Portillo's Inc. (NASDAQ: PTLO) saw its shares plummet 5.77% in pre-market trading on Tuesday following the release of its first-quarter financial results, which fell short of analyst expectations. The fast-casual restaurant chain, known for its Chicago-style menu, reported quarterly revenue of $176.4 million, missing the consensus estimate of $180.4 million by 2.20%.

While the Q1 revenue represented a 6.40% increase from the same period last year, Portillo's earnings per share (EPS) declined by 37.5% year-over-year to $0.05, matching analyst estimates. The company's Q1 net income stood at $4 million, with operating income at $10.4 million and restaurant-level adjusted EBITDA at $36.7 million. Operating expenses for the quarter were reported at $139.8 million.

Adding to investor concerns, Portillo's provided a somewhat tepid outlook for 2025. The company set targets for revenue growth at 10-12%, same-restaurant sales growth at 1-3%, and adjusted EBITDA growth at 5-8%. These projections, particularly the modest same-restaurant sales growth target, may have contributed to the negative sentiment surrounding the stock, as investors question the company's growth trajectory in an increasingly competitive restaurant market.