could Invalidate the Base Case
With revenue growth stalling at 0.6% in 2025Q4 and net margin turning negative at -0.2% in 2026Q1, per the supplied quarterly data, the bear case centers on whether revenue can re-accelerate enough to absorb elevated SBC and volatile food costs.
A short-seller would likely point to the combination of flatlining comps-driven growth, seven consecutive quarters of declining or negative EPS growth, and SBC running at roughly 2.9% of 2026Q2 revenue as evidence that the equity story depends on unit growth the income statement is not yet rewarding. The counter-argument rests on the 2026Q2 recovery in operating income to $13.8M, but one quarter does not neutralize the risk that the $16.2% gross margin print in 2025Q3 recurs if cost pass-through stalls.