El Pollo Loco Holdings, Inc. (‘El Pollo Loco’), through its indirect wholly-owned subsidiary, El Pollo Loco, Inc. (‘EPL’), which develops, franchises, licenses and operates quick-service restaurants under the name El Pollo Loco.
The company’s restaurants are located principally in California, but also in Arizona, Nevada, Texas, Utah, Colorado, and Louisiana. Additionally, as of December 25, 2024, the company had 10 licensed restaurants in the Philippines. The company’s typical restaurant is a f...
El Pollo Loco Holdings, Inc. (‘El Pollo Loco’), through its indirect wholly-owned subsidiary, El Pollo Loco, Inc. (‘EPL’), which develops, franchises, licenses and operates quick-service restaurants under the name El Pollo Loco.
The company’s restaurants are located principally in California, but also in Arizona, Nevada, Texas, Utah, Colorado, and Louisiana. Additionally, as of December 25, 2024, the company had 10 licensed restaurants in the Philippines. The company’s typical restaurant is a free-standing building with drive-thru service that ranges in size from 2,200 to 3,000 square feet, with seating for approximately 50-70 people.
El Pollo Loco is a differentiated and growing restaurant concept that specializes in fire-grilling citrus-marinated chicken and operates in the limited service restaurant (‘LSR’) segment. The company strives to make and serve food that is ‘better for you’, and also flavorful. The company’s distinctive menu features its signature product, citrus-marinated fire-grilled chicken, served in a variety of Mexican-inspired entrees, such as burritos and tostadas, healthier choices, such as salads, and chicken meals available in a variety of sizes to feed individuals and larger groups. The company’s entrees include favorites, such as its Guacamole Chicken Burrito, Double Chicken Tostada, Crunchy Chicken Taco, and the Original Pollo Bowl. The company’s famous Creamy Cilantro dressing and salsas are prepared fresh daily, allowing its customers to create their favorite flavor profiles to enhance their culinary experience. The company’s distinctive menu, with ‘better for you’ and more affordable healthier alternatives, appeals to consumers across a wide variety of socio-economic backgrounds and drives its balanced composition of sales throughout the day (the company’s ‘day-part mix’), including at lunch and dinner.
The company operates within the broader LSR segment, and strives to offer the food and dining experience of a fast-casual restaurant and the speed, value, and convenience of a quick-service restaurant (‘QSR’). The company aims to offer menu options that are made with fresh ingredients and provide a quality, ‘better for you’ alternative to typical fast food, all while using Mexican flavors to make the company’s food craveable and delicious.
Growth Strategy
The company’s strategies to become the craveable, affordable, better-for-you chicken leader, reinforced with its marketing and product offerings, position it to deliver on its first strategic pillar, Brand That Wins; serving its customers and delivering on exceptional hospitality; investing in consumer-facing technology is critical to further differentiating its brand and reaching customers; driving unit growth again through national expansion.
Franchise Program
The company has various franchised restaurants. Franchisees range in size from single-restaurant operators to its largest franchisee, which owns various restaurants. The company’s existing franchise base consists of many successful, longstanding, multi-unit restaurant operators. As of December 25, 2024, approximately 86% of franchised restaurants were owned and operated by franchisees.
Marketing and Advertising
The company uses multiple marketing channels, including traditional and digital media, and leverages video, static, and print content to effectively deliver its marketing messages. The company targets its advertising, using local broadcast and cable television to reach a wide audience, and digital media and streaming to layer on more targeted audience segments.
Through the company’s public relations efforts, it engages notable food editors, influencers, and bloggers on a range of topics to help promote its products. In addition, the company engages in one-on-one conversations using a portfolio of social media platforms, including Facebook, TikTok, Instagram, Threads, and X. The company also uses social media as a research and customer service tool, and applies insights gained to future marketing efforts.
El Pollo Loco has partnered with Postmates, DoorDash, Uber Eats, and Grubhub as additional methods for ordering. The company also operates direct delivery via elpolloloco.com or the Loco Rewards App, which is exclusively fulfilled by DoorDash.
Purchasing and Distribution
The company contracted with McLane Company (the company’s ‘primary distributor’), a major foodservice distributor, for substantially all of its food and supplies, including the poultry that its restaurants receive from suppliers for fiscal 2024. Starting in March 2025, Performance Food Group Customized Distribution (‘PFG Customized’) will be its new primary distributor for substantially all of its food and supplies, including the poultry that its restaurants receive from suppliers. The company’s primary distributor delivers supplies to most of its restaurants two to three times per week. The company’s restaurants in Texas, Louisiana, and Colorado utilize regional distributors for produce. The company’s franchisees are required to use its primary distributor or an approved regional distributor, and franchisees must purchase food and supplies from approved suppliers.
Intellectual Property
The company has registered El Pollo Loco, Pollo Bowl, The Crazy Chicken, and certain other names used by the company’s restaurants as trademarks or service marks with the U.S. Patent and Trademark Office, and El Pollo Loco in approximately 40 foreign countries and the European Union. In addition, the El Pollo Loco logo, website name and address, Facebook, X, Instagram, and YouTube accounts are its intellectual property.
Regulation and Compliance
The company, and its franchisees, are subject to various federal, state, and local laws and regulations that govern its business operations, including those governing compliance with the Americans with Disabilities Act, the Federal Trade Commission, and the Food and Drug Administration.
Seasonality
Seasonal factors, including weather and the timing of holidays, cause the company’s revenue to fluctuate from quarter to quarter. The company’s revenue per restaurant is typically lower in the first and fourth quarters due to reduced January and December transactions, and higher in the second and third quarters (year ended December 25, 2024).
History
The company was founded in 1975. The company was formerly known as Chicken Acquisition Corp. and changed its name to El Pollo Loco Holdings, Inc. in April 2014.