A Chipotle within the Bronx in New York, April 23, 2025.
Spencer Platt | Getty Pictures
Chipotle Mexican Grill on Tuesday reported quarterly earnings and income that topped analysts’ expectations, though site visitors to its eating places fell for the fourth straight quarter.
For 2026, the corporate is projecting flat same-store gross sales development, signaling that the burrito chain’s woes will not be anticipated to vanish shortly. Chipotle ended a bumpy 2025 with a full-year same-store gross sales decline of 1.7%.
Shares of the corporate fell as a lot as 11% in prolonged buying and selling.
Here is what the corporate reported in contrast with what Wall Road was anticipating, based mostly on a survey of analysts by LSEG:
- Earnings per share: 25 cents adjusted vs. 24 cents anticipated
- Income: $2.98 billion vs. $2.96 billion anticipated
The fast-casual chain reported fourth-quarter web revenue of $330.9 million, or 25 cents per share, down from $331.8 million, or 24 cents per share, a 12 months earlier.
Excluding impairment prices, beneficial properties from terminating restaurant leases and different gadgets, Chipotle earned 25 cents per share.
Internet gross sales rose 4.9% to $2.98 billion.
The corporate’s same-store gross sales fell 2.5% for the quarter, making this reporting interval the third quarter of the 12 months with same-store gross sales declines. Nonetheless, Wall Road was anticipating a steeper same-store gross sales lower of three%, in accordance with StreetAccount estimates.
Visitors to Chipotle eating places fell by 3.2%. Executives have beforehand mentioned they’ve seen a pullback in spending from shoppers of all revenue cohorts, though low-income diners have made probably the most important shift to their habits.
Over the previous 12 months, shares of Chipotle have misplaced roughly a 3rd of their worth, dragging the corporate’s market worth all the way down to about $51 billion. Investor enthusiasm for the inventory waned after the fast-casual chain started reporting shrinking site visitors to its eating places.
To deliver again clients, Chipotle is specializing in bettering the chain’s operations and including new menu gadgets, fairly than leaning into reductions. In December, on the tail finish of the quarter, the corporate unveiled “protein cups,” with the objective of convincing protein-obsessed clients to cease by for a snack, not simply lunch or dinner.
Chipotle opened 132 company-owned areas and 7 eating places run by worldwide licensees throughout the quarter. That introduced its whole to 334 company-owned areas and 11 worldwide associate eating places opened for the 12 months.
In 2026, the corporate is projecting that it’s going to open 350 to 370 new eating places, together with 10 to fifteen worldwide areas that shall be run by licensees.
