El Pollo Loco’s Turnaround Is Beating Its Own Timeline

El Pollo Loco is outperforming the roadmap it set for itself. CEO Liz Williams took over in March 2024 with a three-year plan built around boosting brand awareness and improving unit-level economics. Now heading into year three, the chicken chain is running ahead of schedule, according to a report from Nation’s Restaurant News.

Sales and Margins Top Expectations

The company’s second-quarter results beat Wall Street forecasts, with same-store sales climbing 3.9%. Restaurant contribution margin reached 19.5%, up from 18.6% the year before and nudging toward the top of Williams’ original 18% to 20% goal — a notable achievement given rising produce costs.

Much of that momentum traces back to menu innovation. Loco Tenders have drawn in younger, first-time customers, particularly during snacking and late-night hours. Loaded Quesadillas, introduced in June, gave the menu a value-priced option under $10. A new coffee lineup — including horchata, iced coffee and cold foam — targets an afternoon daypart the brand had largely been missing.

Expansion Accelerates Across New Markets

Beyond menu changes, El Pollo Loco is growing its footprint faster than originally planned. The company expects to open 18 to 20 new restaurants this year, nearly double last year’s pace. In June, Idaho became the chain’s 10th state, marking continued geographic expansion beyond its traditional West Coast base.

Together, the sales growth, margin improvement, and faster unit expansion suggest Williams’ turnaround strategy is translating into real results well ahead of its original three-year target — positioning El Pollo Loco for continued momentum as it moves into the next phase of growth.