El Pollo Loco: Although Emptier, Q3 Brought Cost Efficiency To Pollo Loco
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El Pollo Loco faces declining traffic due to limited menu innovation and higher prices, despite maintaining positive comparable sales through price increases and mix improvements. The company achieved cost efficiency and margin growth but struggles with labor cost inflation and competition in California.
November 06, 2024 | 11:45 am
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El Pollo Loco's Q3 results show declining traffic due to limited menu innovation and higher prices, despite achieving cost efficiency and margin growth. The company faces challenges in California from labor cost inflation and competition.
The article highlights El Pollo Loco's declining traffic due to limited menu innovation and higher prices, which are negative indicators for short-term stock performance. Despite cost efficiency and margin growth, challenges like labor cost inflation and competition in California could pressure the stock.
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