El Pollo Loco Holdings, Inc. (NASDAQ:LOCO) Q2 2020 Earnings Conference Call - Final Transcript

Jul 30, 2020 • 04:30 pm ET


El Pollo Loco Holdings, Inc. (NASDAQ:LOCO) Q2 2020 Earnings Conference Call - Final Transcript


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Good day, ladies and gentlemen, and thank you for standing by. Welcome to the El Pollo Loco Second Quarter 2020 Earnings Conference Call. [Operator Instructions] And the lines will be opened for your questions following the presentation. [Operator Instructions]

On the call today, we have Bernard Acoca, President and Chief Executive Officer of El Pollo Loco; and Larry Roberts, Chief Financial Officer.

And now I would like to turn the conference over to Larry Roberts.

Laurance Roberts

Thank you, operator, and good afternoon. By now everyone should have access to our second quarter 2020 earnings release. If not, it can be found at www.elpolloloco.com in the Investor Relations section.

Before we begin our formal remarks, I need to remind everyone that our discussions today will include forward-looking statements. Including statements related to the impact of the COVID-19 pandemic on our business and strategic actions we are taking in response, as well as our marketing initiatives, cash flow expectations, capital expenditure plan and plans for new store openings. These forward-looking statements are not guarantees of future performance, and therefore, you should not put undue reliance on them.

These statements are also subject to numerous risks and uncertainties that could cause actual results to differ materially from what we expect. We refer all of you to our recent SEC filings for a more detailed discussion of the risks that could impact our future operating results and financial condition. We expect to file our 10-Q for the second quarter of 2020 tomorrow, and we encourage you to review that document at your earliest convenience.

During today's call, we will discuss non-GAAP measures, which we believe can be useful in evaluating our performance. The presentation of this additional information should not be considered in isolation or as a substitute for results prepared in accordance with GAAP, and reconciliations to comparable GAAP measures are available in our earnings release.

Before I turn the call over to President and Chief Executive Officer, Bernard Acoca, I'd like to note that Bernard and I are, of course, in different locations today. Please bear with us if you experience any slight delays or minor audio quality issues. Bernard, please go ahead.

Bernard Acoca

Thanks, Larry. Good afternoon, everyone, and thank you for joining us today. I hope that you and your families are staying safe and healthy. We're very pleased to be here today to discuss our second quarter results. As you know, the quarter began in the midst of the COVID-19 pandemic. And as you can imagine, our results reflect some formidable challenges. However, they also reflect a clear trend of momentum in our business, and I'm convinced that many of our actions over the last few months will serve our business well over the longer term.

As I discussed on our last call, with the onset of the pandemic, we moved quickly to transform our business in accordance with state and local restrictions. We rapidly shifted our operational focus to drive-throughs were available, take out, mobile pickup and delivery. At the same